Following the initiative of the Ministry of Finance, the Government adopted an executive order enabling the State Audit Service of Ukraine to start operating instead of the now disbanded State Financial Inspection.
The Ministry of Finance is striving to improve the financial discipline in the public sector of the economy. One of the steps in this area was the transformation of the State Financial Inspection into the State Audit Service which was started in October 2015. The aim of this step was to switch from controlling to auditing functions which should prevent the unauthorized and ineffective use of budget funds and public property, target inspections at significant financial violations as well as to conduct financial reviews based on risks only.
In line with the decision to found the State Audit Service, the Government has adopted a decree founding 5 interregional local subsidiaries of the State Audit Serviceon the basis of 27 local financial inspection offices. Also, the Government has already set the maximum number of employees of the State Audit Service at 3200 persons including 520 FTEs for the head office and 2680 FTEs for the local offices.
At the same time, the operations of the State Financial Inspection are to be terminated, its powers and responsibilities are to be transferred to the State Audit Service.
- The State Audit Service was founded in accordance with the Decree of the Cabinet of Ministers No. 868 dated October 28, 2015;
- The Regulation on State Audit Service of Ukraine was enacted by the Decree of the Cabinet of Ministers No. 43 dated February 3, 2016;
- The State Audit Service is a central body of executive power whose activities are guided and coordinated by the Cabinet of Ministers via the Minister of Finance;
- The main task of the State Audit Service is to conduct state financial audit to evaluate the effectiveness, lawfulness, relevance and results of the use and management of public funds and assets as well as to foster budget funds saving.