Audit of the USAID/Egypt"s role in obtaining audit coverage of its contracts, grants, and cooperative agreements

USAID/Egypt has carried out its role, although audits were not performed as frequently as required. The mission has otherwise established an effective financial audit management program, and has recently taken action to better ensure that financial audits are performed as frequently as required. Audits were required for about $103 million of USAID/Egypt"s $796 million in disbursements to non-U.S. entities during the period 1/93-9/30/95. As of 10/31/96, 148 audits of $84 million in disbursements should have been performed. Of this amount, 52 audits of $38 million were actually performed. According to mission officials, required audits were not performed or were not performed on time, because they believed that local public accounting firms did not have sufficient capacity to perform more audits. After further review, the Office of the Inspector General (OIG) agreed with the assessment. There were no recommendations made. (Author abstract)