Auditor General’s Report: President hails sharp rise in audit compliance, full recovery of overpayments

President Dr. Irfaan Ali on Saturday cited official audit findings to defend his government’s record on public financial management, saying data from the Auditor General (AG) shows major gains in transparency and accountability since the PPP/C returned to office in 2020.

In a live broadcast on his Facebook page, Ali rejected allegations from the APNU opposition, saying their claims “bear no resemblance to the documented facts.” He pointed to the AG’s 2024 report and earlier annual reviews to contrast his administration’s performance with that of the former APNU+AFC Government.

According to Ali, the Audit Office confirmed that about 81 per cent of recommendations from the 2023 cycle were fully or partially implemented — a rate he said far exceeds that of the APNU+AFC years. Auditor General reports between 2015 and 2019 had repeatedly warned that roughly 83 per cent of recommendations remained outstanding, many reappearing for successive years without corrective action.

“These reports showed persistent lapses that negatively affected governance and accountability. This government, on the other hand, has been aggressive in acting on the Auditor General’s recommendations, even during the course of the fiscal year,” he said. Ali added that accounting officers have already begun acting on recommendations from the 2024 report and have been warned that failure to comply will “carry consequences.”

The 2024 audit also recorded improvements in contract oversight. Auditors reviewed 829 contracts valued at $48.19 billion and flagged fewer than three per cent for overpayments. All sums were recovered before the report was finalised, marking the third straight year of full recovery — a first, according to Ali. Recovery rates under the former APNU+AFC administration were significantly lower: 7.49 per cent in 2015, 29.7 per cent in 2017 and 12.1 per cent in 2018.

Ali said the government plans further reforms, including real-time auditing tools and digital project accounting systems that will allow early detection of irregularities through technology such as AI-driven monitoring.

The AG’s 2024 report found that more than 80 per cent of the 179 recommendations made the previous year were implemented fully or partially, one of the strongest rates in the past decade. By comparison, about 41 per cent of recommendations went unimplemented between 2015 and 2019.

The Audit Office also reported that overpayment recovery between 2015 and 2018 was “extremely low,” with several recommendations repeated annually because agencies failed to take corrective action.

As part of financial oversight reforms, the government worked with the Auditor General and independent auditors to clear the backlog of audits for public enterprises, statutory bodies, NDCs, foreign-funded projects and constitutional agencies. In 2024, 254 audit opinions were issued — the third-highest annual total since 2015 — and all were unqualified, indicating no material irregularities.

Procurement breaches also declined, with most ministries and agencies improving compliance with the Procurement Act. Exceptions included the Guyana Defence Force, the National Drainage and Irrigation Authority and the Ministry of Public Works. The AG further noted that more than 70 per cent of issues flagged in management letters were resolved before the final report, signalling stronger internal controls and faster responses from agencies.

Despite the gains, Ali said the administration will push further, including new performance indicators for permanent secretaries and heads of budget agencies to ensure consistent compliance with financial rules. “We have seen significant progress between 2020 and 2024, but we are not satisfied. We will continue strengthening systems to ensure the full implementation of the Auditor General’s recommendations,” he said.