IMELDA AMBONDO
Auditor-General has flagged issues of poor governance, compliance, and oversight in the Office of the Prime Minister (OPM) which recorded an under- expenditure of N$40 million because of unfilled vacancies, cancelled purchase orders, and delayed projects
Kandjeke said in the latest financial report that the under-expenditure stands at 3.63% of the total allocated budget.
“underexpenditure reduces the efficiency of service delivery and delays the achievement of government objectives.”
The AG also flagged unauthorised expenditure of N$37,166.63.
He said this was due to overspending in one operational subdivision without the necessary approvals.
“Any unauthorised expenditure contravenes the provisions of the State Finance Act,” Kandjeke.
Kandjeke’s report also shows improper procurement practices within the OPM.
They were flagged for procuring air tickets worth N$176,747.79 directly, without going through competitive bidding processes as required by the Public Procurement.
“The direct procurement of flight tickets bypassed the legal framework meant to ensure transparency, fairness, and value for money in government spending,” he said
The OPMM also exceeded overtime expenditure limits, resulting in N$13,702.62 being paid without obtaining the necessary authorisation from the Ministry of Labour.
Despite the irregularities the OPM received a clean audit opinion for the 2023/2024 financial year.
OPM provides overall policy direction, coordinates Cabinet business, and oversees the management of the public service.
Kandjeke said his office had carefully reviewed the ministry’s books and performance against its mandate.
“The audit was performed in accordance with International Standards for Supreme Audit Institutions (ISSAIs) and involved evaluating the evidence obtained to ensure the accounts fairly reflect the financial position and operations of the Office,” he said.
Kandjeke also highlighted several compliance and governance concerns that raised red flags.
Among the issues were, Expired Audit Committee mandate, at the time of the audit, the OPM had no active Audit Committee, weakening oversight.
“The absence of an active Audit Committee undermines institutional accountability and effective internal controls. Risk management is essential in ensuring government institutions are proactive rather than reactive in addressing operational, financial, and compliance risks,” the Auditor-General said.
Kandjeke added that, “ No IT security policy, with growing reliance on technology, the lack of an information security policy is a major risk.Without a security policy, the office is vulnerable to cyber threats, data loss, and breaches of confidentiality.”
The audit covered the financial year from 1 April 2023 to 31 March 2024.
The final report was compiled and released in March 2025, giving Parliament and the public an updated view of OPM’s financial management and compliance status.
Kandjeke emphasized the timeliness of the report, saying: “Annual audits are a constitutional requirement and are critical in ensuring that state institutions remain accountable to the people of Namibia and their elected representatives.”
The Auditor-General explained that the audit followed strict international standards. His team examined OPM’s financial statements, performance indicators, and compliance with legislation. They also tested expenditure against allocations and reviewed the systems in place to safeguard assets and deliver on institutional mandates.
“The methodology included reviewing budget documentation, interviewing management, testing internal controls, and examining procurement and payroll records,” he said.
Kandheke said in general the OPM had met its key performance indicator of producing Cabinet Decision Feedback Reports within two weeks of Cabinet meetings. “This shows that despite weaknesses in governance structures, the OPM has delivered on critical aspects of its mandate. Good governance goes beyond producing clean books—it requires strong internal controls, compliance with laws, and active risk management,” Kandjeke stressed.
The report also sends a clear signal to other ministries and agencies. “Compliance with the Public Procurement Act and Labour laws is not optional. It is the cornerstone of ethical public financial management,” the Auditor-General emphasized. Next Steps The Auditor-General recommended that the Office of the Prime Minister (OPM) Re-establish an active Audit Committee.
He recommended that the OPM must develop and implement a risk management framework, and adopt a comprehensive IT security policy. “Ensure strict compliance with the Public Procurement Act. Obtain approvals for all overtime payments. “These measures will strengthen accountability, protect state resources, and improve service delivery to Namibians,” Kandjeke said.
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