• 20/04/2024 06:40

Nine years of debate: The Rada adopted a law on corporate governance reform

The Verkhovna Rada adopted in the second reading and in general draft law No. 5593-d on improving the corporate governance of legal entities whose shareholder (founder, participant) is the state. First Deputy Chairman of the Tax Committee Yaroslav Zheleznyak wrote about this.

Nine years of debate: The Rada adopted a law on corporate governance reform

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What is known

262 people’s deputies voted “for” the corresponding bill.

The Law on Corporate Governance Reform normalizes a number of issues related to the activities of state-owned enterprises. In particular, this concerns the introduction of a state ownership policy, which will be approved by the government.

At the same time, the remuneration policy for managers and members of supervisory boards of state-owned enterprises and the state dividend policy will be parts of the state ownership policy.

The supervisory boards of all SOEs will approve strategic development plans, as well as investment and financial plans.

It is planned to change the procedure for remuneration of SOE managers and members of the supervisory boards. The remuneration policy will contain principles and methodological approaches on the basis of which supervisory boards will set the amount of remuneration for SOE managers.

The law also normalizes the procedure for dismissal of members of supervisory boards – an exhaustive list of grounds for dismissal is introduced.

The document defines approaches to the state’s dividend policy, which will also be approved by the government.


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