The developments around audit firm KPMG following its implication in state capture has stressed the need to introduce reforms in the auditing and accounting professions, said Deputy Reserve Bank Governor Francois Groepe.

Groepe delivered an address at the Financial Stability Forum at the South African Reserve Bank (SARB) on Thursday evening, where he spoke on the health of the financial sector.

One of the SARB’s functions is to protect and enhance financial stability in the country, in accordance with the Financial Sector Regulation Act 9 of 2017.

It released the second edition of the semi-annual Financial Stability Review for the period between January 1, 2017 to June 30, 2017.

Among the findings of the review was that the South African banks remained “healthy and well capitalised”.

However, Groepe pointed out that media reports on KPMG have also placed the banks it audits in the “spotlight”.

By Lameez Omarjee, FIN24

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