External audit stands for an independent inspection of any financial transaction, financial reports or business activities of the entities under audit, providing independent audit opinions and reporting back to the entities and the public.


The Audit Office is authorised to conduct:

  1. Financial audits (stipulated by Article13 of the Audit Law)
  2. Audits of efficiency (stipulated by Article 14)
  3. Other special audits (stipulated by Articles 17 and 18 of the Audit Law)


The financial audits, conducted by the Audit Office in compliance with the adopted auditing standards, cover financial reports and the respective accounts of audited institutions, with a view to determine whether the financial reports are reliable, and whether the accounts fully reflect the results of the budget execution. The Audit Office assesses whether the managers of audited institutions apply the laws and regulations and spend the funds for the respective intended purposes; it assesses the financial management, internal audit functions and internal control systems. The Audit Office also conducts preliminary audits in the course of a fiscal year, which include checking whether the recommendations from earlier audits have been applied and analysing the actions taken accordingly. Reporting on conducted audits is done in accordance with Article 16 of the Law on Audit.


The Audit Office is entitled to audit a part of or entire institution, program or activity, or inspect certain aspects of its business operation, in terms of economy, efficiency and effectiveness in utilising their resources, and report accordingly, as stipulated by Article 16 of the Law on Audit.


  1. Additional Reports to FBiH ParliamentThe Audit Office may submit audit reports to the Parliament of the Federation of Bosnia and Herzegovina, as it deems necessary and within its scope of authority.
  2. Special Audits
    The Parliament of the Federation of Bosnia and Herzegovina or the Parliamentary Committee responsible for audit may, at any time, request the Audit Office to conduct a special audit. The Parliamentary Committee responsible for audit shall ensure separate funds from the budget (Article 18 of the Law on Audit) for the Audit Office to conduct special audits. The Audit Office reports to the requesting committee on completed audits in accordance with Article 16 of the Law on Audit.