Oxfam Netherlands (Novib) – Country office Somalia / Somaliland: Oxfam Netherland (Novib) is the Executing Affiliate for Oxfam Somalia , the means it is legally responsible to support the operations of the office . The Executing Affiliate support the office with policies and procedures, legal registration, support systems e.g. accounting system, procurement and HR.
Oxfam Netherlands (Novib) is a member of the confederations of Oxfam International made up of 18 Oxfam Affiliates.
The Oxfam Somalia office has legal registrations in Kenya, Somalia and Somaliland. The Main office is based in Somaliland Hargeisa and the management team sits in Hargeisa . The office is mandated by both Oxfam International and Oxfam Netherlands to cover all activities in Somalia and Somaliland .
The country office is obliged to respect the tax requirement for all locations it operates in Somalia .
Oxfam Somalia office receives funds from various external donors, Oxfam International for operational support commonly referred as CRA( Common Resource allocations) and funds from Oxfam Netherlands to support both operations and partner activities through a discretionary funding pipeline.
From April 2018 to March 2019, the country office would have received funding from ECHO, the EU, the Dutch Ministry of Foreign affairs and as well as Oxfam affiliates to support it Humanitarian and Development program activities (income and expenditure to be provided upon request). The estimated total budget for the period of review is approximately Euro 6.5million of all operational and program activities.
The country office operates in various regions of Somaliland and Puntland. We have a humanitarian field office based in Burao in the eastern part of Somaliland which covers covers the humanitarian activities in Sool, Sanaag and Togdheer region.
Oxfam Somalia’s program activities are implemented by partners in development sector and on the humanitarian sector activities are implemented by both Oxfam and Partners. Currently we have 9 active partners supporting the country office to implement .
The country office is management by a country director who is overall responsible for operations and program activities . The CD is supported by a Management team made up on Business Support Manager, Funding Co Ordinator, HR manager, Humanitarian Program Manager and a co-opted member Security Advisor. The management team assist the CD to run the organization.
The Country Director reports to the Oxfam International Deputy Regional Director in Nairobi. The CD is a member of the Country Governance Group which composed of the Regional representative, Executing Affiliate representative and Oxfam Affiliates representative
The country office uses Pastel accounting system to record its day to day transactions and reports on a monthly basis to Oxfam Netherlands office. The office uses the Oxfam International Procurement policies which guide in terms of procurement threshold and authorization table.
We rely 100% on the Oxfam Netherlands (Novib) for all operating policy and procedures.
The objectives of the audit are to enable the Auditor to express an opinion on whether the financial statements, in all material respects, presents a fairly view of the actual expenditure incurred and the revenue recognized for the Country Office for the period from 01 April 2018 to 31 March 2019.
The audit will be carried out in accordance with ISA auditing standards. The audit period is 01 April 2018 to 31 March 2019.
Responsibilities of the parties to the engagement are reflected in Annex A.
Compliant to the ISA2002, the Auditor should exercise due professional care and judgment and determine the nature, timing and extent of audit procedures to fit the objectives, scope and context of the audit.
In conducting the audit, the auditor should:
Special attention should be paid to:
2 ISA200 is code of Ethics for Professional Accountants Issued by IFAC.
The auditor is responsible for conducting the audit procedures as specified in the ToR.
In addition to the audit report, the auditor will also provide a management letter summarizing the observations on the accountability and internal controls. These would include the following:
· Comments and observations on the accounting records, systems and controls that were examined during the course of audit.
· Specific deficiencies and areas of weakness in systems and controls and recommendation for improvement.
· Any other matter that the auditor considers significant to report to the management.
· Audit findings should be categorized by risk severity/impact: High, Medium, or Low.
· The observations in the “Management letter” must be accompanied by the implications, suggested recommendations from the auditors and the management comments on the observations/ recommendations.
· Meet with the country office Country Director to gain an appreciation of any specific concerns or risks with the financial management;
· Perform the audit at the premises of the Country Offices and visit field offices when/where organisation security allowed.
· Get management’s feedback/response to the draft management letter;
· At the end of the audit, debrief the CD at the Country Office.
The annual audit exercise can start as soon as possible after an external and independent chartered accountant is selected through the appropriate procurement procedure as mentioned in the Supply and Logistics Manual.
The final audit report and the management letter including Country Office management response should be submitted to relevant Business Controller by 31 August 2018.
. International Standards of Auditing (ISA) are developed by the International Federation of Accountants (IFAC) through the International Auditing and Assurance Standards Board (IAASB).