In 2019, the degree of conformity with the requirements of best available practice in accordance with international standards was 60.8%, compared to 60.9% in 2020. One shareholder has chosen a model that includes shareholders, the Board of Directors, the Board of Directors, and the Centralized Internal Audit Service. One of the most important determinants of a company’s competitiveness is effective corporate governance. Without an efficient structure in place to regulate the relationships between the Board of Directors, the executive board, and the shareholders, and without investors having confidence that the Company’s management spends their funds in a reasonable manner to achieve capitalization growth, the Company’s development is impossible.
JSC Gazpromneft MZSM corporate governance has been subjected to annual diagnostics for conformity with the level of best practice corporate governance since its approval. The shortcomings in the governance system are disclosed as a consequence of the diagnostics, and methods for improving governance quality in the Company are determined. In addition, based on the results of the diagnostics, corporate governance reform initiatives are implemented to ensure conformity with international best practices.
Understanding the importance of corporate governance, JSC Gazpromneft MZSM places a high priority on the introduction of corporate governance standards. A Corporate Governance Code was approved in 2019. The Company’s Corporate Governance Code was developed in compliance with the Corporate Governance Code of JSC Gazpromneft MZSM, a single stakeholder.