Moot urges corporate boards to move beyond compliance

Pakistan's corporate boards must evolve from mere compliance-focused entities to become proactive agents in tackling economic instability, technological upheaval, cyber threats, environmental concerns, and leadership transitions, according to representatives at the Pakistan Institute of Corporate Governance (PICG) Directors' Summit 2026.

The summit, themed "The Showcase: Your Leadership, Your Impact," drew over 350 participants, including directors, business leaders, regulators, and senior executives, to deliberate on how enhanced governance can foster resilient and forward-looking organizations.

PICG Chairman Muhammad Ashraf Bawany emphasized that robust governance is now more about earning trust, generating sustainable value, and reinforcing institutions, rather than simply adhering to compliance mandates. "By fostering superior leadership and bolstering boards, we can contribute to a more prosperous and resilient Pakistan," he stated.

Shafaq Fauzil Azim, PICG CEO, echoed these sentiments during her address at the event, which featured a tribute to the late Dr. Shamshad Akhtar for her pivotal role in advancing Pakistan's economic development, governance, and public institutions.

Keynote speaker Muhammad Ali Tabba, Chairman of YBG, underscored the foundational importance of governance in business, advocating for its integration throughout organizational structures. The PSX CEO, Farrukh H. Sabzwari, highlighted the critical aspects of transparency, accountability, market integrity, and investor confidence, while also advocating for diversity and inclusion at the boardroom level.

Former Investment Minister Muhammad Azfar Ahsan stressed the necessity of policy predictability and strong institutions, urging boards to anticipate and adapt to economic and regulatory shifts.

A panel discussion on agile boards delved into the expanding responsibilities of directors in addressing geopolitical, supply-chain, economic, and climate-related risks. The conversation centered on scenario planning, resilient capital allocation, and improved decision-making processes. Another panel, dedicated to succession and governance challenges within family-owned businesses, explored the delicate balance between preserving legacy and fostering innovation, family ownership, professional management, and ensuring continuity, merit, and inclusion.

Technology dominated the summit's agenda, with the Boards Governing Innovation & Technology panel focusing on the oversight of cybersecurity, artificial intelligence (AI), and digital transformation. The panelists stressed the importance of aligning technology investments with long-term value creation.

A fireside chat featuring Narayanan Vaidyanathan of ACCA and Zulfikar Causer of BDO centered on AI governance, accountability, and emerging risks, emphasizing the dual role of boards in capitalizing on AI's opportunities while mitigating its risks. Kabeer Naqvi of Abhi Microfinance Bank discussed the pivotal role of governance in driving digital banking innovation and advancing financial inclusion.

Zaffar A. Khan, Chairman of PCP, highlighted governance, leadership, and institutional capacity as the cornerstones of the non-profit sector.

Dr. Syed Amir Ali, CEO of Meezan Bank Limited, addressed the integration of sustainability, governance, and innovation within Islamic finance frameworks. The summit's closing keynote was delivered by Hussain Dawood, Chairman of Engro Holdings Limited, who stressed the importance of visionary leadership, responsible decision-making, trust, and resilience as the bedrock of enduring institutional value.

The event concluded with the presentation of the PICG Recognition Awards, reaffirming the pivotal role of corporate boards in anticipating disruptions, challenging conventional wisdom, and making strategic decisions aimed at cultivating robust and sustainable organizations.