Strengthening the Professional Capacity of the Royal Audit Authority for Better Governance

Contract partner: GNHC / RGoB - Gross National Happiness Commission - Royal Government of Bhutan Country: Bhutan Funding amount: € 170.000,00 Project start: 01.04.2018 End: 31.03.2019

Short Description:

Overall goal

The overall objective aims at further enhancing the professional and institutional capacity of the Royal Audit Authority (RAA), thereby contributing towards enhancing auditing, reporting and institutional credibility.

This objective is aligned to the RAA 2015 – 2020 Strategic Plan, the National Key Result Area 12 and 16 (Corruption reduced and Justice Services and Institutions Strengthened) of the forthcoming 12th Five-Year national development plan (2018 – 2023) and the UN SDG 16 (Peace, Justice and Strong Institutions)


Expected results

With two outputs of

(i) increased auditing knowledge on thematic areas and

(ii) increased capacity in emerging audit issues

the project will adopt both ex-country and in-country trainings as the main instrument in the delivery of the above concrete outputs.

This reflects the continued efforts of the RAA to effectively audit and report on the economy, efficiency, and effectiveness in the use of public resources. It has accorded high priority to capacity building in the 11th Five Year Plan 2013-2018 and its Strategic Plan 2015-2020. Notwithstanding the enhanced individual competencies and institutional development, additional capacity gaps have been identified in the recommendations from the Supreme Audit Institution-Performance Measurement Framework Report, PEFA report 2016, the RAA’s strategic plan 2015-2020, 11th Five Year Plan of Bhutan, Guidelines for preparation of 12th Five Year Plan and the ADC's Bhutan Country Strategy 2015-2018.


Target group / Beneficiaries

The project shall support 14 (7 female, 7 male) auditors trained as trainers, and 247 (40 female, 207 male) auditors as training recipients and trainers/training facilitators with the larger impact on 1,306 agencies under the RAA’s jurisdictions.

The RAA as the Supreme Audit Institution of Bhutan is responsible for the effective delivery of their constitutional mandate to audit and report on the economy, efficiency, and effectiveness in the use of public resources and to contribute towards good governance.



The main activity under output (i) increased auditing knowledge on 7 thematic areas, will be ex-country training of trainers (ToT): Citizen Participatory Audit, Environment Impact Assessment and Social Impact Assessment, Quality Assurance, Effective Follow-up of Audit Results, Financial Statement Analysis, Forensic Audit, and Data Analytics.

Under output (ii) increased capacity in 7 emerging audit issues, the training activities will be carried out in-country during July – August 2018 on Public Expenditure Management System, Construction Audit, Tally Software, Report Writing, Office Management, and Auditing from the perspective of Sustainable Development Goals.



In recognition of the important mandate as a sound platform for good governance, the Austrian Development Cooperation has supported the capacity development of the RAA since 2012. The RAA is member of International Organization of Supreme Audit Institution (INTOSAI), equally supported by ADC.

The previous phase successfully led to the adoption of 22 audit manuals; two policies; development of 10 course materials; 16 trained trainers on general training facilitation; 10 trained trainers on auditing from gender perspective; course material on gender; three pilot audit reports rated higher as compared to other reports while assessing the RAA on the Supreme Audit Institutions Performance Measurement Framework and equipping the RAA's Professional Development Centre.


project number 2702-00/2018
source of funding OEZA
sector Staatsführung & Zivilgesellschaft, allgemein
modality Project-type interventions
marker Environment: 1, Democracy: 2
  • Policy marker: are used to identify, assess and facilitate the monitoring of activities in support of policy objectives concerning gender equality, aid to environment, participatory development/good governance, trade development and reproductive, maternal, newborn and child health. Activities targeting the objectives of the Rio Conventions include the identification of biodiversity, climate change mitigation, climate change adaptation, and desertification.
    • 1= policy is a significant objective of the activity
    • 2= policy is the principal objective of the activity
  • Donor/ source of funding: The ADA is not only implementing projects and programmes of the Austrian Development Cooperation , but also projects funded from other sources and donors such as
    • AKF - Foreign Disaster Fund of the Austrian federal government
    • BMLFUW - Federal Ministry for Agriculture, Forestry, Environment and Water
    • EU - Funds of the European Commission
    • Others - various other donors are listed in ADA’s annual business report.
  • Type of Aid – Aid modalities: classifies transfers from the donor to the first recipient of funds such as budget support, core contributions and pooled programmes and funds to CSOs and multilateral organisations, project-type interventions, experts and other technical assistance, scholarships and student costs in donor countries, debt relief, administrative costs and other in-donor expenditures.
  • Purpose/ sector code: classifies the specific area of the recipient’s economic or social structure, funded by a bilateral contribution.
  • Tied/Untied: Untied aid is defined as loans and grants whose proceeds are fully and freely available to finance procurement from all OECD countries and substantially all developing countries. Transactions are considered tied unless the donor has, at the time of the aid offer, clearly specified a range of countries eligible for procurement which meets the tests for “untied” aid.