Good Financial Governance in decentralized Administration in Rural Areas / Strengthening the Mozambican Court of Auditors

Good Financial Governance in decentralized Administration in Rural Areas / Strengthening the Mozambican Court of Auditors

Good Governance and Civil Society

Client: GIZ

Period: 01.2017- 06.2019

Country: Mozambique



After many years of peaceful and democratic development since the end of the armed conflict from 1992 to 2015, nowadays the framework conditions are shaped by interplay of far-reaching and interrelated problematic areas: a political-military conflict, an extremely tense macro-economic and fiscal situation and recurrent droughts and flooding meet widespread corruption, nepotism and abuse of office on all government levels.


Within this context, the establishment of a decentralized system of public finance requires Human Capacity Development for coordinated action on all levels of involved government entities and the strengthening of oversight and accountability.

Project description:


The project contributes to two different GIZ Projects and thus to two objectives:

  • Districts and municipalities should be able to fulfil their administrative duties in a more effective and economically sustainable manner and to meet the requirements for accountability. To do so, they are guided by the principles of good financial governance,
  • The Mozambican Court of Auditors should improve effectiveness in approving contracts and performing audits in the areas of extractive industries and public construction.


The project advises the ministries responsible for public administration, finance and infrastructure as well as the court of auditors on establishing a framework for better financial governance in the districts and municipalities. In three priority provinces, it provides advice and training to support local authorities in performing their tasks.


The focuses of intervention are:

  • Improving efficiency in financial administration and procurement
  • Ensuring public transparency and accountability about the use of funds
  • Modernizing the internal and external monitoring systems for the use of public funds
  • Developing training concepts and expanding the in-service training system for public service workers.


Additionally, the Court of Auditors’ internal procedures is being optimized.



Long-term technical, political and procedural advisory services on municipal, district and central government level by a team of resident international and national experts.


Advisory services regarding objective 1:

  • Strengthening of a transparent sub-national public procurement system connected to management of expenditure
  • Supporting mechanisms of accountability on municipal and district level
  • Institutionalizing HCD Measures and the application of POEMA Methodology


Advisory services regarding objective 2:

  • Technical coordination of auditing and approval of contracts regarding extractive industries and public construction.
  • Strengthening capacities of auditors and judges in these areas
  • Consultancy to internal audit regarding interface of internal and external audit
  • Fostering cooperation with INTOSAI, AFROSAI-E, OISC/CLCP and IIA


Complementary short-term consultancies by a pool of specialized international, regional and national experts on demand.