National Audit Office of Finland

Intense work has continued at the NAOF after the Christmas break – in both audit and monitoring. In addition to auditing, the end of 2020 at the NAOF was marked by numerous hearings by parliamentary committees: the topics varied from fiscal policy and management of employment to incorporation of central government operations and risk management. Hearings play an important role, as Parliament is one our key stakeholders even in the use of impartial information. We have also continued to have a close dialogue with the management of ministries over remote connections, which has also been useful for the planning of our operations.

Information is required for understanding the world around us, for decision making, and for preparing for the future. We need to know the big picture, but as well – to a certain degree – the bits and pieces it’s made of. In addition, the connections and interactions of these pieces are of most importance. Quite often it is like we are building a jigsaw puzzle whose pieces are scattered all around, not knowing whether they will ever be found. Some of the pieces are still to be created – and simultaneously the world around us is changing, thus modifying the picture we are building.

The profound and comprehensive change in society will challenge the development of public administration in the next few years. Key factors both in this development and in auditing will be identifying changes and understanding what is essential. Other factors to be considered are the roles of different actors and the cooperation between them.

So far, the National Incomes Register, which was introduced at the beginning of 2019, has not reduced the administrative burden on employers. In the development of the Incomes Register, it would be important to consult the data providers, in particular, in order to make the reporting smoother and reduce the need for subsequent corrections.

Governments around the world have spent huge sums on economic recovery following the pandemic. Many stimulus packages also aim to support climate action. But how can we make sure that the climate really benefits? Climate finance tracking methods provide one way of assessing and monitoring the allocation and impacts of funding. They can also support decision-making and improve the effectiveness of climate policy. A report commissioned by the National Audit Office of Finland contains recommendations for developing the tracking methods.

Long-term sustainability of central government finances requires that vocational education provides a solid foundation for students’ employment and that it meets the changing competence needs of business life and enterprises. The implementation of the reform has progressed in line with the objectives. The NAOF recommends that the Incomes Register be used as a source of information when the effectiveness of vocational education is monitored.