The National Infrastructure and Procurement Commission (NIPC) and Office of the Auditor General (OAG) have signed a Memorandum of Understanding (MoU) to enhance public sector accountability and procurement efficiency. The agreement, signed on July 21, 2025, establishes a framework for joint monitoring, compliance enforcement, and information sharing between the two institutions.
The signing ceremony, chaired by the Auditor General of Uganda, Mr. Edward Akol underscored the critical role of collaboration in ensuring transparency and value for money in public procurement. He emphasized the importance of audit and procurement synergy in driving national development. He noted that both institutions must work together to enhance public financial management and procurement practices.
Key Highlights of the MoU
- Joint Oversight and Compliance Monitoring
NIPC and OAG will collaborate on procurement audits and financial oversight to improve compliance among Ministries, Departments, and Agencies (MDAs).
The OAG will now conduct physical verification of procurement activities, moving beyond financial audits.
- Information Sharing and Risk Mitigation
OAG will share preliminary audit findings with NIPC before publication, allowing for necessary corrective measures.
This partnership aims to reduce procurement wastage and non-compliance by ensuring timely intervention.
- Capacity Building and Training
Both institutions will organize joint training sessions for procurement officers and auditors.
NIPC will provide guidance on procurement regulations, while OAG will enhance financial accountability frameworks.
- Enhancing Procurement Compliance
Low compliance rates among MDAs remain a key concern, with NIPC noting that adherence to procurement guidelines is below 50%.
The MoU mandates increased scrutiny of procurement plans and spending patterns.
- Policy Reform and Legislative Improvements
NIPC is currently reviewing the Public Procurement and Disposal of Public Assets Act, 2003, and OAG will provide recommendations to improve audit and procurement frameworks.
Commitment to Good Governance
NIPC commended OAG for its proactive approach and reaffirmed NIPC’s dedication to strengthening procurement integrity. He highlighted the urgent need for MDAs to improve compliance, stressing that government accountability is essential for development.
This MoU marks the beginning of active collaboration between NIPC and OAG, with both institutions committed to sustained engagement, policy reforms, and institutional strengthening.