Shortcomings in internal control and the inappropriate performance indicators are among the main findings indicated by the Court of Auditors in its performance audit report on the work of units for the coordination, implementation and monitoring of projects financed with foreign funding and the use of allocated financial resources, IPN reports.
The audit focused on the work of 12 units for the implementation of foreign funded projects.
The Court of Auditors found that the public policy documents and normative documents are incomplete or contradictory and that uneven terminologies and unclear criteria were used for the organization and evaluation of the units. This led to difficulties in clearly defining the responsibilities and tasks of the units involved.
As a result of the audit, it was also determined that the monitoring and evaluation of the projects were carried out on the basis of indicators that do not fully comply with the SMART (specific, measurable, achievable, relevant, time-bound) principles, which affects the quality in the process of achieving the planned objectives.
The internal managerial control systems, although implemented, were non-functional in some cases, generating suboptimal use of resources and failure to achieve the set objectives, the Court of Auditors noted.
Based on the findings, the Court recommends the standardization of terminology and the regulatory framework in order to eliminate legislative inconsistencies, the implementation of well-defined performance indicators, which allow a more effective evaluation of progress, as well as the creation of robust internal control mechanisms so as to reduce risks and optimize the use of funds.
In 2022-2023, the foreign development partners disbursed around €2.63 billion for the public sector. The funds were allocated to finance investment projects, in the form of budget support and technical assistance.
