Myanmar government issues notification clarifying definition of independent directors

29 October 2020

On 14 October 2020, the Ministry of Investment and Foreign Economic Relations and the Directorate of Investment and Company ministration
(DICA) issued Notification No 90/2020 clarifying the definition of “independent director” in relation to listed companies or public companies with more than 100 shareholders under the Myanmar Companies Law.

The Notification states that an independent director is a director:

• not being employed by the said company or any of its related body corporates for the current or any of the past three financial years; 
• who does not have a family member who is currently employed or has been employed in any of the past three financial years by the said company or any of its related body corporates; 
• who does not directly or through any of the related body corporates own one-fifth or more of the capital or of the voting rights; and 
• who is not an executive officer in other companies which have material pecuniary relationships with the company.