{"id":9608,"date":"2026-10-26T00:23:32","date_gmt":"2026-10-25T21:23:32","guid":{"rendered":"https:\/\/ususlawfirm.com\/saudi-corporate-governance-regulations\/"},"modified":"2026-10-26T00:25:26","modified_gmt":"2026-10-25T21:25:26","slug":"saudi-corporate-governance-regulations","status":"publish","type":"post","link":"https:\/\/ususlawfirm.com\/en\/saudi-corporate-governance-regulations\/","title":{"rendered":"Saudi Corporate Governance Regulations: Board, Committees and Policies by Article"},"content":{"rendered":"<style>.usus-tbl{border-collapse:collapse;width:100%;max-width:760px;margin:12px 0 20px;font-size:15px}.usus-tbl th{background:#f4eff9;color:#2A124A;font-weight:700;text-align:right;padding:9px 12px;border-bottom:2px solid #C9A227}.usus-tbl td{padding:9px 12px;border-bottom:1px solid #e5ddec;vertical-align:top}<\/style>\n<div dir=\"ltr\" style=\"text-align: left;\">\n<p>The <strong>Corporate Governance Regulations<\/strong> were issued by the Board of the Capital Market Authority (CMA) to govern listed joint stock companies in Saudi Arabia: shareholder rights, board composition, committees, internal policies and disclosure. They were issued by CMA Board Resolution 8-16-2017 dated 16\/5\/1438H and amended by Resolution 8-5-2023 dated 25\/6\/1444H to align with the new Companies Law; some amendments apply from 1 January 2024. Here are the key rules with article numbers.<\/p>\n<h2>Summary<\/h2>\n<table class=\"usus-tbl\">\n<thead>\n<tr>\n<th>Topic<\/th>\n<th>Rule<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Board size<\/td>\n<td>Set by the bylaws, at least three members (Art. 17)<\/td>\n<\/tr>\n<tr>\n<td>Board composition<\/td>\n<td>A majority of non-executive members; independents at least two or one third, whichever is greater (Art. 16)<\/td>\n<\/tr>\n<tr>\n<td>Term<\/td>\n<td>Up to four years, re-election allowed unless the bylaws say otherwise (Art. 17)<\/td>\n<\/tr>\n<tr>\n<td>Multiple boards<\/td>\n<td>No more than five listed company boards at the same time (Art. 17)<\/td>\n<\/tr>\n<tr>\n<td>Audit committee<\/td>\n<td>Charter issued by the general assembly on the board&#8217;s proposal; at least four meetings a financial year (Art. 54)<\/td>\n<\/tr>\n<tr>\n<td>Remuneration and nomination committees<\/td>\n<td>Non-executive members with at least one independent; charters issued by the general assembly (Arts. 57, 61)<\/td>\n<\/tr>\n<tr>\n<td>Company governance code<\/td>\n<td>Set by the board without conflicting with mandatory rules, monitored and updated (Art. 91)<\/td>\n<\/tr>\n<tr>\n<td>Record keeping<\/td>\n<td>At least ten years at head office (Art. 93)<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<figure class=\"usus-ig usus-ig-9608-1\"><img class=\"wp-image-9613\" src=\"https:\/\/ususlawfirm.com\/wp-content\/uploads\/2026\/10\/usus-9608-1.webp\" width=\"1200\" height=\"1277\" alt=\"Summary \u2014 Saudi Corporate Governance Regulations (Usus Law Firm infographic)\" loading=\"lazy\" decoding=\"async\" srcset=\"https:\/\/ususlawfirm.com\/wp-content\/uploads\/2026\/10\/usus-9608-1.webp 1200w, https:\/\/ususlawfirm.com\/wp-content\/uploads\/2026\/10\/usus-9608-1-768x817.webp 768w, https:\/\/ususlawfirm.com\/wp-content\/uploads\/2026\/10\/usus-9608-1-640x681.webp 640w, https:\/\/ususlawfirm.com\/wp-content\/uploads\/2026\/10\/usus-9608-1-400x426.webp 400w, https:\/\/ususlawfirm.com\/wp-content\/uploads\/2026\/10\/usus-9608-1-367x391.webp 367w\" sizes=\"auto, (max-width: 1200px) 100vw, 1200px\" \/><\/figure>\n<h2>Policies a listed company needs<\/h2>\n<ul>\n<li>Conflict of interest policy (Art. 41).<\/li>\n<li>Remuneration policy (Art. 59).<\/li>\n<li>Professional conduct policy (Art. 83).<\/li>\n<li>Disclosure policies and procedures (Art. 86).<\/li>\n<li>A confidential whistleblowing mechanism set by the audit committee (Art. 55).<\/li>\n<\/ul>\n<p>Some articles are guidance rather than mandatory, such as a dedicated governance committee (Art. 92) and social responsibility (Art. 84).<\/p>\n<h2>Frequently asked questions<\/h2>\n<h3>Who issued the Saudi Corporate Governance Regulations?<\/h3>\n<p>The CMA Board, by Resolution 8-16-2017, amended by Resolution 8-5-2023 to align with the new Companies Law.<\/p>\n<h3>How many independent directors must a listed company have?<\/h3>\n<p>At least two, or one third of the board, whichever is greater (Art. 16).<\/p>\n<p>Usus Law Firm drafts governance codes, committee charters and policies for listed, closed and family companies. See our <a href=\"https:\/\/ususlawfirm.com\/en\/commercial-lawyer-riyadh\/\">commercial and corporate lawyer in Riyadh<\/a>. Always check the current text on the CMA website, as the Regulations are amended from time to time.<\/p>\n<p style=\"font-size:12.5px;color:#6a6178;border-top:1px solid #e6ddd0;padding-top:10px;margin-top:16px\"><em>This article is general legal information and is not a substitute for advice on your specific case. Court proceedings in Saudi Arabia are in Arabic; the official Arabic text of each law prevails.<\/em><\/p>\n<div class=\"usus-qbox\">\n<h2>Request a quick consultation<\/h2>\n<p>Leave your name and mobile number, and a lawyer from our Riyadh or Tabuk office will call you during working hours. We advise in English.<\/p>\n\n<div class=\"wpcf7 no-js\" id=\"wpcf7-f6963-o1\" lang=\"en-US\" dir=\"ltr\" data-wpcf7-id=\"6963\">\n<div class=\"screen-reader-response\"><p role=\"status\" aria-live=\"polite\" aria-atomic=\"true\"><\/p> <ul><\/ul><\/div>\n<form action=\"\/en\/wp-json\/wp\/v2\/posts\/9608#wpcf7-f6963-o1\" method=\"post\" class=\"wpcf7-form init\" aria-label=\"Contact form\" novalidate=\"novalidate\" data-status=\"init\">\n<fieldset class=\"hidden-fields-container\"><input type=\"hidden\" name=\"_wpcf7\" value=\"6963\" \/><input type=\"hidden\" name=\"_wpcf7_version\" value=\"6.2.2\" \/><input type=\"hidden\" name=\"_wpcf7_locale\" value=\"en_US\" \/><input type=\"hidden\" name=\"_wpcf7_unit_tag\" value=\"wpcf7-f6963-o1\" \/><input type=\"hidden\" name=\"_wpcf7_container_post\" value=\"0\" \/><input type=\"hidden\" name=\"_wpcf7_posted_data_hash\" value=\"\" \/>\n<\/fieldset>\n<span id=\"wpcf7-6ae0f03620a62-wrapper\" class=\"wpcf7-form-control-wrap cf7apps-honeypot-wrap honeypot-qf-wrap\" style=\"position:absolute;width:1px;height:1px;padding:0;margin:-1px;overflow:hidden;clip:rect(0,0,0,0);white-space:nowrap;border:0;\"><label for=\"wpcf7-6ae0f03620a62-field\" class=\"hp-message\">Please leave this field empty.<\/label><input id=\"wpcf7-6ae0f03620a62-field\"  class=\"wpcf7-form-control wpcf7-text\" type=\"text\" name=\"honeypot-qf\" value=\"\" autocomplete=\"new-password\" tabindex=\"1000\" data-cf7apps-tabindex=\"1000\" \/><\/span>\n<div class=\"usus-qf\">\n<div class=\"f\"><label for=\"q-name\">Name<\/label><span class=\"wpcf7-form-control-wrap\" data-name=\"q-name\"><input size=\"40\" maxlength=\"400\" class=\"wpcf7-form-control wpcf7-text wpcf7-validates-as-required\" id=\"q-name\" autocomplete=\"name\" aria-required=\"true\" aria-invalid=\"false\" placeholder=\"Your name\" value=\"\" type=\"text\" name=\"q-name\" \/><\/span><\/div>\n<div class=\"f\"><label for=\"q-phone\">Mobile<\/label><span class=\"wpcf7-form-control-wrap\" data-name=\"q-phone\"><input size=\"40\" maxlength=\"400\" class=\"wpcf7-form-control wpcf7-tel wpcf7-validates-as-required wpcf7-text wpcf7-validates-as-tel\" id=\"q-phone\" autocomplete=\"tel\" aria-required=\"true\" aria-invalid=\"false\" placeholder=\"05xxxxxxxx\" value=\"\" type=\"tel\" name=\"q-phone\" \/><\/span><\/div>\n<div class=\"f\"><label for=\"q-city\">City<\/label><span class=\"wpcf7-form-control-wrap\" data-name=\"q-city\"><select class=\"wpcf7-form-control wpcf7-select wpcf7-validates-as-required\" id=\"q-city\" aria-required=\"true\" aria-invalid=\"false\" name=\"q-city\"><option value=\"Riyadh\">Riyadh<\/option><option value=\"Tabuk\">Tabuk<\/option><option value=\"Other city\">Other city<\/option><\/select><\/span><\/div>\n<div class=\"f w\"><label for=\"q-msg\">Your case in brief (optional)<\/label><span class=\"wpcf7-form-control-wrap\" data-name=\"q-msg\"><textarea cols=\"40\" rows=\"2\" maxlength=\"600\" class=\"wpcf7-form-control wpcf7-textarea\" id=\"q-msg\" aria-invalid=\"false\" placeholder=\"One or two lines are enough\" name=\"q-msg\"><\/textarea><\/span><\/div>\n<div class=\"s\"><input class=\"wpcf7-form-control wpcf7-submit has-spinner\" type=\"submit\" value=\"Request a call from a lawyer\" \/><\/div>\n<\/div><div class=\"wpcf7-response-output\" aria-hidden=\"true\"><\/div>\n<\/form>\n<\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>The Corporate Governance Regulations were issued by the Board of the Capital Market Authority (CMA) to govern listed joint stock companies in Saudi Arabia: shareholder rights, board composition, committees, internal policies and disclosure. They were issued by CMA Board Resolution 8-16-2017 dated 16\/5\/1438H and amended by Resolution 8-5-2023 dated 25\/6\/1444H to align with the new [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":9610,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[83,81],"tags":[],"class_list":["post-9608","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-commercial-law","category-saudi-laws-explained"],"acf":[],"featured_image_src":{"landsacpe":["https:\/\/ususlawfirm.com\/wp-content\/uploads\/2026\/10\/usus-cover-9608-1140x445.jpg?wsr",1140,445,true],"list":["https:\/\/ususlawfirm.com\/wp-content\/uploads\/2026\/10\/usus-cover-9608-463x348.jpg?wsr",463,348,true],"medium":["https:\/\/ususlawfirm.com\/wp-content\/uploads\/2026\/10\/usus-cover-9608-300x169.jpg?wsr",300,169,true],"full":["https:\/\/ususlawfirm.com\/wp-content\/uploads\/2026\/10\/usus-cover-9608.jpg?wsr",1200,675,false]},"_links":{"self":[{"href":"https:\/\/ususlawfirm.com\/en\/wp-json\/wp\/v2\/posts\/9608","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ususlawfirm.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ususlawfirm.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ususlawfirm.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/ususlawfirm.com\/en\/wp-json\/wp\/v2\/comments?post=9608"}],"version-history":[{"count":1,"href":"https:\/\/ususlawfirm.com\/en\/wp-json\/wp\/v2\/posts\/9608\/revisions"}],"predecessor-version":[{"id":9615,"href":"https:\/\/ususlawfirm.com\/en\/wp-json\/wp\/v2\/posts\/9608\/revisions\/9615"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ususlawfirm.com\/en\/wp-json\/wp\/v2\/media\/9610"}],"wp:attachment":[{"href":"https:\/\/ususlawfirm.com\/en\/wp-json\/wp\/v2\/media?parent=9608"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ususlawfirm.com\/en\/wp-json\/wp\/v2\/categories?post=9608"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ususlawfirm.com\/en\/wp-json\/wp\/v2\/tags?post=9608"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}