State Audit Institution in Muscat and Salalah

 The State Audit Institution in Muscat main mission and business is to protect public funds and ensure compliance with legislations, laws and regulations related to the state owned entities in Oman. It includes different Regulatory and Administrative Bodies such as the following:

Regulatory Authorities - Financial Services

State Audit Institution (SAI) is the supreme audit institution of the sultanate of Oman. The audit body in Oman was established for more than 34 years and it has developed gradually in many forms from being a department before 1970s in the ministry of finance (the Directorate general of finance then) auditing government expenditures, until it developed in 1999 to become an independent government body that has a head who is a minister.

According to royal decree No. 95/1999 issued by his majesty the Sultan of Oman. The elevation of SAI in 1999 to be an independent government body was immense changes to the government audit practice in Oman, with that the new state audit law came to presence.

There are different projects completed by the State Audit Institution such as the following:

1-    Headquarters Building for State Audit Institution - Al Bustan

The project involves constructing an audit institution that is composed of ground floor and 4 additional floors.

2-    Office Directorate General for Administrative & Financial Audit - Al Batinah.

The project includes constructing an office building.

SAI’s mandate:

SAI works by state audit law issued by royal decree No. 55/2000 which declared SAI as an autonomous legal entity that enjoys a financial, administrative and operational independence that carries out post audits of the state public funds in addition to monitoring the performance of entities falling under its jurisdiction.

SAI’s objectives:

SAI’s objectives to protect the state public funds, expose cases of financial irregularities, draw attention to deficiencies in the financial and personnel laws and to evaluate the performance of entities subject to its audit.

State Audit Institution Salalah

The constitution of SAI:

SAI is headed by a President, in the rank of a Minister, a Deputy President, both appointed by a royal decree, they are supported by an Assistant Deputy President, Advisors, Directors General and Directors as specified in royal decree No. 56 2000 issuing SAI’s organizational structure. SAI currently consists of three main wings, audit, administration, and support services.

SAI’s audit jurisdiction:

The entities subject to the audit of State Audit Institution are: All entities making the administrative apparatus of the state, Public authorities and establishments, Pension funds and private bodies which are subsidised by the government, Companies owned by the government by at least 51% of the share capital or to which the government has granted a concession for a public utility or a natural resource.

SAI’s responsibilities:

SAI’s main responsible for conducting financial and regularity audits, performance audit and follow-up of the implementation of the plan, and review of decisions issued in connection with the financial contraventions.

SAI’s audit reports:

The SAI's reports are issued, usually after every audit, to the entity concerned, which is required to respond to the SAI's findings within a period of two months. The results of the SAI's work throughout the year are summarized in an Annual Report, which is submitted by the President of the SAI to His Majesty the Sultan. This report contains a summary of the SAI's audit findings and action taken thereon by auditors, observations on the State Annual Accounts, an evaluation of performance of the audited entities and development projects, observations on the adequacy of financial laws and regulations, records and systems, as well as observations on financial contraventions and the penalties imposed. The SAI's reports are confidential and available only to the addressee.

SAI and the international community:

SAI is a member of the International Organization of Supreme Audit Institutions (INTOSAI) and is also a member of two of INTOSAI's regional working groups; the Arab Organization for Supreme Audit Institutions (ARABOSAI) and the Asian Organization for Supreme Audit Institutions (ASOSAI).

In 1999, SAI was invited to join INTOSAI's standing committee on Information technology audit, SAI has also joined the INTOSAI committee on internal control and the INTOSAI working group on the audit of privatization.