Legal Framework of Internal Auditing in Ethiopian Public Higher Education Institutions

Tadesse Demeke .

Abstract


Purpose: Obtaining literature related to the legal framework of internal auditing was challenged. As a result of this, the main aim of this study is to evaluate the legal framework of internal auditing in Ethiopian public higher education institutions. Also, the study uses to reduce the limitations of the legal framework, and the difference between the legal framework and actual practices. Methodology: To meet this objective, interviews and published documents were used. Findings: The result revealed that it is signified in the existing internal auditing legal framework that the Ministry of Finance and Economic Cooperation of the country is responsible to issues related to the human resource administration and internal audit organization of the public higher education institutions. But for the daily routines, the responsibility goes to the President of the university. The legal framework indicates that the internal auditors of the public institutions cannot be promoted and compete for vacancies in other departments within the institution, which exposed the institutions for high employee turnover. Implications: It can be concluded that the adjustment of the internal auditors’ salary/benefits will reduce the employee turnover of the institutions, and also, establishing the internal audit charter and audit committee will ensure the independence and objectivity of the internal auditors. Originality: Till now, no author has reported such type of empirical study, and also it is fully my original work carried out by me.


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