In a poignant address at the 11th Archbishop Thabo Makgoba Development Trust Annual Lecture held at Rhodes University, Unathi Kamlana, the Commissioner of the Financial Sector Conduct Authority (FSCA), has implored leaders to value ethics and integrity above mere financial gain. Highlighting the pressing crises engulfing South Africa and the larger global community, Kamlana argued that the relentless pursuit of profit without a moral compass has fostered systemic harm, with repercussions that reverberate through economies and societies alike.
During his lecture, Kamlana reflected on historical financial disasters like the 2008/09 Global Financial Crisis alongside local scandals such as the collapses of Steinhoff and VBS Mutual Bank. He identified these instances as cautionary tales of the cost of greed, stating, “History has shown us time and again, from 7 financial crises to corporate scandals here at home, that when value is pursued without values, the outcome is not prosperity but destruction.”
The collapse of Steinhoff, a once-thriving R200 billion retail empire, serves as a stark illustration of the devastating impact when integrity is sacrificed for financial expediency. This corporate downfall not only obliterated jobs but also decimated pension funds and destroyed the hopes of countless investors. Similarly, the VBS Mutual Bank scandal robbed some of South Africa’s most vulnerable citizens of their savings, showcasing the dire consequences that can arise when leaders fail to uphold ethical standards.
Kamlana stressed that the severe socio-economic challenges facing South Africa demand a vision that is rooted in integrity and courage. “Let me underscore the sentiment that we cannot be content to live in an endless cycle of chasing quick gains. Those who are in leadership must make integrity-driven choices even when faced with pressure or in times of crisis,” he urged, calling for responsible stewardship that would secure a stable future for institutions and the society at large.
As the world grapples with multifaceted challenges—ranging from geopolitical tensions to climate change—Kamlana outlined the necessity for leadership that prioritises human welfare. “Our changing world is testing leadership more than ever before… [and] that is, putting people first, and balancing innovation with inclusion, efficiency with fairness, and growth with sustainability.”
The call to action did not stop at individual accountability. Kamlana emphasised the critical role of governance bodies within financial institutions, asserting that these entities must serve as frontline enforcers of ethical behaviour. “This is where governance becomes critical,” he remarked, highlighting the need for both robust ethical frameworks and guiding principles that delineate right from wrong.