HK short of qualified people to sit on boards

Many directors are sitting on more than one board, reflecting the fact not enough qualified people are willing to take up posts, according to Peter Wong Shiu-hoi, chairman of the Hong Kong Institute of Directors.

Mr Wong cited a recent City University survey commissioned by the institute that found of the 174 listed companies in Hong Kong, the average director was sitting on 2.68 boards.

'Professional directors with the most up-to-date skills and knowledge are in great demand,' he said. 'We need to make sure Hong Kong has them to help maintain its competitiveness as an international financial centre.'

He said since the stock exchange tightened listing rules and corporate governance requirements, fewer people were willing to take up posts because of the heavy duties involved. The institute planned more training programmes to promote corporate governance and to train more professionals to take up directorships.

Mr Wong was speaking yesterday at the launch of nominations for the Directors of The Year Awards 2007, co-organised by the institute, the Financial Services and the Treasury Bureau, the Securities and Futures Commission and Hong Kong Exchanges and Clearing.

The awards, sponsored by Cosco Pacific and co-sponsored by the South China Morning Post, are aimed at promoting corporate governance by rewarding outstanding directors. Nomination will be open from now until the end of July.