China Construction Bank Corporation (「the Bank」) has issued an updated Terms of Reference for its Audit Committee of the Board of Directors (Version 2025). The new document highlights the committee’s structure, responsibilities, and working procedures to strengthen corporate governance and the internal supervision mechanism.

The Terms of Reference specifies that the Audit Committee shall comprise at least five non-executive directors, the majority of whom must be independent. It also states that at least one independent director shall possess accounting expertise. The committee’s key duties include examining the Bank’s finances, supervising internal controls, evaluating both internal and external audits, and ensuring the authenticity and accuracy of financial reports. The document emphasizes that the Bank will provide the necessary resources for the committee to conduct its oversight and that the committee members shall fully and objectively perform their supervisory responsibilities.

The updated guidelines stipulate a quarterly schedule for committee meetings, with provisions for additional meetings when proposed by authorized parties. The Terms of Reference also clarify mechanisms for recusal in conflict-of-interest cases and define the committee’s authority to request information from directors, senior management, and relevant departments. The updated version aims to improve the committee’s ability to identify major issues and strengthen communication with both internal and external auditors, further contributing to robust risk management and sound financial practices across the Bank.