KBZ Bank is committed to the highest standards of corporate governance. As such, increasing transparency and accountability in all aspects of our business and operations has been a strong focus of our ongoing transformation. Our Corporate Governance Framework sets out the system of rules, practices and processes by which the Bank is governed.
This framework complies with the policies and procedures of the Central Bank of Myanmar (“CBM”) under the Financial Institution Law (FI Law), the Myanmar Companies Law 2017 (“MCL 2017”), KBZ Bank’s policies, and the Basel Committee Guidelines on Corporate Governance Principles for Banks.
Our Board and Board Committees
Our Board of Directors provides leadership and oversight on senior management, and ensures they adhere to the Bank’s values and risk culture in all circumstances. The Board’s responsibilities include:
- Charting the Bank’s corporate strategy, including risk management
- Monitoring and managing the Bank’s performance
- Succession planning and development
- Preventing conflicts of interests and balancing the competing demands on the Bank
- Reviewing the company’s material controls and risk management systems
To carry out its duties more effectively, the Board has appointed a number of committees to oversee specific and clearly defined functions. These committees are:
- Board Credit Committee (BCC)
- Board Audit and Risk Committee (BARC)
- Board Remuneration Executive Committee (BRC)
More information about our Board and Board Committees, as well as our Board Policies, can be found in our Corporate Governance Statement.
Committees and Responsibilities
The responsibilities of the Board subcommittees are as follows:
Board Meetings & Appointments
Orientation of New Directors and Succession Planning
To maintain a current and effective Board, we ensure that new Board members are equipped with the information that will allow them to execute their duties in the best possible way. Our orientation process includes familiarisation with the role of the Board of Directors and its committees and charters, as well as all relevant policies adopted by the Board, the Bank’s business activities, and the industry and regulatory environment in which we operate.
Comprehensive updates, including on economic, regulatory, industry and business developments, ensure that our Board is constantly up-to-date and equipped to lead the Bank effectively. Regular visits to the cities in which we have a presence keep our Board in touch with on-ground developments and concerns. They also stay up-to-speed with best practices in areas like corporate governance. A combination of executive coaching and classroom training is deployed to address any further leadership and developmental needs.
We also have best practices in place for planning for senior appointments, including developing future-focused profiles for critical roles and the skills and competencies required. We create opportunities for our employees to rotate into different roles, and ensure our best people are ready to embrace bigger roles, allowing us all to play to and maximise our collective strengths. Our VCGMs, for instance, are trained with a view that they may, one day, become part of KBZ Bank’s management. Similarly, some of our current Managing Directors began their careers as branch executives. Potential successors are identified and rigorously assessed, with timelines and transitions taken into consideration. All Directors and Senior Executives are also trained by the Thai Institute of Directors in areas such as corporate governance, as well as the technical knowledge required to uphold it.