Business intelligence firm LexisNexis has lauded the introduction of King V. Governance of South African organisations has entered a new era since the beginning of 2026.
Lizanne Engelbrecht, executive manager of Content at LexisNexis, says the introduction of King V will reshape the country’s governance landscape with a clearer, more accessible framework designed to strengthen accountability, improve transparency and improve organisational reporting across every sector.
Engelbrecht adds that King V arrived at an important period for South African business. “Governance can no longer be treated as a procedural formality. King V represents a fundamental reorientation toward value creation, transparency and social accountability that all organisations will need to embrace.”
She says that previously governance discourse was dominated by technical language and complex sector-specific frameworks.
“While King IV expanded corporate responsibility, it also introduced intricacies that proved challenging particularly for small and medium enterprises. King V addresses this by restructuring the Code around a unified Disclosure Framework and easing the language and replacing fragmented supplements with a unified Disclosure Framework,” Engelbrecht adds.
Importantly, she says, the new document addresses complexity. The changes in King V re-engineer the Code around a unified Disclosure Framework, a reduction in the number of principles from 17 to 13, proportionality and governance outcomes.
In addition she noted that it eases the language and replaces fragmentation with a unified reporting logic that guides companies on how best to report on their governance practices.
Under the new framework, all organisations including SMEs, non-profits, NGOs, large corporates and state-owned entities will be assessed against the same governance principles, disclosed through a common reporting framework.
“By introducing a standardised reporting architecture, King V breaks down barriers that previously made good governance inaccessible to many entities,” Engelbrecht notes. “It strengthens comparability, improves stakeholder confidence and ensures that good governance becomes actionable rather than aspirational.” The burden is also on companies to apply and explain.
“This means that organisations must not only to indicate whether a governance principle was applied but also show measurable outcomes. “How they move the needle becomes the apex.”
In addition, Engelbrecht says, skirting compliance through language opacity will no longer suffice. “Companies must now show evidence of coherence, intention and effect.”
King V is also distinctly future focused. It introduces progressive guidance on technology, information governance and digital risk, placing artificial intelligence or AI, cybersecurity and data stewardship firmly on the agenda and accountability roster of boards and executive teams.
“With digital systems expanding rapidly, King V makes it clear that accountability sits at the highest level,” Engelbrecht adds. “If AI is used, it must be ethical, transparent and secure, with proper human oversight and well-documented decision pathways.”
Also, King V is anchored in the principle of Ubuntu-Botho, reinforcing the idea of double materiality. Organisations must now consider how sustainability issues affect financial performance and how their activities in turn affect society and the environment.
This approach integrates financial return with social value, manifesting the ideal of a triple bottom line.
Whistleblower protection has also received an upgrade. King V requires organisations to implement protected and anonymous reporting mechanisms and ensure that individuals who speak out do not face retaliation.
“South Africa’s corporate failures in recent years show the cost of unreported ethical breaches,” Engelbrecht says. “Culture and governance are inseparable, and accountability cannot thrive where people are afraid to speak.”
She says that ultimately the greatest risk lies in superficial adoption of King V. The Code warns against a check box approach.
“Governance cannot be claimed. It must be evidenced,” said Engelbrecht. The Disclosure Template will standardise reporting processes and help organisations show tangible outcomes,” she notes.
“King V is not enforced through direct sanctions, but disingenuous reporting, failure to transition or gaps in governance practice carry significant reputational and sustainability risks. In today’s global economy, no business can afford to undermine stakeholder trust.”
She concludes that King V places South Africa’s governance environment on firmer ground, where accountability is measurable and value creation extends beyond the balance sheet.