REQUEST FOR PROPOSAL TO CONDUCT NIM/NGO PROJECT ...

Annex 5: Categorization of Audit Findings by Risk Severity
In addition to explaining and giving details about the “Effect, potential impact or risk” in the text of
an audit observation, UNDP requires that the auditor also identifies the risk level in the audit report
by using one of the following 3 pre-established risk levels:
High
Medium
Low
Action that is considered imperative to ensure that UNDP is not exposed to high
risks (i.e. failure to take action could result in major consequences and issues).
Action that is considered necessary to avoid exposure to significant risks (i.e. failure
to take action could result in significant consequences).
Action that is considered desirable and should result in enhanced control or better
value for money.