Financial Crime World

Tajikistan Introduces Strict Compliance Audit Procedures in Public Sector

DUSHANBE, July 21 - In a significant move towards enhancing transparency and accountability in the public sector, Tajikistan has introduced a new law governing internal audit procedures for government organizations.

New Law on Internal Audit in Organizations of the Public Sector

The Law on Internal Audit in Organizations of the Public Sector, effective as of today, aims to establish a robust framework for conducting internal audits in state-owned companies, organizations, and institutions that receive budgetary funds.

Key Objectives:

  • Enhance transparency and accountability in public sector organizations
  • Promote good governance and effective use of public resources
  • Support responsible management practices and decision-making

Types of Audits Specified by the Law

The law specifies four types of audits:

System Audit

  • Assess conformity and effectiveness of financial management and internal control
  • Ensure efficient and productive organization activities

Compliance Audit

  • Evaluate adherence to laws and regulations
  • Verify compliance with organizational plans

Financial Audit

  • Examine financial reporting and accounting systems
  • Test the accuracy and reliability of financial information

Activities Audit

  • Test programs, actions, transactions, and structures
  • Assess the efficiency and effectiveness of organization activities

Requirements for Internal Auditors

To be eligible for the position of internal auditor, an individual must have:

  • A higher economic or legal education
  • At least three years of work experience in their specialty
  • Meet specific qualification requirements
  • Adhere to professional ethics codes and maintain independence and objectivity
  • Ensure confidentiality and conduct risk assessments

Impact on Public Sector Organizations

The introduction of this law is expected to have a positive impact on public sector organizations, promoting:

  • Transparency: Enhance accountability and openness in organization activities
  • Accountability: Hold individuals responsible for their actions and decisions
  • Good Governance: Ensure effective use of public resources and promote economic development and social welfare