Page 5 of 9  Before I conclude, I would like to touch on two audit-related topics, namely mandatory audit firm rotation and the recent developments that engulfed the global audit firm KPMG. The Independent Regulatory Board for Auditors (IRBA) recently issued a new rule on mandatory audit firm rotation, which limits audit firm appointments to a maximum period of 10 years.
The efforts by IRBA to improve independence are to be welcomed. The SARB has been proactive with regard to auditor independence, for example section 61 of the Banks Act provides that the Registrar of Banks must approve the appointment of an auditor before such an auditor can take up office.