Lack of governance to blame for Libor scandal, says IMF official

Warning sign against cloud backdrop

The revelation that at least one major bank had manipulated key Libor rates proves internal governance and risk management within financial institutions has been poor – and these kinds of failings could pose systemic risks, a senior official at the International Monetary Fund (IMF) has said.

Speaking at the FX Week USA conference in New York this week, José Viñals, financial counsellor and director in the monetary and capital markets department at the IMF, identified weak internal governance wit