The National Audit Office (NAO) has formally presented its 2025 Management Letter to The Gambia's National Assembly, initiating discussions with key government entities. The Finance and Public Accounts Committee (FPAC) has engaged with relevant institutions regarding the letter, which addresses unresolved financial issues. The submission and subsequent discussions mark a significant step in the parliamentary oversight process concerning public financial management in the country. This development focuses on ensuring accountability and transparency within various government bodies as flagged by the NAO's audit findings. The process involves a thorough review of the financial practices and management controls detailed in the report. The NAO's 2025 Management Letter, now submitted to the National Assembly, has been the subject of extensive discussions with various government entities by the Finance and Public Accounts Committee (FPAC), noting critical areas of concern in public finance.
Banjul Project Payment Discrepancies
The National Audit Office (NAO) reported that reconciliation of payments for the $35.72 million Banjul Drainage, Roads and Sewage (BDRS) project remains an unresolved issue. The NAO specifically stated that the reconciliation of payments under the $35.72m Banjul Drainage, Roads and Sewage (BDRS) project continues to be an outstanding concern. This financial matter, concerning a project with a contract sum of USD 35,720,000.00, was initially noted in the Gambian government's 2019 accounts and has not yet been resolved. The fact that this issue, first reported in the government's 2019 accounts, remains unresolved shows persistent challenges in financial oversight. The contract sum for the BDRS project was precisely USD 35,720,000.00, making the lack of reconciliation a significant financial discrepancy.
The NAO's audit team stated they were unable to reconcile payments made under the BDRS contract. This difficulty arose because submitted documents lacked adequate information regarding cumulative payments, outstanding balances, or any arrears. The audit team explicitly stated that they could not reconcile payments made under the BDRS contract, primarily because the documents provided were insufficient, lacking key details such as cumulative payments, outstanding balances, or any arrears. The absence of such fundamental financial data has impeded the audit process. The Ministry of Transport, Works and Infrastructure indicated that soft copies of relevant documents for the BDRS project had been submitted to the National Assembly. However, these documents were not subsequently made available to the audit team for their review, contributing to the ongoing inability to reconcile the project's financial records. This situation has prolonged the audit team's inability to fully reconcile the project's financial records, raising questions about transparency and document accessibility.
Questionable Single-Source Procurement
The National Audit Office (NAO) expressed concerns regarding an "un-justified single source procurement" valued at D10 million, which was identified in the Ministry of Youth and Sports' 2023 accounts. The NAO raised specific concerns over an "un-justified single source procurement" involving the Ministry of Youth and Sports, worth D10 million, as it appeared in the ministry’s 2023 accounts. The ministry's submissions did not adequately address the audit team's questions about the procurement process for this D10 million transaction. Information submitted by the Ministry of Youth and Sports, according to the NAO, did not adequately address the audit team's concerns about the D10 million procurement process. The audit team had specifically requested bidding documents and evidence of a tendering process for the GMD 10,000,000 procurement, emphasizing that competitive tendering is a requirement under the Gambia Public Procurement Authority (GPPA) Act for transactions of this nature. The audit team had specifically requested bidding documents and evidence of the tendering process for this GMD 10,000,000 procurement, which, according to the GPPA Act, requires competitive tendering.
Evidence reviewed by the NAO further indicated that the Gambia Public Procurement Authority had not approved the single-source procurement undertaken by the Ministry of Youth and Sports. This procurement was specifically for the Independent Stadium Phase II project. Evidence submitted clearly showed that the Gambia Public Procurement Authority (GPPA) had not approved the single-source procurement carried out by the Ministry of Youth and Sports for the Independent Stadium Phase II project. The NAO concluded that the Ministry of Youth and Sports failed to comply with the GPPA Act and its associated regulations in conducting their procurement processes. This non-compliance contributed to the NAO's classification of the D10 million transaction as an "un-justified single source procurement." The audit findings show the need for adherence to established procurement guidelines within government entities to ensure transparency and proper financial management. The absence of GPPA approval for single-source procurement signifies a deviation from standard procedures designed to promote fair competition and accountability in public spending. This lack of approval is a critical point, as it indicates a failure to follow established protocols designed to safeguard public funds and ensure fair competition.
Unaccounted Timber Export Revenue
The National Audit Office (NAO) expressed concerns regarding unaccounted government revenue linked to timber exports under the Environment Ministry, specifically related to transactions from 2021. The NAO raised serious concerns over unaccounted government revenue linked to timber exports under the Environment Ministry, specifically pointing to transactions from 2021. The Gambia Ports Authority (GPA) verified 300 containers associated with these timber exports. A total of 300 containers were verified by the Gambia Ports Authority (GPA) in relation to these timber exports, yet their financial impact remains unclear. However, documents provided to the audit team lacked sufficient information to establish the value of timber per container or the total amount collected from exports during 2021. Critically, the documents provided did not contain enough information to establish the value of timber per container or the total amount collected from exports in 2021, making a full audit impossible.
The Accountant General confirmed that GMD199,287,576 was collected and deposited into a Special Deposit Account No. 1401000044. In contrast, the audit team reported a figure of GMD441,250,056.00 for timber export collections. This discrepancy indicates that collections amounting to GMD241,962,480 were not accounted for, representing the difference between the audit team's reported figure and the Accountant General's confirmation. The Accountant General confirmed that GMD199,287,576 was collected and deposited into a Special Deposit Account No. 1401000044. However, the audit team's own figure for timber export collections was GMD441,250,056.00, leading to a significant disparity. This discrepancy notes that collections amounting to GMD241,962,480 were not accounted for, representing the substantial difference between the audit team's reported figure and the Accountant General's confirmation. The NAO found that evidence submitted by the Environment Department was not adequate to substantiate the reported timber export collections for the period under review. The inadequacy of evidence from the Environment Department further compounded the challenges in verifying the reported timber export collections for the period under review.
Audit Process and Next Steps
The Finance and Public Accounts Committee (FPAC) is scheduled to compile a full report detailing the audit findings that have been the subject of recent discussions. This report will then be formally presented to the National Assembly plenary for further consideration. The FPAC is expected to prepare a detailed report on the discussed audit findings, which will then be tabled before the National Assembly plenary for review and action. The process signifies a key step in the parliamentary oversight mechanism, aiming to address the financial irregularities and management concerns identified by the National Audit Office (NAO). The FPAC's role involves synthesizing the input from various government entities regarding the NAO's 2025 Management Letter. Once tabled, the National Assembly plenary will review the report, potentially leading to resolutions or recommendations for corrective actions. This mechanism is designed to ensure accountability in public financial management and to facilitate the implementation of necessary reforms within the government institutions noted by the audit. The tabling of this report before the full assembly is a critical juncture for implementing corrective measures and reinforcing financial discipline across government departments.