Bank Islam Integrated Annual Report 2020

GOVERNANCE, ETHICS AND INTEGRITY Bank Islam upholds the highest standards of integrity and ethics in the conduct of its business and guided by our best practices, we aim to create continued sustainable value for our stakeholders. For Bank Islam, good governance is vital to ensure sustainable long-term performance, creating long-term economic value and growth of the Bank. The Board acknowledges that strong governance practices form the cornerstone of an effective and responsible organisation. The Board provides judicious leadership and strategic guidance to safeguard value-creation within a framework of rigorous and vigorous controls. In this regard, the Board is responsible in ensuring that the Bank maintains effective governance on risk, internal controls and compliance with applicable laws and regulations. The Board sets the Bank’s core values and standards and maintains a corporate governance framework that embeds a culture of performance conformance and integrity across the Bank Islam Group. Our governance processes continue to be strengthened so that we are aligned with principles of good governance and recommended best practices and that our approach to disclosure remains timely and transparent. The Board has ultimate accountability and responsibility for the performance and affairs of the Bank and ensures that its employees, shareholder, regulators, clients, suppliers, the environment and communities in which the Bank operates, adheres to high standards of ethical behaviour. ěȃlj ǹȈȶƃȶƺȈƃȢ ʰljƃɨ ʍȶǁljɨ ɨljʤȈljʥ ȃƃɰ ƹljljȶ ȴƃɨȟljǁ ƹʰ ʍȶɥɨljƺljǁljȶɽljǁ ƺȃƃȢȢljȶǼljɰӝ ěȃlj :ÝřŽAӸѴѼ ɥƃȶǁljȴȈƺ has fundamentally changed the way businesses operate globally. The crisis reinforced the importance of a resilient Board leadership and focus is placed on facilitating recovery and adapting to the aftermath of disruption. We are pleased to present this Corporate Governance Overview Statement (CG Statement) for the financial ʰljƃɨ ljȶǁljǁ ѶѴ Aljƺljȴƹljɨ ѵѳѵѳӝ ěȃlj :{ Čɽƃɽljȴljȶɽ ȃƃɰ ȴƃǁlj ɨljǹljɨljȶƺlj ɽɁ ɽȃlj ɽȃɨljlj ӯѶӰ ȟljʰ ƺɁɨɥɁɨƃɽlj ǼɁʤljɨȶƃȶƺlj ɥɨȈȶƺȈɥȢljɰ Ȉȶ ɽȃlj ÃƃȢƃʰɰȈƃȶ :Ɂǁlj Ɂȶ :ɁɨɥɁɨƃɽlj {Ɂʤljɨȶƃȶƺlj ѵѳѴѺ ӯÃ::{ ѵѳѴѺӰӝ Žɽ Ȉɰ ɽɁ ƹlj ȶɁɽljǁ ɽȃƃɽ ɽȃlj Ã::{ ѵѳѴѺ ʥƃɰ ʍɥǁƃɽljǁ Ɂȶ ѵѻ ɥɨȈȢ ѵѳѵѴ ӯĩɥǁƃɽljӰ ʥȃȈƺȃ ɰƃʥ ɽȃlj ȈȶɽɨɁǁʍƺɽȈɁȶ Ɂǹ ȶljʥ best practices and further guidance to strengthen corporate governance culture of listed issuers. The ĩɥǁƃɽlj ɽƃȟljɰ ljǹǹljƺɽ Ɂȶ ѵѻ ɥɨȈȢ ѵѳѵѴӝ ěȃlj ƃǁɁɥɽȈɁȶ Ɂǹ ɽȃljɰlj ȶljʥ ɥɨƃƺɽȈƺljɰ ʥȈȢȢ ƹlj ɨljɥɁɨɽljǁ ƹljǼȈȶȶȈȶǼ ʥȈɽȃ ƺɁȴɥƃȶȈljɰ ʥȃɁɰlj ǹȈȶƃȶƺȈƃȢ ʰljƃɨɰ ljȶǁ Ɂȶ ѶѴ Aljƺljȴƹljɨ ѵѳѵѴӝ ƺƺɁɨǁȈȶǼȢʰӗ ʥlj ʥȈȢȢ ɨljɥɁɨɽ ɽȃlj ƃǁɁɥɽȈɁȶ of these new practices, departures if any and alternative practices, in the next financial year. It is appropriate for the Bank to do so as the Bank would be a listed entity before the end of the financial year ending ѶѴ Aljƺljȴƹljɨ ѵѳѵѴӝ yɁɨ ɽȃlj ǹȈȶƃȶƺȈƃȢ ʰljƃɨ ʍȶǁljɨ ɨljʤȈljʥӗ ɽȃlj 9Ɂƃɨǁ ƺɁȶɰȈǁljɨɰ ɽȃƃɽ ɽȃȈɰ :{ Čɽƃɽljȴljȶɽ ȃƃɰ ƺɁȴɥȢȈljǁ ʥȈɽȃ ɽȃlj ɰɽƃɽʍɽɁɨʰ ɨljɧʍȈɨljȴljȶɽɰӗ ɥɨȈȶƺȈɥȢljɰ ƃȶǁ ƹljɰɽ ɥɨƃƺɽȈƺljɰ ɰljɽ Ɂʍɽ Ȉȶ ɽȃlj :ɁȴɥƃȶȈljɰ ƺɽ ѵѳѴѹ ƃȶǁ 9ƃȶȟ ÇljǼƃɨƃ ÃƃȢƃʰɰȈƃ ӯ9ÇÃӰ :ɁɨɥɁɨƃɽlj {Ɂʤljɨȶƃȶƺlj ĀɁȢȈƺʰ ӯ9Çà :{ ĀɁȢȈƺʰӰӝ CORPORATE GOVERNANCE O V E R V I E W S TAT E M E N T 128 Accountabi l i t y Leader ship Financ ial Statement s