EXECUTIVE SUMMARY - World Banksiteresources.worldbank.org/...1276273003848/...Final_E… · Web...

Africa Regional Workshopon

Promoting Accountability and Integrity in Government Spending

World Bank / African Organisation of English Speaking Supreme Audit Institutions (AFROSAI-E)

Johannesburg, South Africa, 6-9 April 2010

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Table of contents

EXECUTIVE SUMMARY...........................................................................................................................3

SESSION 1. INTRODUCTION AND OVERVIEW........................................................................................6

SESSION 2. ‘PERCEPTION VERSUS REALITY’..........................................................................................8

SESSION 3. ACCOUNTABILITY AND INTEGRITY ISSUES IN GOVERNMENT SPENDING IN AFRICA.........10

SESSION 4-5. GOOD PRACTICES IN ACTION: ACHIEVEMENT IN IMPROVING ACCOUNTABILITY AND INTEGRITY IN GOVERNMENT...............................................................................................................12

SESSION 6. SUPPORT FOR ACCOUNTABILITY AND INTEGRITY IN PUBLIC SPENDING...........................20

SESSION 7. CHALLENGES AND ACTIONS TO OVERCOME OBSTACLES.................................................22

SESSION 8. FOSTERING ACCOUNTABILITY AND INTEGRITY AT THE NATIONAL LEVEL........................23

SESSION 9-11 PLENARY DISCUSSION ON THE CHALLENGES AND GOOD PRACTICES..........................24

SESSION 12 PARTICIPATION IN REGIONAL AND INTERNATIONAL NETWORKS..................................29

SESSION 13 AND 14 INCORPORATING IDEAS FROM THE WORKSHOP INTO ONE’S OWN ORGANISATION AND COUNTRY...........................................................................................................32

SESSION 15. WAY FORWARD AND EVALUATIONS..............................................................................33

ANNEXURE 1. WORKSHOP RESOLUTIONS...........................................................................................34

ANNEXURE 2. COUNTRY COMMITTMENTS..........................................................................................37

EXECUTIVE SUMMARY

The purpose of this report is to provide a summary of key highlights and decisions of a workshop on Promoting Accountability and Integrity in Public Spending. The event was cosponsored by the African Organisation of English Speaking Supreme Audit Institutions (AFROSAI-E) and the World Bank. It was designed to enable 85 participants from 171 Anglophone, Francophone and Lusophone African countries, continental and regional organisations, and donors to present their accomplishments, to share their knowledge and experiences in the region and to identify shared challenges and common interests. Delegates came from a variety of oversight institutions including Public Accounts Committees (PAC) and Finance Commissions of parliament, Supreme Audit Institutions (SAI) and Anti-Corruption Agencies (ACA).

Workshop Objectives:To improve the knowledge of participants from key organisations about approaches and institutional arrangements that promote accountability and integrity in public spending, and to foster new and stronger national

and regional partnerships amongst accountability and integrity organisations.

In his opening speech Terence Nombembe, Auditor General of South Africa, stated that implementation of reforms is a problem in Africa that needs priority attention to realise long due results. He emphasised that government organisations - including Auditors General - should evaluate their own performance in terms of their impact on people’s lives.

The need for increased cooperation amongst accountability and integrity organisations has emerged as an important matter in recent years resulting in mechanisms aimed at mobilising and coordinating needed actions on international, regional and country levels. The workshop included presentations on the roles, functions and challenges faced by key networks including:

African Union Advisory Board on Corruption Southern Africa Development Community Organisation of Public Accounts Committees

(SADCOPAC), African Organisation of Supreme Audit Institutions (AFROSAI) East African Association of Anti-Corruption Authorities African Parliamentarians’ Network Against Corruption.

In his keynote speech Tony Hegarty, Chief Financial Management Officer of the World Bank pointed out that poverty levels have increased due to the global economic recession. Increasing levels of poverty, lack of integrity and political will were identified as underlying challenges throughout the workshop – being a fact of life in many countries in Africa. Accountability and integrity are essential and transparent, well-functioning governments are essential for addressing poverty.

Integrity, as explained by Dr. Frene Ginwala Chair of the Africa Union Advisory Board on Corruption “denotes a higher code of personal or inherent probity that goes beyond legal prescripts. This, she added, sets it apart from the concept of accountability which is largely rules based, flows from the

1 South Africa, Kenya, Tanzania, Rwanda, Uganda, Ethiopia, Mozambique, Mauritius, Zambia, Cameroon, Nigeria, Ghana, Benin, Burkina Faso, Senegal, Cape Verde, Botswana

responsibility that an institution or person is charged with, or a responsibility that is assumed, and requires acceptance of an obligation, responsiveness, reporting, and explanations for actions. She also stated that: ‘The illicit transfer of funds from the continent over the last eight years appears to be in the order of $500 billion - resources that should have been available for building houses, clinics, schools, and roads, and creating the jobs’. To fight corruption the equal role of civil society and the private sector in fighting corruption needs to be acknowledged.

Discussions concentrated on the roles and functions of the different oversight and accountability institutions represented at the workshop and the challenges and actions required to bring about practices to enhance accountability and transparency in African governments. Different practices in Anglophone, Francophone and Lusophone contexts were highlighted during the presentations. It was found that despite differences in the institutional setup of governments, the functions, objectives and key challenges of SAIs, PACs and ACAs have been largely similar.

It was evident that many African countries have accountability and integrity achievements to their credit, some of which were shared by the delegates during the workshop. Examples included:

The extensive educational campaign and cooperation with the public for enhanced accountability in Rwanda

Three specialized accounts committees in Tanzania; the traditional “Public” Accounts Committee, one dealing with Local Government and one for public agencies, each chaired by a member from an opposition party.

The system of administrative sanctions applied by the SAI of Mozambique for legal non-compliance

Introduction of whistle-blowing in Burkina Faso The integrated and forward-looking approach adopted by the SAI of Uganda in auditing the

meeting of Commonwealth Heads of Government ensuring accountability for a large, publicly funded activity.

The Inter-Agency Forum in Uganda chaired by a Minister and including the organisations key to the exercise of accountability and integrity in government.

At the end of the workshop the participants agreed several key points and undertakings (Refer to Annexure 1 for the complete set of resolutions):

African parliamentarians, auditors-general, and “corruption hunters” can learn from and support each other by participating in African networks. It is important to foster new and stronger national and regional partnerships among the continent’s oversight, accountability, and integrity organizations

Overseeing public spending when public funds are mismanaged can be dangerous. Transparency and cooperation with civil society, the media, and the international community not only are helpful, but can serve to protect corruption hunters and their families from political interference or retaliation

The top levels of the political power structure across political parties set the example of integrity that will be followed in government and across society

Parliamentarians sitting on Public Accounts Committees and Finance Commissions need to put the public interest and the welfare of citizens before political party interests

Auditors-general should be independent of the Executive in every respect—legally, financially, and operationally

Auditors-General need to communicate effectively and collaborate with the public and the media

Anticorruption agencies should promote the public disclosure of the assets and liabilities of senior public officials, including politicians

Development partners confirmed their commitment to continue supporting African oversight, accountability, and anticorruption agencies and their regional networks and communities of practice.

After the sharing of experiences the delegates were requested to compile country-specific undertakings and commitments relating to their specific institutions, national and regional networks and measures needing action or support from development partners. (A summary of these country commitments is included in Annexure 2).

According to participants’ feed-back and the evaluations, the workshop achieved its objectives in raising awareness and promoting much needed cooperation in the region.

SESSION 1. INTRODUCTION AND OVERVIEW

In his opening remarks Terence Nombembe, President, AFROSAI-E and Auditor General of South Africa talked about the SAIs’ environment. Given that the objectives and requirements of national development are clear, the most pressing issue at this stage is to concentrate on the implementation of initiatives.

Turning points in the development of public sector auditing:

The first turning point was the International Congress of Supreme Audit Institutions (INCOSAI) accepting the need for a strategic plan (INCOSAI Budapest, 2004)

Professionalization of the work of auditors, establishing a Professional Standards Committee focusing on the public sector. Greater transparency and accountability is promoted via public-sector-specific practice notes.

Several milestones still need to be achieved by SAIs. INTOSAI has taken the lead to build capacity in SAIs via the INTOSAI Development Initiative (IDI). Areas of concern include:

Requirement for improved communication Auditors General and their institutions need to lead by example Focus should be placed on independence and objectivity (Lima declaration).

The role of civil society institutions, the relationship between SAIs and civil society – more emphasis needs to be placed on these relations and more research is needed to learn how to strengthen them.

Themes for the November INCOSAI meeting: Why do we consider ourselves useful and adding value to society? To what extent are SAIs able to be model organisations? What does it take to capacitate SAIs to be able to achieve their goals? How do SAIs demonstrate their effectiveness? How do SAIs improve the quality of life of citizens?

The role of the donor community in INTOSAI’s capacity building is vital as without their funding capacity building will not be achieved.

On a regional level AFROSAI consists of English, French and Arabic speaking sub-groups playing equally important roles. The implementation of AFROSAI’ strategic plan is a high priority; it includes strengthening communication among secretariats and building capacity. In order to achieve the agreed goals effective communication of available information is essential.

An ability to coordinate is required to lead the implementation of plans. At this juncture, results are long overdue -- action and visible results are required.

In his keynote speech Tony Hegarty, Chief Financial Management Officer of the World Bank talked about poverty as a global challenge and the impact of the international financial crisis on increasing levels of poverty. The vision of the World Bank is to contribute to an inclusive and sustainable globalisation, to strengthen governance by introducing robust systems including Supreme Audit Institutions (SAIs), Public Accounts Committees (PACs) and other institutions.

Capacity building needs to be sustainable. Local ownership is crucial in building institutions to fight corruption, deliver services and provide assurance that funds are used as intended. Country systems for financial management and oversight include SAIs, PACs, Anti-Corruption Agencies (ACAs).

These accountability and integrity institutions have important functions such as ensuring the effective use of public resources, good governance, prevention of corruption, oversight of domestic and donor funds and an overall accountable government.

Many challenges have been noted that prevent these institutions from functioning effectively. As an example, well-functioning ACAs rely heavily on the criminal justice system and political support. SAIs lack financial and human resources that constrain their capacity; they often lack independence and a strategic approach to their work as well. A lack of political leadership underlies many such problems. Initiatives to address these challenges tend to focus on short-term training rather than the thornier issues and long-term capacity building.

The World Bank’s commitment to help address the challenges faced by SAIs is set out in the October 2009 Memorandum of Understanding with INTOSAI. Support is provided on 3 levels of a pyramidal structure for: INTOSAI, the regional Bodies including AFROSAI and for individual SAIs.

The way forward is to achieve effective partnership between major role-players including donors in order to reach government entities, strengthen governance and enhance oversight.

Gerard Byam, Director, Operations Policy and Services, East & Central Asia Region of the World Bank asserted that the key task of governments is to create able institutions and make sure that they are accountable.

In terms of integrity and accountability in public spending in Africa three main challenges have been identified:

Variation of performance across different financial management systems The upstream phase of budget preparation is stronger than the downstream phase because of

weak systems of accountability. There is insufficient political support for fighting corruption; this is exemplified inter alia by weak

legal frameworks and ACAs that lack the capacity to carry out their mandates.

To overcome these challenges systems and structures of accountability that include PACs, SAIs and ACAs, public revenue collection and procurement practices and transparent reporting need to be strengthened. Assistance from the World Bank and other development partners may take many forms including grants and lending, formal and informal technical assistance and monitoring of performance.

SESSION 2. ‘PERCEPTION VERSUS REALITY’

The main purposes of the workshop were summarised as: sharing successful practices and identifying examples of what works and what doesn’t work to promote accountability and integrity in public spending, and to foster new and stronger national and regional partnerships amongst accountability and integrity organizations. Groups sharing experiences came from different backgrounds representing different models of government from English, French and Portuguese speaking countries. They were united in their aim to share knowledge and to improve co-operation within the region.

During the group session participants described their understanding of the roles and functions of PACs, SAIs and ACAs in their own countries. Although there are differences among countries, the main role of these institutions was understood to be similar in most respects. These main roles and functions as identified by the participants are listed below.

Public Accounts Committees / Finance or Other Committees of Parliament have the functions of:

Study and review reports of the Supreme Audit Institution Interview members of the executive branch of government on key issues Task special investigations Hold government/executive accountable Provide assurance to the legislature Create a strong constitutional/legal and operating framework for other agencies including

SAIs and ACAs Promote increased collaboration with SAIs and other agencies when needed Provide recommendations to Parliament Monitor the administration of codes of ethics and corrupt practices.

The role of the Finance Committee in Francophone Cameroon The role and functions of the Finance Committee in fighting corruption includes: Review the budget law before it is approved Review the budget execution law and recommend for or against its approval Oversee budget execution – require audit of budget implementation in certain cases.

Identify criminal cases.

Supreme Audit Institutions are established to promote:

The proper and effective use of public funds; The development of sound financial management; The proper execution of administrative activities; and The communication of information to public authorities and the general public through the

publication of objective reports.

Anti-Corruption Agencies have one or more of the following core functions:

Prevent corruption Educate or sensitise the public about corruption Identify cases of corruption Investigate cases of corruption based on accusations or reports from citizens, business, non-

governmental organisations or other agencies or government

Prepare reports and follow-up recommendations Prosecute corruption cases.

PRESIDENTIAL AND PARLIAMENTARY MODELS OF GOVERNMENT:

Presentation by Renaud Seligmann Financial Management Specialist, World Bank

The differences in accountability structures and practices in Francophone and Anglophone countries were outlined. Are differences greater than similarities?

On an overall level countries with Parliamentary and Presidential systems seem to rate similarly on the Public Financial Management Performance Measurement Framework (PEFA) evaluations that are conducted collaboratively by the World Bank and borrowers. Closer examination of budget preparation and execution, reporting, internal and external audit and oversight have revealed the following main differences:

Differences in the legal basis for budget preparation Responsibility for budget execution and financial reporting in Parliamentary systems lies

with individual accounting officers, the public servants who head line ministries. In the Presidential system these responsibilities lie with the Minister of Finance, a politician.

The external auditor in Presidential systems has sanctioning powers Parliamentary oversight is more prominent in the Parliamentary system.

Notwithstanding such differences there are many joint challenges applicable to both systems. It is important, however, to keep country contexts in mind, to learn from each other and to implement good ideas.

SESSION 3. ACCOUNTABILITY AND INTEGRITY ISSUES IN GOVERNMENT SPENDING IN AFRICA

Presentation by Dr Frene Ginwala, Outgoing Chairperson, African Union Advisory Board on Corruption

Dr. Ginwala set the scene for the Workshop with her inspiring speech on accountability and integrity in government. The African Union Advisory Board on Corruption (AUABC) has been in operation for 2 years and 30 member countries have ratified the AU Convention on Preventing and Combating Corruption (AUCPCC).

She started off by pointing out that the ‘Illicit transfer of funds from the continent over the last eight years is likely to be in the order of $500 billion’. Some of these outflows represent illegal activities resulting in citizens being deprived from needed services such as housing, clinics and schools. She went on to assert that integrity denotes a set of personal values, beliefs and morals that permeate one’s being. It constitutes a higher code of personal or inherent probity that goes beyond legal prescripts.

This sets it apart from the concept of accountability which is largely rules based. Accountability flows from the responsibility that an institution or person is charged with or a responsibility that is assumed. Accountability requires acceptance of an obligation, responsiveness, reporting, and explanations for actions.

In principle accountability is the key indicator of good governance requiring:

Common understanding by all players of concepts and rules Capacity to perform assigned responsibilities – the public sector battles to retain skills as the

private sector is often more lucrative.

Oversight institutions play a vital role in assuring accountability; the following aspects were highlighted as needing to be addressed:

Empowerment of PACs by Parliament through enhancements to the legal framework in which they operate, professional and technical capacity, increases in their financial and other resources, and improvements in their methodology.

Protection of PAC members when performing duties that hold public officials accountable. The fact that PACs reports sometimes get filed and are not always acted upon. Holding members of professions such as auditors accountable (following on the Enron,

Worldcom and other examples). An operational oversight framework should be in place to ensure such accountability.

The African Union Convention on Preventing and Combating Corruption came into effect in August 2006. Its aim is to reduce illicit enrichment of public servants through, for example, systematic declarations of assets and liabilities.

Anti-corruption agencies also play an important role in fostering accountability and integrity. These organisations take different forms from country to country and have varied levels of independence, power and effectiveness.

The following questions were raised:

What are the essential requirements for an anti corruption agency to be effective?

What powers should an ACA have – for example, in terms of access to information or authority to prosecute?

How much independence should it have before having too much influence?

How should anti-corruption agencies be funded?

What is corruption? Does it apply only to those receiving bribes, only to those receiving them, or to both parties? Perceptions on this issue differ vastly.

Why is it that some governments forbid corruption in their own countries, and decry it in others, but allow the payment of bribes as a tax deduction when it supports exports?

The AUABC is charged with monitoring and assisting member countries to implement the Convention, Article 5 of which provides for signatories inter alia to:

Establish, maintain and strengthen independent national anticorruption authorities. Adopt legislative and other measures to create, maintain and strengthen internal

accounting, auditing and follow-up systems, in particular, in the public income, custom and tax receipts, expenditures and procedures for hiring, procurement and management of public goods and services.

Adopt legislative and other measures to protect informants and witnesses in corruption and related offences, including protection of their identities.

Adopt measures that ensure citizens report instances of corruption without fear of consequent reprisals.

Adopt and strengthen mechanisms for promoting the education of populations to respect the public good and public interest, and awareness in the fight against corruption and related offences, including school educational programmes and sensitization of the media, and the promotion of an enabling environment for the respect of ethics.

The following important issues were noted:

Prevention of corruption commences with educating and involving the public. In a sense corruption has created a pervasive culture of acceptance in some societies and integrity needs to be brought back into play. The demand for fighting corruption should emanate from an aware, involved and demanding public.

Public education should embrace all public spheres at the same time, not distinct or isolated elements.

Consultants and contractors who have been found guilty of corruption should be barred by international organisations such as the WB to be eligible for contracts they are financing.

Institutions should also be accountable to the public (citizens) in general, i.e., accountability is not only upwards, or to peers and the opposition, it is also downwards to the people. Accountability should be practiced responsibly and not taken out of context. This is an area where the media plays a crucial role.

Strong and ethical leadership, political will and commitment are necessary to achieve good accountability.

SESSION 4-5. GOOD PRACTICES IN ACTION: ACHIEVEMENT IN IMPROVING ACCOUNTABILITY AND INTEGRITY IN GOVERNMENT

Presentations from different organisations including Parliamentary oversight bodies, SAIs and ACAs.

PUBLIC ACCOUNTS COMMITTEE PRESENTATIONS

Presentations from Uganda, Tanzania and Senegal demonstrated different approaches for exercising accountability. Challenges faced and successes were shared during this session.

PAC UGANDA

Presentation by Hon. Nandala Mafabi

In the Ugandan government 85% of the PAC’s work depends on the Auditor General’s report. In fighting corruption the PAC is supported by the Criminal Investigation Department (CID) and the CID-PAC Squad was established and tasked to investigate any instances of corruption, embezzlement or outright theft identified through the audit process. Good practices include public hearings with the Accountant General, the Auditor General, CID officials and the media in attendance. There are many success stories including corruption cases in different stages of investigation and prosecution.

Challenges identified:

The necessity of political will Classified expenditure cannot be audited Members of Parliament fear elections as they are threatened Lack of capacity and training of PAC members to understand issues of accountability

THE RESIGNATION OF THE PRIME MINISTER AND THE DISSOLUTION OF CABINET, ENERGY CRISIS IN TANZANIA AND THE WORK OF THE PARLIAMENTARY SELECT COMMITTEE

Presentation by Dr. Harrison Mwakyembe, Chairperson, Select Committee on Energy, Tanzania

By the end of 2005 it was clear that Tanzania was sliding into a serious power-shortage crisis. At the time low water levels were causing national power failures and immediate actions became necessary. The need for gas turbines to generate emergency electricity became obvious. The Cabinet’s decision to lease gas turbines was not taken on board by the Minister of Energy and Minerals, instead, the existing agreement for the lease was cancelled. The tender was immediately announced for the purchase of power generators under the Public Procurement Act of 2004 disregarding the advice received from the Public Procurement Regulatory Authority (PPRA) to opt for the “international shopping” method. Eight tender documents were submitted and a Selection Committee was formed to evaluate them. Initially, all eight companies failed against the criteria set but they were re-evaluated with almost 50% of the initial criteria dropped. After due consideration the tender board suggested that government should rather follow the recommended ‘international shopping’ method of selection as none of the tenders possessed the required competencies. However, the tender board was dismissed by the Minister of Energy and Minerals and the newly formed Special Committee and a Team of Experts were formed to re-evaluate the tenders. After this process was finalised the contract was awarded to an American based company. The obviously false claims of previous achievements and experiences by the company were overlooked during this process.

While the country was in darkness as hydro-energy systems collapsed the much needed emergency gas turbines never arrived. Finally, after a list of damning decisions, disregard for law, authority and professional advice, questions were raised in Parliament about the tendering process. A Select Committee was created consisting of 5 members tasked with establishing an identity for the America-based company and evaluating both the tendering process government followed and the contract that was issued. The investigation concluded that the tendering process was full of non-procedural actions and against national laws and hence resulted in favouritism, embezzlement and the possibility of corruption which, together, have added a financial burden to citizens in the form of increased power costs.

Conclusions and recommendations of the Select Committee

Apparent favouritism by several government institutions Undue influence of high level officials including the Minister of Energy and Minerals in

promoting the selected company both during and after the tender process Serious breach of the Public Procurement Act during tendering Lack of due diligence checks on the credentials of the tenderers leading to the appointment of a

mailbox company with no real experience for a contract of this magnitude. It was recommended that in future government should use the Business Registrations and Licensing Agency to obtain information about the applicants.

Fraud involving government officials including staff of the Prevention and Combating of Corruption Bureau (PCCB) as their report aimed at withholding the truth (white wash). Change of leadership was recommended.

Legal errors were found in the contract illustrating technical weakness on the part of Government.

It was also recommended that government should strengthen its Public Procurement Act enabling the Public Procurement Regulatory Agency (PPRA) better to perform its functions and provide its independence.

This investigation resulted in the resignation of the Prime Minister and consequentially, the dissolution of the Cabinet.

Challenges of the Public Select Committee

Lack of cooperation and leadership Lack of power to conduct criminal proceedings Lack of adequate logistical and technical support including assistance related to the

interpretation of laws Sabotage from within by Committee members, bribes and leaking of reports Protection of members from credible threats to their safety and security.

GENERAL ECONOMY, FINANCE, PLANNING, AND ECONOMIC COOPERATION COMMISSION: SENEGAL

Presentation by Mr. Aly Lo, Chairman, General Economy, Finance, Planning, and Economic Cooperation Commission

The common objective of government agencies and oversight organisations is to fight poverty in the region. The review and passage of the budget law go a long way toward ensuring a culture of integrity and accountability in the public expenditure realm, but the role of oversight and review of the execution of public policy is also very important.

Recognising weaknesses in this area, Senegal’s National Assembly recently started a new initiative involving the organization of public policy evaluation missions. During the recess period, nine parliamentary public policy evaluation and supervision missions were conducted throughout the country with the aim of assessing the impact of the budget on socioeconomic plans and the living conditions of the people. These missions facilitated fruitful dialogue between constituents and their elected officials. Parliamentary representatives were able to engage in actual on-site activities in many areas including forest management, coastal threats as well as the effectiveness of public expenditure on health and agricultural policy.

Measures that could enhance the culture of accountability and integrity include two areas of intervention: first, building the capacity of members to understand the budget and to oversee its execution, improve the administration of parliament to increase its efficiency and effectiveness. The second area relates to expanding the information-related authority of Parliament through the establishment of a Parliamentary Centre that would provide information and analysis about the legal, administrative and financial resources related to the execution of prospective public policies and the evaluation of public policies that have already been executed.

SUPREME AUDIT INSTITUTIONS

SAIs from Uganda, Burkina Faso and Cape Verde presented examples of their achievements.

THE OFFICE OF THE AUDITOR GENERAL OF UGANDA

ACCOUNTABILITY AND RELEVANCE: THE AUDIT OF THE COMMONWEALTH HEADS OF GOVERNMENT MEETING

Presentation by Ms. Keto Kayemba, Deputy Auditor General

Ms Kayemba described the approach and successes achieved in auditing the preparations for the Commonwealth Heads of Government Meeting (CHOGM) in Kampala. The Auditor General adopted a strategic approach based upon early planning and proper understanding of the entire activity. The success of the audit relied on the coordinated approach adopted by the SAI involving specialised audit teams and the engagement of experts to look at specialised areas.

At the end of the audit a consolidated three-part report was compiled on the entire activity:

Financial audit Engineering audit Follow up audit.

Audit reports have been distributed to Anti-Corruption Agencies, the Minister of Ethics and Integrity, the Criminal Investigation Department and the Inspector General of Government.

The CHOGM audit was found to be a success overall, as it has raised accountability to an unprecedented level. Lessons however need to be taken to see what could be done better next time.

Main findings included:

Delayed preparations and late planning for CHOGM lead to late, rushed decisions Flaws in procurement raising issues of integrity Lack of Management comprehension of ‘the after’ including huge outstanding debts,

uncompleted work, no inventory of assets and no strategy on the sustainability of infrastructure

No security over money administered in Public Private Partnerships.

Effects of the audit included:

Increased awareness about accountability Reduced loss of funds Rise in the public profile of the Office of the Auditor General Growth in audit office knowledge and experience.

Challenges of performing the audit included:

The level within the hierarchy of CHOGM activity – Sub-committee of cabinet. Strong audit legislation Capacity of Auditor General and audit staff Requirement to perform a follow-up audit which is not yet complete Understanding of new procurement laws by auditors The activity funding span through various years.

The CHOGM audit demonstrated not only how accountability should be brought about but also how the SAI can increase its own profile by reporting on relevant and topical issues to the public. Currently the report of the Auditor General is being considered by the Public Accounts Committee of Uganda.

THE COURT OF ACCOUNTS OF BURKINA FASO

Presentation by Mr. Henri Bruno Bessin, State Controller General

The Court of Accounts (COA) is a French-model SAI with both judicial and non-judicial functions. Its remit brings together the audit instruments required to verify whether funds have been spent effectively and efficiently, and in accordance with rules and regulations. The COA’s organisational structure comprises three specialised components, each with its own mandate: the Headquarters, with three Chambers; one responsible for the audit of central government operations; a second for local governments; and a third for public enterprises, social security institutions, projects financed by donors or any other organisations that come under the legislation establishing the Court.

The second component is the office of the Prosecutor General; and the third is the Central Registry.

The COA has legal access to the audit and inspection reports of all other audit agencies in government on an as-required basis. It collaborates closely with the Senior State Audit Authority (SSAA) which, in turn organises annual coordination meetings chaired by the State Controller General and that bring together as well the COA, the Inspector General of Finance and the Technical Inspectorates of ministries. In addition, the COA and the SSAA collaborate to allocate strategically their respective magistrates and auditors to maximise the effectiveness of their annual audit programmes.

The COA has benefitted from international and regional assistance. The European Union, in response to a request, financed a diagnostic by consultants specialising in audit and public finance. This led to a multi-year action plan to catch up on audit backlogs, to better take into account the decentralisation of the public service, to assert its independent status and, more generally, to improve and modernise its operations.

In addition, within the context of INTOSAI collaboration, the COA invited the COA of Morocco to conduct a peer review that has also contributed to its multi-year strategy and action plan. The COA is open to assistance from regional and international partners to help surmount the challenges it faces at this pivotal stage in its short history.

Management of public finances in Burkina Faso is divided between “authorising officers” and “accountants.” The authorising officers prescribe the execution of revenue and expenditure, i.e., they establish the entitlements of government bodies, liquidate the revenue, and obligate and liquidate the expenditure”. Their role therefore is to prepare the execution of budgetary transactions, for both revenue and expenditure, and to draw up the order giving the accountant the legal authority to carry out the following transactions:

Collection of revenue; Audit and payment of expenditure; Custody of funds and securities belonging to or entrusted to government bodies; Handling of funds and cash account movements; Book-keeping; Conservation of documentary evidence of transactions and accounting records.

The process for the audit of public finances was summarised as follows:

Budget bill is prepared by government and submitted to parliament for approval (September)

Accounts are produced The Finance Commission receives the accounts file and a copy is sent to the SAI Provisional report is sent to the Minister of Finance for response. Some additional work may be done based on responses. The report is sent to the Prosecutor General where it is examined further. Council will adopt the report and it is printed for each Member of Parliament.

Main audit issues include Ministers’ overspending of their budgets and the fact that loans granted to local communities or high ranking officials are not repaid.

Challenges include:

Accountability of senior public officials is not practised. Public accounts are being submitted later and later giving less and less chance for thorough

examination. Findings should be explained in front of Parliament. Recommendations should be made in

plenary sessions with all members of parliament present and with the Minister of Finance required to attend hearings.

TRIBUNAL DE CONTAS (Court of Accounts) OF CAPE VERDE

Presentation by Mr. Jose Pedro Delgado, Conselheiro do Tribunal

The Cape Verde Tribunal de Contas enforces financial accountability in respect of financial infractions committed by government employees. Enforcement is through fines, or the recovery of assets or goods that have been illegally acquired. The Tribunal de Contas only considers and judges matters involving financial accountability. All of the acts that are categorised as corruption in public administration are covered in the Criminal Code and fall within the jurisdiction of the ordinary courts.

The Tribunal is responsible for preventive and detective oversight and is tasked to form an opinion on public accounts and deliver judgements.

As part of preventative oversight the Tribunal looks at the legality of all contracts, including the contracting of staff for public entities (a responsibility assigned to a specialised unit of the Tribunal).

Detective oversight includes the routine audit of public entities’ accounts.

Challenges and solutions

The main challenge is timely detection and prosecution of irregular activities. Government accounts are produced on an annual basis, but their assessment takes place a considerable time after any wrongdoings have occurred.

Actions to solve this problem have been taken; they include arrangements for external checks of accounts and financial audits of Cape Verde municipalities, as well as embassies and consulates. These are also conducted for teaching and awareness-raising purposes. Closer relationships with Ministry of Finance and Parliament have been established to improve reporting.

ANTI-CORRUPTION AGENCIES

STATE SUPREME AUDIT AUTHORITY, BURKINA FASO

Presentation by Mr. Bruno Bessin, State Controller General, Burkina Faso

The State Supreme Audit Authority has been operational since 2008 as one of several administrative oversight bodies in government. Problems have been experienced with the coordination and visibility of oversight mechanisms.

Preventing fraud is very important in the fight against corruption. The fight should include all administrative levels in government and in the private sector. The following good practices were noted:

Whistle blowing system – a toll-free fraud hotline is in place–it receives hundreds of calls annually triggering investigations.

New control systems have been introduced in government. One for the management of public vehicles has reduced the private use of vehicles by public officials, and a second for monitoring the hours worked by public officials has improved their productivity.

Special training programmes for judges are strengthening their ability to deal with cases involving fraud and financial mismanagement.

Reports are issued to the Prosecutor-Judge and Head of State who are responsible for publishing them immediately. Follow up on the recommendations in the reports is required by law. Reports are being read by the public--this serves as a tool for accountability.

Audit reports from different organisations are now being submitted to the State Supreme Audit Authority where issues are followed up and acted upon.

OFFICE OF THE OMBUDSMAN, RWANDA

Presentation by Mr Tito Rutamerara, Ombudsman

The Office of the Ombudsman is an independent public institution whose objectives are to:

Act as a link between the citizen and public/private institutions Prevent and fight against injustice and corruption Receive and examine complaints and mobilise institutions in order to find solutions Receive declaration of assets of persons involved in public property management Implement the code of conduct. Perform operational audits

A number of good practices were noted in the presentation.

Educational campaigns for the public through workshops Toll-free hotline where people can call and submit their complaints Anti-corruption clubs in secondary schools and in institutions of higher learning, educating

students about the importance of ethical behaviour in public life. In 2008 the Government initiated a “one cow per family” self-help program to improve the welfare of poor people. Soon, there were reports of officials absconding with some of the money. The Ombudsman asked students in the Anti-Corruption Clubs to report instances of misappropriation of funds to his office. The students responded, arrests ensued, and needy families soon began receiving their cows.

Declarations of wealth by senior top public officials including politicians.

The following questions and answers formed part of the discussions after the presentations.

1. How can anti-corruption agents be protected and secured in their positions?

Pressure from donors Establishing international clubs that provide sanctuary for anti-corruption officials who are

under threat Announce findings publicly and use the media and public pressure as a tool to promote

transparency and accountability.

It was mentioned that fear for one’s job or life, and threats to family members, may affect performance. Agents need to use their own judgment and have pride in performing their jobs properly. Is it possible to fulfil such a post effectively whilst living in constant fear?

2. To what extent can a sound legislative framework protect Anti-Corruption Agents?

Examples were shared including South Africa and Madagascar where solid legislative frameworks on their own were not enough to protect anti corruptions agents and agencies. Appropriate laws need to be approved and applied with the support of political will.

3. How long does it take to fight corruption?

Progress in fighting corruption should be acknowledged. In the last 20 years many government officials have been sentenced and imprisoned for charges of fraud-- Senegal and Nigeria were mentioned as examples. Strong legislation supported by political will is essential for the success of any anti-corruption initiative.

SESSION 6. SUPPORT FOR ACCOUNTABILITY AND INTEGRITY IN PUBLIC SPENDING

Presentation by Frannie Léautier, Executive Secretary, African Capacity Building Foundation (ACBF)

Ms. Léautier described the history and mandate of the (ACBF).

The objectives of the ACBF

The ACBF is an autonomous NGO with Africans as full partners for the development of the capacities needed for policy analysis and economic management. The role of the ACBF is concentrated on capacity building that aims to achieve long-term shifts in behaviour and skills. Objectives include to:

Develop a cadre of decision-makers to undertake strategic decisions on policies and implementation in development

Establish partnerships between Africa and its development partners Share knowledge and experiences in capacity development.

To achieve these objectives the ACBF has taken on the following roles:

Developing and coordinating processes that foster in-country capacity Select and fund activities and institutions to deliver critical capacities Network existing entities including economic and research entities as well as governments Mobilizing funding and technical resources and managing its own projects and programs in the

critical areas of capacity needed for Africa’s development

Mechanisms applied in capacity building

Helping with start-up capital Networking to scale (organisational, individual, country or regional level, including Pan African

Parliamentary network) Patient capital for success where projects on organisational and individual levels are supported

over many years. A large percentage of senior African government officials have benefited from ACBF-funded training initiatives.

Supporting dynamic oversight entities, e.g., Uganda: ACBF grant triggered government investment in the Economic Policy Research Centre)

Partnerships for policy analysis and learning.

Lessons learned:

Shifted away from policy level issues to support middle management and middle level of public administration

There is a need for monitoring through statistics Creating demand for accountability and transparency is essential Dialogue and participation, e.g., civil society’s voice need to be heard Parliamentary strengthening projects were more successful on a regional level than on a country

level.

Problems in ACBF included non-compliance with laws and regulations, which can lead to fraud and corrupt practices. Management action plan embraces risks and controls, governance, finances, ICT, people, strategy communication.

How to change?

Solution is not only to prescribe more in terms of legislation but to inspire and lead people Results need to be shown over time Independent verification is necessary at the end.

Products and services are offered with the objectives to build capacity and ensure that public finances are efficiently spent, measured and monitored. ACBF instruments include:

Grant Making Upstream Capacity Development Assessment Technical Advisory Services Knowledge Management and Knowledge Networks Skills Development Services.

SESSION 7. CHALLENGES AND ACTIONS TO OVERCOME OBSTACLES

During this session delegates were divided into separate groups for PACs, SAIs and ACAs. The groups were requested to identify challenges and good practices to be presented during the afternoon plenary session.

SESSION 8. FOSTERING ACCOUNTABILITY AND INTEGRITY AT THE NATIONAL LEVEL

ANTI-CORRUPTION INTER-AGENCY FORUM, UGANDACollaboration of anti-corruption agencies on a national level

Presentation by Justice Jotham Tumwesigye, Supreme Court, Uganda

Historical institutions for fighting corruption included the Ombudsman, Director of Public Prosecution, Criminal Investigation Department, and Auditor General.

In 1998 the position of Minister for Ethics and Integrity was created. Key role-players met under the leadership of the new Minister and decided to establish a forum to coordinate the anti corruption fight. This led to the creation of the Inter-Agency Forum. The Judiciary was part of the Forum, but the Public Accounts Committee declined the invitation to be a member, so the Forum to date has represented just two of the three branches of government.

Objectives and achievements of the Forum

1. The Forum was to plan and coordinate all relevant agencies in their activities to fight corruption without affecting members’ ‘independent’ status.

2. Review summary reports from member Agencies.3. Prepare comprehensive national anti-corruption strategies and action plans (three completed to

date)4. Link institutions, agencies and political organs to work together and avoid overlaps.5. Spearhead anti corruption legislation, review related legislation and mobilise / inform the

population. New initiatives promulgated under the leadership code of conduct included a declaration of assets and liabilities for public leaders.

7. Lobby donors as a coordinated group instead of as individual institutions / agencies. Participated in the drafting of the United Nations and African Union conventions against corruption. The Forum was considered to be a very good way to express a national view and achieve better results.

8. Spearheaded the creation of the Anti-corruption division of the High Court (the judiciary was not interested in prosecuting corruption cases).

Challenges

1. Security of anti corruption officers is paramount.2. Participation in the Forum is voluntary and not always followed by agencies. Laws would help in

this regard.3. Some members send junior staff who cannot represent or participate effectively4. Capacity should be strengthened.5. The declarations of assets and liabilities should become public information subject to public

scrutiny and follow-up. There have been many cases where prosecution has been achieved, but there are still many officials who have not yet been prosecuted.

6. The extent to which confidential information can be shared among agencies.

SESSION 9-11 PLENARY DISCUSSION ON THE CHALLENGES AND GOOD PRACTICES

Public Accounts Committees – summary of group discussions and feedback

Challenges Good PracticesWork is very confined to the audit reports Work should be extended to other aspects as in

the case of the Select Committee in Tanzania Lack of resources, capacity and integrity of members in terms of: Lack of capacity to deal with complex

financial / corruption issues Alignment with the interests of political parties

rather than the public interest, and Appointment of members by the Executive,

thus undermining independence and objectivity

Local councils to oversee local authorities consistent with the Tanzanian example whereby there are parliamentary accounts committees on three levels including a Public Accounts Committee, a Local Government Accounts Committee and a Parastatal Organisations Accounts Committee

Appropriate resources should be provided to perform duties

PACs should be allowed to get outside funding when existing funding is not sufficient

Criteria should be developed for the selection and confirmation of potential PAC members

PAC should be headed by a member of the opposition as a good practice

Members of PACs should be seconded to other institutions to gain experiences

Structured training programs for PAC members including working with Parliamentary Oversight Committees and Networks to learn from peers.

Executive not responding to the recommendations of parliamentary oversight committees

Legislative framework (for example, Public Finance Act, Accountability Act) should provide for follow up including a strict period for response by executive.

SAI should provide periodic reports on the implementation of recommendations

Independence and the ability to protect membersCircumstances that constrain effectiveness, e.g., lack of time to consider the budget in light of legislative requirements and SAI reports

Audit reports should be examined and discussed before the budget is approved

Adequate time should be providedIneffective communication with stakeholders Policies and procedures should provide for most

hearings/meetings to be held in public

Effective communication with peers and

Challenges Good Practicesstakeholders

Key relevant and topical issues should be identified and addressed

Extensive training and terms of membership in line with the terms of Parliament

Various accountability agencies do not cooperate as effectively as they could

Formal coordination forum for PACs SAIs ACAs and others

Formalised mechanisms to ensure timely reporting of suspected criminal cases.

Insufficient secretariat support in terms of numbers and capacity

Staff should be assigned on a permanent basis

Discussions regarding the qualifications of members included comments from Zambia where the Auditor General always attends the PAC meetings to provide advice and prepare questions. Qualifications of PAC members is therefore not considered a pressing issue in Zambia.

Supreme Audit Institutions

Aspect Challenges Good Practices

Independence SAI reporting to the Minister of Finance, not to Parliament

Financial and human resource dependency on government

Lack of leadership and political will – lack of support from government

Lack of an adequate legislative framework for a number of SAIs

Legal framework: Public Audit Acts guaranteeing independence with Tanzania, Uganda and Kenya being mentioned as examples where budgets of SAIs are prepared without the involvement of the Ministry of Finance.

Solicit support from Parliamentary oversight committees and donors to obtain the necessary legal framework

Additions by Francophone countries

Recognition of SAI

Differences between form and practice

Submit to INTOSAI a comparison of the Lima declaration and actual current status

Carry out a study to point out weaknesses in independence

Present these issues to November meeting of INCOSAI

Organisation and management

Lack of transparency and accountability of SAIs

Transparent and accountable SAIs are audited externally

Reports on performanceNo appropriate strategic planning by the SAIs

Strategic plan

Human resources Lack of capacity and trained staff Regular training of staff, for example, in IT, audit methodology and accounting standards (IPSAS)


HR policy including: Staff recruitment Retention of staff Remuneration of staff

determined by SAI

Training plan should provide for practical training events (Addition from Francophone countries)

Partnerships with donors and professional bodies

Exchange programs with other SAIs

Outsourcing – learning from private sector

Communication SAI reports create controversial feelings amongst government officials

SAIs’ reports have no real effect

Delays in discussions of audit reports and actions findings

Lack of awareness of SAI’s reports by public.

Communication of reports to all stakeholders including PAC and the executive

Making public aware of the responsibilities of the SAI

Translation of reports etc. into local languages

Using media to create awareness--not only written but also audio, TV shows regarding reports to communicate results

Engaging donors to put pressure on government via imposing conditions

Collaboration with other institutions, anti corruption agencies.

Lack of communication between the federal and regional audits resulting in duplication of work (Ethiopia)

Single Audit Act in federations (Ethiopia) in order to have accounts audited only once.

Audit standards and methodology

Non-availability of financial statements

Disclaimer opinions

IFMS system

Capacity building for government entities

Sanctions for non-compliance in the


case of Mozambique where non-submission of financial statements is punished by administrative sanctions on the management of the institution. This may be up to a third of annual salaries.Audits, however, continue in some cases to be conducted without financial statements.If recommendations are not complied with during the following year, sanctions can be applied.

Audit methodology and implementation

Documented methodology based on international standards

Increase / enhance capacity for performance audit

Lack of follow-up action on recommendations

Backlog in the discussion of the PAC reports in Parliament

Legal obligation for the accounting officer to respond on the findings within 6 months of the report. (Tanzania)

Strict reporting deadlines as in the case of the Ghana audit--7000 public entities in 3 months with 1100 audit staff.

Revised legislation / reporting deadlines

Raising awareness about the SAI’s challenges and achievements via reports on its own position

Increase capacity of the SAI Audit backlogs (non-timely submission of financial statements)

Strategies to address backlogs

Increase capacity of the SAI Weak internal audit Methodologies

Coordination of activitiesAdditional issues by Francophone countries

Little cooperation between Parliament and the Finance Commission

Debate only relates to presentation of the PAC’s report ex-ante

Examples of Burkina Faso, Cape VerdeAudit of the SAI on the public reports Working session between SAI, MF and PAC in order to follow up the report with recommendations.

During plenary discussions the South African SAI provided a good example of communication practices such as reporting on root causes of financial misstatements and errors etc. in audit reports.

Overall, an increased level of cooperation among SAIs and more sharing of good practices should be promoted.

Anti-Corruption Agencies

Challenges Good PracticesNo power of prosecution in some countries, for example, in Nigeria

No uniformity in practices

Directors of Public Prosecution should be given a deadline to respond to investigative reports submitted by the ACA

ACAs should have the power to prosecuteDelay in judicial procedure Establish special courts for corruption cases

Complete overhaul of the judicial system

Legislative law to protect witnesses and whistle blowers

Many institutions are fighting corruption without any coordination amongst them (addition from Francophone countries)

Synergy between the actions of institutions

Increasing awareness of all citizens / publicAsset declaration and verification is not obligatory or not practiced

Enact legislation that:a. makes declarations of assets and liabilities

mandatory for designated public leaders and officials.

b. provides for the verification of such declarations, and

c. provides for such declarations to be made available to the public so they can report on their veracity

Funding – agencies are not adequately funded Political will to provide adequate funding, possibly with help from donors

Lack of ethics and integrity Code of ethics for public sector to be enacted and monitored

Ethics and integrity values should be communicated to the citizens

Inadequate international cooperation Formal and informal networking Appointment and removal of chief executives done by the President

Legislation should set out that the appointment and removal of chief executives is to be done by Parliament and not by the Executive

Political will is necessary Lack of reporting (addition from Francophone countries)

Reports should be compiled for transparency and for the sake of follow up

State Inspection General of BeninThe Benin State Inspection General’s report in 1999 led to jail terms for some high ranking government officials and dismissals from their positions. It was noted in the financial report that the expenditure for legal fees was very high. These amounts were allocated, for example, to criminal inspections. Explanations and information were requested from the Minister of Finance regarding documentary proofs and the reasons for large increases in expenditure. During the investigation members of the agency were threatened but due to their perseverance irregularities were revealed. Some Ministers involved in these activities wanted to hide them but due to interaction with civil

society and public pressure prosecution was possible. Funds amounting to billions were saved for government.

Kenya – Monitoring government activitiesThe anti-corruption agency in Kenya has recently reviewed 5 projects with identified red flags. Audits were conducted by internal auditors of the Ministry concerned with the anti corruption agency monitoring the process and providing initial training to the auditors. Corruption was identified in two projects and extensive media coverage followed. Officials responsible were suspended due to corrupt practices.

SESSION 12 PARTICIPATION IN REGIONAL AND INTERNATIONAL NETWORKS

For this session presentations were given by representatives of PAC, SAI and ACA networks.The challenges of the PAC of Bangladesh were outlined as:

Backlogs of audit reports Limited operations facilities and support staff Lack of appropriate mechanisms to ensure the implementation of recommendations.

PUBLIC ACCOUNTS COMMITTEES

SOUTHERN AFRICA DEVELOPMENT COMMUNITY ORGANISATION OF PUBLIC ACCOUNTS COMMITTEES (SADCOPAC)

Presentation by Hon. E. M. Hachipuka (MP), Zambia

SADCOPAC has 15 member states with its secretariat in Tanzania. Its aim is to share ideas among the PACs of the member states in order to:

Promote effective functioning and good governments Work with governments, sharing information and promoting sound management services Conduct general meetings and annual conferences (6 so far) Agree and implement resolutions.

Achievements have included the hosting of annual conferences, a newsletter, website, and a technical working group for the development of a strategic plan and the implementation of programs.

Challenges identified include:

Lack of sustainable finances – reliance on donors and SAIs Political instability Lack of skills in PACs Diverse committee practices across countries whose members currently represent Anglophone

and Lusophone practice, with expansion to include francophone practice a possibility.

The necessity and extent of the financial skills needed by PAC members was debated. The point was made that Parliamentarians represent citizens and therefore should not be restricted in the performance of their duties because they lack financial qualifications.

SUPREME AUDIT INSTITUTIONS

AFRICAN ORGANISATION OF SUPREME AUDIT INSTITUTIONS (AFROSAI)Presentation by Mr. Abdou Gueye, the President of the SAI of Senegal.

AFROSAI is the network of professionals who are applying external audit norms and standards and who encourage respect for basic principles of integrity and objectivity.The organisational architecture consists of 3 levels.

1. International Organisation of Supreme Audit Institutions (INTOSAI) on the international level with 180+ members, and seven regional working groups and committees

2. African Organisation of Supreme Audit Institutions (AFROSAI), at the continental level with sub-committees, including one for technical capacity development

3. Sub-groups of AFROSAI include the AFROSAI-E for English, AFRSOSAI-A for Arabic and AFROSAI-F for French-speaking countries.

The main role of AFROSAI is to provide clear and neutral opinions on the public financial management situation in Africa and to promote the mandate and activities of SAIs for the benefit of African countries.

ANTI-CORRUPTION AGENCIES - EAST AFRICAN ASSOCIATION OF ANTI-CORRUPTION AUTHORITIES Presentation by Tito Rutamerara, Chairman, EAAACA

Mr. Rutamerara reiterated the point that Heads and staff of ACAs are highly likely to come under pressure in their position, to receive threats and even to get hurt in performing their duties.

The EAAACA was established in 28 Sept 2007 in Uganda with the signing of the Kampala Declaration and subsequently the Constitution was adopted. A West and a Southern-African organisation are currently being considered.

Objectives:

To promote cooperation among members states to prevent and fight corruption To stimulate public awareness To cooperate in the areas of protecting whistle blowers and witnesses.

Achievements:

Setting up secretariat and website Regular (annual) meetings Joint trainings, sharing of information and mutual professional and technical support

Challenges:

Inadequate funds Low skill levels with respect to investigative techniques Different legal systems – common and continental law

AFRICAN PARLIAMENTARIANS NETWORK AGAINST CORRUPTION (APNAC) Presentation by Hon. Given Lubinda, President, Executive Council and President, APNAC Zambia

APNAC was established in 1999 as a voluntary body of Parliamentarians committed to the fight against corruption based on the principles of non-partisanship.

The main objective of the APNAC is to develop, maintain and promote a network to build the capacity of Parliaments in Africa and African Parliamentarians to fight against, and effectively address, corruption in their respective countries. Building the commitment of members is achieved via sharing experiences, promoting cooperation within civil society and educating and making aware the population of the existence and danger of corruption.

APNAC collaborates with a number of organizations, including National Parliaments, the Global Organisation for Parliamentarians Against Corruption (GOPAC) and various donor agencies.

Regional programmes include the African Parliament’s Strengthening Programme for 7 countries on strengthening budget oversight.

Planned activities include training the trainers and in-country workshops on understanding the budget, and pilot projects on selected issues.

SESSION 13 AND 14 INCORPORATING IDEAS FROM THE WORKSHOP INTO ONE’S OWN ORGANISATION AND COUNTRY

Participants organised themselves by country and discussed ways to strengthen accountability and integrity in public spending in their respective countries in relation to:

Individual organisations (PACs, SAIs and ACAs) National coordination Regional and international networks.

Delegates were also requested to identify areas where the World Bank and other Development Partners might provide assistance to strengthen national organisations and enhance inter-agency cooperation.

Refer to Annexure 2 for the detailed strategies and commitments for Countries.

Adoption of workshop resolutions

Delegates formulated, debated and adopted the resolutions for the workshop. Please refer to Annexure 1 for their agreed wording.

Discussion during the workshop illustrated the differences in accountability structures and operating practices in Anglophone, Francophone and Lusophone countries. Differences noted include the person heading the parliamentary oversight body, e.g., in the Anglophone tradition, the Chair is normally from an opposition party, but this practice would not be legal in many countries, including Senegal, Cameroon and others.

Agreement was reached that the general terminology for the bodies responsible for oversight in the Francophone and Lusophone traditions should be changed from ‘Finance Committees’ to ‘Oversight Committees’.

SESSION 15. WAY FORWARD AND EVALUATIONS

Presentation by Hon. Themba Godi, Chairperson, Standing Committee on Public Accounts, - National Assembly of South Africa

Hon. Godi confirmed that this workshop correctly emphasised the importance and the linkages of the work of PACs, SAIs and ACAs. The need for this relationship should be noted and institutionalised. The first question is how to promote cooperation among agencies on a national level? How do we create a synergy between the work of other committees and the PAC? These questions still pose a challenge.

South Africa has a national and 9 provincial legislatures, each with its own oversight organisations. The association between regional and national oversight bodies has led to the establishment of municipal public accounts committees.

Collusion among vested interests in PACs is a problem. This was demonstrated when the investigation of a major arms deal in South Africa divided the members of the Committee.

An example of a positive experience was Ministers being asked to accompany accounting officers to the PAC hearings to get a sense of problems and responses.

The capacities of agencies and the issue of professionalism in performing duties should be highlighted. There is still heavy reliance on the work of the Auditor General due to capacity constraints within the PAC.

Examples from this workshop of practices that might be emulated include the Tanzanian and Ghanaian examples of site visits and general respect for the work of PACs.

Concluding remarks

Terence Nombembe, Chairman of AFROSAI, thanked the workshop participants for good participation and noted that the workshop had demonstrated the need for:

Intensifying capacity in the region, Working together as a unit to achieve accountability and transparency Better communication practices.

Mr. Gerard Byam, outgoing Director, Operational Quality and Knowledge Services in the World Bank’s Africa Region, pointed out the obvious strengthening of governance practices during his quarter-century of association with the continent. He remarked that gatherings such as these are worthwhile not only for fostering knowledge-sharing, but also for demonstrating that supportive colleagues, close by, are experiencing similar problems and might be able to advise on how best to navigate obstacles. He commended the participants highly for the passion and commitment they demonstrated during the workshop.

ANNEXURE 1. WORKSHOP RESOLUTIONS

Workshop Objectives:

Eighty-five participants from key public-interest oversight and anti-corruption organisations in 17 English, French and Portuguese-speaking African countries2 as well as Development Partners3 met in order to:

a. share knowledge about government structures and good practices that promote accountability and integrity in government spending and

b. foster new and stronger national and regional partnerships amongst oversight, accountability and integrity organisations.

Joint resolutionWe, the representatives of Public Accounts Committees, Finance Committees, Supreme Audit Institutions, Anti-Corruption Agencies, African regional organisations and Development Partners who participated in the Africa Regional Workshop on Promoting Accountability and Integrity in Government Spending resolve to intensify the fight against corruption and work to improve the welfare of Africans through the following:

I. Public Accounts Committees (PACs) and Finance Committees of Parliament

Representatives of PACs and Finance Committees undertake to promote the following:

1. To put public interest and the welfare of citizens before political party interests2. To have oversight committees headed, preferably, by opposition members of

parliament (MPs)3. To open committee proceedings to the public4. To obtain adequate financial and human resources for their functioning 5. To ensure timely and systematic hearings on the SAI’s reports 6. To adopt and implement a system of sanctions to ensure that the Executive branch

of government responds to the findings of the SAI7. To improve parliamentarians’ technical capacity to understand and interpret SAIs’

reports

II. Supreme Audit Institutions (SAIs)

Representatives of SAIs undertake to promote the following:

1. To seek legal, financial, personnel-management and operational independence from the Executive branch of government

2 Benin, Botswana, Burkina Faso, Cameroon, Cape Verde, Ethiopia, Ghana, Kenya, Mauritius, Mozambique, Nigeria, Rwanda, Senegal, South Africa, Tanzania, Uganda, Zambia

3 African Capacity-Building Foundation, African Development Bank, World Bank

2. To ensure through legislation that SAI reports will be tabled in parliament, be subject to hearings, and made public

3. To foster public support through the development and implementation of an external communications strategy that includes the media

4. To enhance the accountability of SAIs through regular independent audits and systematic monitoring and reporting of their performance for oversight

5. To adhere to the timelines for reporting set out in legislation and report on non-compliance

6. To seek systematic and structured responses by the Executive to their reports

III. Anti-Corruption Agencies (ACAs)

Representatives of ACAs undertake to promote the following:

1. To seek legal, financial, personnel-management and operational independence from the Executive branch of government

2. To seek legal and other protection of ACA heads and officers from political influence or retaliation, in particular through security of tenure and communication with the public including civil society and the international community

3. To promote public disclosure of all assets and liabilities of senior public officials including politicians

4. To seek the power to prosecute cases or to ensure that prosecution takes place5. To promote the protection of whistle blowers and witnesses6.7. To promote measures that fast-track the passage of corruption cases through the

legal-judicial processes8. To provide ACAs with the option, based in law, to recommend to authorities that

corrupt public officials be sanctioned administratively or through the courts

IV. Coordination, communities-of-practice, and legislative mandates

1. To coordinate our activities by establishing national forums and regional networks of oversight, accountability and anti-corruption organisations.

2. To strengthen the legislative mandates of oversight, accountability and anti-corruption organisations.

V. Development Partners1. Development Partners undertake to continue financing accountability and integrity

in public spending in African countries by supporting the implementation of the above resolutions and, more broadly, to support:

1.1 The key oversight, accountability and integrity organisations in government1.2 The establishment or strengthening of national inter-agency structures that foster accountability and integrity1.3 The participation of oversight, accountability and integrity organisations in new or established regional and international networks

2. In particular, the African Capacity-Building Foundation (ACBF) undertakes to support capacity-building in national oversight, accountability and integrity organisations

ANNEXURE 2. COUNTRY COMMITTMENTS

Country Public Accounts Committees / Finance

Committees of Parliament

Supreme Audit Institution Anti-Corruption Agencies Strengthening national and international networks

Areas for Development Agencies to Assist

Benin Capacity Building

a) Institutional capacity: Adoption of a Statute for Members of Supreme Audit Institutions providing financial autonomy

b) Technical capacity: Training-Recruitment-Technical and logistical equipment

Strengthening cooperation between the different auditing agencies to increase efficiency in carrying out their missions.

Examples: a) transmission of

annual reports and use by the Finance Committee of the National Assembly for better monitoring of recommendations.

b) Transmission of reports of the State Inspector General to the Chamber of Accounts and more frequent exchanges of experience.

Support from Development Partners for the representation of our organizations in regional and international training sessions

Botswana The need for members of PAC to be knowledgeable about accounting, finance

Prepare/Develop audit Legislation

Encourage the Directorate on Corruption and Economic Crime (DCEC) to join regional

Ensure Effective cooperation with the African Capacity Building





and performance matters

The need for the PAC to be a standing committee lasting the life of Parliament

Capacity Building: enhancing audit methodology Obtain the right

number of staff and appropriate skills and knowledge

Improve both internal and external communication. Externally educate the public about the role of the AG

Introduce other types of audits such as Forensic Audit

Collaborate with other partners including Directorate on Corruption and Economic Crime, Ombudsman, Internal Audit and the Police.

Associations like the African Parliamentarians Network Against Corruption for Members of Parliament

There is also the need to protect the tenure of the Anti-Corruption Boss.

Foundation for the PAC

Burkina Faso Rationalisation of the existing coordination framework of the existing oversight agencies : Better organization

both in form and in substance

Capacity building techniques and materials via the funding of a programme for the provision of training and equipment.





(participants, agenda, plans)

Sharing of experience with other countries (such as inviting colleagues from sister agencies to share their experience with us)

Develop ongoing cooperation between the two institutions, for example when the SAI detect cases of fraud or corruption, it should immediately inform the agency responsible for the fight against corruption

Cameroon Harmonise the time limits along the lines of existing good practice in other African countries, say, a minimum of three monthsNB: Review the law or

Establish the independence of this structure (mandate, recruitment, financial autonomy)

Strengthen education,

CONAC (National Anti-Corruption Commission):

Take action to provide permanent executive structure for continuity

National networks:

apply the existing legal provisions between the Finance Committee and other anti-corruption bodies





the constitution.

The Members of the Commission should be permanent for the full term of the legislature (5 years at CMR). (Members are currently elected each year).

Strengthen the capacity of members via training, seminars, manuals and study trips)

Arrange for the Commission to be supported by a team of permanent experts;

Give Commission members the means to communicate easily via ICT and to administer the controls under the Finance Committee

develop a profile and establish a grading system for auditors; ensure adequate training and allocate sufficient resources to the SAI.

Take appropriate action towards publishing the annual report

Take measures to provide for its independence Regional networks:

More representation of the Finance Committee and CONAC in regional and international networks

Put in place a mechanism to provide for exchanges of information between OAC and SAI to improve the fight against corruption

Cape Verde and Mozambique

Continue Institutional Capacity Building in terms of professional training in

Continuing with Institutional Capacity Building in terms of professional training in

To support the communications strategy in terms of:





specific areas (Auditing, Criminal matters)

Formal Training in Universities

Training in Leadership

Study tours with Portuguese speaking countries and other SAIs and ACAs

Institutional Support in terms of IT systems, office equipment and Transport

specific areas (Auditing, Criminal matters)

Formal Training in Universities

Training in Leadership

Study tours with Portuguese speaking countries and other SAIs and ACAs

Institutional Support in terms of IT systems, office equipments and Transport

Awareness Public disclosure of

laws, guidelines related to anti-corruption actions, SAI activities

To support legal reforms.

Ethiopia Institutionalize appropriate working procedures

Strengthen both institutional and human resource capacity

Open PAC meetings to the public

Provide mandate to recruit its own staff and improve competitiveness

Build up institutional and human capacity

Take measures to strengthen the existing anti corruption forum

Establish a national network of PAC, SAI and ACA to strengthen accountability & integrity

Ghana and Nigeria

Capacity Strengthening of PAC

Capacity building should not be limited to PAC

Financial Independence to be pursued until it is achieved.

Capacity building in

Financial independence from the Executive is a must to make ACAs work effectively without distraction

There is a need for interagency coordination, e.g., Memorandum of understanding with Internal Audit Agency and

Donors should involve PAC, SAI and ACA or make them aware of and provide for them to monitor/audit funds





members only, but to the Secretariat staff. To ensure a competent and effective secretariat that will facilitate the work of PAC even as its membership changes from time to time.

Follow up Mechanism – Audit Report. Implementation committees and the Judiciary need to conclude work on recommendations made by Auditor General and PAC.

Establish PACs at District and Regional levels for effectiveness.

There should be distinct separation of Administrative and legal issues in the reports of SAI and PAC for effective implementation by Administration and prosecution by the Judiciary.

compliance and performance audits. Technical support for the SAI.

Capacity building Commission for Human Rights and Administrative Issues.

We need support to host a Secretariat to service the agencies.

General and International collaboration networking is required among the agencies.

released to Governments.

Kenya Kenya National Audit Strengthen independence of National Coordination





Commission to be included in the constitution to enhance its independence.

Separate the roles of Comptroller & Auditor General in order to have an accounting officer who reports to Parliament. Currently the Comptroller & Auditor General is the Auditor General as well as the Accounting Officer.

Amend the Legislation for the Minister of Finance to require an explanation for any failure to table the SAI’s reports or any delay in tabling the Reports.

the Kenyan Anti Corruption Commission (KACC) by entrenching it in the Constitution.

Strengthen the KACC by giving it the power to prosecute/or to impose administrative sanctions for non-compliant public officials.

Strengthen Inter-Agency Forums

Strengthen the NACP – National Anti-Corruption Plan – sectors

Regional & International Networks

AFROSAI – e; African Union Advisory Board on Corruption; INTOSAI; IFAC; EAACA; Donor Community such as World Bank; African Capacity Building Foundation

INTER- AGENCY FORUM Law Enforcement (CID;

BFIU; KACC; DIS; KRA) Security Intelligence

(NSIS; DMI) Oversight Agencies

(KNAO; EMU; ISC; PPOA)

Mauritius Develop a Public Audit Act

Capacity Building – strengthen capacity

Strengthen capacity building in investigative skills pertaining to complex investigation involving cross-

Networking

Focus Group Discussion – Top management of SAI

Look into the possibility of support from the ACBF





building in the fields of Performance Audit and Environmental Audit

Devise a Communications Policy

boundary issues.

Second officers on a short term basis to other ACAs to acquire more experience in conducting systems reviews (e.g., New Zealand/Hong Kong).

and ACA and the chairperson of PAC

Network with different international and regional associations and organizations relating to SAI and PAC (AFROSAI, ECSAFAZ, SADCOPAC)

Senegal Create a Framework for Dialogue and Coordination that would include public organisations (SAI, CCP and ACA) as well as any other relevant organisations (CENTIF, GIABA, Parliamentary Network, etc.)

Develop a partnership structure that would include the network of Associations Against Corruption of the ECOWAS countries, and sub-regional structures comprising the SAIs and CCFs





South Africa Fund the Association of Public Accounts Committees (APAC) to enable it to implement its programmes and resolutions

Fund PACs to enable them to carry out oversight site visits (service delivery visits) as integral to Public Committees

Fund APAC to enable a comprehensive, implementable programme (Research and development, work-plan, monitoring & evaluation.

Fund a workshop for AGSA, ACA, and other relevant agencies/institutions to discuss possible collaboration opportunities.

Tanzania Government Ministries and Introduction and Appointment and ratification Establish a Forum for





Departments to submit a report on implementation of previous budget before the current budget is approved.

Implementation of penalties, sanctions and surcharges for public officials

for the Head of Anti-Corruption Agency- President to appoint- Parliament to ratify

Also: Tenure of office should be guaranteed by law

Information-sharing among institutions involved in Anti-Corruption Membership: PCCB, DPP, Ethics Commission, National Audit Office, Ethics Department, Inspector General of Police, Good Governance Coordinating Unit

Uganda and Rwanda

Supplement the Section for Sanctions in the Public Finance and Accountability Act on Accounting officers who submit their ministry’s accounts late.

Strengthen the Inter-Agency Forum (IAF) to ensure furtherance of its objectives.

Look at issues of membership of the Forum to ensure that only Agencies that are core to the objectives of the IAF are members and agree a document to guide operations, i.e. Charter or Memorandum of understanding.

Strengthen regional and International networks. Assure commitment to these networks. This will ensure the sharing of ideas and experiences of each





other.

Zambia Revive the National Anti-Corruption Forum in Zambia

The National Forum should establish a working relationship with the Africa Capacity Building Foundation for the purpose of strengthening the capacity of the Zambian Inter Agency Forum.

Co-host Capacity Building workshops of members of Parliament and the Office of the Auditor General.

Investigate and convene Inter-Agency meeting of regional bodies, i.e. AFROSAI-E, SADCO-PAC, SADC-ACA and SADC-APNAC

Areas World Bank could assist:

Capacity Building – Institutional

Inter-Agency capacity building - Secretariat

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