Munich Re African unit has dropped KPMG as its auditor, its regional chief executive said on Tuesday.

“We just felt that it would be better for us if we are dealing with a new auditor in 2018,” Nico Conradie told Reuters.

KPMG sacked its South African leadership team last month after it found work the accounting firm had done for companies owned by the Gupta family “fell considerably short” of its standards.

Munich Re is an international re-insurer focusing on various solutions - from industrial to corporate client risk.

With companies including financial investment firm Sasfin already severing ties, the KPMG SA fears that more companies may do the same.

The Reserve Bank has cautioned state firms not to cut ties with KPMG SA, saying it’s one of only four major auditing companies in the country and it needs to survive.