Auditor-general bemoans national and provincial audit outcomes

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Auditor-general bemoans national and provincial audit outcomes
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The auditor-general attributes the regression in the 2018/2019 fiscal year to lapses in governance and failures in basic internal controls

As irregular expenditure soared to R62,6bn, auditor-general Kimi Makwetu bemoaned the lack of internal controls in many government departments.

Releasing the national and provincial government audit outcomes for 2018/2019 on Wednesday, Makwetu said the audit results were “disappointing” and called on government leaders to take urgent action to halt the trend, restore accountability, and prevent mismanagement of public funds. A total of 223 audited departments lost R849m in fruitless and wasteful expenditure, though this figure could also increase by R758m if outstanding audits are taken into account.

He highlighted an emerging risk of increased litigation and claims against departments. More than a third of the departments have claims against them in excess of 10% of their next year’s budget.Makwetu said, however, that the financial health of auditees in most provinces either improved or remained unchanged for the period under review.

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