Introducing the ISSAIs and INTOSAI GOVs 1 PSC The Professional Standards Committee

Content 2 The Professional Standards Committee (PSC) structure and tasks 2 2 The ISSAI framework and PSC subcommittees and projects 3 3 INTOSAI 1 1 Due process 4 4

1. INTOSAI The International Organization of Supreme Audit Institutions 3

INTOSAI Governing Board - INCOSAI Approving all documents prior to their presentation and endorsement by INTOSAI’s triennial congress - INCOSAI. 4

INTOSAI Development Initiative (IDI) SAI capacity building in emerging and developing countries. 5

2. The PSC structure and tasks 6 Organisation 2 2 Partners 3 3 Mandate Objective 1 1 Key commitments 4 4

Objective of the PSC To promote strong, independent, and multidisciplinary SAIs by (1) providing and maintaining internatinal standards of Supreme Audit Institutions (ISSAIs) and (2) contributing to the development and adoption of appropriate and effective professional standards. 7

Professional Standards Committee (PSC) organisation 8 Internal Control Standards Subcommittee Chair: Poland Compliance Audit Subcommittee Chair: Norway Performance Audit Subcommittee Chair: Brazil Financial Audit Subcommittee Chair: Sweden Project on Audit Quality Control Chair: New Zealand PSC Chair: Denmark PSC Steering Committee Chair: Denmark Goal Liaison: Libya Accounting and Reporting Subcommittee Chair: Canada Project on Transparency and Accountability Chair: France Harmonisation Project (Revision of level 3) Chair: Denmark

Partners The PSC is working together with other international, recognized standard-setting bodies: – The International Federation of Accountants (IFAC) – The Institute of Internal Auditors (IIA) 9

Mandate Continued development and maintenance of the ISSAI Framework. - Harmonization of the ISSAI framework. - Raising awareness of the ISSAIs. 10

3. The ISSAI framework 11 Overview of the ISSAI framework 2 2 Due process 8 8 Questions 9 9 Objective Level Level Level Level INTOSAI GOV

Objective (1) What is the objective of the ISSAI framework? 12

Objective (2) What is the objective of the ISSAIs and INTOSAI GOVs? 13

Overview of the ISSAI framework 14 Level 1 - Founding Principles ISSAI 1 The Lima Declaration Level 2 - Prerequisites for the Functioning of SAIs ISSAI 10 The Mexico Declaration on SAI Independence ISSAI 11 Guidelines and Good Practices related to SAI Independence ISSAI 20 Principles of Transparency and Accountability (planned for 2010) ISSAI 30 Code of Ethics ISSAI 40 Quality Control for SAIs (planned for 2010) Level 3 - Fundamental Auditing Principles ISSAI 100 Basic Principles ISSAI 200 General Standards ISSAI 300 Field Standards ISSAI 400 Reporting Standards

Overview of the ISSAI framework 15 Level 4 - Auditing Guidelines Implementation guidelines: ISSAI 1000–2999 Financial Auditing (Including guidelines based on International Standards on Auditing) ISSAI Performance Audit Guidelines ISSAI Compliance Audit Guidelines (planned for 2010) Specific guidelines: ISSAI International Institutions ISSAI Environmental Audit ISSAI Privatisation ISSAI IT-audit ISSAI Audit of Public Debt ISSAI Audit of Disaster-related Aid (planned for 2010)

Overview of the ISSAI framework 16 INTOSAI GOV - Guidance for Good Governance INTOSAI GOV Internal Control Standards INTOSAI GOV Accounting and Reporting Standards

Level 1 Level 1 - The founding principles ISSAI 1 – The Lima Declaration 17

Level 2 Level 2 - Prerequisites for the functioning of SAIs ISSAI 10 – The Mexico Declaration on SAI Independence ISSAI 20 – Principles of Transparency and Accountability ISSAI 21 – Principles of Transparency and Accountability – Good Practices ISSAI 30 – Code of Ethics ISSAI 40 – Quality Control for SAIs 18

Level 3 Level 3 - Fundamental Auditing Principles ISSAI 100 – Basic Principles ISSAI 200 – General Standards ISSAI 300 – Field Standards ISSAI 400 – Reporting Standards 19

Level 4 Level 4 – Auditing guidelines – is sub-divided into: Implementation guidelines ISSAI 1000 – 2999 Financial auditing ISSAI 3000 – 3999 Performance auditing ISSAI 4000 – 4999 Compliance auditing Specific guidelines ISSAI 5000 – 5999 Guidance on specific subjects 20

Level 4 (continued) Level 4 – Implementation audit guidelines Financial auditing – ISSAI 1000 –

Level 4 (continued) Level 4 – Implementation audit guidelines Performance auditing – ISSAI 3000 –

Level 4 (continued) Level 4 – Implementation audit guidelines Compliance auditing – ISSAI

Level 4 (continued) Level 4 – Specific audit guidelines Detailed auditing guidance on specific subjects: ISSAI International institutions ISSAI Environmental audit ISSAI Privatisation ISSAI IT audit ISSAI Audit of public debt ISSAI Audit of disaster-related aid 24

INTOSAI GOV (Guidance for Good Governance) INTOSAI GOVs Internal control - INTOSAI GOV 9100 – 9199 Accounting standards - INTOSAI GOV 9200 –

PSC INTOSAI Professional Standards Committee 4. Due process (average development time frame of three years ) INTOSAI Congress Steering Committee INTOSAI Governing Board Information to : INTOSAI Membership Preliminary draft (optional) Exposure draft Endorsement version Approval Inviting comments Formal approval Final approval

Official website providing access to all existing INTOSAI auditing guidance Free Update Service 27

Questions? 28 PSC The Professional Standards Committee Overview of the ISSAI framework 2 2 Due process 8 8 ISSAI website 9 9 Objective 1 1 Level Level Level Level INTOSAI GOV 7 7