Gov’t Provides $89 Million For Backlog Audit Project

The Government has allocated $89 million to the Auditor General’s Department (AGD) to clear unaudited financial statements of public entities under a ‘Backlog Audit Project’.

Minister of Finance and the Public Service, Dr. the Hon. Nigel Clarke, made the disclosure while opening the 2022/23 Budget Debate in the House of Representatives on Tuesday (March 8).

He said that the project will entail municipal corporations, statutory bodies, executive agencies, and some internationally funded projects, as well as the annual appropriation accounts of ministries and departments.

“These audits are undertaken to express an opinion on whether the Financial Statements/Appropriation Accounts prepared and presented by management are free from material misstatements and are presented in accordance with the applicable financial reporting framework,” he noted.

Dr. Clarke said that timely annual audits are important in building trust in public institutions.

He said that in a democratic society, institutional arrangements must always be in place to foster and increase public confidence, and “the greater the public trust that exists, the more a Government can do in the interest of the people”.

“One institution whose existence is particularly critical to public trust is the Office of the Auditor General,” he noted.

The Minister reported that as at March 2021, unpresented financial statements amounted to 348, spanning financial years 2008/2009 to 2019/2020. Of that number, 188 represent Appropriation Accounts and 160 represent the Financial Statements of public bodies.

“This is unacceptable. To facilitate compliance with the law and to improve the public financial management landscape, the backlog of Financial Statements/Appropriation Accounts must be cleared,” he said.