12 Dec 2019

KPMG Firm was first appointed as Bank of Botswana statutory auditor for five years, the Minister of Finance and Economic Development Dr Thapelo Matsheka has said.

Answering a question from Member of Parliament for Selebi Phikwe Mr Dithapelo Keorapetse, Dr Matsheka said the five year period was from 2011-2015 with a review annually. He said the firm was appointed for a second and final five-year term from 2016-2020. 

Dr Matsheka noted that the service provided to the Bank by KPMG was reviewed by the Audit and Risk Committee of the Board, adding that it was in line with the mandatory audit rotation recommended by the Botswana Accountancy Oversight Authority (BAOA) which was a maximum of two five year terms. 

He further indicated that his ministry was aware of the negative media coverage concerning KPMG, but noted that they were subject to evaluation and determination of relevance to appointment by the respective appointing authorities based on criteria for evaluation. 

 Dr Matsheka noted that public bodies have internal processes through which governance risks were evaluated and appropriate decisions made. 

Dr Matsheka informed Parliament that there was no Executive Management or Board decision on the discontinuation of the use of KPMG’s services. 

He said KPMG won the tender to provide audit services for 2016-2020.

Mr Keorapetse had asked the Minister to state the number of times Bank of Botswana was audited by KPMG and if he was aware of the reputation in the recent years. 

Mr Keorapetse also asked if there had been any Executive Management or Board decision on the discontinuation of the use of the firm’s services. ends