To mitigate financial risks and ensure effective management, Bangladesh’s Finance Division has established an independent internal audit system, set to become fully operational next week. This initiative will rely on cutting-edge technology for its implementation.
Speaking at the stakeholder consultation workshop on “Internal Auditing Journey in the Public Sector,” Finance Division Secretary Dr. Md. Khairuzzaman Mozumder said, “Financial management is not only the responsibility of the Ministry of Finance; all government spending agencies are also involved. Hence, the Ministry of Finance is piloting internal auditing in five high-spending departments where procurement is significant—Directorate of Primary Education, Roads and Highways Department, Public Works Department, Local Government Engineering Department, and Directorate General of Health Services. This initiative will be far-reaching and gradually rolled out to other government institutions.”
The workshop’s inaugural session was chaired by Sirajun Noor Chowdhury, Additional Secretary for Budget and Expenditure Management at the Finance Division. Special guests included Dr. Md. Abdul Hakim, Director General of the Directorate of Primary Education; Syed Moinul Hasan, Chief Engineer of the Roads and Highways Department; and Md. Shafiqul Islam, Additional Chief Engineer of the Public Works Department. Bilkis Jahan Rimi, Additional Secretary (Budget-1) and National Program Director of the Strengthening Public Financial Management Program to Enable Service Delivery (SPFMS), delivered the welcome address. The vote of thanks was presented by Munshi Abdul Ahad, Additional Secretary of the Finance Division.
Sirajun Noor Chowdhury emphasized the critical role of internal audits in establishing internal controls, ensuring transparency, and enhancing accountability in financial management. Md. Shafiqul Islam noted, “In addition to digitizing the system, we must also focus on building the capacity of system users, particularly vendors.” Dr. Md. Abdul Hakim highlighted the importance of institutional capacity building for the successful implementation of internal audits.
Bilkis Jahan Rimi stated, “Internal audits act as the ‘third eye’ of management, ensuring that financial operations adhere to government regulations. We have begun this initiative in five high-spending departments—Directorate of Primary Education, Roads and Highways Department, Public Works Department, Local Government Engineering Department, and Directorate General of Health Services—and plan to expand it to other government institutions in phases.”
Presentations during the inaugural session were delivered by Mohammad Azad Sallal, Joint Secretary of the Finance Division; Md. Rafiqul Islam, Joint Secretary and Program Executive and Coordinator of SPFMS; and Mohammad Shawkat Ullah, Deputy Secretary of the Finance Division.
The presentations underscored the importance of establishing an independent Internal Audit Unit (IAU) and creating a standard organogram for reporting lines. They also recommended forming internal audit committees within ministries or divisions to address risk-based internal audit findings and prioritize their resolution as per the Internal Audit Manual.