AG Kamuhire presented the 2024 Annual Audit Report to Parliament, revealing that 94% of public entities received unqualified financial audit opinions, reflecting improved public financial management across government institutions. Courtesy Photo.
The Auditor General, Alexis Kamuhire, presented the 2024 report to Parliament on Tuesday, 6 May, providing a detailed overview of Rwanda’s public financial management for the fiscal year ending 30 June 2024. The report highlights progress in financial accountability while identifying areas requiring further improvement.
Legislators had mixed reactions. They commended the advancements in accountability but called for stronger measures to prevent financial leaks, particularly in institutions that mismanaged public resources.
Here are ten key findings from AG Kamuhire’s presentation to the House:
Unlawful Public Expenditures Decreased by 25%
Government entities reduced unlawful public expenditures by 25 per cent, from Rwf 2.57 billion in 2023 to Rwf 2.04 billion in 2024. Kamuhire stated that this decline demonstrates improved compliance with financial regulations, but he cautioned that ongoing efforts are necessary to maintain this trend.
Recovery of Misappropriated Funds
Preventive audits resulted in the recovery of Rwf 3.3 billion out of Rwf 3.4 billion misappropriated during the 2023–2024 fiscal year. Key institutions involved in these recoveries included WASAC, MINICOM, RHA, RTDA, RURA, and REB.
Members of Parliament called for more reinforced efforts to reign in mismanagement of public funds in some institutions.
Increased Compliance with Financial Regulations
The proportion of unqualified audit opinions, indicating no major financial misstatements, rose from 92 per cent in 2023 to 94 per cent in 2024. The Auditor General noted that this reflects enhanced financial management, although reinforcement remains vital.
Improved Legal and Regulatory Adherence
The percentage of institutions complying with laws and regulations increased from 69 per cent in 2023 to 75 per cent in 2024. Kamuhire attributed this progress to sustained efforts to address spending loopholes, although performance varied across institutions.
Enhanced Efficiency in Public Spending
The report indicates that 66 per cent of institutions effectively utilised public funds in 2024, an increase from 59 per cent in 2023. Kamuhire linked this improvement to better planning and budget execution within government sectors.
Increased Implementation of Auditor General’s Recommendations
The implementation of the Auditor General’s recommendations rose slightly from 59 per cent in 2023 to 60 per cent in 2024. Kamuhire acknowledged that while the increase was modest, it signified a positive shift in addressing identified issues.
Comprehensive Audit Coverage
The Auditor General’s office audited expenditures totalling Rwf 6,571 billion, covering 96.1 per cent of total government spending. This extensive coverage enabled a thorough review of financial management practices.
Identification of Underutilised Public Assets
The Auditor General identified idle public assets valued at Rwf 7.5 billion. Parliament recommended auctioning these assets to generate state revenue. Kamuhire stated he would forward the proposal to the relevant institutions for follow-up.
Persistent Challenges in Financial Management
Despite the progress, Kamuhire highlighted ongoing challenges in some institutions, including non-compliance with financial regulations and inefficient use of funds. He called for continued oversight and corrective action.
A Commitment to Accountability
Kamuhire emphasised the importance of strong internal controls and accountability to prevent mismanagement. He urged Chief Budget Managers to adopt sound financial practices to ensure the efficient use of resources.
Overall, the 2024 Auditor General’s report reflects significant progress in Rwanda’s public financial management, characterised by reduced unlawful spending, improved compliance, and recovered funds. However, it also highlights the need for ongoing reforms and vigilance to address persistent issues and ensure the effective use of public resources.
