According to the Corporate governance code of the Development Bank of Kazakhstan JSC, the corporate governance of the Bank is based on the following principles:
- protection of the rights and interests of shareholders;
- efficient Bank management by the Board of Directors and the executive body;
- transparency and fair disclosure of information related to the Bank’s activity;
- legitimacy and ethics;
- efficient human resources management;
- environment protection;
- corporate conflict settlement.
Along with observance of rights and interests of the shareholders which is a primary principle, the corporate governance system of the Bank ensures protection of the rights and interests of the clients, investors, society and all persons interested in the Bank’s activity.
The Bank’s Board of Directors ensures exercise of right and protection of the rights of shareholders, fulfillment of set strategic tasks by the Bank. According to the consistently applied principles of the corporate governance, two members of the Bank’s Board of Directors are independent directors proposed by the sole shareholder NMH Baiterek JSC. In 2016, the Board of Directors held 13 meetings in presentia and 4 meetings in absentia, at which decisions on 172
addressed issues were made.
Since 2007, the Development Bank of Kazakhstan has started shifting to the financial markets management approaches and arrangement of an internal monitoring taking into account international requirements on capital adequacy, Basle Agreements, and requirements of the Agency of the Republic of Kazakhstan on Regulation and Supervision of Financial Market.
The Management Board, a joint body, has started exercising functions of the Bank’s executive body since 2009.
In order to ensure monitoring of the activity efficiency related to the Bank’s corporate governance, the Bank’s Board of Directors regularly reviews the Report on compliance with approved principles of the Bank’s Corporate governance code. The Report on compliance with approved principles of the Bank’s Corporate governance code as of December 31, 2016 has been prepared in accordance with requirements of the Code aimed at ensuring and implementation of the Bank’s daily activity, proper standards and practice of the corporate conduct meeting international standards based on not only full compliance with the requirements of the legislation but also on application of business standards common for all parties of a business community.
Today there are following permanent Committees under the Board of Directors of the Development Bank of Kazakhstan JSC: Risk Committee, Audit Committee, Committee on Staff, Remuneration and Social Issues, and Committee on Strategic Planning. Their activity is aimed at in-depth study of certain fields of the Bank’s activity and advising the Board of Directors on related issues.
Corporate Secretary ensures proper execution of duty by the Board of Directors, compliance of the Bank’s structural divisions with the procedural arrangements assuring exercise of the right and interests of the shareholders. Contacts: Aiman Kassenova, Corporate Secretary +7(7172) 79 26 44.
The Bank has an efficient system of the external and internal audit implemented by the Bank’s Internal Audit Service, regular audit of the Bank’s financial accounting by independent audit companies in terms of its compliance with the International Financial Reporting Standard (IFRS).
In order to ensure high level of transparency and relevance of decisions taken by management, the Bank follows the policy on improvement of access to and the quality of information which is posted on the Bank’s web site, and published in local and foreign media.
Nomination on “Leading bank in corporate governance in Central and East Europe” awarded by Euromoney, a financial publication, demonstrates above mentioned achievements. While awarding the Bank, experts of the journal noted that the Bank managed to build an effective cooperation approach between the shareholders, the Board of Directors and management of the Bank, to improve such aspects of the Bank corporate governance as setting corporate targets, ensuring compliance of the corporate activity and conduct of the Bank with requirements of reliable bank practices, effective legislation and regulatory framework.