The Ministry of Finance will draw up a State Internal Financial Control Development Program for 2023-2026.
This is stipulated by the government order approved following the endorsement of the Consolidated Annual Report on State Internal Financial Control for 2022. The prepared reports revealed a number of problems related to the sphere of state internal financial control. Thus, there is little progress in the development of internal management control systems in public bodies and institutions, and internal audit in the public sector is not fully functional. The perception of public internal financial control as a reform related exclusively to public finance, as well as management culture and current practices based on a centralized control model limit the involvement and commitment of managers of various levels of public administration in the development of sound internal management control systems. In addition, the creation of few internal audit units at the level of public administration bodies reduces their ability to systematically assess the entire area of the entity and to implement professional standards in terms of ensuring the quality of internal audit activities. To solve these problems it was decided to approve and implement an action plan for the development of internal management control - this will allow meeting the National standards of internal control and eliminate systemic gaps identified by the annual self-assessment. It is planned to develop the competencies of operational managers in organizing effective internal management control systems, as well as to develop the professional skills of internal auditors by encouraging their participation in the Internal Audit Training and Certification Program in the public sector. The Ministry of Finance will elaborate a Program for development of public internal financial control for 2023-2026, setting the directions and scenarios for medium-term development; will elaborate minimum criteria for defining the size of internal audit units of central public authorities (currently 1-2 persons, often combining internal audit functions with other job duties); will improve the certification and skill development system for internal auditors in the public sector and digitize process development All central and local public administration authorities will have until March 10, 2024 to report on implementation of the set objectives. // 29.06.2023 – InfoMarket
