IIARD International Institute of Academic Research and Development

INTERNATIONAL JOURNAL OF ECONOMICS AND FINANCIAL MANAGEMENT (IJEFM )

E-ISSN 2545-5966
P-ISSN 2695-1932
VOL. 9 NO. 6 2024
DOI: 10.56201/ijefm.v9.no6.2024.pg98.119

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An Assessment of Value for Money Audit and Public Sector Performance in Nigeria

Muideen Adeseye AWODIRAN, Oluyinka Isaiah OLUWAGBADE, Olusola Esther IGBEKOYI, Boladale Bunmi AJAYI, Muyiwa Emmanuel DAGUNDURO, Ayomide Gabriel IGE

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Abstract

Globally the high incidence of mismanagement of government resources has hindered development. The mismanagement affects all citizens, leading to issues such as non-execution of budgeted contracts, contract inflation, deteriorated infrastructure due to budget misappropriation, understating of revenue, policy inconsistency, disregard for laws and orders, high crime and mortality rates, overpopulation, and unemployment. This study aimed to evaluate the effect of value-for-money audits on the performance of the public sector in Nigeria. This study employed a qualitative research approach through the distribution of well-structured questionnaires The targeted respondents were officers of MDA (Ministry, Department, and Agencies) in Nigeria. The population of the study consists of 1,316 MDA (Ministry, Departments, and Agencies). The study adopted Slovin’s formula to arrive at a sample size of 307, from which a total of 259 responses were returned filled. Data collected from the primary sources were analysed using both descriptive statistics and regression analysis. This study showed that value for money audit (internal control quality, internal control implementation, and internal control process) had a statistically significant positive effect on public sector performance (financial accountability). This study concluded that the implementation of effective internal control measures can bolster financial accountability and contribute to more sustainable and responsible public sector performance. This study recommends that governmental agencies should focus on enhancing the quality of their internal controls. This includes establishing robust systems, processes, and procedures that safeguard funds, prevent mismanagement, and ensure transparency in financial transactions.

keywords:

Value for money audit, internal control quality, internal control implementation

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