Audit

The NAOF produces independent and impartial audit information on central government finances and the state’s financial management. The audit information produced by the NAOF enables authorities to develop their activities and financial management. The published audit information also implements the central government’s accountability to Parliament and the public.

The NAOF audits

• whether the state’s financial management is lawful and cost-effective
• whether the state complies with the budget in its financial management
• whether the information Parliament receives on central government finances and financial management is reliable
• whether the Government complies with the fiscal rules.

Audit topics

The NAOF’s audits are based on its audit and oversight plan. Audit topics are selected based on the monitoring of the state’s financial management in each audit area. When selecting topics, particular emphasis is placed on their importance for central government finances, risks to cost-effectiveness and lawfulness, and the auditability of the topic.

The content, scope, duration and frequency of the NAOF’s audits vary by audit type and audit. Financial audits of central government accounting offices are conducted every year, whereas the topics of performance audits, compliance audits and fiscal policy audits are decided on a yearly basis. Different audit types may also be combined.

Audited entities

The NAOF’s right to audit and obtain information are laid down in the Act on the National Audit Office. The audited entities must provide the NAOF with the information it needs to carry out its audit tasks.

The NAOF has the right to audit:

• the Government and ministries
• government agencies and institutions
• off-budget funds
• unincorporated state enterprises and state-controlled companies
• central government transfers and discretionary government grants awarded to municipalities, companies and other entities
• transfers of funds between Finland and the European Communities
• Social Insurance Institution of Finland (Kela)
• wellbeing services counties and entities controlled by them.

The following are not within the scope of NAOF’s audit right:

• Parliament’s financial management
• funds under the responsibility of Parliament
• Financial Supervisory Authority
• Bank of Finland.

However, the NAOF also has the right to obtain the information it needs for its work from the Bank of Finland, even if it does not audit this organisation.