Japan’s Board of Audit Issues Annual Report to Prime Minister

On November 9, 2018, Dr. Mari Kobayashi, Acting President of the Board of Audit of Japan (the Board), submitted the Fiscal Year 2017 audit report to Prime Minister Shinzo Abe. The audit report, containing results on audits the Board conducted in 2017-2018, includes final accounts of annual expenditures and revenues of state and government-affiliated institutions.

After the submission to the Cabinet, the Cabinet, in turn, provided the audit report to the Diet (Japan’s bicameral legislature) together with the final accounts of the state’s expenditures and revenues. This audit report contains 374 audit cases resulting in 115.6 billion yen (approximately $1.03 billion dollars) of “improper amounts.”*

The Board continuously conducts agile, flexible audits and responds to issues in a timely and appropriate manner. In this audit report, the Board noted issues on several matters, including:

• Securing the safety of citizens’ well-being;
• Social security;
• Implementation systems and effective management of schemes and projects;
• Proper and fair systems and projects operation;
• Assets, funds and stocks;
• Proper budget execution and appropriate public accounts management; and
• Environment and energy related issues.

Throughout the year, the Board reports to the Diet and Cabinet at any time on issues which the Board has (1) presented its opinions, (2) demanded to take measures, or (3) found specific needs to audit for that fiscal year. In 2017-2018, there were 7 cases that fell into these categories. Likewise, the Board may conduct an audit of specific matters requested from the Diet under the Diet Law and report the results (the Board reported 3 cases to the Diet in 2017-2018 in this category).

*For a definition of “improper amounts,” please visit www.jbaudit.go.jp/english. Contact the Board via email: liaison@jbaudit.go.jp or web: http://www.jbaudit.go.jp/english/ for additional information.

Feature photo: Acting President of the Board of Audit, Dr. Mari Kobayashi (left) and the Prime Minister of Japan, Mr. Shinzo Abe. Source: Official Website of the Prime Minister of Japan and His Cabinet