CBE requires banks to conduct an external quality assurance audit at least once every five years

The central bank issued a directive to banks on Sunday requiring them to conduct an external quality assurance audit by an independent auditor at least once every five years to ensure the bank’s compliance with the Institute of Internal Auditor’s International Professional Practices Framework (IPPF). The audit will also look into internal corporate governance mechanisms and the efficacy of the bank’s in-house auditing procedures, according to the directive. Banks must inform the CBE of their selected auditor before the audit is conducted and submit its findings to the CBE. Banks must inform the CBE on their plans to conduct the audit by 31 October.