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Website launched to boost transparency
KUWAIT CITY, Nov 14, (KUNA): Boursa Kuwait said it was committed to application of governance in compliance with regulations of Capital Market Authority (CMA), and to meet needs of traders. Boursa Kuwait has a duty to establishing a governance culture among all departments in a drive to abide by CMA’s rules and regulations, Ahmad Kaswani, Director of Risk Management, Compliance and Governance at Boursa Kuwait, said.
Governance, which stipulates application of best practices to honor entity’s objectives, will improve accountability and transparency, Kaswani told KUNA in an interview. Boursa Kuwait, he added, published a code of conduct that would meet expectations of the company and shareholders, through which executive management would make sure information were not abused and preventing conflict of interest. He noted board members were obliged to declare ownership of their stocks and those of their minor sons in order to present them to CMA.
Boursa Kuwait’s employees or their minor sons can trade with stocks but within strict rules and after CMA’s approval, he said. Kaswani said Boursa Kuwait was linking performance to Key Performance Indicators (KPIs), in addition to providing training in order to achieve strategic objectives. Boursa Kuwait took over Kuwait Stock Exchange building and replaced manual disclosure system with an electronic one thus providing information in an accurate and transparent manner, he said.
The company launched a website which includes a special section for governance which will boost efficiency of disclosures and transparency. Kaswani encouraged listed companies to adopt governance to boost trust between owners and shareholders. Boursa Kuwait, which was established in April 2014 as a CMAowned company, is responsible for stock trading. Its establishment is the first step towards privatization of Kuwait Stock Exchange, which was created in 1983.