Olwyn Enright (Laois-Offaly, Fine Gael)
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Question 115: To ask the Minister for Foreign Affairs the number of audits carried out on Overseas Development Aid in 2006 and 2007; the number of these that were required to address issues that were of concern and what they were; and if he will make a statement on the matter. [3805/08]

Michael Kitt (Galway East, Fianna Fail)
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Audits of Ireland's overseas development aid are undertaken on the basis of a three-year rolling audit work plan which is overseen by the Department's Evaluation and Audit Unit. At the start of each year an annual operational plan is agreed which comprises a range of audit activities including:

Work carried out directly by Irish Aid's Evaluation and Audit Unit and by Internal Auditors based at Missions in Programme Countries;

Work carried out by internationally recognised audit firms that is commissioned by Irish Aid;

Joint donor funded audits of specific programmes;

Audit reports obtained from other partner organisations such as those carried out by UN funds and programmes and non-governmental organisations.

The main objective of Irish Aid's audit programme is to gain assurance that funds granted are used for the purposes intended. As systems of control in developing countries are often weak, Irish Aid works closely with partner governments and other organisations to improve their financial and accounting systems. This work includes strengthening audit institutions and standards in line with international best practice, with capacity building where appropriate.

The Evaluation and Audit Unit conducts a series of audit visits annually to Irish Aid's Programme Countries. During 2006 and 2007, the Unit carried out eight such visits.

The Missions in Irish Aid's Programme Countries are themselves audited annually by internationally recognised audit firms. Further audit assurance is provided by Mission-based Internal Auditors who carry out audits of partner organisations that are in receipt of Irish Aid funding and review Missions' internal controls.

Where issues of concern arise they are reported to Senior Management. Management responses are provided in reply to each audit, and a process has been established for follow up on the implementation of audit recommendations.

In addition to these robust internal systems the Department has an independent Audit Committee which reports to the Secretary General. It provides an independent appraisal of the Department's audit and evaluation arrangements through regular interaction with the Evaluation and Audit Unit and Senior Management. The Committee meets regularly with the Secretary General and annually with the Comptroller and Auditor General. It also publishes an annual report on its work; the 2006 version is available on the Department's website at http://www.dfa.ie.