Public debt management in the Pacific region – an auditor’s perspective

Managing public debt is a regional and global issue and Supreme Audit Institutions (SAIs) play a critical role by encouraging governments to adopt robust debt management strategies, sound risk management practices and proper reporting to disclose levels of public debt. This will assist governments in addressing financial stability, and this is extremely relevant for the developing nations of the Pacific Islands where public debt levels are at unsustainable levels. 

The regional report on Public debt management in the Pacific region – an auditor’s perspective provides a useful snapshot of how public debt management is being dealt with at a national and regional level. It provides key messages to SAIs and Pacific governments and stakeholders to strengthen governance, legal, financial and administrative systems to enhance public debt management. The impact from these audits is already making a difference in encouraging governments to adopt robust debt management strategies, develop sound risk management practices and disclose properly the levels of public debt. The Public Auditor of the Federated States of Micronesia (FSM) National Office Mr Haser Hainrick said “The effort in addressing our recommendations has also resulted in the government leadership taking action to build and to strengthen public debt in FSM.“ 

Eight Pacific SAIs participated in this capacity building program which is the fifth in the series of PASAI’s cooperative performance audits but it is the first to focus on a financial related topic. 

A range of development partners particularly INTOSAI Development Initiative (IDI) supported this regional cooperative audit. The Pacific Islands Forum Secretariat and the Pacific Financial Technical Assistance Centre provided specialist technical advice during the planning and reporting phases over the course of the audit. The Asian Development Bank provided technical support to the development of the initial audit concept and support over the course of the audit. 

The official launch of this regional report was held in Auckland New Zealand at Rydges Hotel today during a regional IDI/PASAI Meeting with SAI Management and Stakeholders, which is attended by Heads of SAIs, development partners and Pacific regional organisations. 

PASAI promotes transparent, accountable, effective, and efficient use of public sector resources in the Pacific. It contributes to helping its member SAIs improve the quality of public sector auditing in the Pacific to uniformly high standard and assist government to develop effective, accountable and transparent institutions at all levels which aligns with Goal 16 of the Sustainable Development Goals (SDGs). 

Launching of Regional Report – PASAI Advocate Mr Eroni Vatuloka handing over the regional report officially on behalf of PASAI to Mr John Path Chairperson of PASAI Governing Board

Launching of Regional Report – PASAI Advocate Mr Eroni Vatuloka handing over the regional report officially to IDI Ms Archana Shirsat Deputy Director General and Head of Capacity Development

Pacific auditors achieving high quality with TeamMate

The Pacific Association of Supreme Audit Institutions (PASAI) is hosting auditors from across the Pacific in Auckland this week to share information about TeamMate®, a new auditing software used by audit offices across the Pacific, including the New Zealand Audit Office. 

TeamMate® is an online auditing program that allows audit offices to spend less time documenting and reviewing information, giving auditors more time to add value in others ways to their audit services and improve the quality of their audits. 

PASAI’s Chief Executive, Mr Tiofilusi Tiueti, said the audit offices using TeamMate® will learn from each other and discuss any challenges they have faced in using TeamMate, “Implementing any new system can be difficult; implementing a new system in isolation can be almost impossible. Our job is to make sure that none of our members feel they are alone in implementing this new system. Audit NZ will be on hand to share their knowledge as a longstanding user of TeamMate®, and a longstanding member and supporter of PASAI”, he said. “TeamMate® will also be on hand with advice.” 

Twenty-three participants from audit offices in Cook Islands, Fiji, Guam, Papua New Guinea, Samoa, Solomon Islands, Tonga and Vanuatu are attending, including two Heads of Supreme Audit Institutions from Samoa and the Solomon Islands. 

PASAI’s Director Technical Support, Ms Agnes Tuiai-Aruwafu said, “TeamMate® is a tool that will help our Pacific SAIs enhance the quality of their audits to ensure their mandate is carried out according to International Standards of Supreme Audit Institutions (ISSAIs). Eight of our members have chosen to use this tool. PASAI is taking this opportunity to collaborate, coordinate and synergize efforts across the Pacific region to achieve high quality audits. “ 

PASAI’s Teammate forum will allow opportunities for peer reviews and other capacity building between the offices that use this audit tool. 

As well as sharing knowledge and ideas, the PASAI TeamMate® forum will develop a Terms of Reference, including how to achieve some key outputs such as developing a public good and arranging secondments through peer reviews between these Pacific audit offices. 

The workshop was possible through funding from Australia DFAT and New Zealand MFAT. 

Photo 1: PASAI TeamMate® forum participants in Auckland 

Photo 2 (L to R): Project team – Agnes Aruwafu PASAI Director Technical Support, Alison McDougall Audit NZ Manager Methodology, Ann Kilpatrick Audit NZ Information Manager, Vance Hetariki TeamMate Australasia Business Development Manager, Aolele Sua-Aloese PASAI Director Advocacy, Engagement and Financing, Tiofilusi Tiueti PASAI Chief Executive.