The European Commission has approved proposals fromjustice commissioner Viviane Reding to have at least 40% of women on company boards by 2020.
The news came in a tweet byMrs Reding. Official confirmation is due later.
But there are reports the proposals have been watered down to exclude small and medium companies and only to applyto non-executive directors.
Mrs Reding postponed the launch of the policy last month, when EU lawyers warned quotas may not be enforceable.
Under the plans, member states will be allowed to decide for themselves what action to take against companies failing to reach the quota.
Draft versions of the proposals also said that the rules would not apply to countries that had already taken measures to improve the gender balance on boards.
The plans were opposed by nine EU member states, including the UK.
Mrs Reding said the measures were "a breakthrough initiative" and criticised those who said the plans had been watered down.
They will still need to be approved by the European Parliament and the Council of Ministers, but Mrs Reding said she was confident they had enough support to be passed.
