Public Sector Accounting Standard Board (PSASB) and the Institute of Internal Auditors (IIA) on Friday signed a Memorandum of Understanding (MoU) to promote professionalism, facilitate capacity building, research, integrity, and ethical conduct in regard to internal auditing and risk management within the Public Sector.
The signing of (the MoU) between PSASB and IIA sets out a framework for the two institutions to explore opportunities for collaboration in promoting the professional practice of internal audit and risk management in the Public Sector.
Speaking during the occasion, PSASB Chief Executive Officer (CEO) Fredrick Riaga emphasized that the two organizations will leverage their expertise and experiences to support capacity building in the adoption of the International Professional Practices Framework (IPPF) standards by various Public Sector entities.
Riaga added that Public Finance Management Regulations for the National and County Governments require internal auditors to comply with the IPPF as issued by IIA from time to time.
“The regulation also directs internal auditors to follow policies and guidelines issued by PSASB to ensure uniformity and consistency across the public sector,” stated Riaga.
At the same time, IIA CEO Joyce Omima echoed that internal auditing is an independent, objective assurance and consulting activity designed to add value and improve an organization’s operations.
“Internal Auditing helps organizations accomplish their objectives by bringing a systematic, disciplined approach to evaluate and improve the effectiveness of risk management, control, and governance processes. This partnership seeks to enhance that role,” stressed Omima.
The Chairman of PSASB Pius Mungai said that the MoU sets out a framework for the two organizations to explore opportunities for collaboration for their mutual benefit and details the roles of each party to further their interests.
“The two organizations will cooperate and focus on the development and adoption of Internal Audit Standards and Frameworks, promote and monitor the Implementation of the Standards, provide training and capacity-building programs, and offer advisory services to enhance the efficiency and effectiveness of service delivery in the public sector,” said Mungai.
The Chairman noted that the MoU further seeks collaboration to support heads of internal audit within public sector entities in establishing and implementing quality assessment improvement programs with the ultimate objective of assessing the effectiveness and efficiency of internal audit functions and conformance with the standards and code of ethics.
By Venna Onyango and Nice Wambui
