Arabic Sustainability Dictionary

Anti-corruption

Policies, controls and practices that prevent, detect and respond to bribery, fraud and other forms of corruption.

Anti-money laundering (AML)

Laws, controls and procedures designed to prevent criminals from disguising illegally obtained funds as legitimate income.

Audit committee

A board committee that oversees financial reporting, internal control, internal audit and the relationship with external auditors.

Board diversity

The variety of gender, age, nationality, skills and experience among board members.

Board independence

The proportion of board members who have no material relationship with the company or its management that could compromise their judgement.

Board of directors

The governing body elected by shareholders to oversee a company's management, strategy and risk.

Bribery

Offering, giving, requesting or accepting something of value to improperly influence a person's actions.

Business conduct

A company's corporate culture, ethics, anti-corruption, supplier relationships, political engagement and payment practices; covered by ESRS G1.

Business ethics

The principles and standards that guide behaviour in business, such as honesty, fairness and integrity.

CEO duality

The situation in which one person holds both the chair of the board and the chief executive role, generally considered to weaken board oversight.

Code of conduct

A document setting out the ethical standards and behaviour expected of employees or suppliers.

Compliance

The function and processes that ensure an organisation follows applicable laws, regulations and internal policies.

Conflict of interest

A situation in which a person's private interests could improperly influence the performance of their duties to the organisation.

Corporate governance

The system of rules, practices and processes by which a company is directed and controlled, balancing the interests of shareholders and other stakeholders.

Cybersecurity

The protection of networks, systems and data from digital attacks, unauthorised access and damage.

Data privacy breach

An incident in which personal data is accessed, disclosed, altered or lost without authorisation.

Enterprise risk management (ERM)

An integrated, organisation-wide approach to identifying, assessing, managing and monitoring risks, including ESG risks.

ESG-linked remuneration

Executive incentive schemes in which part of the variable pay depends on achieving sustainability targets.

Executive remuneration

The total pay and benefits awarded to senior executives, including salary, bonuses and long-term incentives.

Fiduciary duty

The legal obligation of directors, trustees or asset managers to act in the best interests of the people whose assets or affairs they manage.

Internal control

Processes designed and operated by an organisation's board, management and staff to provide reasonable assurance about the reliability of reporting, compliance and operations.

Lobbying

Activities intended to influence public policy, legislation or regulation, which companies are increasingly asked to disclose and align with their climate commitments.

Nomination and remuneration committee

A board committee that oversees board and executive appointments and remuneration policy.

Related party transaction

A transfer of resources, services or obligations between a company and parties that can control or significantly influence it, such as directors or major shareholders.

Separation of duties

An internal control principle that assigns conflicting tasks, such as entering and approving data, to different people.

Share of women on the board

The percentage of board seats held by women.

Supplier code coverage

The share of active suppliers that have signed or committed to the company's supplier code of conduct.

Sustainability committee

A committee of the board or management responsible for overseeing the company's sustainability strategy, risks and performance.

Sustainability governance

The structures, roles and processes through which a company's board and management oversee and are accountable for sustainability matters.

Tax transparency

Public disclosure of a company's tax strategy, governance and payments by country.