International Journal of Government Auditing – January 2004
Tenth ASOSAI Assembly and Third Symposium
The Asian Organization of Supreme Audit Institutions (ASOSAI) held its 10th
Assembly
and Third Symposium in Shanghai, China, September 10–16, 2006. Hosted
by the China National Audit Office (CNAO), the assembly drew delegates from
40
member SAIs as well as observers from the INTOSAI Secretariat General, INTOSAI
Development Initiative (IDI), this Journal, and the SAIs of the Côte
d'Ivoire, the
United Kingdom, and the United States of America.
Heads of delegations to the 10th ASOSAI Assembly and Third Symposium in China
in
September 2006.
Opening Ceremony
Li Jinhua, Auditor General of China, and Han Zheng, the Mayor of Shanghai, led the opening ceremony at the Shanghai International Convention Center and warmly welcomed the delegates. Chinese Premier Wen Jiabao sent the delegates a welcome and congratulatory message.
Guillermo N. Carague, head of the SAI of the Philippines and chairman of the ASOSAI Governing Board, thanked the board for its active participation during his tenure (2003–2006). He noted that ASOSAI's membership had steadily increased, from 36 at the last assembly to 43 at this assembly, and welcomed the new members— Afghanistan, Bahrain, Cambodia, Georgia, Laos, Mauritius, and Qatar. Mr. Carague noted, "The stakeholders increasingly look towards the Supreme Audit Institutions to promote good governance, transparency, and accountability. It is with this objective of continuously enhancing the quality of public audit that we have joined together to form ASOSAI."
Later in the proceedings, Mr. Carague handed over the chairmanship of ASOSAI to Li Jinhua. Mr. Li noted that during Mr. Carague's tenure, ASOSAI sponsored many training and capacity-building activities and made substantive progress in promoting
ASOSAI's development in the 21st century. He expressed his hope that ASOSAI members, working side by side, would continue to make progress in attaining the objectives specified in the ASOSAI charter.
ASOSAI Activities
Mr. Vijayendra Kaul, ASOSAI Secretary General, updated the delegates on the following activities since the last assembly:
- ASOSAI Strategic Plan. The 34th Governing Board approved the ASOSAI strategic plan (2005–2009). Mr. Kaul stated that "the plan recognizes that the adoption of the framework of the INTOSAI strategic plan 2005–2010 would facilitate both greater focus and synergies to optimize results."
- Capacity-building Activities. Since the last assembly, ASOSAI organized nine training courses. ASOSAI also entered into a partnership with the Asian Development Bank (ADB) and IDI in 2005 to target capacity building in the SAIs of Afghanistan, Azerbaijan, Cambodia, Kazakhstan, Kyrgyzstan, Laos, Maldives, Mongolia, Myanmar, and Vietnam. In 2005, the Governing Board organized two additional seminars: Managing for Audit Results and Challenges to New Audit Frontiers—How to Develop and Manage Human Resources for Dealing with Emerging Audit Issues.
- ASOSAI Research Project: The seventh ASOSAI research project was completed. The SAI of India led the project, whose team members included the SAIs of Bangladesh, China, India, Malaysia, Pakistan, Philippines, and Yemen.
- ASOSAI Journal: The SAI of India converted the Journal into an e-journal starting with the 25th edition in October 2005 and redesigned the ASOSAI Web site.
Third Symposium's Theme Presentations
The Third Symposium's main theme was The Role of Auditing in Promoting Government Accountability. Mr. Cheng Siwei, Vice Chairman of the 10th National People's Assembly Standing Committee, delivered the keynote speech, emphasizing that from the perspective of the management and use of public resources, government accountability should cover process as well as finances and performance. Mr. Micha Lindenstrauss, State Comptroller and Ombudsman of Israel, delivered a special report.
The INTOSAI Secretariat and the SAIs of Malaysia, New Zealand, Pakistan, and the United States presented papers for discussion. The following are highlights of their presentations.
INTOSAI's Role in Promoting Accountability
Dr. Josef
Moser, INTOSAI Secretary General, noted that "the global
process of change
that affects government audit presents special challenges for INTOSAI." He
used the INTOSAI tsunami initiative to illustrate how INTOSAI is helping
promote government
accountability worldwide by spurring development of global rules of
conduct for
the use of public funds.
Malaysia's Best Practices
Tan Sri Dato' Setia
Ambrin bin Buang, Auditor General of Malaysia, described the
evolving role of the National Audit Department in promoting government
accountability.
He concluded that (1) better government accountability could be achieved
by
adhering to high moral values, (2) all parties need to pay due attention
to and comply
with procedural and legislated requirements, (3) responsibilities must
be clearly de-
fined and understood, and (4) measurability means greater transparency,
integrity, and
ultimately accountability.
Importance of Performance Information
Kevin Brady, Controller
and Auditor-General of New Zealand, described his office's
broad legislative mandate, experience, and independence as well as
its importance in
promoting accountability. He stressed the importance of understanding
the performance
information process as part of the strategic and choice-making context.
By
thinking about the appropriateness of entities' outputs, the
targets, and the effect of
entities' efforts and achievements, performance planning and
actual performance information
form a relevant and necessary feedback loop.
Facilitating Foresight on Emerging Issues
David Walker, Comptroller
General of the United States, suggested that SAIs
should complement their traditional responsibilities by providing policymakers
with
foresight about key emerging issues. As an example, he cited GAO's
publication
of an unprecedented report entitled 21st Century Challenges that asks
probing, and
sometime provocative, questions about current government policies,
programs, and
operational practices.
New Global Paradigm
Muhammad Yunis Khan, Auditor General of Pakistan, discussed the three
aspects of
accountability: fiscal, managerial, and program. He stated that there
are three global
drivers of a paradigm shift—globalization, technical innovation,
and customization.
Mr. Khan noted, "Strategic alliances between SAIs in research,
developing processes,
and knowledge sharing will create a professional advantage, strengthening
trust and
enhancing credibility for SAIs with their stakeholders. In return,
the stakeholders will
benefit . . . at the international level."
A lively and interactive discussion involving 20 countries or agencies followed the presentations. The discussion generally focused around five themes: (1) the importance of government accountability, (2) auditor relations with legislative bodies and the media, (3) auditor relations with auditees, (4) the importance of mutual cooperation, and (5) auditors' roles and capacities. Delegates had mixed views about the suggestion that SAIs develop better relations with legislative bodies, the public, and the press if they are to strengthen the effectiveness of the accountability system. Some delegates believed that the news media should function as the bridge between auditors and the public, supporting and complementing audit work. Others thought that auditors should limit themselves to giving the media confirmed facts about audit results. Some delegates believed that it would be beneficial for auditors to have a participative relationship with the auditee and that such a relationship is possible without jeopardizing the auditor's independence and objectivity. Others believed that in promoting such relations with auditees, auditors risk becoming too involved in decision making relating to the auditee's policies.
Participants agreed that the existing cooperation between ASOSAI and the INTOSAI Secretariat should continue and be strengthened. SAIs should also consider strengthening relations with each other and improving accountability and transparency across national borders. Dr. Anwar Nasution, Chairman of the Indonesian SAI, suggested that SAIs collaborate with each other to assess governmental efforts to prepare for the possibility of an avian influenza pandemic. Discussion also focused on the auditor's ability to reach a larger audience with its reports and the need to focus on the auditor's right to impose sanctions. There was also much discussion on the need to enhance both auditor training and the ability of audit institutions to promote government accountability.
Election of New Members and Other Business
The assembly approved the SAI of China as the incoming chairman. It also unanimously appointed Mr. Vijayendra Kaul to another term as ASOSAI's Secretary General. The SAIs of Korea, Kuwait, Malaysia, Saudi Arabia, and Turkey were elected to the Governing Board. The SAIs of Jordan and Outer Mongolia were elected to the Audit Committee.
The Governing Board also approved the papers presented at the Third Symposium, the report of the ASOSAI Working Group on Environmental Auditing, and the report of the INTOSAI Professional Standards Committee meetings. It also approved the budget for 2006–2008.
Mr. Khan, Auditor General of Pakistan, invited participants to the 11th ASOSAI assembly, which will be held in Pakistan in 2009.
Other Activities
Throughout the conference, the Auditor General of China treated participants with warmth and hospitality. Mr. Li Jinhua hosted a banquet for delegates and invited guests at the Shanghai Convention Center; the banquet was followed by a performance of the Shanghai Acrobatic Troupe. The auditors general of the Philippines, India, and Pakistan also hosted dinners at different venues.
Delegates and invited guests had the opportunity to ride the magnetic levitation train from the Long Yang Subway Station to Pudong International Airport and back and also visited the Oriental Pearl Tower, where they were able to view Shanghai, have lunch, and learn about Shanghai's history at the City Museum. Guests also toured Shanghai's Museum of Art and Urban Museum. The Shanghai mayor, Mr. Han Zheng, hosted the closing banquet at the Shanghai Exhibition Hall. Delegates and invited guests were treated to a boat ride on the Huangpu River, where they veiwed a beautiful fireworks display.
Information on the ASOSAI Assembly and Third Symposium is posted on the CNAO Web site.
For additional information, contact the China National Audit Office:
Fax: ++(86) 10-68330958
E-mail: cnao@audit.gov.cn
Web site: www.cnao.gov.cn