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The International Journal of Government Auditing:

October 2003:

Volume 31, No. 4:

Board of Editors:

Franz Fiedler, President, Court of Audit, Austria;

Sheila Fraser, Auditor General, Canada;

Mohamed Raouf Najar, Premier Président, Cour des Comptes, Tunisia;

David M. Walker, Comptroller General, United States;

Clodosbaldo Russian Uzcategui, Comptroller General, Venezuela;


Jacquelyn Williams-Bridgers (U.S.A.);


Donald R. Drach (U.S.A.);

Assistant Editors:

Linda J. Sellevaag (U.S.A.);

Alberta E. Ellison (U.S.A.);

Associate Editors:

Office of the Auditor General (Canada);

Deepak Narain (ASOSAI-India);

Luseane Sikalu (SPASAI-Tonga);

Michael C.G. Paynter (CAROSAI-Trinidad and Tobago);

EUROSAI General Secretariat (Spain);

Khemais Hosni (Tunisia);

Yadira Espinoza Moreno (Venezuela);

INTOSAI General Secretariat (Austria);

U.S. General Accounting Office (U.S.A.);


Sebrina Chase (U.S.A.);

Members of the Governing Board of INTOSAI:

Jong-Nam Lee, Chairman, Board of Audit and Inspection, Korea, Chairman;

Arpád Kovács, President, Allami Számvevöszék, Hungary, First Vice-

Osama Jaffer Faqeeh, President, General Auditing Bureau, Saudi Arabia, 
Second Vice-Chairman;

Franz Fiedler, President, Rechnungshof, Austria, Secretary General;

Arah Armstrong, Director of Audit, Audit Department, Antigua and 

Valmir Campelo, Ministro, Presidente do Tribunal de Contas da Uniăo, 

Leopold A.J. Ouedraogo, Inspecteur Général d'Etat, Burkina Faso;

Mohamed Gawdat Ahmed El-Malt, President, Central Auditing Organization, 

Vijayendra N Kaul, Comptroller and Auditor General, India;

Tsutomu Sugiura, President of the Board of Audit, Japan;

Bjarne Mřrk Eidem, Auditor General, Riksrevisjonen, Norway;

Genaro Matute Mejía, Contralor General, Contraloría General, Peru;

Alfredo José de Sousa, President, Tribunal de Contas, Portugal;

Pohiva Tu'i'onetoa, Auditor General, Audit Department, Tonga;

Mohamed Raouf Najar, Premier Président, Cour des Comptes, Tunisia;

Sir John Bourn, Comptroller and Auditor General, National Audit Office, 
United Kingdom;

David M. Walker, Comptroller General, General Accounting Office, United 

Guillermo Ramírez, President, Tribunal de Cuentas, Uruguay:

The International Journal of Government Auditing is published quarterly 
(January, April, July, October) in Arabic, English, French, German, and 
Spanish on behalf of INTOSAI (International Organization of Audit 
Institutions). The Journal, which is the official organ of INTOSAI, is 
dedicated to the advancement of government auditing procedures and 
techniques. Opinions and beliefs expressed are those of editors or 
individual contributors and do not necessarily reflect the views or 
policies of the Organization.

The editors invite submissions of articles, special reports, and news 
items, which should be sent to the editorial offices at U.S. General 
Accounting Office, Room 7814, 441 G Street, NW, Washington, D.C. 20548, 
U.S.A. (Phone: 202-512-4707; Facsimile: 202-512-4021; e-mail:

Given the Journal's use as a teaching tool, articles most likely to be 
accepted are those which deal with pragmatic aspects of public sector 
auditing. These include case studies, ideas on new audit methodologies 
or details on audit training programs. Articles that deal primarily 
with theory would not be appropriate.

The Journal is distributed to INTOSAI members and other interested 
parties at no cost. It is also available electronically at and by contacting the Journal at [Hyperlink,].

Articles in the Journal are indexed in the Accountants' Index published 
by the American Institute of Certified Public Accountants and included 
in Management Contents. articles are included in abstracts published by 
Anbar Management Services, Wembley, England, and University Microfilms 
International, Ann Arbor, Michigan, U.S.A.



News in Brief:

Reforms in the Mongolian SAI:

Integrated Financial Management:

CAROSAI Congress:

Audit Profile: Saudi Arabia:

Reports in Print:


IDI Update:

INTOSAI Calendar:

New Initiatives in the State Audit Institution of Oman:


I am honored to have been invited to contribute the editorial for this 
issue of the International Journal of Government Auditing, especially 
in the 50th anniversary year of INTOSAI's establishment. INTOSAI has 
been a pioneer in promoting good public financial governance, which is 
a critical area in these days of shrinking budgets and increasing 
public expectations. Since this Journal enables SAIs to share their 
experiences, I will take this opportunity to highlight some of the key 
initiatives taken by my organization in the past few years. I hope that 
way our perspective will be useful to a large number of similarly 
placed SAIs around the world.


The State Audit Function in Oman dates back to before 1970 and has 
undergone several transformations over the years, the main ones being 
the issuance of the first audit regulations in 1985 and the issuance of 
a new Audit Law in 1991. The SAI has continued to pursue improvements 
with the aim of enhancing its function. In 2000, a new State Audit Law 
was promulgated through a Royal Decree.

The objectives of the SAI's audit, as laid down in the State Audit Law 

* to conduct "post facto" audit of state public funds in order to 
protect them and ensure their proper and effective use;

* to expose cases of financial irregularities; and:

* to highlight deficiencies in financial laws, rules, and regulations 
and recommend means of correcting these deficiencies.

New Audit Law:

The new State Audit Law of 2000 introduced two major changes. First, 
the SAI was made an autonomous, independent institution headed by a 
President with the rank of Minister. Second, the audit mandate of the 
SAI was expanded substantially to cover the following areas:

* Commercial enterprises, where the government has a majority 
shareholding or where government has granted a concession for a public 
utility or to exploit a natural resource;

* Pension funds for employees of government institutions, which are a 
major investor in the local private sector. Interestingly, the new 
State Audit Law explicitly mandates the SAI to provide assurance with 
regard to the appropriateness of IT-based controls, systems and 
procedures and has specific references to the audit of, and access to, 
electronic data. The expanded audit mandate also covers the entire oil 
and gas sector (which forms the backbone of the Omani economy) in 
addition to other government-controlled commercial enterprises.

Human Resources Development:

To cope with the new requirements of our expanded mandate in the short-
term, we launched a major initiative to upgrade the skills of our 
staff, with an emphasis on obtaining professional audit certifications, 
supported by specialized training courses and on-the-job attachments 
with other SAIs. We are now reaping the benefits of this initiative, 
with our younger staff obtaining professional certifications and taking 
on increased responsibilities for challenging audits.

Modernizing the SAI:

In addition to human resources development, we recognize the need to 
modernize our organization to meet the challenges of a globalized 
economy. The Government of Oman is also changing rapidly by adopting 
cutting-edge technology, such as e-governance. The oil sector, which 
constitutes a major portion of our audit coverage, has been known for 
adhering to international best practices and adopting state-of-theart 
technology. As an audit institution, we need to keep pace with these 
developments. Towards this objective, we are moving our audit focus 
from a traditional compliancebased approach to a value-for-money or 
performance-based approach, with an emphasis on economy, efficiency, 
and effectiveness. Initially, we started with performance audits of 
government-controlled commercial enterprises, which we expanded to 
audits of government ministries and departments. Because the oil and 
gas industry is vital to Oman's economy, we have been concentrating our 
performance audit resources mainly on this sector. Our performance 
audits have covered areas such as the following:

* the administered pricing mechanism for an oil refinery's petroleum 
products, as well as its treasury management practices;

* project management of a gas pipeline company's high-value 
construction projects as well as financing models for corporatization 
of existing government pipeline assets; and:

* techno-commercial audits of a national oil company's operational 
contracts, followed by audits of exploration and production activities.

In addition to the oil and gas sector, we have conducted an evaluation 
of the business and fleet expansion plans for an airline, as well as 
core IT systems of specialized financial institutions. We are also 
working on an audit methodology initiative, which is intended to update 
our audit manuals, guidelines, and procedures and reengineer our 
internal business processes to minimize bottlenecks. Pending the 
development of customized auditing standards and procedures, we are 
following the INTOSAI Auditing Standards, supplemented by (1) 
International Auditing Standards of the International Federation of 
Accountants for financial auditing and (2) Standards for Professional 
Practice issued by the Institute of Internal Auditors for operational/
performance auditing. We are adopting a phased approach to preparing 
manuals, starting with the newly formed Companies and Public 
Authorities Department. The manual for this department is being drawn 
up in four parts:

* Part I (which was finalized in mid-2002 and has been in use since 
then): procedures for administration and management of company audits.

* Part II: general principles and guidelines for conducting commercial 

* Part III: audit issues specific to each auditee company.

* Part IV: standard/suggested formats for different documents.

Constructive Relationship with Auditees:

We have also reoriented our relationship with our auditees to act more 
as an aid to management in order to optimize scarce government 
resources. In doing so, we have ensured that our independence continues 
to be maintained. In fact, our clients have appreciated the objective, 
third-party perspective that we provide as a strategic input to their 
decision-making processes. By doing so, we have established high 
credibility in the eyes of our auditees.

In addition to issuing formal written reports on critical audits, we 
have been making computer-based presentations followed by detailed 
discussions of our key audit findings to top management auditees. Our 
clients have participated enthusiastically in these efforts and have 
also given valuable suggestions for future audits. These presentation-
cum-discussion sessions provide client feedback on our audit findings 
and facilitate immediate corrective action on them, which is the 
ultimate objective of our audit.

Use of Information Technology:

We have successfully leveraged IT to add value to our administrative 
and audit management processes, using intranet-based technologies, 
which minimize training costs as well as implementation difficulties. 
In addition, we have developed considerable expertise in the analysis 
of computerized auditee data, especially for our performance and 
investigative audits. Our expertise in this area has been recognized by 
our auditees, who, from time to time, have availed themselves of our 
assistance to finetune their own IT plans.

International Cooperation:

We have been a long-standing member of INTOSAI and are also members of 
both ARABOSAI and ASOSAI. In addition, we are members of INTOSAI's 
standing committees/working groups on IT audit, internal control, and 
privatization audit. Our association with INTOSAI members has enriched 
our SAI's capabilities. In turn, we have been sharing our experiences 
by conducting training courses on Computer Assisted Audit Techniques 
(CAATs) for staff from other Arab SAIs. We have also led a project on 
"Intranets for SAIs" and updated CAATs Training Courseware on behalf of 
the INTOSAI IT Audit Committee. We are presently hosting the Arabic 
language web site of the Committee, and we are leading a project on 
"Use of CAATs for Nonfinancial Audits." With regard to the Internal 
Control Committee, we have rendered assistance in translation of the 
Committee's products into Arabic. These activities have been highly 
appreciated and have motivated us to continue further work in this 
direction. In addition to multilateral exchanges, we had the pleasure 
of hosting the Auditors General of the U.K. and India this year. These 
bilateral exchanges were highly fruitful, and we plan to continue our 
close cooperation with other SAIs to our mutual benefit.


Auditors the world over need to update their skills and reinvent 
themselves to meet the emerging challenges in their environments - both 
technological and methodological. This is facilitated by the practice 
of Continuing Professional Education, which is a requirement of the 
INTOSAI Auditing Standards. This Journal provides a useful forum for 
such exchanges of experiences and information. With these words, I 
commend this issue to our readers.

[End of article]

NEWS in Brief:

INTOSAI and Austrian Court of Audit Mourn the Demise of Dr. Tassilo 

Dr. Tassilo Broesigke: 1919 - 2003:

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The INTOSAI General Secretariat sadly announces the unexpected demise 
on September 9, 2003, of Dr. Tassilo Broesigke, President of the 
Austrian Court of Audit and Secretary General of the International 
Organization of Supreme Audit Institutions (INTOSAI) from 1980 - 1992.

Born on June 8, 1919, into a family of noble descent near Karlovy Vary 
in the former Czechoslovakia, Dr. Broesigke studied philosophy and law 
in Vienna, Heidelberg and Munich. After his graduation in 1947, he 
became a lawyer. Following many years of political activity in 
municipal Vienna, where he served as a member of the Vienna Diet, 
member of the Vienna Municipal Council, and District Councillor of the 
City of Vienna, Dr. Broesigke became a member of the Austrian national 
parliament in 1963 and served there as Chairman of the Standing 
Parliamentary Committee for Judicial Affairs. In July 1980 he was 
appointed President of the Austrian Court of Audit. During his 
distinguished public service career, Dr. Broesigke was honored with 
numerous high-ranking national and international medals, awards and 
distinctions for meritorious services and outstanding achievements.

Throughout his presidency, Dr. Broesigke left a lasting imprint on 
government audit, strengthening its reputation both in Austria and on a 
global scale as Secretary General of INTOSAI. He will be remembered as 
a champion for the cause of government audit who served with unswerving 
commitment and dedication towards the aims of this organization.

The death of Dr. Broesigke bereaves the international audit community 
of one of its outstanding representatives. As Secretary General he 
spearheaded the international development of government audit by the 
foundation of Regional Working Groups such as ARABOSAI (Arab 
Organization of Supreme Audit Institutions) and EUROSAI (European 
Organization of Supreme Audit Institutions), as well as of the 
committees for Auditing Standards, Accounting Standards, Internal 
Control Standards, IT audit, and the audit of public debt.

Dr. Broesigke orchestrated gradual reforms in INTOSAI to enhance and 
cement the status of INTOSAI as a universally accepted international 
organization. He took an active part in the INTOSAI Congresses in 
Manila, Sydney, and Berlin, and initiated the preparations for the 
statutes reform that was finally adopted in 1992.

Dr. Broesigke was a person of direction, honesty and unwavering 
principles. He enjoyed utmost respect and acceptance across political 
divides for his unerring and serious frame of mind. Behind his matter-
of-fact and competent personality was a warm-hearted and humorous man.

The Austrian Court of Audit and INTOSAI will always honor the memory of 
Dr. Broesigke with deep respect and gratitude. Our sympathy goes to his 
family and all those who were close to him.


125th Anniversary of the Office of the Auditor General:

On May 14, 2003, the Office of the Auditor General of Canada (OAG) 
celebrated its 125th anniversary with a ceremony on Parliament Hill. 
Over 300 guests from Canada and 17 different countries joined Auditor 
General Sheila Fraser at the May 14, 2003, Parliament Hill ceremony 
celebrating the OAG's anniversary.

Canadian Auditor General Sheila Fraser:

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The Speakers of the House of Commons and the Senate jointly hosted the 
event, which was attended by representatives from the Canadian federal 
government, Canadian provincial auditors general, and the heads of the 
supreme audit institutions of Antigua and Barbuda, Mrs. Arah Armstrong; 
Cameroon, Mr. Njiemoun Mama; Norway, Mr. Bjarne Mřrk-Eidem; Peru, Dr. 
Genaro Matute Mejia; and the United States, Mr. David Walker. Senior 
officials of 11 supreme audit institutions and the INTOSAI secretariat 
also took part in the celebrations.

The celebrations were held in conjunction with a meeting of the INTOSAI 
Sub-committee on Independence of Supreme Audit Institutions and a 
Speaker's Forum on significant public sector issues.

The Speaker's Forum included sessions on (1) health care led by the 
Honorable Monique Begin, former Minister of Health in the Canadian 
federal government, and Dr. Chris Carruthers, Chief of Staff of the 
Ottawa Hospital System; (2) fiscal sustainability led by David Walker, 
Comptroller General of the United States, and Kevin Lynch, Deputy 
Minister of Finance in the Canadian federal government; and (3) 
performance management, reporting and audit led by Caroline Mawhood, 
Assistant Auditor General in the National Audit Office of the United 
Kingdom, and Lee McCormack, Acting Associate Deputy Comptroller General 
of Canada. The forum also included a short luncheon speech by the 
Honorable Lucienne Robillard, President of the Treasury Board in the 
Canadian federal government.

History of Canadian OAG:

In 1878, the Parliament of Canada passed a law that provided for the 
appointment of the first independent Auditor General. That legislation 
provided the groundwork for 125 years of dedicated service to 
Parliament and to Canadians.

Although the legislation governing the OAG has changed a number of 
times since then, the mandate remains fundamentally the same: to 
provide Parliament with information that it needs to hold the 
government of the day accountable for its stewardship of public funds. 
In Canada, control of the public purse is the exclusive prerogative of 

To fulfill this mandate, the OAG performs two basic types of 
legislative auditing: annual financial audits and value-for-money, or 
performance, audits.

Annual financial audits of federal government departments, agencies and 
Crown corporations result in some 100 opinions a year that attest to, 
or verify, the accuracy of their financial statements. The OAG also 
does financial audits of three Canadian territories, with combined 
expenditures of some $2 billion, including 15 territorial 
organizations. Internationally, the OAG audits two United Nations 
bodies, UNESCO and the International Civil Aviation Organization 

Every year, the OAG audits the Public Accounts of Canada--the federal 
government's summary financial statements. Covering about $180 billion 
in assets and $700 billion in liabilities, this audit is very likely 
the largest in Canada.

In 1977, a new Auditor General Act clarified and expanded the Auditor 
General's responsibilities. In addition to financial and compliance 
work (regularity auditing), the OAG was given a broader mandate to 
examine how well the government managed its affairs.

The OAG began to ask new questions: Were government expenditures being 
made with due regard for economy and efficiency? Was the government 
accurately measuring the effectiveness of its programs? The new act 
maintained the important principle that the Auditor General does not 
comment on policy choices, but does examine how policies are 

This was the beginning of value-for money auditing, which basically 
seeks to determine whether or not taxpayers are getting value for their 
tax dollars.

In 1984, amendments to the Financial Administration Act made Crown 
corporations subject to a form of value-for-money auditing called the 
special examination. The reports resulting from these audits are 
provided directly to the boards of directors of Crown corporations and, 
in exceptional circumstances, to the responsible minister and 

In June 1994 the Auditor General Act was amended to provide for the 
production of up to three reports per year in addition to the annual 

Further amendments to the act in December 1995 established the position 
of Commissioner of the Environment and Sustainable Development within 
the OAG. These amendments required government departments to publish 
annual sustainable development strategies. The Commissioner is 
responsible for reporting to the House of Commons on the extent to 
which departments have met the objectives set out in their sustainable 
development strategies and action plans. She also reports on all other 
environmental matters that she thinks should be brought to the 
attention of the House.

The OAG contributes to INTOSAI by participating in a number of its 
committees and working groups. Canada chairs the Environmental Working 
Group and the Subcommittee on SAI Independence of the Auditing 
Standards Committee. The OAG also participates in the Committee on 
Information Technology Audit, the Public Debt Committee, and the 
Auditing Standards Committee.

The OAG has also been a prominent supporter of training programs for 
auditors from national audit offices of developing nations. It is a 
member of the Board of the INTOSAI Development Initiative (IDI) and 
contributes to its training programs.

Every year, as part of the Canadian International Development Agency 
(CIDA)-funded International Audit Office Assistance Program, senior 
government auditors from developing countries spend 9 months at the OAG 
becoming familiar with Canadian techniques in public sector auditing 
with a particular focus on value-for-money.

As an independent audit office serving Parliament and the well-being of 
Canadians, the Office of the Auditor General of Canada has set as its 
vision to promote an accountable, ethical, and effective federal public 
service; good governance; sustainable development; and the protection 
of Canada's legacy and heritage. It strives to be widely respected for 
the quality and impact of its work.

For additional information, contact:

Office of the Auditor General,

fax: ++1 (613) 957 - 4023;


Internet: www:

People's Republic of China:

Audit Report for 2002 Issued:

On June 23, 2003, Mr. Li Jinhua, Auditor General of China, presented 
his report on the audit of budget results for 2002 to the Standing 
Committee of the 10th National People's Congress. The Audit Law of 
China requires that the Auditor General report the results of the 
annual audit of the national budget. While the report was generally 
positive, Mr. Li commented on issues of noncompliance with the national 
budget law, poor management of budget funds in some departments, 
irregularities in tax and tariff departments, and waste and 
inefficiency in some public work projects. The report also highlighted 
management problems in two major state-owned banks and serious 
financial difficulties in some county and township governments. The 
report addressed the root causes of the major findings and called for 
sustained government leadership to improve financial management.

Five-year Strategic Plan (2003-2007) Launched:

On July 1, 2003, the National Audit Office (CNAO) published the 2003-
2007 strategic plan. The plan states that the overall objective of CNAO 
is to continuously improve the quality of audit work by strengthening 
management and enhancing the quality of the workforce. CNAO plans to 
bolster its regulatory framework and audit methodology and further 
standardize its government auditing processes. CNAO also anticipates a 
greater role in detecting fraud and corruption. For the first time, 
CNAO proposes an equal emphasis on performance and financial audits; it 
projects that by 2007, half of its audits will be performance oriented. 
Other priorities of CNAO include building a quality control and risk 
management system and disseminating more products to reach a wider 
audience and promote greater transparency.

For more information, please contact:

International Department, National Audit Office of China, 1 Beiluyuan, 
Zhanlan Road, Xicheng District, Beijing, China;

fax: ++86-10-6833 0958;

e-mail: [Hyperlink,].

New Zealand:

Annual Report Submitted to Parliament:

On June 12, 2003, New Zealand's Controller and Auditor-General, Kevin 
Brady, submitted a report to Parliament on the results of his office's 
audits of the central government and its agencies for 2001 through 

The government's own financial statements received an unqualified audit 
opinion, as did the financial statements of all but one of the 43 
government departments. However, the report drew Parliament's attention 
to a number of significant items, including valuation of physical 
assets, outstanding student loan debt, the consolidation of subsidiary 
entities, and accounting policy. The report also dealt with other 
matters, such as the investment policies and practices of a major state 
corporation and whether the available accountability information on 
student loan debt had improved.

The full text of the report can be viewed on under 

For additional information, contact:

Office of the Controller and Auditor-General, Wellington 1, New 

fax: ++64 (4) 917 15 49;

e-mail: [Hyperlink,];

Web site: [Hyperlink,].


New Auditor-General Appointed:

Mr. Joseph Oloyede Ajiboye was appointed to be the new Auditor-General 
for the Federation of Nigeria on July 29. 2003, following his 
confirmation by the Senate. He succeeds Mr. P.N. Akubueze, who retired 
from office in December 2001.

Mr. Ajiboye graduated from the University of Ife (now Obafemi Aolowo 
University) in Nigeria in 1973, receiving a Bachelor's of Science 
degree in Economics with honors. He was admitted as a Fellow of the 
Association of Chartered Certified Accountants in 1986. He is also a 
Fellow of the Institute of Chartered Accountants of Nigeria and a 
member of the National Institute for Policy and Strategic studies. In 
1981, he completed the International Auditor Fellowship Program at the 
U.S. General Accounting Office.

Mr. Ajiboye began his civil service career as an auditor in 1974 and 
held a number of senior positions for the Office of the Auditor-
General, including serving as head of the training, extra-ministerial, 
and ministerial divisions. He has participated in many INCOSAI and 
Commonwealth Auditors General Conferences as a delegate and head of 
delegation. Prior to his appointment, he served as the Acting Auditor-
General from January-July 2002 and again from February-July 2003.

Mr. Ajiboye brings a wealth of experience in public financial 
management to his new position. He is committed to the developing the 
skills of staff to enable them to achieve the best possible 

For additional information, contact:

Auditor-General for the Federation, Federal Audit Department,

18, Bamako Street, Wuse Zone 1, P.O. Box 128, Garki, Abuja, Nigeria;

fax: ++234 (1) 523 77 92.


Office of the Auditor General Established:

On May 26, 2003, Rwanda established its Office of the Auditor General 
through a referendum vote and granted it the exclusive mandate as 
Rwanda's supreme audit institution in the Constitution (art. 183 and 
184). The new office replaces Rwanda's former national audit 
organization, the Cour des Comptes. The Office of the Auditor General 
of Rwanda will represent the nation in all international areas 
involving other supreme audit institutions.

For additional information, contact:

Office of the Auditor General for State Finances,

P.O. Box 1020, Kigali, Rwanda;

fax: ++250-512045; or:

email: [Hyperlink,].

Trinidad and Tobago:

Special Report on Transport:

On June 10, 2003 the Auditor General of the Republic of Trinidad and 
Tobago submitted to the Parliament a Special Audit Report on the 
Transport Division of the Ministry of Works and Transport. Since 1951, 
the Transport Division has overseen the registration and inspection of 
motor vehicles, administered driving tests, and granted driving 
permits. The licensing office of the Transport Division contributes 1.4 
percent of the country's total revenue. From 1951 to 2000, the number 
of vehicles in Trinidad and Tobago increased from about 23,500 to about 
316,000, and the Transport Division was decentralized to meet the needs 
of the growing vehicular population. Against this backdrop and in 
response to media reports of problems in the quality of services 
provided by the Transport Division, the Auditor General requested this 
special audit.

A key finding of the audit indicated that since 1994, the Transport 
Division's computer system has not adequately supported the division, 
resulting in the use of paper records. Cumbersome paper files that were 
hard to locate and verify led to a variety of problems, including long 
lines for car inspections, delays in providing certified copies of 
records, fraudulent registration and inspection certificates going 
undetected, and clients being limited to one location from which to 
obtain certified copies.

The Auditor General reported that by fully computerizing the systems 
for the registration and inspection processes, the Transport Division 
to could enhance the level of service it provides to the public. It 
would expedite the division's ability to trace vehicle registration 
numbers, identify permit numbers, reduce the time it takes to ensure 
that vehicles are in compliance with laws, and increase the earning 
capacity of the division. Also, computerization would facilitate links 
between the Transport Division, the police, the judicial system, and 
insurance companies that would enable the government's ability to 
detect and prosecute offenders. These improvements are also part of the 
nation's focus on attaining developed nation status by 2020.

For additional information, contact:

Auditor General's Department,

P.O. Box 340, Port of Spain, Trinidad and Tobago;

fax: ++1 (868) 627-0152;

email: [Hyperlink,].


New Head of SAI Named:

In accordance with Presidential Decree No. (13) for the year 2003, Dr. 
Abdullah Abdullah Al-Sanafi took over as the President of Yemen's 
Central Organization for Control and Auditing (COCA) on July 7, 2003.

Dr. Abdullah Abdullah Al-Sanafi:

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Dr. Al-Sanafi obtained a bachelor's degree in Administrative Science 
from the University of Baghdad in 1974, a master's degree in 
Administrative Science from the University of France in 1980, a 
master's degree in Business Administration from the University of Al-
Mansora in Egypt, and a Ph.D. in Business Administration from the 
University of Asyut in Egypt in 1993.

Before becoming COCA's Deputy President for the Economic Sector, a 
position that he held from 2001 through 2003, Dr. Al-Sanafi held 
various other posts. He was a COCA general director from 1974 through 
1977, an expert in the Civil Service Ministry from 1980 through 1987, 
an assistant professor and assistant dean at Sana'a University from 
1993 through 1998, and the Dean of the Faculty of Commerce in the 
Khamer Branch of Sana'a University from 1998 through 2001.

For additional information, contact:

Central Organization for Control and Auditing,

P.O. Box 151, Sana'a, Yemen;

fax: ++967 (1) 41 08 47; or:

e-mail: [Hyperlink,].

European Court of Auditors:

Recent Reports Issued:

During the first half of 2003, the European Court of Auditors produced 
a number of special reports. These include the following:

* No. 1/2003: Prefinancing of export refunds.

* No. 3/2003: The invalidity pension scheme of European institutions.

* No. 4/2003: Rural development: Support for less-favored areas 
together with the Commission's replies.

* No. 5/2003: Funding of environmental projects in the candidate 
countries together with the Commission's replies.

* No. 6/2003:Twinning as the main instrument to support 
institutionbuilding in candidate countries together with the 
Commission's replies.

* No. 7/2003: Implementation of assistance programming for the period 
2000-2006 within the framework of the Structural Funds.

* No. 9/2003: System for setting the rates of subsidy on exports of 
agricultural products (Export Refunds) together with the Commission's 

* No. 10/2003: Effectiveness of the Commission's management of 
development assistance to India in targeting the poor and ensuring 
sustainable benefits together with the Commission's replies.

For a complete list of the special reports and the text of the reports, 
consult the Web site of the European Court of Auditors: 
or email the Court at


50th Anniversary of International Board of Auditors:

In the spring of 2003, the International Board of Auditors for the 
North Atlantic Treaty Organization (NATO) celebrated its 50th 

The Board is the external auditor for 65 NATO agencies and military 
commands and for the military infrastructure the member nations have 
built on behalf of the organization. The Board carries out has its 
mandate for financial and certification, compliance, and performance 
audits in accordance with INTOSAI and International Federation of 
Accountants (IFAC) standards. The Board's six members are generally 
high-ranking officials from the nations' audit bodies. They are 
appointed for 4-year terms by the NATO Council from candidates 
nominated by the member nations. Staff members with international 
status assist the Board members.

The Board issued a commemorative report on the occasion of its 50th 
anniversary. The report gives a detailed historical overview of the 
NATO audit system from its inception in the early 1950s to the present. 
It also describes the two main audit sectors of NATO bodies and the 
NATO Security Investment Program, main areas of concern, and 
achievements of the Board's audit function. The report's final chapter 
addresses the challenges the Board will face in the coming years, 
including a series of events in NATO and developments in the audit 
profession that are likely to influence its work. Such challenges 
include enlargement, the implementation of International Public Sector 
Accounting Standards in all NATO organizations, audit cost recovery, 
resourcing of audits, and standardsetting for financial and 
administrative best practices.

For additional information or for a copy of the report, please contact:

Chairman of the Board,

fax: ++322 707 4962, or:

e-mail: [Hyperlink,].

United Nations:

34th Meeting of Internal Audit Services Representatives:

From June 2-4, 2003, the United Nations Development Program hosted the 
34th annual Meeting of Representatives of Internal Audit Services of 
the United Nations Organizations and Multilateral Financial 
Institutions. Approximately 40 heads of Internal Audit Services 
Divisions of the UN and its specialized agencies attended the meeting 
in Panama, along with representatives of the INTOSAI Secretariat.

The technical sessions covered proposed changes to the standards of the 
Institute of Internal Auditors; risk-based approaches to audits; the UN 
system initiatives for ethics and fraud prevention and harmonization 
and simplification; a systems approach to performance auditing; human 
resource management issues, such as IT audit competency requirements; 
internal and external quality reviews; managing stakeholder 
relationships (Audit Committees, including links to governing bodies); 
and horizontal and collaborative efforts between UN system 

The RIAS meetings allow INTOSAI to learn how large organizations like 
the UN and its specialized agencies have organized their internal audit 
services. As INTOSAI increases its focus on this topic--a focus that 
resulted in the establishment of the INTOSAI Internal Control 
Committee--learning about the topics discussed during the RIAS meetings 
may also play a role in the Internal Control Committee's work, 
encouraging an open exchange of experiences and knowledge between 

For additional information, contact the INTOSAI Secretariat,

Dampfschiffstrasse 2, A-1033 Vienna, Austria;

fax: ++43 (1) 712 94 25;

e-mail: [Hyperlink,];

Web site:

Overview of Reforms in the Mongolian SAI:

By Mr. Batbayar Badamdorj, Deputy Auditor General of Mongolia:

Although Mongolia has had a state audit organization for more than 80 
years, the history of its new SAI dates only to 1995, when the State 
Audit and Inspection Committee (SAIC) was established by the Law on 
State Audit and Inspection. Before 1990, Mongolia was part of the 
former socialist block and had a political system dominated by one 
party and a centrally planned economy. During that period, the 
activities of state audit organizations reflected the conditions of 
those political and socio-economic systems. But starting in 1990, 
Mongolia shifted to the path of democracy and started to introduce 
market principles in its economy. Beginning in 1995, the SAIC was the 
first audit organization to perform the functions of state external 
audit in a democratic society with a market economy.

With enactment of the Public Sector Management and Finance Law in 2002, 
the Parliament of Mongolia amended about 80 laws, including the 1995 
Law on State Audit and Inspection. As a result, the new Law on State 
Audit was passed in January 2003, and new state audit central and local 
organizations were established. At that time, the SAIC was replaced by 
the Mongolian National Audit Office (MNAO).

Change in Legal Environment:

The 1995 Law on State Audit and Inspection played an important role in 
developing a modern state external audit organization in Mongolia. By 
setting up the SAIC and provincial Audit and Inspection Committees 
(AIC), this law filled the vacuum left in state external audit after 
the People's Control Committee was abolished in 1990. The 1995 law 
determined the components of state control as a whole and regulated a 
broad range of issues covering not only state audit and inspection 
organizations but also the powers and duties of government and 
administrative and local self-governing organizations in the field of 
state control. The main part of this law, however, related to 
activities of the SAIC and provincial AICs. Because the main principles 
of external auditing of the government were stated in the 1995 Law and 
state audit and inspection organizations were functioning quite 
independently, a positive public opinion was created and a reliable 
relationship with government and public agencies was established.

In recent years, international reform processes have also influenced 
Mongolia, leading to public administrative and civil service reforms in 
Mongolia that, in turn, created a need to reform government auditing 
systems. The Public Sector Management and Finance Law of 2002, which is 
based on the concept of New Public Management, is introducing drastic 
changes in management and budget financing principles for the public 
sector in general and government agencies in particular. According to 
this law, all government agencies, as well as state-owned entities, are 
required to produce annual financial statements and have them audited 
by state audit organizations.

This practice, which is common in business entities, is starting to be 
introduced in government agencies. The power and functions of state 
audit organizations had to be widened and changed in order for them to 
start auditing the financial statements of government agencies. This is 
the main reason the new Law on State Audit was developed and adopted. 
In developing that law, we were guided by such basic documents as the 
Lima Declaration and the Generic Audit Model Law prepared by the United 
Nations Development Program (UNDP) Program for Accountability and 
Transparency (PACT).

The 2003 Law on State Audit has defined a new legal environment for the 
activities of state audit organizations and guaranteed their 
functional, organizational, and financial independence, as well as the 
independence of their members and officials.

Changes in Audit Methodology:

Before the new Law on State Audit was adopted, the SAIC conducted 
mostly traditional financial-related audits. With the enactment of the 
Public Sector Management and Finance Law, we have assumed the new 
function of conducting financial statement audits. According to the 
2003 Law on State Audit, we also have a mandate to conduct performance 
audits and are no longer required to conduct traditional financial-
related audits. The introduction of these new types of auditing has 
totally changed the way we carry out our work.

During past 3 years, we have been preparing ourselves to introduce 
performance and financial statement audits. We have already introduced 
performance auditing standards, guidelines, and handbooks that reflect 
international best practices. For example, Government Auditing 
Standards were introduced starting in January 1, 2002. To date, these 
include four general standards, five fieldwork standards, and five 
reporting standards for performance auditing. These standards are based 
upon INTOSAI Auditing Standards and the well-known GAO "yellow book".

We also developed and, in October 2002, introduced our own Performance 
Auditing Guidelines based on the Fifth ASOSAI Research Project on 
Performance Auditing Guidelines. Recently, we have issued a handbook on 
how to use government auditing standards. In developing this handbook, 
we benefited from GAO's General Policies and Procedures Manual.

We believe that the above-mentioned standards, guidelines, and handbook 
contain the methodology needed to conduct performance audits in a 
professional manner and according to international best practices. 
Guided by these methodological documents, we have started to conduct 
performance audits and submitted our first audit reports to the 

In addition, preparatory activities for introducing financial statement 
audits have begun. For example, we are currently working to translate 
and publish International Standards on Auditing issued by the 
International Federation of Accountants (IFAC), develop a financial 
audit manual, and subsequently train auditors on how to use these 

Changes in Organizational Structure:

The Mongolian National Audit Office (MNAO) has a different 
organizational structure than its predecessor, the SAIC. While the SAIC 
consisted of a chairperson and eight non-staff members, the MNAO has an 
Auditor General who makes decisions individually. Thus, the 
organization has shifted from a board model to a hierarchical model.

The need to cooperate with external audit service providers has brought 
about another change in organizational structure. In Ulaanbaatar, there 
are currently 29 private audit firms with 24 branch offices in the 
provinces of Mongolia. Because we are not limited to using our own 
staff for financial statement audits of government agencies, we need to 
contract with these firms for audit services. A legal environment for 
such arrangements is already in place.

New Requirements for Knowledge and Ethical Behavior:

The 2003 Law on State Audit sets high standards for the knowledge and 
skills required of government auditors. The law states that "all staff 
of the National Audit Office shall be of proven capacity and competence 
in the performance of their respective duties. For this purpose, the 
Auditor General of Mongolia shall develop and implement a continuing 
training program for staff of the National Audit Office". The logic 
behind this requirement is simple: the auditors should know what they 
are going to audit. And this requirement is not only legal. The first 
general government auditing standard states that the staff assigned to 
conduct the audit should collectively possess adequate professional 
proficiency for the tasks required.

To meet this requirement, we are currently developing a continuing 
training program for auditors with the intention of preparing training 
packages according to a training curriculum and training our own 

Besides the high requirement for knowledge and skills, the new Law on 
State Audit also sets a higher standard for ethical behavior. The law 
states that "in order to ensure fairness in the activity of the 
National Audit Office, the Auditor General of Mongolia shall approve 
and pursue a Code of Ethics. The Code of Ethics shall be pursued 
equally by the Auditor General of Mongolia, staff of the National Audit 
Office, and any persons who are involved in the state audit activity on 
behalf of the National Audit Office." In accordance with this 
provision, we have developed and introduced a new Code of Ethics for 
government auditors based on the INTOSAI Code of Ethics approved by the 
XVI INCOSAI in Montevideo in 1998. The new Code of Ethics for 
government auditors includes requirements for integrity, independence, 
objectivity, impartiality, political neutrality, professional secrecy, 
and speaking and writing activities. All employees of newly established 
state audit central and local organizations are required to sign the 
Code of Ethics.

The SAI and Public Administration Reform:

From the beginning, our supreme audit institution supported the 
government policy on reforming the management and financing systems of 
government agencies. We knew from our audit findings that the former 
budget planning, financing, and reporting systems were outdated, and 
therefore we continuously recommended that those systems be changed.

For this reason, we agreed to be one of the first five agencies to 
pilot the new public management and financing systems in 2001. Within 
the framework of this pilot project, we have introduced into our in-
house activities such new elements as a business strategic plan, output 
planning and reporting, financial statements, and performance 

The results of the piloting have been promising. We believe that the 
positive results of this pilot project facilitated the enactment of the 
Public Sector Management and Finance Law, which had been under debate 
in the Parliament and other levels of government for almost 5 years 
after its submission in November 1997. Therefore, we can say that the 
former SAIC and the four other pilot agencies have contributed to and 
played a leading role in the public administration reform process in 

Currently, the MNAO is also contributing to promoting good governance-
-and specifically such key principles as transparency and 
accountability--in Mongolian public administration. For instance, we 
are making our performance audit reports public. The Law on State Audit 
requires that the MNAO publish a quarterly list of audit reports and 
provide copies to all those who want them. This will also help to 
ensure citizens' rights to get information from public agencies.

The MNAO not only audits others but is also a subject for auditing. 
Since 2001, we have begun to produce yearly financial statements 
audited by independent external auditors and include them in our Annual 
Reports. Starting in 2004, an independent auditor nominated by the 
Parliament will audit our financial statement.

These are just some examples of how government auditing systems in 
Mongolia are changing. The change process is still going on. We look 
forward to sharing with Journal readers additional developments in the 

For additional information contact:

Mongolian National Audit Office,

Government Building No.4, Baga toiruu - 6, Ulaanbaatar - 46, Mongolia;

tel: ++976 (11) 32 37 98, 32 20 71;

fax: ++976 (11) 32 32 66;


Integrated Public Sector Financial Management: A Central Role for SAIs:

By J. Graham Joscelyne, former Auditor General of the World Bank and 
Senior Managing Director of Citigate Global Intelligence and Security 

The 21st century is off to an inauspicious start. In its 3 short years, 
we have all been affected by Y2K threats; September 11 and other 
terrorist events; revelations of fraud and corruption on a vast scale; 
and a global economic downturn. Moreover, the AIDS crisis continues 
unabated, and famine is taking its dreadful toll.

In response to these events, reactive and preventive measures are being 
adopted on a global basis in both the public and private sectors. We 
are starting to see fundamental underlying exposures and how they might 
be addressed. In addition, parties are coming together around issues in 
ways that would have seemed impossible previously. It is clearer in 
hindsight that much could have been prevented had risks been defined, 
loopholes identified, and exposures managed in a holistic manner.

What can the financial manager learn from this? First, almost 
everything has a financial dimension that requires careful management. 
Second, if a holistic approach is to be effective, work--including 
finances--must be managed in an integrated fashion. Third, the 
financial manager plays a key role as a facilitator in both the private 
and public sectors. Finally, the financial management function is not 
the domain of just one department, but includes all the key players, 
ranging from financial planning through execution to review and 
oversight. The supreme audit institution (SAI), as part of this 
oversight function, has a vital role to play.

In this article, I would like to propose that the financial management 
community, and SAIs in particular, take the lead in promoting an 
integrated, holistic approach to public sector financial management as 
we continue to face the challenges of the new millennium.

Integrated Financial Management in the Private Sector:

In the private sector, notwithstanding recent scandals, integrated 
financial management is fairly well understood and practiced to an 
extent. Without it, corporate governance is weakened, risk exposures 
cannot be appropriately controlled, and controls themselves will 
operate in silos, creating another level of risk. Integrated financial 
management is being specified in charters of internal auditing 
departments through to audit committees, with the express objective 
that both internal and external players in the area of financial 
management work together to ensure that it is achieved. The audit 
committee is expected to ascertain that there is no room for the kinds 
of gaps that lead to unidentified risk and consequent exposure to loss. 
Management and internal auditors make statements to this effect, and 
these matters are increasingly being reported in annual financial 
statements. Additionally, external auditors give the audit committee 
assurance that the work of others is reliable and can be taken into 
account for the peace of mind of stakeholders. Put differently, all 
parties look at the same time period from somewhat different angles but 
with the same objective-understanding and assurance.

Fragmentation in Public Sector Financial Management:

In contrast, integrated financial management is not a hallmark of the 
public sector, which, by its very nature, faces complex and unique 
challenges. Accounting policies and practices are being rewritten but 
the processing technology used is outdated and often incompatible with 
new software and expensive to upgrade. The people working in the public 
sector are often underpaid, understaffed, and underappreciated, and 
there is an almost constant restructuring of government departments. 
Nevertheless, the call for improved governance, management oversight, 
and transparency grows louder every day. All these pressures force 
those who should be interested in an integrated, holistic approach to 
financial management in the opposite direction. The focus is inward and 
downward rather than across. Our pursuit of specialization has resulted 
in both a loss of perspective and greater fragmentation. It has become 
even more of a challenge to find the right area to focus on, and even 
then we find ourselves being pulled in different directions by 
competing and compounding problems. As a result, the public sector is 
wide open to surprises and shocks.

In November 2002, at the first summit of its kind, the International 
Consortium for Governmental Financial Management (ICGFM), together with 
the World Bank Institute (WBI), invited public sector participants from 
various countries to explore what integrated financial management means 
to them and, more importantly, how it could improve governance and 
accountability. The participants were drawn from Public Accounts 
Committees, finance ministries' budget and expenditure departments, 
internal audit departments, and supreme audit institutions (SAI).

Almost from the start, it was evident that this meeting of the minds 
was novel for many of the countries represented. In the public sector, 
the concept of financial management has been very narrowly defined, 
causing fragmentation. Participants confirmed that the components of 
financial management work in isolation from each other. This problem is 
compounded by the fact that each component focuses on a different 
fiscal period, often stretching over a 4-year period: budget looks to 
the future, expenditure to the present, the SAI to the recent past--
leaving the Public Accounts Committee to bring up the rear with a focus 
on the not-so-recent past.

Having these components spread their oversight and management of public 
financial affairs over a minimum of 4 years strikes me as being risky 
at best, dangerous at worst. Gaps will occur and, without careful 
attention by all parties, can be-and probably are--exploited.

Quite naturally, the chances of finding and preventing exploitation and 
abuse fade rapidly if no concerted effort is made to do so. All those 
involved in public financial management bring to the table unique 
skills sets, perspectives, and experience. Risk should be identified 
around these sets of skills and knowledge, and proper management of the 
exposure agreed upon. But this is not really happening. Can it be said 
that risk has been comprehensively assessed-even at the highest levels-
-if the components critical to the process do not come together around 
this topic? As a result, the public sector faces undue and unnecessary 
exposure to the ineffective, inefficient, and uneconomic use of public 
funds. Recent work by the WBI and some African countries confirms that 
dialogue in this area, which might lead to change, is only beginning 
for those countries. It is an encouraging start to a very long journey.

A History Lesson in Integrated Public Sector Financial Management:

Although an integrated approach to public sector financial management 
may be new to many of us, history tells us that this concept is not 
new. The Old Testament story of Joseph in ancient Egypt offers us a 
case in point. He identified a long-term national challenge--that the 
country would face 7 years of plenty followed by 7 years of famine--and 
the Pharaoh authorized him to do something about it. The country 
successfully hoarded grain in a time of plenty and rationed it in a 
time of want, thus demonstrating that Joseph and his managers looked 
carefully at what was needed, devised a strategy, did a risk 
assessment, put controls in place, worked according to the plan, and 
provided oversight throughout.

We can presume that he used incentives-financial and otherwise--to 
encourage farmers to plant now with a view to the future shortage. He 
must have found resources needed to pay the farmers for their efforts 
or build up credit. None of this could have been achieved without a 
host of financial and other systems. All this activity, over a decade 
and a half at least, could not have been successfully undertaken 
without an integrated approach to the challenge-and full involvement of 

Interestingly, there were no 'safety nets' at the time like those that 
operate today--no IMF, World Bank, World Food Program, or bilateral 
aid. The country and its citizenry had to find within themselves the 
ability to address long-term challenges that were not even evident when 
the first major tasks were begun.

Facing the Challenge of Integrated Public Sector Financial Management:

Could something of this scale be pulled off today given the way we 
organize ourselves in the public sector? Although countries today have 
national goals, a host of systems and controls, and human and financial 
resources to undertake an effort of this kind, we usually lack a 
comprehensive view of the challenges that we are facing.

Why is this so? The development community is now aware of the 
importance of public sector financial management and the role of the 
SAI in particular. But more must be done to convince them that the way 
to have the most effective financial management is to use an integrated 
approach. While the World Bank and its partners in the development 
business have a role to play, the real solutions lie within the 
countries themselves. The participants at the ICGFM/WBI Summit in 
November 2002 found the discussions on these issues encouraging, but 
they pointed out that they were not taking place in country, where they 
are most needed. In addition, international professional bodies can do 
much more to encourage and even enforce better professional practice.

Bringing all this together is not easy. Leadership is needed from the 
broad spectrum of the financial management community. But more and 
more, SAIs are taking the initiative and achieving good results. The 
approach of the U.S. General Accounting Office (GAO) is a case in 
point. GAO has done a holistic and comprehensive federal risk 
assessment, has noted trends over time, and published its results in 
its High-Risk Series. The most recently identified high-risk area is 
long-term pension plan vulnerabilities. GAO's analysis of this area 
gives a broad overview of the issues, looks far into the future, and 
translates what it sees into language that is understood by senior 
government officials as well as the ordinary citizen (see GAO-03-1050sp 
on GAO's Web site: It remains to be seen whether and to 
what extent the government will move to correct the situation, but the 
SAI cannot be faulted for failing to assume a key leadership role.

Should this be the exception rather than the rule? I believe that SAIs 
are uniquely positioned to champion the challenge of promoting the 
usefulness and appropriateness of integrated financial management in 
the public sector today. The SAI alone straddles-or should straddle-the 
whole public financial sector, if not more. Its mandate allows it to 
see further, look deeper, and cover more ground than any other 
component of public sector financial management. It alone stands in the 
gap between parliament and the public sector. With its peculiar 
perspective and authority, it has the power to convene, convince, and 
communicate. If its rights of access are not fully exercised, the 
public could accuse the SAI of dereliction of duties. Given the dearth 
of credible public leaders, a passive though clearly qualified SAI 
could be perceived as complicit in the mismanagement of public funds.

Generally speaking, the public sector financial management community, 
including the SAI, is not well known for making a stand. Sadly, in too 
many instances, this same community has been compromised. However, with 
all the focus on improved public sector financial management, there is 
room for new leadership to emerge and for credibility to be 
reestablished. Nothing will really happen unless and until this 
community-including the SAIs-takes the lead and shows what can be 
achieved with an integrated approach and what is lost without it.

For additional information, please contact:

CAROSAI Convenes Its Sixth Triennial Congress in Bermuda:

by Mr. Benjamin Ross, U.S. General Accounting Office:

"Promoting Good Governance" was the theme of the Sixth Triennial 
Congress of the Caribbean Organization of Supreme Audit Institutions 
(CAROSAI), which was held from August 10-15, 2003. Hosted by the SAI of 
Bermuda, the conference was characterized by an upbeat atmosphere 
during its meetings, caucuses, programs, and other activities. 
Representatives from Anguilla, Antigua and Barbuda, the Bahamas, 
Barbados, Belize, Bermuda, the British Virgin Islands, the Cayman 
Islands, Guyana, Jamaica, Montserrat, Norway, St. Kitts and Nevis, St. 
Lucia, St. Vincent and the Grenadines, Trinidad and Tobago, the Turks 
and Caicos Islands, the United Kingdom, the United States, and 
Venezuela met together to promote understanding and cooperation among 
institutions through the exchange of audit ideas and experiences. The 
week-long Congress was highlighted by many presentations that 
elaborated on various audit techniques, audit programs, audit manuals, 
formats, and standards used by SAIs to help them accomplish their work. 
Fraud and corruption in the public sector and training in public sector 
accounts and audits were topics of much discussion and concern among 
the attendees.

Considered a major success, the Congress drew the attention of both the 
local newspaper and television in Bermuda. Two consecutive articles in 
The Royal Gazette echoed the Congress themes regarding the public's 
right to know the financial condition of its government and the 
responsibility of supreme audit institutions (SAI) to expose fraud and 
corruption in democratic governments.

A Clear and Present Danger: Corruption in Government:

One full day of the CAROSAI Congress was devoted to the theme of 
preventing corruption and fraud and the important role SAIs should play 
in this effort. "Corruption is a global problem affecting both 
industrialized and developing countries," said Mr. Adrian Strachan, the 
Auditor General of Jamaica, who presented the main paper on this theme. 
"It has surfaced in all forms of government and in all spheres of 
society. Corruption inhibits private investment, distorts public 
investments, slows growth and worsens poverty. It results in the waste 
of resources and reduces the quality of life." Mr. Strachan's report 
listed the following as the most common areas in which public sector 
corruption manifests itself:

* awarding and administering procurement contracts for goods and 

* assessing and collecting taxes and other sources of government 

* granting subsidies, permits, and licenses;

* engaging consultants and other employees;

* customs operations; * money laundering; and:

* distributing houses and/or lots in government, housing, or land 
settlement schemes.

Mr. Strachan also said that in certain quarters it was now being 
proposed that auditors play a more direct role in identifying those 
suspected of committing fraud. "Some suggest that SAIs should conduct 
forensic audits aimed at obtaining the evidence necessary to secure the 
successful prosecution of suspects. Others go so far as to suggest that 
SAIs should be in the forefront in prosecuting the cases against those 
charged with fraud." Mr. Terrance Bastian, the Auditor General of the 
Bahamas, stated that the "task of preventing corruption can be a very 
difficult one as the nature of auditing is examining records and 
information after the fact." Mrs. Arah Armstrong, the Auditor General 
of Antigua and Barbuda, stated that it is often difficult to detect 
corruption. Although corruption may be suspected, there is seldom 
enough evidence to report with certainty that it has actually taken 
place. However, she went on to say that corruption had to be fought 
with the aid of the police department, whose duty it is to investigate 
cases of suspected fraud, corruption, and irregularity. The SAI and 
other agencies are useful in creating an environment unfavorable to 
corruption so as to promote good governance. She wanted to see a more 
holistic approach to the problem whereby all the established 
institutions in the fight against corruption come together and 
complement each other to create one main strategy.

Auditors general attending 6th CAROSAI Trienniel Congress in Bermuda:

[See PDF for image]

[End of figure]

Training Remains a Central Priority:

Since the last Congress in 2000, a series of IDI-sponsored workshops 
and other training programs have been held in CAROSAI--in St. Kitts, 
Trinidad and Tobago, and Grenada. During this Congress, a memorandum of 
understanding was signed between the National Audit Office of the 
United Kingdom (NAO), the Secretary General of CAROSAI, and IDI to 
coordinate these initiatives through training and other capacity-
building activities that will enable CAROSAI members to strengthen and 
enhance the quality of their audits. In particular, the three entities 
agreed to coordinate training efforts initially to enhance financial, 
value-for-money, and performance audits; resource management within 
SAIs; human resource management; and relationships with clients and 
other stakeholders. The memorandum demonstrates the commitment of the 
NAO, CAROSAI, and IDI to supporting external public audit in the 
Caribbean through regional training and a continuation of the work of 
the Long Term Regional Training Program (LTRTP), which began in 1996.

Observers' Presentations to the Congress:

A number of observers from the global auditing community attended the 
CAROSAI Congress and made presentations on matters of interest to the 
delegates. On behalf of IDI, Mr. Magnus Borge provided an update on the 
second LTRTP in cooperation with CAROSAI. Sir John Bourn, the Auditor 
General of the United Kingdom, discussed "Performance Measurement in 
the Real World." Mrs. Linda Pearl Fealing of the Organization of 
American States (OAS) brought greetings from her organization and 
presented CAROSAI with a display of international flags. Mr. Andy Wynne 
and Mr. Emile Valere of the Association of Chartered Certified 
Accountants (ACCA) gave two presentations on how the independence of 
the auditor general can be improved. Mr. Clodosbaldo Russián, 
Comptroller General of Venezuela and President of OLACEFS, along with 
his assistant Mr. Marcel Cartaya, provided an update on the training 
and networking activities between CAROSAI and OLACEFS. Mr. Benjamin 
Ross of the U.S. General Accounting Office (GAO) gave an overview of 
his organization with an emphasis on its International Auditor 
Fellowship Training Program.

CAROSAI Organizational Business:

CAROSAI welcomed several new heads of SAIs who had been named to their 
positions since the last Congress in 2000. These included Mr. Peter 
Holland of Anguilla, Mr. Ian Fuller of the Turks and Caicos Islands, 
Mr. Lionel L. Bernard of Haiti, Mr. Terrace Bastian of the Bahamas, and 
Ms. Florence Lee of Montserrat.

For additional information, contact:

Mrs. Jocelyn Thompson, Secretary General of CAROSAI,

Auditor General's Department,

P.O. Box 340, Port of Spain, Trinidad and Tobago;

fax: ++1 (868) 627 - 0152, 625 - 53 54;


Audit Profile: The General Auditing Bureau of the Kingdom of Saudi 

By: Mohammed Mutlak Al-Nofaie, General Manager, Administrative 
Development Department:

The General Auditing Bureau of the Kingdom of Saudi Arabia was 
established in 1953. Its role was confined to traditional financial 
post-audit tasks until its current statutes were issued in line with 
the Royal Decree of 1971. The new statutes extended its functions to 
include performance auditing in addition to financial and compliance 
auditing. The Bureau also assumed responsibility to monitor the current 
and fixed assets of the state and ensure their proper deployment and to 
establish a follow-up mechanism to track the consistent application of 
financial and accounting rules and regulations.

The Bureau's mandate covers the following auditees:

* All ministries and government departments and their branches.

* Public corporations and all other units and agencies that have 
independent budgets but receive financial assistance from the state by 
way of subsidy or for investment purposes.

* All private enterprises or companies in which the state contributes 
to its capital or guarantees a minimum level of profit.

* Any other agency whose audit is authorized by a directive from The 
Custodian of the two Holy Mosques, King Fahad Bin Abdulaziz, or his 
Cabinet, the Council of Ministers.


The first article of the statutes states that the Bureau is an 
independent institution that reports directly to The Custodian of the 
two Holy Mosques, King Fahad Bin Abdulaziz. Article (3) of the same 
statute stipulates that the President of the Bureau is appointed, and 
may only be deposed, by a Royal Directive. The President's remuneration 
is treated in accordance with the special rules designed for those of 
"ministerial status." The Bureau's Vice-President is also appointed by 
a Royal Directive.

According to Article (28) of the Bureau's statute, the President, Vice-
President, and other staff are prohibited from involvement in any other 
paid or unpaid government work. This measure is intended to preserve 
the integrity and independence of the Bureau and insulate it from 
possible influences or pressures.


The Bureau submits an annual report for every fiscal year to The 
Custodian of the two Holy Mosques, King Fahad Bin Abdulaziz, duly 
copied to the Consultative Council, with a copy to the Council of 
Ministers and the Ministry of Finance. The report 22:

includes findings from the Bureau's review of the Final Accounts, an 
assessment of the state's financial management in general, and an 
independent assessment of the financial management of the respective 
auditees. The report also includes a financial statement on the Final 
Account, a brief presentation of the Bureau's activities during the 
fiscal year, and recommendations to improve auditing performance and 
develop the state's financial management.

The President of the Bureau is authorized to submit other reports 
within the course of the subject year. They may be of a general or 
special nature relating to a particular issue or problem and normally 
include recommendations to improve economy, efficiency, and 


In 1985, the Bureau was reorganized to enable it discharge its 
functions flexibly and effectively. A new performance auditing sector 
was created to ascertain the success of government departments in 
achieving predetermined goals and deploying resources at their disposal 
efficiently and effectively. In addition, an information center was 
established to monitor computer operations and management. A 
documentation center and library were also created to provide the 
operational data needed to accomplish the Bureau's tasks. To cope with 
the expansion of the state's sectoral activities, an EDP Audit 
Department was created to introduce and implement EDP systems in the 
financial and accounting transactions of the various government 

Another development was manifested in the creation of the Auditing 
Standards Department, whose main function is to prepare and develop 
measurable auditing standards and guidelines. The department has also 
assumed the task of developing guides and rules to achieve general and 
specific auditing objectives.

The Bureau's organization is characterized by the following:

* Its goals as defined in the statute are represented in a 
complementary and comprehensive manner.

* The major departments and the advisory/support units are clearly 

* Clear-cut criteria are applied in the classification of work, taking 
into account the even distribution of work.

* Communication channels among the heads of major departments at all 
organizational levels have been streamlined, which has assisted greatly 
in the monitoring and guidance process.

* Job descriptions are available for all departments provided in the 
organizational chart.

Human Resources:

To carry out the Bureau's assignments, it is essential that auditors' 
skills and operational competencies be developed to promote quality 
performance and maximize the effectiveness of auditing activities. It 
is also crucial that the auditor be familiar with and informed about 
other disciplines besides accounting and management, including computer 
science, economics, research methodology, and law. In this connection, 
performance audit teams need specialized technical knowledge in fields 
such as engineering, agriculture, and pharmacology. For this reason, 
ongoing training has become a necessity for auditors. Staff training 
begins as soon as the graduate joins the Bureau and continues so that 
the auditor can cope with the practical and scientific developments 

The training process includes various types of in-kingdom training: on-
the-job training (by attaching new entrants to work under the guidance 
of experienced staff ); formal inhouse training whereby staff enroll in 
introductory audit training courses; and training at the Institute of 
Public Administration (a specialized institute to train public and 
private sector staff ).

The Bureau also offers staff the opportunity to participate in training 
courses, seminars, and workshops held by international and regional 
institutions, universities, and other SAIs. These activities provide 
staff with more than a chance to acquire and exchange experience and 
knowledge in the field of financial audit: they help trainees 
familiarize themselves with modern technology and newly emerging 
methodologies deployed by developed countries in financial and EDP 

Membership in International and Regional Organizations:

The Bureau participates in international and regional auditing 
organizations to exchange experiences and promote staff professional 
skills and competencies. It is a member of INTOSAI, ASOSAI, ARABOSAI, 
and the Supreme Audit Institutions of the Gulf Cooperation Council.

The Bureau has served as second vice-chairman of the INTOSAI Governing 
Board since 1995. It was also the first chair of the Auditing Standards 
Committee in the 1980s when the committee developed the standards that 
INTOSAI approved in 1992. The Bureau also serves on INTOSAI's 
environmental audit, privatization, SAI independence, and audit of 
international organizations working groups and the Strategic Planning 
Task Force.

Since 1992, the Bureau has served with two other SAIs on INTOSAI's 
financial committee, which helps the Secretariat in financial planning 
and monitoring of the budget. Bureau staff have also served as 
lecturers in INTOSAI Development Initiative (IDI) training courses, 
including the Design and Development of Training Programs and Training 
Techniques held in Morocco in 2003.

The Bureau has been an active member of ASOSAI and served on its 
Governing Board until 2000. The Bureau has also been a member of 
ARABOSAI since 1976 and currently serves on its Permanent Committee on 
Government Auditing, as well as its environmental auditing, training 
and research, and audit guides and terminology committees.

The Bureau has also hosted many training meetings of the SAIs of The 
Gulf Cooperation Council (GCC).

For additional information, contact:

General Auditing Bureau,

fax: ++966 (1) 403 20 57;

e-mail:; Web page:

Reports in Print:

Corruption, fraud, and abuse continue to be important issues in the 
global auditing community. Journal readers may be interested in 
obtaining the 2003 edition of the Global Corruption Report published by 
Transparency International, which focuses on the need for greater 
access to information in the struggle against corruption. The report 
explores how civil society, the public and private sectors, and the 
media use and control information to combat or conceal corruption. The 
2003 report includes:

* expert reports and features on access to information,

* an assessment of the state of corruption around the world in 16 
regional reports,

* detailed explorations of national corruption topics from a local 

* a diverse selection of the latest corruption-related data and 
research, and:

* special contributions by renowned prosecutor Eva Joly and Interpol 
Secretary General Ron Noble;

The report is the first attempt by any organization to map the global 
fight against corruption--a kind of travel guide to the jungle of 
varying standards and practices in different world regions.

To obtain a copy, contact:

Transparency International,

Otto-Suhr-Allee 97-99, 10585 Berlin, Germany;

tel:+49-30-3438 2061/19;

fax:+49-30-3470-3912); or:


The United Nations has published its book World Population Ageing 1950-
2050. The publication provides an overview of the world population 
aging process, focusing on five particularly relevant public policy 
issues: (1) demographic determination of population aging, (2) 
magnitude and speed of population aging, (3) the changing balance 
between aging groups, (4) demographic profiles of the older population, 
and (5) socio-economic characteristics of the older population. In 
dealing with each of these issues, attention is given to the course of 
the aging process, which is not the same in all countries. As more 
people live longer, retirement, pensions, and other social benefits 
tend to extend over longer periods of time, making it necessary for 
social security systems to change substantially. Increasing longevity 
can also result in rising medical costs and increasing demands for 
health services, since older people are more vulnerable to chronic 
diseases. As the proportion of the world's older population continues 
to increase, the need for improved information and analysis of 
demographic aging also increases. Knowledge is essential to help 
policymakers define, formulate, and evaluate goals and programs and to 
raise awareness and support for policy changes with regards to aging. 
United Nations publications can be obtained from bookstores and 
distributors throughout the world. Consult your bookstore or write to 
United Nations, Sales Section, New York or Geneva.

Reporting Principles--Taking Public Performance Reporting to a New 
Level is the title of the new publication by the Canadian Comprehensive 
Auditing Foundation (CCAF). The focus of this publication is to help 
governments improve the quality of their formal reporting on 
performance in keeping with the results-oriented and values-based 
approaches they are taking. Better communication, understanding, and 
transparency of performance are crucial to the success of government 
efforts to improve their operations and to inspire greater public 
confidence. At the core of this document is a set of nine related 
principles that represent common ground among many legislators, 
managers, and auditors. These principles are stated at a level that 
effectively captures the "what" of reporting, while leaving flexibility 
to tailor the "how" to reflect differences in individual circumstances. 
The CCAF hopes that those who use public performance reports will find 
this document useful in planning and acting to advance their public 
reporting to a new level.

For a copy of the publication, contact the:


55 Murray Street, Suite 210, Ottawa, Ontario, Canada KIN 5M3;

tel: ++613-241-6713;

fax: ++613-241-6900; or:


The U. S. General Accounting Office (GAO) has recently issued 
Government Auditing Standards, 2003 Revision (also known as the "Yellow 
Book"). This is the fourth revision of the standards since they were 
first issued in 1972, and it supersedes the 1994 revision, including 
amendments 1 through 3. The concept of accountability for public 
resources is key to any country's governing process and a crucial 
element for a healthy democracy. Legislators, government officials, and 
the public want to know whether government services are being provided 
efficiently, effectively, economically, and in compliance with laws and 
regulations. Government Auditing Standards provide broad statements of 
auditors' responsibilities, giving an overall framework for ensuring 
that auditors have competence, integrity, objectivity, and independence 
in planning, conducting, and reporting on their work. This revision 
incorporates the field work and reporting standards issued by the 
American Institute of Certified Public Accountants (AICPA). To obtain 
an electronic copy of the newly revised standards, go to the Yellow 
Book web site, ybk01.htm. (The web site also 
contains instructions on ordering printed copies.):

For questions directly related to Government Auditing Standards, send 
an email to


OCCEFS Capacity Building Program in Central America:

The Organization for the Superior Audit Institutions of Central America 
and the Caribbean (OCCEFS) has obtained a grant from the World Bank to 
build capacity in the region. The project is being coordinated by the 
Costa Rican SAI because the agreement was reached and signed during the 
OCCEFS Presidency of Mr. Luis Fernando Vargas, Comptroller General of 
this country. Mr. Hernan Contreras, President of the Audit Court of El 
Salvador, has been recently appointed as the new Chairman of OCCEFS.

Within the framework agreement, each country is expected to develop its 
own technical component for the project, which will be shared with the 
rest of the members of OCCEFS: The topics are as follows:

Costa Rica: Accountability and Active Citizenship:

Honduras: Internal Control:

El Salvador: Government Auditing Standards:

Dominican Republic: Internal Control:

Nicaragua: Local Government Auditing Guides:

Panama: Environmental Auditing:

Guatemala has recently been reintegrated into the project after 2 years 
of absence.

The countries are also actively involved in setting up a regional Web 
site ( that will display local projects and share 
information. The Web site was successfully launched at a recent 
workshop in San Jose, Costa Rica, with representatives from the 
different countries in attendance.

In September 2003, OCCEFS met in Guatemala to share results of the 
project and obtain feedback. World Bank authorities have expressed 
satisfaction with progress on the project resulting from the regional 
effort of the authorities of these institutions.

For additional information, contact:

OCCEFS at [Hyperlink,].

INTOSAI Working Group on the Audit of Privatization:

The Supreme Audit Office of the Czech Republic hosted the 10th meeting 
of the Working Group on the Audit of Privatization on June 9-10, 2003, 
in Prague. Sir John Bourn, Comptroller and Auditor General of the 
United Kingdom, chaired the meeting, which was attended by 
representatives of 29 SAIs (out of a total working group membership of 
39). Sadly, Dr. Lubomir Volenik, the President of the Czech Supreme 
Audit Office, passed away unexpectedly shortly before the meeting.

The working group was guided by the remit set for it at XVII INCOSAI, 
where SAIs agreed that in the period leading up to XVIII INCOSAI in 
Budapest in 2004, the working group should focus its efforts on:

* monitoring the effectiveness of the guidelines adopted by INTOSAI 

* developing future audit guidance as necessary (for example, on audit 
issues arising in the field of partnerships and where the state is a 
minority shareholder, and on alternatives to regulation).

At the Prague meeting, a number of SAIs gave presentations, papers, and 
comments relating to the effectiveness of the working group's existing 
guidelines, which cover three areas: the audit of privatization; the 
audit of economic regulation; and the audit of public-private finance 
and concessions. SAIs again reported that they found the guidelines 
useful in carrying out their audit work.

To mark the 10th anniversary of the group's founding, the U.K. SAI 
presented a paper called "Privatisation: 10 Years On," which outlined 
the achievements of the working group to date. These include the 
production of the three aforementioned sets of guidelines and the 
delivery of over 50 papers on member states' experiences in auditing 
privatization. The presentation also picked out various key messages 
that had emerged in the group's first 10 years, including the 
conclusion that context is crucial when applying the guidelines. 
Members agreed that the presentation should be developed into a paper 
to be delivered at XVIII INCOSAI.

The group discussed for the second time a second draft of guidelines on 
the audit of risk in public/private partnerships (PPPs). In light of 
these discussions, the guidelines will be amended and submitted to 
XVIII INCOSAI for formal approval. The group also assessed different 
proposals for developing training for SAIs in the use of the guidelines 
and agreed to establish a Training Steering Committee in partnership 
with the INTOSAI Development Initiative.

The working group will hold its next meeting in 2004 in Sofia, 
Bulgaria. More information on the working group, including its 
guidelines on best practice in auditing various aspects of 
privatization, is available on its website at [Hyperlink,].

Annual Meeting of INTOSAI Public Debt Committee:

The Annual Meeting of INTOSAI's Public Debt Committee was held in 
Mexico City from June 23-24, 2003. This committee is headed by Mr. 
Arturo González-de Aragón, Auditor General of Mexico. Twenty-seven 
delegates from 11 member countries attended the meeting: Canada, the 
Fiji Islands, Gabon, Mexico, Portugal, the Republic of Korea, the 
Russian Federation, Sweden, the United Kingdom, the United States, and 
Zambia. Representatives of IDI attended the meeting as special guests.

Studies of Public Debt Issues:

As part of the committee's ongoing efforts to provide INTOSAI members 
with reference documents on public debt issues, members presented the 
following studies during the meeting:

* Guidance for Using Substantive Tests in Audits of Public Debt (United 

* Relationship Between Debt Management Audit Methodology and INTOSAI 
Audit Standards (United Kingdom):

* Report on the Results of the Internal Working Group on Auditing 
Fiscal Exposures (Sweden):

* Report on the Auditing of Public Debt in the South Pacific Region of 
INTOSAI (Fiji Islands):

* Report on the Main Problems Related to Public Debt Faced by the 
Russian Federation (Russian Federation):

The committee also agreed to prepare three new studies on the following 

* Mexico will analyze performance audits of public debt and their terms 
of reference based on the experience of other INTOSAI members, 
particularly the United States and Canada.

* Portugal will conduct a comparative analysis of public debt 
regulations among INTOSAI member countries.

* The United Kingdom will conduct an investigation on contingent public 
debt in INTOSAI member countries.

The three countries will present the results of their studies at the 
next annual meeting of the Public Debt Committee in 2004.

During the meeting, the attendees were also informed that the German, 
Spanish, English and French versions of the following documents have 
been published: Public Debt Management and Fiscal Vulnerability: 
Potential Roles for SAIs (prepared by Canada) and Fiscal Exposures: 
Implications for Debt Management and the Role for SAIs (prepared by the 
United States). These documents are available on the committee's web 
page: The Arabic version is scheduled to be 
published at the end of 2003.

Capacity Building Activities of Public Debt Committee:

As reported in earlier issues of the Journal, the Public Debt Committee 
has undertaken, under the initiative of Mr. González-de Aragón, the 
ambitious task of launching a pilot training program on public debt 
audits within the Organization of Latin American and Caribbean Supreme 
Audit Institutions (OLACEFS) in coordination with IDI. After pilot 
testing is completed, the course will be translated and made available 
to other INTOSAI regions. Progress on this program was reported and 
discussed at the annual meeting.

The first two phases of the pilot program have been completed. First, 
from April 28-May 30, 2003, a Regional Workshop for Public Debt 
Auditors was held in Mexico City for 24 representatives from 12 Latin 
American SAIs: Argentina, Brazil, Chile, Colombia, Costa Rica, Ecuador, 
Mexico, Nicaragua, Peru, Panama, Uruguay, and Venezuela. The main goal 
of this workshop was to train instructors so that OLACEFS could count 
on a qualified group of experts to pass on their knowledge to 
colleagues in their own countries.

Second, 7 of the 24 experts involved in the initial workshop were 
invited to participate in the Regional Course Design Meeting, which was 
held in Brasilia, Brazil, from August 18-29, 2003. The purpose of the 
Course Design Meeting was to prepare the documents to be used during 
the pilot course, which is scheduled to be held in Cartagena, Colombia, 
from October 27-November 7, 2003. The 7 experts were chosen with an eye 
to disseminating the public debt auditing expertise across the region.

The next annual meeting of the Public Debt Committee will be in the 
May-June 2004 time frame in Moscow, Russian Federation.


IDI Update keeps you informed of developments in the work and programs 
of the INTOSAI Development Initiative. To find out more about IDI and 
to keep up to date between editions of the Journal, look at the IDI 

Strategic Planning in CAROSAI:

The 6th CAROSAI Congress took place in Bermuda in August 2003, and IDI 
was delighted to report on progress being made in the region towards 
the completion of the Long-Term Regional Training Program (LTRTP). IDI 
was also one of three signatories (the other two being CAROSAI and the 
U.K. National Audit Office) to a Memorandum of Understanding (MOU) that 
was signed during the Congress. The MOU outlines a partnership program 
that will provide the region's SAIs with training and institutional 
strengthening activities over the next 3 years. To emphasize the 
importance of institutional strengthening to the region, the Regional 
Training Committee was renamed the Regional Institutional Strengthening 
Committee and given a wider area of responsibility. A Strategic 
Planning Workshop also took place to provide background material to aid 
in developing an operational training and capacity-building plan for 
the region. In addition, a 3-week design meeting took place in Grenada 
in September 2003, with eight training specialists completing their 
preparations to deliver workshops on financial audit and fraud to 
regional auditors in Trinidad and Tobago in November.

Further Public Debt Training in OLACEFS:

IDI Update has reported the progress of IDI's cooperation project with 
the INTOSAI Public Debt Committee in recent editions. Following the 
delivery of a Public Debt "Champions" Workshop in Mexico in April-May 
2003, which resulted in the formation of a pool of public debt trainers 
and mentors in OLACEFS, the process continued with a Design and 
Development meeting in Brazil in August 2003. The selected "Champions" 
group (from Mexico, Costa Rica, Panama, Colombia, Venezuela, Brazil, 
and Uruguay), alongside subject matter experts from the U.S. General 
Accounting Office and the World Bank and training specialists from 
Mexico and Uruguay, developed a 2-week Public Debt Workshop. The 
workshop will be delivered twice to OLACEFS audit practitioners; the 
first delivery taking place in Colombia later in 2003.

Performance Auditing in ARABOSAI and SPASAI:

ARABOSAI's progress towards its first performance auditing workshop 
continued in August and September 2003 when a performance auditing 
design meeting was held in Egypt. Selected training specialists from 
IDI's recently completed Course Design and Development and 
Instructional Techniques Workshop met with subject matter experts to 
finalize the content of the workshop. The Regional Audit Workshop will 
take place in Kuwait in December 2003.

Performance auditing is also a current issue in SPASAI. A Performance 
Audit Workshop was held in Tonga in May 2003. Jointly funded by the 
Asian Development Bank and IDI, the workshop brought together 27 
participants from 16 audit offices in the region and used seven 
trainers who had participated in another cooperation project between 
SPASAI and IDI in November-December 2002. The trainers were supported 
by an experienced performance auditor from New Zealand and used a case 
study and other methods to help participants draw up a performance 
audit proposal that could be used as the basis for a first performance 
audit study in each of their offices. 30:

Enhancing Anglophone Africa's Network of Training Specialists:

At the end of July 2003, over 40 trainers from SAIs in English-speaking 
Africa attended a regional training symposium in South Africa that was 
intended to help form bonds between trainers. The symposium was 
organised by the AFROSAI-E/ SADCOSAI secretariat and funded by IDI. It 
consisted of networking exercises, discussions on factors that hinder 
the progress of regional trainers in delivering training in their SAIs, 
and practical training sessions on subjects such as coaching, on-the-
job training and presentation software.

Contacting IDI:

If you would like to discuss any of the issues raised in this edition 
of IDI Update, please:

telephone ++47 22 24 13 49 or:


[End of section]


[See PDF for image]

Editor's Note: This calendar is published in support of INTOSAI's 
communications strategy and as a way of helping INTOSAI members plan 
and coordinate schedules. Included in this regular Journal feature will 
be INTOSAI-wide events and region-wide events such as congresses, 
general assemblies, and Board meetings. Because of limited space, the 
many training courses and other professional meetings offered by the 
regions cannot be included. For additional information, contact the 
Secretary General of each regional working group.

[End of figure]

[End of document]