Former South African President Thabo Mbeki has expressed deep concern over allegations of rand manipulation involving nearly 30 commercial banks. Speaking at the ‘Cape Town Conversation’ on Sunday, Mbeki emphasized the need to hold banks accountable for their involvement in manipulating the South African local currency.
Standard Chartered, a British multinational bank, was recently fined approximately R42 million by The Competition Commission after admitting to engaging in currency manipulation. This incident marks the second revelation in the ongoing banking scandal, with numerous other banks denying any collusion to inflate their profits.
Mbeki, on the sidelines of the event, addressed journalists, highlighting the significance of the claims. He stated, “The matter about the manipulation of the rand is nothing new; it happens with all of these tradeable currencies. I remember an instance when they did that in London with the British pound.”
Calling on the Competition Commission to thoroughly investigate the issue, Mbeki acknowledged reports that some banks are willing to cooperate and disclose the truth about their involvement. He stressed the importance of taking action against the culprits while commending the banks willing to come forward with information.
The unfolding situation puts increased pressure on regulatory bodies to ensure transparency and fairness in the financial sector, as allegations of currency manipulation continue to cast a shadow on the integrity of the banking industry.