- Financial and Compliance audits
- Performance and Environmental audits
- IT audits
- Forensic audits
- Recovery of misappropriated funds from officers either through repayment of cash or through payroll recoveries.
- Disciplinary action such as suspension, warnings (verbal and written), demotions and separation of officers from the service.
- Prosecution of erring officers in a court of law.
- Though not directly related to corruption detection, auditing seeks to bring to light irregular financial activities which borders on corruption and fraud.
- To enhance the fight against corruption, OAG-Z has partnered with the Anti-Corruption Commission (ACC) in Zambia to facilitate exchange of information on corruption and fraud.
- In the course of our audits, we do report some of the issues we come across to competent authorities (such as the Police, the Drug Enforcement Commission and the ACC) without necessarily waiting for the end of the audit report.
- Increased adherence to financial regulations in some government ministries and other government agencies.
- Enhanced internal controls, such as introducing new systems with better controls.
- Delayed banking and unaccounted for revenue
- Poor project implementation
- Overpayment of suppliers of goods and services, and contractors
- Undelivered stores
- Unsupported payments
- Flouting of tender procedures
- Non-recovery of advances and loans
- Delayed or non-response to audit queries
- Inadequate transport and other logistics as the current fleet is aging
- Inadequate IT equipment
- Difficulty in retaining qualified and experienced members of staff leading to the OAG-Z incurring high training costs for new officers.
- Article 121(2) of the Constitution
- The Public Audit Act No. 8 of 1980
- The Public Finance Act No. 15 of 2004
- The International Organization of Supreme Audit Institutions (INTOSAI), and an active member and participant in the activities of its sub-groupings such as:
- The African Organization of Supreme Audit Institutions (AFROSAI) and one of its language sub-groups, the African Organization for Supreme Audit Institutions
- Conference of Commonwealth Auditors General
- The Auditor General has offices in all nine provinces of Zambia.
- Following the restructuring that was approved in July 2004, the Office has succeeded in training and recruiting qualified professional staff.
- Under the Public Expenditure Management and Financial Accountability (PEMFA), five new provincial offices and an extension to the head office were constructed.
- Transport logistics for the Office improved with the procurement of 24 additional motor vehicles for the nine provincial offices under PEMFA; 45 vehicles have been procured under government funding between 2006 and 2010.
- The Office has improved its communication through Information Technology. Through its website the Office has managed to disseminate information to its various stakeholders.
- Audit timing has improved due to the advancements in data extraction through Computer Aided Audit Techniques (CAAT) software.
- Audit quality issues have been improved by developing the Code of Ethics, standardising working papers, audit manuals and guidelines.
- Focus is now on Performance Audits (value for money) to ensure the three E’s are achieved: Economy, Efficiency and Effectiveness in resource utilisation.
- Increased number of audit staff from 90 in 2003 to 356 in 2010. Increase in chartered accountants (CIMA and ACCA) holders from five in 2003 to 80 in 2010.
- Increase in MBA and degree holders from nil in 2003 to 56 in 2010. Audit coverage increased from 30 per cent in 2003 to 80 per cent in 2010.
- Now able to audit local councils where major misapplication and misappropriation of government resources have occurred.
- Now able to audit 36 of the 72 districts in Zambia.
- The Executive through the Ministry of Finance has ensured that to date 93 per cent of the audit recommendations by Public Accounts Committee (PAC) are executed.
- There has been increased commitment by PAC to the Auditor General’s report.
- Media coverage on our report has increased as all the private media and pubic media cover PAC hearings.
- Government support has increased through increased funding to our office from US$420,924 in 2003 to US$9,064,964.34 in 2010.
- Increased co-operating partners’ confidence in accountability and transparency of expenditures in government finances; Institutional Capacity Building support to our office has increased from US$1,027,607 in 2003 to US$10,833,123.50 in 2010.
RELEVANCE OF THE OFFICE OF THE AUDITOR GENERAL
Role of OAG-Z
The role of the Office of the Auditor General, Zambia (OAG-Z) is to enhance accountability and transparency in the utilisation of public resources appropriated by parliament for the benefit of the people of Zambia. This is achieved through the audits that are carried out and the subsequent reporting to parliament on how public resources have been applied.
Audits and standards
The results of Forensic and Investigations Audits are given to the management of the requesting entity, the President or prosecution agencies.
Contributions to the good management of financial resources
Recommendations on the report of the Auditor General are submitted by the Legislature Executive through the Secretary to the Treasury who within 60 days of the adoption of the report is required to issue an Action taken Report.
Examples of such actions include, but not restricted to the following:
Involvement in the fight against corruption
Responsiveness of government to recommendations
OAG-Z is impressed with the Government’s keen interest in its reports and the action being taken.
In general, as a result of OAG’s work, there has been
In addition, some institutions which were operating without clear direction have now started preparing institutional and information technology strategic plans that are assisting them in realising their mission and thereby effectively contributing to the wellbeing of the nation.
Examples of recurrent findings in OAG-Z reports
Strengthening internal controls, sensitising controlling and accounting officers on financial regulations are important in eradicating these irregularities.
To ensure independence and professionalism in our work, the office has developed and adheres to these core values:
The Office of the Auditor General (OAG) is a public institution charged with the responsibility of providing external auditing services to the government in order to enhance accountability and transparency in the utilisation of public resources.
The Office is established under Article 121(1) of the Constitution. The head of the institution is the Auditor General, appointed by the President and subject to ratifi cation by the National Assembly.
The duties and responsibilities of the Auditor General are enshrined in:
International relations and audit activities
The Office is a member of international organisations such as:
– Working Group on Environmental Auditing
– Public Debt Work Group
– Economic Regulation and Private, Public Partnership
– English speaking (AFROSAI-E)
Achievements from 2003 to date:
The outcome has been:
Impact of our quality audit report has been:
The OAG is recognised as a platinum employer by the Association of Certified Chartered Accountants (ACCA).
Ms Anna Chifungula, Auditor General
Office of the Auditor General
Haille Selassie Road
PO Box 50071
Tel: + 260 211 252611 / 252772