Audit is an integral part of corporate governance of the Bank. Both external and internal auditors play a key role in providing an independent assessment of our operations and internal controls. Audit Committee and Board of Directors of the Bank supervise the adequacy of audit work performed.
KPMG, Zurich is an external auditor since 2010. The Audit Committee monitors and pre-approves the fees to be paid to KPMG for its services. Audit work includes financial and regulatory audits, as well as other assurance services that can be provided by the principal auditor. KPMG provides a report as to its independence to the Audit Committee at least once a year.
Internal Audit performs an independent and objective assurance and consulting function that is designed to add value to our operations. To maximize its independence from the management, internal audit is performed by Ernst & Young, Zurich, which assesses the effectiveness of Bank’s internal controls system, compliance with statutory, legal and regulatory requirements. Based on the results of its assessment, E&Y develops detailed annual audit objectives, defining areas of audit concentration and specifying resource requirements for approval by the Audit Committee. All findings and issues are communicated to the management and to the BOD. E&Y reports to the Audit Committee at least quarterly and more frequently as appropriate. Internal auditor coordinates its activities with the external auditor to maximize the work.