Banks Act, 1990 (Act No. 94 of 1990)RegulationsRegulations relating to BanksChapter III : Corporate Governance39. Process of corporate governanceSubregulations (1) and (2) |
| (1) | The board of directors of a bank is ultimately accountable for ensuring that an adequate and effective process of corporate governance, which is consistent with the nature, size, complexity and risk inherent in the bank’s on-balance sheet and off-balance sheet activities and that appropriately responds to changes in the bank’s environment and conditions, is established and maintained, provided that the board of directors may appoint supporting committees to assist it with its respective oversight responsibilities. |
[Regulation 39(1) substituted by section 7(a) of Notice 6342, GG52907, dated 26 June 2025, shall come into operation on 1 July 2025]
| (2) | The process of corporate governance referred to in subregulation (1) includes the maintenance of effective risk management, capital management and liquidity management by a bank. |
[Regulation 39(2) substituted by section 4(b) of Notice No. 2900, GG47789, dated 23 December 2022- Effective 1 January 2023]