This Regulation and the accompanying Standards apply to all Companies. Companies established in the UAE with Group relationships including Subsidiaries, Affiliates, or international branches, must ensure that the Regulation and Standards are adhered to on a solo and Group-wide basis.

The Central Bank will apply the principle of proportionality in the enforcement of the Regulation and Standards, whereby smaller Companies may demonstrate to the Central Bank that the objectives are met without necessarily addressing all of the specifics cited therein. The Central Bank will decide on the extent to which a Company is expected to meet the requirements.

Branches of foreign Companies licensed to operate in the State must adhere to this Regulation and Standards, or establish equivalent arrangements so as to ensure regulatory comparability and consistency, with the exception of Article (5) of this Regulation. Branches of foreign Companies must establish local governance structures that meet the objectives of Articles (2), (3) and (4) of this Regulation.

The requirements established within the Regulation and the accompanying Standards are in addition to the provisions relating to Public Joint Stock Companies in the Federal Law No. 32 of 2021 on Commercial Companies (the "Commercial Companies Law"), and the Chairman of Authority's Board of Directors' Resolution No. (3/Chairman) of 2020 Concerning approval of the Public Joint Stock Companies' Governance Guide ("SCA Regulation") or their amendments. In the event of contradiction with any provisions of the SCA Regulation, the requirements of the Central Bank's Regulation and Standards shall prevail.

The Regulation and Standards are equally enforceable and must be complied with.