 | Foreign Exchange |
| Foreign Exchange |
The Report disclosed that:
Off-shore borrowings in foreign currencies had contributed to the
funding of a number of major government construction projects; The major factor considered by authorities when deciding to enter
into foreign currency financing arrangements was the availability of lower off-shore interest
rates; Foreign currency financing arrangements had exposed authorities to
risks associated with adverse movements in exchange rates; Certain aspects of risk management and internal controls were
inadequate; and There was a need for uniform debt management guidelines and central
monitoring systems and procedures.
