Vietnam: Regulation on assurance and improvement of quality of internal audits

Specifically, according to Article 21 of the sample Regulations issued together with Circular No. 66/2020/TT-BTC of the Ministry of Finance of Vietnam, assurance and improvement of quality of internal audits are as follows:

- Internal audit departments must maintain a quality assurance and improvement program that covers all aspects of an internal audit department.

- The program is to contain an assessment of the internal audit department's compliance with the internal audit regulations and standards; an assessment of compliance with the code of ethics of the internal auditor. The program also evaluates the effectiveness and performance of the internal audit department and identifies opportunities for improvement.

- The re-evaluation of internal audit activities conducted at the end of an engagement, and the annual general self-assessment of internal audit activities carried out by the internal audit department shall aim at assuring the quality of internal audit activities. If necessary, a qualified auditing enterprise may be hired for an independent external audit at least every ... years (e.g. 5 years).

- The internal audit head must send the Governing Board/Board of Trustees/Company’s President and cc it to the Audit Committee (or a subordinate body/department (if any) authorized by the Governing Board/Board of Trustees/Company’s President) a report on the program for assurance and improvement of the quality of the internal audit department, including the results of annual internal audits and external audits (if any).

View more details at the Circular No. 66/2020/TT-BTC of the Ministry of Finance of Vietnam, effective from September 01, 2020.

Ty Na

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE