Strengthening Professional Relations: Auditing Bodies of Sierra Leone and Rwanda Unite
Auditing Bodies Unite
In a significant move to strengthen professional relations between auditing bodies, Samba A. Baby, the Auditor General, recently visited Kigali. During his visit, he signed a technical cooperation agreement with the Office of the General Finance Auditor of Rwanda. Although the specifics of the agreement are yet to be disclosed, it is evident that the signing signifies a commitment from both parties to collaborate and share expertise in the areas of auditing and financial governance.
Regulatory Transparency
The Government of Rwanda (GOR) is known for its transparent policies and laws that are largely consistent with international norms. The country is a member of the UN Conference on Trade and Development’s international network of transparent investment procedures. To further bring transparency to investment procedures in Rwanda, the Rwanda eRegulations system, an online database, has been established. It serves as a platform where investors can find information on administrative procedures.
Regulatory Challenges
Despite having clear rules and procedures in place, implementation can sometimes be uneven. This issue has been cited by investors as a significant hurdle in complying with regulations. For instance, in 2019, the Parliament passed a law banning single-use plastic containers without effective consultation with stakeholders. This law, built on a ban on the manufacture and use of polyethylene bags introduced in 2008, caused concern among investors in the beverage and agro-processing sectors.
Regulatory Bodies
Regulations in Rwanda are enforced by several entities, including the Rwanda Utility Regulation Agency (RURA), the Office of the Auditor General (OAG), the Anticorruption Division of the RRA, the Rwanda Standards Board (RSB), the National Tender Board, and the Rwanda Environment Management Authority. These bodies ensure that legal, regulatory, and accounting systems are transparent and consistent with international norms.
International Regulatory Considerations
Rwanda is an active member of several international regulatory bodies. The country is part of the EAC Standards Technical Management Committee, and approved EAC measures are generally incorporated into the Rwandan regulatory system within six months. Rwanda is also a member of the standards technical committees for the International Standardization Organization, the African Organization for Standardization, and the International Electrotechnical Commission.
The Legal System
Rwanda’s legal system, originally based on the Belgian civil law system, has evolved into a mixture of civil law and common law since the renovation of the legal framework in 2002, the introduction of a new constitution in 2003, and the country’s entrance to the Commonwealth in 2009. Rwanda’s judicial system, while suffering from a lack of resources and capacity, continues to improve.
Looking Forward
With the recent agreement between the auditing bodies of Sierra Leone and Rwanda, the future holds promise for strengthened professional relations and shared expertise in auditing and financial governance. As the specifics of the agreement unfold, it will be fascinating to watch the positive impact of this collaboration on the financial landscapes of both nations.