Parliament Seeks Assurance on Government Procurement
In an effort to boost transparency and accountability, the Bhutanese Parliament has called for an audit on government procurement procedures and controls. The audit aims to provide assurance that financial information related to procurement is reliable and relevant.
Audit Objectives
- Assess compliance with procurement rules and regulations
- Evaluate the effectiveness of internal controls and risk management practices
- Provide reasonable or limited assurance to Parliament that government agencies have used funds allocated for procurement purposes in accordance with applicable authorities
Audit Engagement
The audit will be conducted by the Royal Audit Authority (RAA), which has been tasked with providing assurance on government activities. RAA officials will gather sufficient and appropriate evidence to support their conclusions, which will be presented in a transparent manner.
Types of Audit Engagements
- Attestation engagements: The responsible party measures the subject matter against criteria.
- Direct reporting engagements: The auditor evaluates the subject matter themselves.
In this case, RAA officials will measure government procurement practices against relevant laws and regulations, providing assurance on compliance with applicable authorities.
Audit Process
The planning of the audit assignment involves:
- Policy and risk review: Ensuring that selected topics or areas reflect risks, public interest, and potential value addition.
- Identification of potential audit tasks using both bottom-up and top-down approaches.
- Screening through pre-established criteria to determine priority.
RAA officials must also ensure compliance with the code of ethics, assess ethical threats and safeguards, and declare any conflict of interest.
Expected Outcome
The audit report is expected to provide insights into areas of strength and weakness, as well as recommendations for improvement. The report will be presented to Parliament in due course.
Impact on Transparency and Accountability
The audit is seen as a crucial step towards enhancing transparency and accountability in government procurement practices, which will ultimately benefit the people of Bhutan.