Ghana has dropped further from the grade “C” it scored in 2021 on the independence of its Supreme Audit Institution (SAI) i.e., the Auditor General’s Office to a “D” in the latest World Bank assessment covering the period 2023 to 2024.
According to the World Bank’s Independence and Accountability in Governance report, which evaluates the independence of Ghana’s SAI and the audit recommendation follow-up process, Ghana received a score of 6.5 (a “D”) using the InSAI methodology.
This marks a significant drop from the “C” grade (8.0-8.5/10) Ghana achieved in the 2021 Global Synthesis Report by the World Bank.
The “D” rating suggests moderate SAI independence, indicating that while some independence indicators were met, there is substantial room for improvement.
The assessment, based on benchmarking against international standards and practices, offers recommendations for enhancing the independence of Ghana’s SAI.
Ghana is urged to establish clear Standard Operating Procedures (SOPs) to clarify the audit recommendation follow-up processes for all stakeholders. Additionally, it is recommended to provide Internal Audit Units (IAUs) with necessary training, office equipment, and relevant tracking databases to improve their effectiveness.
The report also highlights the issue of non-implementation of audit recommendations.
“There is the need to refocus attention on all types of audits as required by the laws of Ghana, to encourage and promote probity and accountability in governance and the deployment of limited public resources in the best interest of the public.
The PFM Act, 2016 (PFMA) Act 921 places the responsibility of audit follow-up on Audit Committees, Internal Audit Agencies, Spending Officers, and the Public Accounts Committee (PAC).
Despite the legal requirements, audit recommendations are not effectively followed up on or tracked.’, the World Bank asserts.
The assessment finally calls for Spending Officers to undertake a root cause analysis of audit issues and communicate these clearly to enhance understanding and increase the likelihood of resolution of identified infractions and/or irregularities.