Regulatory Alerts2024-09-17
Directive on Characteristics of an Independent Director of a Financial Institution
The National Bank of Rwanda issued this directive to establish and standardize the eligibility criteria for independent directors across all regulated financial institutions. The rule mandates that independent directors maintain strict independence from management, significant shareholders, and material business or financial relationships while limiting their shareholding to two percent. Financial institutions must verify these criteria through their Nomination and Remuneration Committees, with existing directors granted a one-year transition period to achieve full compliance.
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