TCU Holds Workshop at the United Nations to Strengthen Audits of International Entities

The Brazilian Federal Court of Accounts (TCU) held a technical workshop in early May at the United Nations headquarters in New York. The objective was to align practices and strengthen the work of Brazilian audit teams within the United Nations system.

The meeting took place in the context of the financial audits conducted by Brazil as a member of the United Nations Board of Auditors and brought together, in New York, four teams working with UNICEF, UNFPA, UN Women, and the organization's Pension Fund.

During the meeting, four strategic topics were identified as critical to global governance and to the credibility of the United Nations financial statements:

• Implementing Partners (IP) Transfers and partnership agreements: these represent the primary mechanism through which UN policies are implemented. Through these transfers, the organization operates in areas such as health, education, humanitarian assistance, and the protection of vulnerable populations. The amounts involved total tens of billions of dollars and reach more than 150 countries.

• Investments Large-scale resource management: UN entities manage significant volumes of resources, such as the Pension Fund, with a portfolio exceeding USD 100 billion, and UNICEF, with approximately USD 10 billion. The topic involves challenges related to governance, risk management, and financial sustainability.

• Revenue Dependence on donors: UN resources come primarily from governments, multilateral organizations, and private foundations, often linked to specific conditions and targets, which increases the complexity of management and accountability.

• Leasing (IPSAS 43) Operational flexibility strategy: implementation of the standard increases transparency regarding contracts and reflects the entities decision to avoid tying up capital, prioritizing solutions such as leasing, rent-free arrangements, and structures adaptable to dynamic contexts, such as humanitarian operations.

"Alignment among the teams is essential to ensure consistency in audits and increase the value of recommendations to the UN. By sharing experiences and consolidating understandings on critical topics, we are able to contribute more effectively to transparency and the sound management of international resources," said Maurício Wanderley, Director of Government Audit at the TCU before the United Nations Board of Auditors.

He also emphasized that coordination among the teams strengthens the ability to identify relevant risks and improve analyses in sensitive areas, with direct effects on the consistency of work carried out within the United Nations framework.

UN Board of Auditors

In July 2024, Brazil, represented by the TCU, assumed a mandate on the United Nations Board of Auditors. Alongside the Supreme Audit Institutions (SAIs) of France and China, the Brazilian Court of Accounts conducts external audits of the international organization's finances, as well as those of its funds, programs, and peacekeeping missions. The work also includes issuing recommendations to improve governance and resource management.

In addition to UNICEF, Brazil audits the following UN entities: UN Women, UNFPA, UNITAR, UNU, UNJSPF, UNOV, UNODC, IRMCT, and peacekeeping missions in Lebanon (UNIFIL), Cyprus (UNFICYP), and Kosovo (UNMIK).