The responsibilities of the board of directors represented by setting strategies, policies, plans and procedures that realize the interests of the company and ensuring all stakeholders enjoy their full rights and that they are treated in justice and equality without any discrimination. The board also appoints the company's general manager and terminates his services and defines duties and powers of the company’s executive management. In addition to organizing the company's financial, accounting and administrative affairs and prepares annual, semiannual and quarterly reports and annual preliminary results on the company's activities.

A group of rules and principles organize the relation between the management of public shareholding companies and the stakeholders within organizational, administrative, regulatory and financial frameworks where rights, duties, and responsibilities are defined to achieve the corporate objectives and goals.

The corporate governance rules are mainly based on a group of legislation, that include:

  1. Securities law number (18) for the year 2017.
  2. Companies law number (22) for the year 1997 and its amendments.
  3. Banks law number (28) for the year 2000.
  4. International principles established by the Organization of Economic Cooperation and Development (OECD).

The principles are divided into five standards of evaluation which include:

  1. Shareholders’ rights.
  2. Equal treatment for shareholders.
  3. The role of stakeholders.
  4. Disclosure and transparency.
  5. Board of director's responsibility.
  1. Shares’ ownership transfer right.
  2. Vote in general assembly right.
  3. Board of director's selection.
  4. Annual dividends.
  5. Effective participation in general assembly meetings.

By ensuring the equal rights for all shareholders, including the right to vote in general assembly meetings with regard to important decisions in the company and protect them from any questionable takeover or merge, as well as their right to be informed about all board of directors members or executives managers transactions.

  1. Periodic reports.
  2. Essential information about the company.
  3. Insider and their relatives’ ownership of securities issued by the company including the members of board of directors and executive management.
  4. Stakeholders’ transactions.
  5. Privileges enjoyed by the board of directors and the executive management.
  6. The role of auditor.
1. One of the most important mechanisms or standards that contribute in measuring the regularity and efficiency of the capital markets.
2. Contribute in raising the efficiency and performance of companies, thus it contributes in the growth of companies in the long run and increase its profitability.
3. One of the key factors that contribute in encouraging the flow of foreign capital into emerging markets, through increasing the confidence of foreign investor in those markets.