Corruption and Public Sector Auditing: A Review of Related Literature

Abstract

In both industry and academics, there has been a lot of discussion on how auditing might lessen corruption. The current  study's goal is to evaluate the most recent developments and knowledge gaps on the relationship between  public sector auditing and corruption. It is based on assessments of the academic literature we thus make broad  generalizations about the state of the most recent discoveries. The earlier writing on corruption emphasized political  and economic viewpoints. There is still a significant knowledge vacuum in this field, particularly with regard to the  practical role of public sector auditing in corruption detection and deterrent in developing countries, despite the fact that data suggests that it aids in the fight against corruption. Furthermore, there is a paucity of literature that explains  in detail how audit types conducted by the Supreme Audit Institution (SAI) may contribute to a reduction in corruption,  as well as which audit types are more effective. There is also very little in-depth discussion of the difficulties that public  sector auditing faces in detecting and preventing corruption. The study therefore recommends that the role of auditing  should be given much attention on how to combat corruption; auditors’ independence should be strengthen and sustained in public sectors, most especially in developing nations which is certain to provide the liberty and lack of  restrictions the auditors need from undue influence and interference from any party and to remain unbiased in  discharging their audit obligations.