The MIoD aims to support listed companies in reaching the threshold of 25% female representation on their boards of directors as announced in the national Budget 2023/24. MioD’s Women Leadership Academy has already trained 139 women leaders, ready to contribute to boards of directors.
The Mauritius Institute of Directors welcomes the national budget announcement for better representation of women on boards of directors. Finmin Renganaden Padayachy announced last Friday in his budget speech that all listed companies will be required to include a minimum of 25% women on their boards of directors. “This decision is important in promoting diversity and good corporate governance. It constitutes a significant advancement towards a more balanced representation, conducive to more informed decision-making and better financial performance for Mauritian companies,” says Sheila Ujoodha, CEO of the MIoD. “The Mauritius Institute of Directors fully supports this measure and is committed to assisting these companies in implementing this new standard of good corporate governance.”
The measure announced in the Budget 2023-2024 is part of the budget proposals submitted by the MIoD, which recommended a threshold of 30%. “Diversity and inclusion are essential values for us. In 2016, we created the Women Directors Forum to support this advocacy for more inclusive boards. We have strengthened this advocacy by launching a ‘Path to Boardroom’ to prepare women leaders to integrate executive teams and serve on boards of directors. Today, the Women Leadership Academy has trained 139 women leaders, ready to contribute to boards of directors”, says Sheila Ujoodha.
Several studies have demonstrated a positive correlation between the presence of women on boards of directors and the financial and operational performance of companies. For example, a study by McKinsey revealed that companies with a higher representation of women on their boards of directors were more likely to achieve superior profitability. “The promotion of female representation on boards of directors goes beyond the simple question of equity. It is an approach that strengthens corporate governance, stimulates innovation, and improves overall company performance,” concludes Sheila Ujoodha, CEO of the MIoD.