working group on public debt · be presented to the psc issai 5411 “debt indicators” will be...

07.2016 | WGPD

Annual Meeting of the INTOSAI Working Group on Public Debt

July 05-07, 2016

Nanjing, China

Working Group on Public Debt

Chair’s Annual Report

Mr. Roberto Salcedo

Deputy Auditor General of Mexico

WGPD Chair

2016 meeting

WGPD | 2

Nanjing 30 participants

14 member SAIs

Chinese Academy of Social Sciences

IDI

World Bank

WGPD | 3

Argentina Austria Azerbaijan Brazil Bulgaria Chile

China Egypt Fiji Finland Gabon India

Indonesia Jordan Korea LithuaniaMexico (Chair)

Moldova

Portugal RomaniaRussian

FederationUkraine USA Yemen

ZambiaIDI

(key partner)

2016 meeting

SAI attending the 2016 meeting

WGPD membership

Azerbaijan

Contact

• July 16, 2015

Formal Request

• August 6, 2015

Admission

• August 22 – September 8 (WGPD Analysis)

• September 2015

WGPD | 4

WGPD membership

WGPD | 5

Georgia

• INTOSAI General Secretariat

• June 6, 2016 Request to be admitted as WGPD member

• July-August 2016 Analysis by WG members

Cape Verde

• World Bank

• June 20, 2016 Informal communication with WGPD

• From mid-July on mutual exchange

Reporting

ASF | 6

WGPD’s Tabled

Reports

7th Knowledge Sharing and Knowledge Services (KSC) Steering Committee Meeting (Goal 3) October, 2015

67th INTOSAI Governing Board meeting November, 2015

Reporting

ASF | 7

2015 meeting topics & agreements

Revision of WGPD ISSAIs

Ongoing projects (investigation themes, products for the XXII INCOSAI & capacity building initiatives)

Administrative matters

Collaboration with relevant organizations.

7th KSC & 67th Governing Board

ASF | 8

Took note of the Working Group’s annual report

Were acquainted with the development of the draft ISSAI 5450 “Guidance on Auditing Public Debt Information System”, that will be presented during the 2016 INCOSAI for its final approval.

Took note of the development of a potential INTOSAI GOV on “Public Debt Management Office”, that will be subject to the PSC Due Process.

7th KSC & 67th Governing Board

ASF | 9

Took note of the actions carried out for the revised ISSAIs 5410, 5421, 5422, and 5430 to be endorsed by the KSC Steering Committee, so that they could be presented to the PSC

ISSAI 5411 “Debt Indicators” will be subject to the next revision process.

Endorsed the proposal to withdraw ISSAI 5420 “Public Debt: Management and Fiscal Vulnerability: Potential Roles for SAIs” from the ISSAI Framework.

Took note on the Mexican SAI decision to call for nominations to occupy the WGPD Chair from the XXII INCOSAI.

Reporting

ASF | 10

• 7th Knowledge Sharing and Knowledge Services (KSC) Steering Committee Meeting (Goal 3) October, 2015

• 67th INTOSAI Governing Board meeting November, 2015

WGPD’s Tabled Reports

http://www.wgpd.org.mx/

WGPD products for the XXII INCOSAI

ASF | 11

• ISSAI 5450

• INTOSAI GOV “DMO”

• Revised ISSAIs

WGPD’s Tabled Reports

http://www.incosai2016.ae/

ASF | 12

Concept Framework of Coordinated Parallel

Audit of PDM Information Systems

• Work Plan: 2014-2015

• Objective:

– To assess the appropriate

implementation of

management and control

process in relation to the

efficiency of Public Debt

Management National

Information Systems

• Target:

– Entities responsible for

PDM information systems.

• 13 SAIs involved

• Meetings:

– Kyiv, Ukraine

– Chisinau, Moldova

– Georgia

ASF | 13



Brazil Bulgaria China

Egypt Fiji Georgia

Mexico Moldova Romania

Russian Federation

Ukraine (project leader)

Yemen

Zambia

Observers

ASF | 14



Focus

Objective1

Objective2

Assessment of efficiency of Public Debt Management Information Systems (PDMIS) functioning in jurisdictions of the participating SAIs.

whether the management and control processes of national Public Debt Management Information Systems were in place

whether the reviewed information systems were equipped with adequate general and application controls and if they were properly implemented

ASF | 15



Demonstrated that the government bodies established reliable and sustainable Public Debt Management Information Systems along with respective infrastructure those were developed and maintained at the state-of-the-art technological level.

The reviewed information systems ensured capturing, processing and reporting debt data and transactions in accordance with the national requirements and users expectations of working capacity of the system facilitating the management of public debt.

ASF | 16



General management of PDMIS was not sufficiently oriented in order to ensure continuous development of the systems meeting overall strategic goals of the entity

Most of the reviewed national DMO did not have a

formal PDM information system strategy.

Even if overall IT strategy existed, it was not updated in

line with the auditee’sbusiness processes.

Integration of debt management into an Integrated Financial

Management Information System (IFMIS) was not

achieved.

Deficiencies and weaknesses in general management, general and application

controls relating to the debt information systems.

ASF | 17



Certain DMOs used locally-developed systems, specifically for domestic public debt, those

were not interconnected with the Debt Management and Financial Analysis System (DMFAS) and

even incompatible.

Lack of covering entire process and all proceedings in the

meaning of full automatization of public debt management was

encountered.

In many DMOs the auditors noticed unclear division of roles and responsibilities among the debt management personnel at

technical level.

Risk assessment as identification of possible weaknesses which may

compromise PDMIS was not conducted.



ASF | 18



The trainings of staff were provided during the PDMIS implementation

when required, but without regular training

programme.

Many entities had no PDMIS security policy

statement. Many home-grown PDMIS did not

record audit trails of their transactions.



ASF | 19



• Reference:

– Guide for Auditing Public

Debt Management

(outcome of the IDI Trans-

regional Program)

– Guidance of Auditing on

Public Debt Information

System (ISSAI 5450)

WGPD | 20

Investigation Themes

Projects based on the WGPD Strategic Plan’s objectives

• “to prepare and publish guidelines and other material

to be used by SAIs in order to encourage the proper

reporting and sound management of public debt”

• “to identify key issues for the development of

responsibilities and procedures for auditing and

evaluating public debt commitments”

• “to prepare papers examining matters on public debt

definition, reporting and assessment”.

ASF | 21

WGPDIDI

Current project:

Trans Regional Programme on Strengthening Public

Oversight and Audit of Sovereign Lending and

Borrowing Frameworks

IDI Collaboration with the WGPD

WGPD | 22

Trans-regional Programme on Strengthening

Public Oversight and Audit of Sovereign

Lending and Borrowing Frameworks.

Objectives

To strengthen the professional and institutional capacity of participating SAIs in conducting in-depth and effective audit of lending and borrowing frameworks

To influence effective sovereign lending and borrowing practices

WGPD | 23

Trans-regional Programme on Strengthening

Public Oversight and Audit of Sovereign

Lending and Borrowing Frameworks.

1. It’s a joint effort with the Working Group on Public Debt and UNCTAD

2. Cooperation meetings in different INTOSAI regions have been carried out, including OLACEFS and ASOSAI

3. Participation of senior management of the SAIs ensured the proper understanding of the requirements, relevance and

results of the program

Cooperation with other partners

World Bank

UNITAR

UNCTAD

IDB

OECD

WGPD | 24

.

WGPD | 25

Revision of the WGPD Strategic Plan

07.2016 | WGPD

Annual Meeting of the INTOSAI Working Group on Public Debt

July 05-07, 2016

Nanjing, China

Working Group on Public Debt

Chair’s Annual Report

Mr. Roberto Salcedo

Deputy Auditor General of Mexico

WGPD Chair

working group on public debt · be presented to the psc issai 5411 “debt indicators” will be...

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