INTOSAI Task Force Global Financial Crisis -
Challenges for SAIsand the WGPD
Roberto José Domínguez MoroSuperior Audit Office of Mexico
INTOSAI Working Group on Public Debt
June 14, 2010
Introduction
The INTOSAI Task Force Global Financial
Crisis - Challenges for SAIs was created as
an institutional response to the auditing
issues stemming from the financial crisis and
the governments’ response to it
Creation
58th Governing Board Meeting (Vienna,
November 2008)
Falls within INTOSAI Strategic Goal 3,
Knowledge Sharing
Chair: United States of America
Membership 25 members so far:
Austria • Canada • Chile • China • Cyprus •
Denmark • Estonia • European Court of
Auditors • Finland • Hungary • Indonesia •
Italy • Japan • Korea (Republic of) • Mexico
Morocco • Netherlands • Poland • Russian
Federation • Saudi Arabia • Slovakia •
Sweden • United Kingdom • United States
of America • Venezuela
Purpose
To enhance the knowledge base of SAIs on financial and economic matters related to the crisis
To enhance the exchange of knowledge among SAIs
To help governments and the global community respond to the crisis
To become a source of information and experience
Goals (i)
Draft Goal 1: Develop recommendations
Minimizing the impact of future financial
crises
Draft Goal 2: Develop resources
SAIs work on global financial crisis,
stimulus initiatives, and their impact
Goals (ii)
Draft Goal 3: Develop tools and methodologies Strengthening SAIs’ monitoring ability
Financial and other regulatory systems
Draft Goal 4: Build strategic relationships with key international organizations Sharing Information on the financial crisisDeveloping key indicators for early warning
systems
Goals (iii)
Draft Goal 5: Develop tools and
methodologies
Strengthening SAIs ability
Conducting performance and other
audits of macroeconomic measures
taken in response to the global financial
crisis
Objectives (i)
Lessons learned
Lessons SAIs collectively learned from
past financial crises
Impact on countries
Common problems that countries have
experienced
Objectives (ii)
Genesis and impact of the current crisis
Principal domestic and foreign factors
causing and/or influencing the impact of
the financial crisis
Impacts upon each country’s financial
market and economic framework
Impacts upon economic development
globally and regionally
Objectives (iii)
Initial government responses to avert or
minimize the crisis
Fiscal stimulus
Financial intervention
Broader economic interventions
Regulatory and other changes made to
minimize the risk from financial crisis
Objectives (iv)
Reforms, transparency, and accountabilityReforms to mitigate the impact of another
financial crisis and needed global regulatory reforms
Role of central banks and other supervisors
Criteria for using public fundsTransparency, accountability and
effectiveness of undertaken measuresLevel of international cooperation
Objectives (v)
Challenges that SAIs face
Factors (legal mandates, human
resources, etc.) influencing SAIs’ ability
Impact on SAIs’ audit operations, fiscal
resources, and legal mandates
Methodologies and tools to strengthen
SAIs’ abilities
Audit principles for government auditing
Objectives (vi)
Roles of SAIs in monitoring and overseeing
financial markets, banking systems, and
financial regulatory systems
Role of SAIs in responding to the current
crisis
SAIs information that can affect
government exit strategies
Objectives (vii)
International Organizations & Key National IndicatorsUN, OECD, World Bank, IMF, International
Labor Organization, Bank of International Settlements, international standard setting bodies
Roles of international organizations and integration of government auditing into national measures
Definition of adequate international benchmarks
Terms of Reference (i)
The Task Force will exist for a period not to exceed 3 years
Expected Products: Archives of SAI work Compilations of best practices and lessons
learned Electronic WIKI products Case studies Training courses
Terms of Reference (ii)
Liaison with other INTOSAI Committees and
Working Groups on intersecting issues:
Knowledge Sharing Committee
Working Group on Public Debt
Working Group on Key National Indicators
Terms of Reference (iii)
Publication and Distribution of DocumentsExposure Drafts and Products
Task Force members comments within 21 calendar days of receiving the draft
May also circulate draft documents to other Task Forces, Working Groups, and the Governing Board prior to exposure to the full membership
Terms of Reference (iv)
Reports to the Governing Board
The Task Force may participate in the
annual Governing Board meeting
Changes to the Task Force terms of
reference, membership, etc.
Documents presented to the Governing
Board will be previously circulated
within the Task Force
Terms of Reference (v)
Reports to the INTOSAI Congress
The Task Force chair will present a report
to the INCOSAI
Results of its activities to date
Expected outcomes and products
Terms of Reference (vi)
Creation of three subgroups:1. Financial crisis causes and lessons
learnt2. Actions for minimizing and avoiding
crises2A. Effects of rescue programs on
financial markets2B. Effects of rescue programs on
economy3. Challenges for SAIs
Task Force and the WGPD (i)
Concurrence of issues to analyzeImpact of governmental rescue, bail-out
and support programs on public debtLiabilities, sustainability and long-term
effects on public debtEffective auditing of rescue programsDefinition of indicators and early-warning
systemsDevelopment of pertinent information
related to auditing for policy-makers
Task Force and the WGPD (ii)
WGPD Strategic Plan: Maintain an active relationship with the
other regional groups, working groups, standing committees, task forces as well as other institutions dealing with public debt issues Designation of a WGPD member to
undertake liaison responsibilities with the Task Force