Capital Markets Board of Turkey ("CMB") has made amendments regarding the publicly held companies to fulfill their obligation to make a disclosure to the stakeholders within the framework of the sustainability principles compliance, with the Communiqué numbered II-17.1.a on Amendment of the Communiqué on Corporate Governance numbered II-17.1 ("Amendment Communiqué").
The matters regulated by Amendment Communiqué are as follows:
- The companies excluding the companies, which are beyond the scope of the Communiqué on Corporate Governance numbered II-17.1, are subject to sustainability principles.
- Such companies will make explanations within the framework of their compliance to the sustainability principles in the corporate governance principles compliance reports.
- It shall be indicated in the annual activity reports whether the sustainability principles are applied. If not, the explanation indicating (i) the reasons and (ii) the effects in environmental and social risk management for non-compliance with such principles will be also indicated in the annual activity reports.
- The sustainability principles announced by CMB will be applied on a voluntary basis.
- CMB will determine and announce the principles regarding the content and publishing of the framework of the sustainability principles compliance.
Please see this link for the full text of the Amendment Communiqué was published in Official Gazette numbered 31262 and dated 2 October 2020 (only available in Turkish).
Information first published in the MA | Gazette, a fortnightly legal update newsletter produced by Moroğlu Arseven.
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