Rand manipulation refers to the practice of banks manipulating the value of the South African rand currency. The manipulation of the rand involves fixing bids, offers, bid-offer spreads, spot exchange rates, and the exchange rate at the FIX. The alleged misconduct by the banks involved a handful of traders, who, between 2007 and 2013, assisted each other on risk positions instead of following normal trading patterns on the market
. UK-based banking group Standard Chartered Bank (SCB) recently admitted guilt in the investigation – which has been ongoing since 2017 – and paid a penalty. SCB and 27 other banks, local and multinational, have been implicated in the probe
. While the manipulation of the rand led to significant profits for the banks and companies involved, claims that they profited R1 trillion a day and impacted the long-term value of the currency are exaggerated
. The National Treasury has refuted allegations being made – largely from ANC politicians – that the so-called rand manipulation cases being investigated by the Competition Tribunal are the cause of South Africa’s economic woes and the depreciation of the local currency over the years
