Corporate Governance Score
The Company is improving its corporate governance on a consistent and systematic basis.
To set goals and track progress of improvements in corporate governance, the Company since 2016 is using the Methodology for diagnosing corporate governance in legal entities, more than 50% of the voting shares of which are directly or indirectly owned by JSC “Samruk-Kazyna” (Methodology) developed by PWC.
The development strategies of JSC "Samruk-Kazyna" and the Company until 2031 determine the target values of corporate governance score in accordance with the Methodology.
The Methodology involves assigning a rating based on the results of diagnostics (audit) of corporate governance of the Company by an independent party. Such diagnostics is carried out on a regular basis.
Based on the results of diagnostics and the Methodology, Corporate Secretary of the Company develops a plan to improve corporate governance, the results of which are regularly reported to the Board of Directors of the Company.
According to the results of the independent diagnostics carried out in 2021, KMG received a corporate governance rating of "BBB". This rating means that the Company's corporate governance system in all significant aspects complies with most of the established criteria, and at the same time there is sufficient evidence that the system works effectively. According to an independent consultant, this rating level is optimal for the Company's IPO.
Until next diagnostics, the Company, taking into account the consultant's recommendations based on the results of an independent corporate governance diagnostics performed in 2021 and incorporated into the Corporate Governance Improvement Plan, will devote to systematic implementation of measures aimed at further improving KMG's corporate governance system in such areas as transparency; shareholder rights; risk management, internal control and audit; effectiveness of the Board of Directors and the executive body of KMG; sustainable development.
In accordance with the established practice, the Corporate Secretary of KMG will regularly monitor implementation of the Corporate Governance Improvement Plan, and reports on implementation of this plan will be reviewed by the Audit Committee and the Board of Directors with further feedback to KMG's management.