Bangkok--24 Jul--SET
Ms. Sopawadee Lertmanaschai, currently President the Thailand Securities Depository Co., Ltd. (TSD), will be in charge of promoting good corporate governance (CG) and corporate social responsibility (CSR) among listed companies, The Stock Exchange of Thailand (SET) President Ms. Patareeya Benjapolchai announced.
Ms. Sopawadee is a member and secretary of the ‘Subcommittee on Investors Education and Public Relations, and on Corporate Governance in Thailand’, one of six subcommittees of the National CG Committee, established in 2003.
CG and CSR are increasingly important, influencing people’s trust of the Thai capital market. SET’s CG Center and its advisory committee, overseen by Ms. Sopawadee since 2003, has provided advice and guidance to companies before and after listing.
“SET’s CG promotion has been very successful, encouraging listed companies to implement CG principles and report the outcomes to stakeholders. In 2005, the Thai Institute of Directors Association (Thai IOD) conducted a CG assessment, and found that Thai listed companies achieved 69% in their overall CG rating, up from 60% in 2003. SET50 companies moved from 66% to 79%.
Ms. Sopawadee will urge companies to undertake a greater effort in CSR, which is a component of CG. Her assignment is part of the Thai capital market master plan, and is crucial in developing trust and long-term value in the market,” Ms. Patareeya said.
CG in Thailand has been progressing well, with SET recently updating its CG guidelines to correspond more closely with OECD’s principles. Listed firms are required to comply with these guidelines, and report on their implementation in their annual report form (56-1), and in their annual reports, beginning with their 2007 documents, Ms. Sopawadee noted.
“As part of the 2nd Thai Capital Market Master Plan, at least half of all board members and half board chairmen of listed firms are encouraged to undergo basic CG training in 2006, with the rest to be trained by end-2007. In addition, at least half of all board members and half the board chairmen will undergo advanced training by 2009. Aside from promoting CG among listed companies, the CG Center will encourage all institutional investors and intermediary institutions to participate in ensuring good CG in the market,” Ms. Sopawadee stated.
For the rest of 2006, the center will emphasize education and be promoting a greater awareness of social responsibility among listed companies. This year will be the first year that listed companies will be eligible for Corporate Social Responsibility awards at the SET Awards 2006, on July 26. There will also be awards for Best Corporate Governance Report. It is intended that proper disclosure and CG will become common practice in Thai capital markets.
Other CG activities include the establishment of an undergraduate course in CG, and, in September, SET, Securities and Exchange Commission, and Thai IOD will organize the Asian Corporate Governance Roundtable, on behalf of the OECD and Thailand’s National CG Committee.
For more information, please contact the Corporate Communications Dept.:
Ladawan Kantawong Tel: 0-2229-2036 / Kulvida Jintakawong Tel: 0-2229-2037 /
Nattaporn Boonprapa Tel: 0-2229-2049 / Watsamon Saowakhonsathien Tel: 0-2229-2797