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Management Discussion and Analysis Ensuring Sustainability Commitment to Lead Upholding Accountability Financial Statements 67

The following are the key Corporate Governance practices adopted by the Bank as per its Board Charter:

PARt 1: RoLES AnD RESPonSIBILItIES oF tHE BoARD

Roles and Responsibilities
The Board acknowledges Corporate Governance is vitally important to the business of the Bank and is committed and steadfast in
the application of Corporate Governance principles in all its business dealings with its stakeholders.
The Board, in collaboration with the Management, strive to focus on the Bank’s strategic direction, overseeing its development and
ensuring that the effective control measures are in place. Management, on the other hand, is responsible for the Bank’s business
operations, general activities and administration of financial and non-financial matters guided by the established delegated authority
from the Board.

The Bank recognises the significance of having Independent Directors that contribute to a balanced and objective assessment of
issues. Independent Directors are expected to meet certain suitability criteria and are positioned to provide a check and balance
on the Board’s decisions. Their independence from Management ensures they can exercise unbiased judgment and act in the
Bank’s best interests. Additionally, their diverse perspectives from other industries or businesses can enhance the effectiveness of
the Board.
The Board Charter outlines the roles and responsibilities of the Board, which includes providing oversight on Management.
The Board is guided, amongst others, with the following core responsibilities in performing its duties for the Bank:

Leading and Managing the Bank upholding Sound and Prudent Stewardship of the Bank
The Board is responsible for Policies The Board bears ultimate
leading and managing the Bank The Board plays a critical role to responsibility for the proper
in an effective and responsible ensure that the Bank adheres to stewardship of the Bank. This
manner. The Directors, individually sound and prudent policies and includes ensuring good corporate
and collectively, have a legal duty, practices. The Board provides governance, maximising
to act in the best interest of the oversight to ensure effective shareholders’ value, safeguarding
bank and set the Bank’s values and management of the Bank and stakeholders’ interests, establishing
standards, to ensure the Bank’s acts as a check and balance corporate values, vision, and
obligations to its shareholders and mechanism despite having no strategies, and being aware of
stakeholders are understood and involvement in the day-to-day significant financial activities.
met. operation of the Bank.

Fiduciary Duty and Corporate Governance oversight on Shariah Governance
The Board has a fiduciary duty to act in the best interest In addition to conventional governance responsibilities,
of the Bank and strives to ensure the highest standards of the Board provides oversight on the Shariah governance
corporate governance are practiced. structure and Shariah compliance of the Bank, as
required by the Shariah Governance Framework for
Islamic Financial Institutions. This includes approving
policies related to Shariah matters and ensuring their
effective implementation in consultation with the Shariah
Committee.

These responsibilities indicate the comprehensive role of the Board in guiding the Bank’s operations, ensuring compliance with
regulations and standards, and safeguarding the interests of shareholders and stakeholders.