Intosai Auditing Standards
Concept Paper on Post PIFRA Strategy
2009
Audit Competency Centre
PIFRA
7/14/2009
A good Public Financial Management (PFM) system is essential for the implementation of policies and the achievement of developmental objectives by supporting aggregate fiscal discipline, strategic allocation of resources and efficient service delivery. An open and orderly PFM system is one of the enabling elements for those three levels of budgetary outcomes:
• Effective controls of the budget totals and management of fiscal risks contribute to maintain aggregate fiscal discipline.
• Planning and executing the budget in line with government priorities contributes to implementation of government’s objectives.
• Managing the use of budgeted resources contributes to efficient service delivery and value for money.
The PEFA Performance Measurement Framework identifies External scrutiny and audit as one of the six critical dimensions of performance of an open and orderly PFM system.
Auditing services have been changing rapidly over the last decade. Audit practices have been evolving in response to growing public expectations of accountability, and to the complexities in economic and technological advances being made in the organizations. An important recent development has been the challenge of globalization and the need for harmonization of financial reporting in facilitating the most efficient allocation of funds globally. Harmonization applies not only to the financial reporting standards applied in preparing financial statements but to the credibility attached by the audit process.
In an increasingly complex world, the OAGP should be able to maintain confidence in its reputation for independence, objectivity, knowledge and understanding of the public sector environment. The OAGP plays an important role in helping to improve financial reporting, project management and accountability in the public sector.
OAGP audit reports and related products and services are
2009
Audit Competency Centre
PIFRA
7/14/2009
A good Public Financial Management (PFM) system is essential for the implementation of policies and the achievement of developmental objectives by supporting aggregate fiscal discipline, strategic allocation of resources and efficient service delivery. An open and orderly PFM system is one of the enabling elements for those three levels of budgetary outcomes:
• Effective controls of the budget totals and management of fiscal risks contribute to maintain aggregate fiscal discipline.
• Planning and executing the budget in line with government priorities contributes to implementation of government’s objectives.
• Managing the use of budgeted resources contributes to efficient service delivery and value for money.
The PEFA Performance Measurement Framework identifies External scrutiny and audit as one of the six critical dimensions of performance of an open and orderly PFM system.
Auditing services have been changing rapidly over the last decade. Audit practices have been evolving in response to growing public expectations of accountability, and to the complexities in economic and technological advances being made in the organizations. An important recent development has been the challenge of globalization and the need for harmonization of financial reporting in facilitating the most efficient allocation of funds globally. Harmonization applies not only to the financial reporting standards applied in preparing financial statements but to the credibility attached by the audit process.
In an increasingly complex world, the OAGP should be able to maintain confidence in its reputation for independence, objectivity, knowledge and understanding of the public sector environment. The OAGP plays an important role in helping to improve financial reporting, project management and accountability in the public sector.
OAGP audit reports and related products and services are