CBR recommends public cos seek independent directors within Russia and friendly jurisdictions

MOSCOW. Jan 18 (Interfax) - The Central Bank of Russia (CBR) is recommending that public joint-stock companies (PJSCs) take all possible measures to include independent members in the board of directors, the regulator said in an information bulletin issued ahead of preparations for annual general meetings (AGMs) on 2022 results.

The Central Bank believes that companies can consider representatives of Russian professional associations of directors for this purpose, as well as representatives of business communities of friendly foreign jurisdictions with the competencies and experience required by the PJSCs.

After the start of the special military operation in Ukraine, a considerable number of foreigners, including those who were independent directors, left the boards of directors of Russian companies.

The presence of a certain number of independent directors is one of the conditions for the inclusion of companies in the first and second quotation lists of the Moscow Exchange. However, the CBR has allowed stock exchanges not to require compliance with these listing requirements.