Report of the Corporate Governance and Sustainability Committee

The Corporate Governance and Sustainability Committees of Muangthai Capital Public Company Limited are consist, appointed by the Board of Directors has a responsibility operate business under good corporate governance and the code of conduct is one of the company’s most significant policies and missions which is the priority for the Board of directors, executives, and all employees. To ensure that our business operations follow these policies, The Board of directors, hence, established and assigned the Corporate Governance Committee for supervising, monitoring, and encouraging the company to operate by our corporate and governance policies and guidelines, as well as code of conduct.

The Corporate Governance and Sustainability Committees consisting of 3 directors as follows:

1. Mrs. Kongkeaw Piamduaytham
   Chairman of the Corporate Governance and Sustainability Committee. (Independent Director)
2. Mrs. Nongnuch Dawasuwan
   Member of Corporate Governance and Sustainability Committee. (Independent Director)
3. Dr. Suksit Petampai
   Member of the Corporate Governance and Sustainability Committee. (Director)

In 2022, The Corporate Governance and Sustainability Committees had a total of 2 meetings, with all directors attended each meeting to discuss various issues. The Nomination and Remuneration Committee has continuously reported the meeting results and opinions to the Board of Directors for consideration with the essence of performing duties as assigned by the Board of Directors as follow:

1. Approve the review and improvement of corporate governance policies and business codes of conduct to comply with current business operations and related criteria.
2. Approve the review and improvement of anti-corruption policy.
3. Approve social, environmental and stakeholder responsibility policies.
4. Review and monitor performance in accordance with the Good Corporate Governance Plan and the Social, Community and Environmental Responsibility Plan. Comply with the Good Corporate Governance Principles of Listed Companies (CG Code) regulated by The Stock Exchange of Thailand.
5. Supporting and encouraging the company to arrange the Corporate Social Responsibility (CSR) activities by building a children’s development center building every year which will rotate according to the area of the branch. This project started from 2012 onwards until the present.
6. Support pilot project “Muangthai joins the heart for the community” from a survey of the actual area and the needs of the Public Health Hospital in Sukhothai Province. Found that most rural areas are inaccessible to cars because it is an agricultural area, a rice field or even a small road that is convenient for motorcycles only. To increase the opportunity to access the public health system and reduce the inequality of people in rural communities. Therefore, 20 modified motorcycles were made for 20 sub-districts in Sukhothai to transport medical supplies. Medicine for home patients Including transporting elderly patients and severely injured patients.

The Corporate Governance and Sustainability Committees are confident that the Corporate Governance Policies, Ethics, and business ethics, along with contributing to the development in the economy, social and environment in Thailand not only the key factors to drive the company to become the leading company with stable and sustainable growth but also bring confidence to shareholders and investors. Moreover, the company is aware that corruption is a barrier to social development and the country’s economy. Nowadays, the company is one of the members of the Collective Action Coalition which is a part of compliance to good corporate governance and received a certificate.

For the Company’s operations in 2022, the company received awards and ratings for compliance with good corporate governance principles and sustainability, both domestically and internationally as follows:

1. Received “Excellent” (five stars) scoring of the Corporate Governance Report of Thai Listed Companies 2022 (CGR), conducted by The Thai Institute of Directors (IOD) for the 5th consecutive year.
2. Received “Very Good” (100 points) scoring of AGM checklist quality in 2022, conducted by the Thai Investors Association.
3. Even if in the COVID-19 pandemic which causes economic volatility around the world, TRIS Rating affirmed the company rating at BBB+ with a “Stable” outlook.
4. As the result of “ASEAN and Thailand’s Top Corporate Brands” research, the company is selected as a “Thailand Sustainability Investment (THSI)” by The Stock Exchange of Thailand for the 4th consecutive year from sustainable business operations and determined to be a microfinance provider who is responsible to all of the stakeholders and be a role model to others entrepreneurs in this industry in terms of corporate governance and aware of the impact and strategy development covered the environment, society, and corporate governance (ESG) for further sustainable development.
5. Received “AA” scoring of MSCI ESG Index in the consumer finance industry, conducted by MSCI.
6. Received “Thailand’s Top Corporate Brands 2022” award with the highest corporate brand value in the finance and securities sector, from Master in Branding and Marketing, Chulalongkorn Business School.

From performance and assessment as mentioned above, means the company’s operations under the principles of good governance. The Corporate Governance and Sustainability Committee believes that operating business with transparency and continuously developing good corporate governance will make the organization grow sustainably and build confidence in shareholders and stakeholders as a Listed Company. The Company still improves and develops guidelines for good corporate governance to be consistent with the Company’s business operations continue to be in line with international practice.