DEVELOPMENT OF PERFORMANCE AUDIT IN PUBLIC SECTOR

Abstract

A great deal of research papers suggested that the performance audit is the type of public sector practice without the clear definition, scope and many other quality characteristics compared to financial audit. Moreover, the research on historical development of performance audit shows its complex nature and development stages in both different countries and sectors. Despite the less standardized framework of the performance audit, it has extremely high degree of contribution to the public accountability and policy-making process. In addition, the literature indicates its increasing importance for the Supreme Audit Institutions (SAI) across the world. This paper aims to identify milestones of the development of performance audit, analyze the current methodological support by audit organizations and discuss the significance of performance audit for SAIs.