2. Zambia Overview

3. Cont. Zambia Overview Zambia has an estimated Population of 12 – 14 million people and the following are some major economic indicators for 2013: The total 7.1 percent annual inflation rate was recorded in December 2013. The GDP (Current Prices, US Dollars) in the year 2013 was US$23.077 Billion. The GDP Per Capita (Current Prices, US Dollars) in the year 2013 was US1,617.87. The Total Government Gross Debt (% of GDP) in 2013 was 28.734%

4. OAG Zambia - Introduction The Office of the Auditor General in Zambia is a Supreme Audit Institution (SAI) charged with the responsibility of providing external audit services to government ministries and any other institution that receives Government subventions in order to enhance transparency and accountability in the collection and utilisation of Public resources.

5. MISSION STATEMENT Office of the Auditor General exists in order to provide quality audit services to government and other institutions in order to promote accountability and value for money in the management of public funds and other resources for the benefit of society

6. Constitutional Provisions Governing the SAI The functions of the SAI is governed by: Section(2) Article 121 of the constitution of Zambia Public Audit Act Cap 378 Public Finance Act 2004 It is headed by the Auditor General who is appointed by the President and ratified by National Assembly.

7. Accountability Process and Independence relationships As in most cases of SAIs in Commonwealth Countries, the relationship of the Auditor General with the Executive and the Legislature can be trial angularly be depicted as follows:

8. PARLIAMENT GOVERNMENT AUDITOR AUDIT Responsibility Conferred Accountability Reports Audit Reports

9. LEGISLATIVE MANDATES The main legislative audit mandates for the office of the Auditor General are:  Articles 121 and 122 which deal with the appointment powers and duties of the Auditor General for audit of public funds and other resources  The Public Finance Act of 2004 covering Financial Regulations, Public Stores Regulations, Terms and Conditions of Service (General Orders). These set the regulatory framework within which public funds and other resources are to be raised and spent.

10. LEGISLATIVE MANDATES CONT…  The Public Audit Act CAP.378 of 1980. This act gives powers to the Auditor General to audit every statutory corporation or public company, every department in which funds and working accounts are established and every private institution which receives Government grant, subsidy or subvention in any financial year.

11. ORGANISATION STRUCTURE The office is organised around two divisions namely: Corporate Services Division (CSD) Audit Services (AD) Each of these divisions is headed by a Deputy Auditor General.

12. ORGANISATION STRUCTURE The divisions are further broken down into directorates, which are each headed by a Director. There are two (2) directorates in the Corporate services Division and five (5) directorates in the Audit Division. The Office has its Head Office in Lusaka the capital city and has offices in the ten (10) province of Zambia.

13. ORGANISATION STRUCTURE a)Corporate services Division Planning and Information Human Resources and Administration b)Audit Division Revenue Audits Ministerial Appropriations Audits Provincial Appropriations Audits Public Debt and Investments Audits Specialised Audits

14. TYPES OF AUDITS PERFORMED a) Mostly Regularity audits. b) Other types of audits that are carried out are: Forensic audits IT Audits Performance and Environmental Audits

15. AUDIT REPORTS The constitution requires the Auditor General to submit her/his annual report on the accounts of the Republic to the President who not later than seven days after the first sitting of the National assembly causes it to be laid before the National Assembly. Other types of reports are submitted in the same manner and are tabled by National Assembly as soon as they are ready. All reports must comply with the international auditing standard.

16. Affiliation and Associations The office is a member of the International Organisation of Supreme Audit Institution (INTOSAI) the Africa Supreme Audit Institution (AFROSAI), and the African Organisation of Supreme Audit Institutions–English Speaking Countries (AFROSAI-E) In December 1997 an agreement was signed between the Government of Zambia and the Royal Governments of Norway and the Netherlands to assist in Institutional Development. The cooperation has continued until 2014.

17. CONCLUSION  The Auditor General’s mission is to help promote the supremacy of Parliament.  Effective partnership with Parliament promotes accountability and best practices in Government operations.

18. ANY QUESTIONS