Governance Charter

    Corporate governance is considered one of the main systems adopted by major investment and financial institutions in many countries of the world. To keep pace with this global trend, the Board of Commissioners of the Capital Markets Authority in the State of Kuwait has adopted the corporate governance rules within the executive regulations of the Capital Markets Authority Law No. 7 of 2010.

    To show Aayan Leasing & Investment Company commitment, the company created an institutional governance framework that ensures compliance with the rules and principles of governance in accordance with a set of principles and standards with both the Board of Directors and executive management. These principles and standards aim to ensure proper administrative regulation, distribution of powers and responsibilities, adopting integrated reporting systems, enhancing professional and ethical behavior, and ensuring the integrity of financial reports.

    Hence, the company set governance rules and principles by building a balanced structure for the Board of Directors with majority of non-executive and independent members who do their part in carrying out the tasks and responsibilities entrusted to them. In the context of defining tasks and responsibilities, the Board created several committees such as the Audit Committee, Risk Committee, and Awards & Nominations Committee from among his members and approved work mechanism of those committees. Moreover, the company separated the tasks and responsibilities of members of the company’s executive body by classifying financial and administrative powers, and enhance and improve performance through effective training and adopting a performance evaluation system for each of Board of Directors and executive management.

    The company guarantees the safety and integrity of financial statements through emphasizing the independence and impartiality of the company's auditor, with both the Board of Directors and the Executive Management providing the necessary undertakings for the integrity of the financial statements and related reports, as this is considered one of the most important pillars and indicators on integrity and credibility in the company’s presentation of its financial position in a way that supports the confidence of investors in the company and related parties.

    To ensure that investment risks are addressed, the company has formed an internal risk management system consisting of a Board’s committee for risk management and Risk Management Unit. Both seek to monitor and measure possible risks that may encounter the company during the pursue of its practices and activities and mitigate it, and submit proposals and recommendations, plus preparing risk tendency which determines the range of accepted risks by the company and the Board.

    On the other hand, the company promotes the professional behavior and ethical values in all transactions with stakeholders and relevant parties through the promotion of integrity and transparency principles. Hence, the company employs a comprehensive system of disclosure according to laws and regulations, maintaining the rights of both stakeholders and shareholders, and encourages them to participate in various company activities, and encourage shareholders to attend the general assemblies of the company.

    Furthermore, the company did not overlook the aspect of social responsibility incumbent on it for the development and prosperity of Kuwaiti society, as the company conducts many activities that ensure a balance between company objectives and the general objectives of the society; it seeks to highlight the social role of the company in Kuwait through participation in the progress and development of the society.