HOAP Joint Audit

1
HOAP Joint Audit

• Review of Procurement
• Tanzania 9th June 2006

2
BACKGROUND

• Importance of procurement

• 3 Ministries
• NAO
• Donors
• Donor Working Groups
• PCB
• PPRA
• PCA
• GGCU

3
FRAMEWORK, INSTITUTIONS CAPACITY

• Donor action has resulted in an improved
  framework
• Reforms represent clear improvement
• Lack of capacity has prevented full potential
  from being realised

4
COMPLIANCE (1 of 2)

• Regulatory Authority and Appeals Authority
  created, but yet to exercise their statutory
  powers
• Compliance with key provisions of new procurement
  legislation in ministries visited appears strong
• Clear enthusiasm to comply with new legislation
• Overall compliance picture is unclear
• NAO recognition that procurement deserves
  particular attention
• PAF indicator specifically examining compliance
  reflects the subject's importance

5
COMPLIANCE (2 of 2)

• Recommendations
• Clarify boundaries between responsibilities of
  NAO and PPRA (and MoF)
• Assess work performed by the external auditors

6
VALUE FOR MONEY (1 of 2)

• NAO has recently commenced detailed VFM work,
  although it is yet to perform any specific
  procurement-related VFM work
• No donor-monitored indicator concerning VFM
  (PEFAR recommendation that a means of measuring
  and enhancing VFM performance should be developed)

7
VALUE FOR MONEY (2 of 2)

• Recommendations
• Indicator measure progress in VFM
• Update the 300m figure
• Perception indicators in corruption

8
OVERALL PICTURE

• "Tremendous Progress" yet lower grade awarded in
  PEFAR assessment
• High level of cooperation among donors
• Highly process-orientated
• Recommendations
• Improve consistency between and amongst tools
  used for measurement and capacity-building.
• Accommodate economy, efficiency and effectiveness
  considerations