Following our publication last Monday of a story regarding the expression of concerns by the Joint Session of Public Accounts/Enterprise Committees of the National Assembly as to the non-existence of insurance cover on assets at the Central Bank, the bank has reacted to our story.

The story, which was quoted from the report by the committees of the National Assembly highlighted issues of concern, called on the Management and Board of Directors of the bank to clarify to the Secretary of State for Finance and Economic Affairs the issues raised for onward transmission to the 2008 PAC/PEC joint session.

We hereunder reproduce the full statement from the Central Bank of The Gambia which was delivered to the offices of The Point yesterday:

Dear Sir

Headline - No Insurance Cover on Assets at Central Bank

We refer to your front-page headline in The Point Newspaper dated 25 August 2008 relating to the caption.

By quoting from the summary of the deliberations of the Joint Public Accounts and Public Enterprise Committees of the National Assembly (December 2007), the public may have been inadvertently given wrong and incomplete information. We therefore write to clarify the situation in relation to insurance of assets at the Central Bank.

The fixed assets of the Central Bank (the headquarters building and staff quarters, office furniture and equipment, motor vehicles etc.) are insured at all times. The issue referred to in the Committees report is actually related to the auditors’ recommendation in their 2004 management letter to insure some other assets of the Bank.

Some of the recommendations of the auditors are meant to assist management improve the control environment in which an institution operates in order to minimise loss of assets and to highlight areas of deficiencies for corrective actions. These recommendations are implemented if the audited institution agrees with the auditor that they would help strengthen internal controls and safeguard assets.

The other issues raised in your article referred to above have been adequately addressed within the framework of the Central Bank’s responses to the auditors’ management letter and the relevant authorities.

 H. Joof for Second Deputy Governor.

Editor’s Note: The article referenced in this letter made no reference to the fixed assets of the Central Bank. Neither did it contain any inference that the fixed assets of the Central Bank were not insured. It simply quoted the concerns expressed by the Joint Session of Public Accounts/Enterprise Committees. It might be more fruitful if the Central Bank were to communicate with these committees regarding this matter.