• What is internal auditing?
    Ans: An Independent, objective assurance and consulting activity designed to add value and improve organisations operations. It helps an organisation accomplish its objectives by bringing a systematic, disciplined approach to evaluate and improve the effectiveness of risk management, control and governance processes”. (Institute of Internal Auditors)
  • How does internal auditing differ from external auditing?
    Ans: The main difference between internal auditing and the external auditing is that: 

    Internal audit is a function which, although operating independently from other departments, resides within the organization. It is responsible for providing assurance (financial and non-financial audits) and consulting assignments within the organization as directed by the annual audit plan drawn by the Internal Auditors and approved by Management. Internal Auditors are generally, appointed by Management of the Organisation where these staff work. Internal audit looks at key risks facing the organization and what  controls should be employed to manage those risks effectively, and also the governance processes within the organization so as to help the organization achieve its objectives.
    External audit, on the other hand, is an independent body which resides outside of the Organisation.  External audits are focused on the financial accounts or risks associated with finance or some other specific issue in the organisation. External Auditors are appointed by owners of the Organisation. Generally, the main responsibility of External Auditors is to perform the annual statutory audit of the financial accounts, providing an opinion on whether they are a true and fair reflection of the Organisation’s financial position. As part of this, External Auditors often examine and evaluate internal controls put in place to manage the risks which could affect the financial accounts, to determine if they are working as intended.
  • What is the mission of Internal Audit Agency?
    Ans: The IAA exercises oversight responsibilities over internal audit practice in the public services by setting standards, providing quality assurance and supporting capacity building for good governance.
  • What is the vision of Internal Audit Agency?
    Ans: To become an organization providing value-added internal auditing for accountable performance in MDAs and MMDAs.
  • Why was the Internal Audit Agency set up?
    • To meet the professional requirement to clearly separate the Accounting, Internal Auditing and External Auditing functions.
    • To oversee and Strengthen Internal Audit activities in the Public Sector.
    • Ultimately, to help ensure Financial Discipline and Safeguard of Public Resources.
  • What are the strategies to achieve the objectives of the Internal Audit Agency?
    • Positioning managements of MDAs and MMDAs to actively support internal audit practice
    • Improving internal audit practice in all MDAs/MMDAs through capacity building
    • Increasing access to information on Internal Audit activities for MDAs/MMDAs and other stakeholders
    • Strengthening relationships with strategic partners for improved public service Internal Audit Practice in support of Good Governance
    • Re-enforcing a high performance work environment in the Internal Audit Agency.
  • What are the objectives of the Internal Audit Agency?
    • Facilitate the set up and functioning of IAUs in all MDAs and MMDAs
    • Set standards and procedures for the conduct of internal audit work in MDAs and MMDAs.
    • Co-ordinate and facilitate Internal Audit activities in MDAs and MMDAs.
    • Monitor, undertake inspections and evaluate the internal auditing of the MDAs and MMDAs.
    • Provide quality assurance of Internal Audit work in MDAs and MMDAs
  • Who is responsible for achieving the objectives of the Internal Audit Agency Act?
    • Internal Audit Units of MDAs and MMDAs
    • Management of MDAs and MMDAs
    • Internal Audit Agency and its Board
    • Office of the President - for budgetary provision and administrative support Parliament
  • How can the objectives of Act 658 be achieved?
    Ans: The role of key Players in achieving the objectives of the Internal Audit Agency Act 2003, (Act 658) are as follows:

    Internal Audit Units of MDAs/MMDAs
    Internal Audit Units can add value to their organisations by ensuring that:
    • Financial, managerial and operating information reported internally and externally is accurate, reliable and timely;
    • The financial activities of MDA or MMDA are in compliance with laws, policies, plans, standards and procedures;
    • National resources are adequately safeguarded, used judiciously and for the intended purpose(s);
    • National resources are used economically, effectively and efficiently;
    • Plans, goals and objectives of the MDA or MMDA are achieved;
    • Risks are adequately managed in the MDA or MMDA.
    • Facilitate the prevention and detection of fraud, abuse and waste.
    • The IAU provides a means for keeping the MDA or MMDA fully and currently informed about problems and deficiencies related to the administration of its programmes and operations and the necessity for appropriate corrective action.

    MDAs and MMDAs
    • Set-up and Staffing of IAUs
    • Approval of Annual Internal Audit Plans and Budgets
    • Provision of Resources for Internal Audit Work
    • Response to, and action on, Internal Audit Observations and Reports.

    The IAA (What We Do)
    • Provision of a Practice Framework (Regulations, Standards, Manuals, Programmes)
    • Facilitate Human Resource Capacity Development
    • Partnerships with Experts in Public & Private Sector.
    • Providing Quality Assurance for IAUs of MDAs and MMDAs
    • Risk Assessment and In-depth Review of Internal Controls in Government Programmes
    • Educating the stakeholders on the object and work of the Agency.

    The Office of The President
    • Funding of The Agency
    • Action on the Agency’s Reports.

    • Follow-up on the Internal Agency Reports

    The General Public
    • Show of interest in the work of the agency.
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