The Inkatha Freedom Party (IFP) staunchly condemns the recent revelations of irregular practices by Standard Chartered – in collusion with other banks – to manipulate the rand.
The South African Competition Commission’s announcement of a settlement with the British bank, wherein Standard Chartered admitted liability and agreed to pay a fine of almost R43 million ($2.3 million), raises serious concerns about the impact of such behaviour on the South African economy.
The IFP is deeply troubled by the findings that traders at Standard Chartered and other implicated banks engaged in manipulative activities that violated competition rules, particularly in the critical rand-US dollar exchange rate between 2007 and 2013.
These actions, as highlighted by the Competition Commission, not only compromise the integrity of financial markets but also have far-reaching consequences for the economic well-being of our nation.
The IFP emphasises the need for a thorough investigation into the extent of the damage caused by these irregular practices.
Standard Chartered’s admission of liability is a clear indication that the bank played a role in activities that could have had detrimental effects on the South African economy, affecting businesses, consumers, and the overall stability of our financial system.
In light of these revelations, the IFP calls for stronger regulatory measures to prevent and address such misconduct in the future.
It is imperative that financial institutions are held accountable for any actions that undermine the principles of fair competition and transparency.
Furthermore, the IFP urges the South African Reserve Bank and other relevant regulatory bodies to intensify their efforts in ensuring the integrity of financial markets.
We cannot afford to tolerate practices that erode public trust and confidence in our financial institutions.
As we navigate the economic challenges facing our country, the IFP remains committed to advocating for policies that promote ethical conduct, accountability, and fair business practices.
We will closely monitor developments in this matter and work towards fostering a financial environment that prioritises the wellbeing and economic welfare of all South Africans.
Mkhuleko Hlengwa MP
IFP National Spokesperson
071 111 0539