Who audits the Central Bank?

Wednesday, 12 January 2022 00:00 - - {{hitsCtrl.values.hits}}

According to the Governor of the Central Bank, the forex reserves which was at the nadir at $1.6 billion approximately has moved towards the zenith with current reserves being at $ 3.5 billion. The Governor has not revealed as to how he has got it boosted – certainly not by the inoculation of Pfizer booster jab obtained from DGHS Dr. Asela Gunawardena!

I as a layperson think that the reserves may have been increased either by currency printing or through currency swap or the worst scenario – juggling with the figures, violating standard accounting and auditing practices and policies and thereby manipulating the amount in the reserves!

We can’t rely on the Central Bank’s internal audit as the Governor, who is a presidential appointee, will be biased, pro-Government and not independent. How about an international company of repute carrying out an external audit and reveal to the public the true state of affairs of the Central Bank. I do not know whether rating companies such as Standard & Poor’s, Fitch Rating or Moody’s Investors Service could be entrusted with this assignment.

Mohamed Zahran, Colombo