Treasury Internal Audit Framework Revised ... - National Treasury

Introduction
These principles are embedded in the
responsibilities of IAA in terms of their
responsibilities to evaluate controls, risk
management and governance processes.
1.3.2 The PFMA and MFMA
1.3.2.1 Audit Committee (AC)
In terms of the above legislations, an AC is
established to serve as an independent
governance structure whose function is to
provide an oversight role on the systems of
internal control, risk management, and
governance. The AC assists the Accounting
Officer (AO) in the effective execution of
his/her responsibilities with the ultimate aim of
the achievement of the organisation’s
objectives. AC is discussed in detail in
Chapter 2. Internal Audit Activity (IAA).
The ISPPIA defines internal auditing as
“an independent, objective assurance and
consulting activity designed to add value and
improve an organisation’s operations. It helps
an organisation accomplish its objectives by
bringing a systematic, disciplined approach
to evaluate and improve the effectiveness of
risk management, control and governance
processes.”
5 Internal Audit Framework