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820 First St. NE Suite 510 Washington, DC 20002 USA Tel: 1-202 408 1080 Fax: 1-202 408 1056

820 First St. NE Suite 510 Washington, DC 20002 USA Tel: 1-202 408 1080 Fax: 1-202 408 1056 info@internationalbudget.org. www.internationalbudget.org. Client Leadership: External Incentives for Improving Auditing Performance Warren Krafchik International Budget Project

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820 First St. NE Suite 510 Washington, DC 20002 USA Tel: 1-202 408 1080 Fax: 1-202 408 1056

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  1. 820 First St. NE Suite 510 Washington, DC 20002 USA Tel: 1-202 408 1080 Fax: 1-202 408 1056 info@internationalbudget.org www.internationalbudget.org

  2. Client Leadership: External Incentives for Improving Auditing Performance Warren Krafchik International Budget Project 12 May, 2003 www.internationalbudget.org

  3. Introduction • Improving budget institutions/systems requires technical & political change. • Strengthening AGs is critical to technical change. • Problem: Given AG policy neutrality: How to link auditing to system change • Answer: Parliament and CSOs can help with political change.

  4. Oversight Partnership AG CSO/MEDIA PARLIAMENT www.internationalbudget.org

  5. Case Study: S. Africa Arms Procurement • Dec 1999: Cabinet agreement • Sept 2000: AG and MP call for inquiry • Oct: PAC supports inquiry/parliament ratifies • New allegations in press, CSO coalition formed • Dec: Govt. allows inquiry, but lambastes committee chair and ousts ranking member • JIG report finds faults, but parliament discussion stunted. • Judiciary takes up Chief Whip benefits • SCOPA chair resigns • Chief Whip convicted www.internationalbudget.org

  6. AGs and Parliament AG: Conduct neutral audit & report to parl. Parliament: Interrogate report, recommend to parliament + pressure exec for improvement. How? Direct & indirect political pressure Direct: Develop knowledge base, conduct hearings, report, follow-up & tracking Indirect: Build public interest and engagement www.internationalbudget.org

  7. AGs and Civil Society • Growth of Civil Society budget groups • Active throughout budget process on each continent • EGs of impact on budget systems • South Africa • Mexico • Russia • Uganda www.internationalbudget.org

  8. AGs and Civil Society (contd) • Building audit literacy • Suggesting audit sites (Uganda) • Tracking follow-up (Public Sector Accountability Monitor) • Measuring program performance (Malawi, Zambia, Columbia) • Campaign advocacy www.internationalbudget.org

  9. How can AGs strengthen partnerships with parliament and CSOs? • Prioritize reports to parliament • Statement of Intent • Timeliness • Accessible writing style • Include follow-up information www.internationalbudget.org

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