By performing audits, NAOF works to ensure that the legislation on central government finances is observed, that the information provided on central government finances is correct and adequate, and that central government finances can be managed more efficiently.
Based on its audits, NAOF issues recommendations to the audited entities and it also monitors whether the recommendations are implemented. However, the recommendations are not legally binding. The authorities in charge of the activities are always responsible for ensuring that the management of the finances is in accordance with the law and on an efficient basis.
Audit and evaluation
Most of the audits are financial audits and about 70 of them are published each year. About 15 performance audits and between two and three compliance audits and fiscal policy audits are published annually.
The purpose of a compliance audit is to determine whether the state budget and the provisions concerning central government finances and the principles of good governance have been complied with in the audited entity.
The purpose of a performance audit is to ensure that central government finances are managed in an economically efficient and effective manner. The National Audit Office always examines performance from economic perspective: Performance is based on cost-effectiveness, which means that the objectives should be achieved as successfully as possible with as few resources as possible.
The purpose of a fiscal policy audit is to determine whether a true and fair view has been given of the central government financial position and the sustainability of general government finances. The aim is to provide a strong basis for decision-making and public debate concerning fiscal policy. Fiscal policy audit also produces information for fiscal policy evaluation.
The main purpose of fiscal policy evaluation is to ensure that national and EU-level fiscal policy rules are observed. As part of the evaluation, the applicability of these rules to Finland is also assessed and their transparency and clarity promoted. In fiscal policy evaluation, the economic forecasts used as a basis for fiscal policy are also assessed.
The purpose of the oversight of election campaign and political party funding is to ensure that all those required to do so file the disclosures and documents required under the law. As part of the oversight of election campaign and political party funding , NAOF receives and publishes documents on which provisions are laid down in the Act on Political Parties and the Act on a Candidate’s Election Funding.
The planning process usually starts in late spring when a project-specific plan and a risk analysis are drawn up. The time and resources allocated to the audit, the manner of performance and more specific audit areas are also documented in the planning process.
Based on the plan, different types of audit measures, such as substantive audits and tests of controls, are carried out during the accounting period. Substantive audits include such measures as the checking of receipts. In the testing of controls, the ability of the processes in the audited entities to detect errors is examined.
A financial audit concludes with the audit of the final accounts, and the writing of the audit report. The audit report must include a summary of the information that is of material significance for the stakeholder’s decision-making process.
You can submit a complaint on unlawful financial practices by the State of Finland or companies in which the State of Finland has a controlling interest and on certain matters concerning the funding of political parties and election campaigns. Click here to read more about the complaints procedure.
You cannot submit complaints on
Parliament or the funds under the responsibility of Parliament
Bank of Finland
Social Insurance Institution of Finland
the authorities in other countries
international organisations, or
NAOF requests information and statements from the authorities named in the complaint. Finally, the complainant and the parties requested to submit information and statements will be notified of NAOF’s decision. If necessary, NAOF decides to prepare a separate report or perform a separate audit. Read more about the complaints procedure.
draw the attention of the monitored entity to the requirements of good governance
convey to the monitored entity NAOF’s view on what is required under law
issue the monitored entity with a caution.
NAOF may also decide not to investigate the complaint. Read more about the complaints procedure.
Complaints are investigated free of charge. Read more about the complaints procedure.