Internal Audit & Compliance Department (IACD) at State Bank of Pakistan is performing the function of providing independent and objective assurance on the effectiveness of governance, risk management and control processes in SBP to ascertain their adequacy and proper functioning. In this regard, IACD conducts financial, operational, and information technology (IT) based audits of SBP operations. Internal Audit Charter, approved by Committee of the Board on Audit, mandates the independence and authority of IACD and in order to maintain impartiality in role and responsibilities of IACD, Director IACD reports to Committee of the Board on Audit.
The internal audit function presently conducts risk based financial, operational and Information Technology (IT) audit engagements with the help of dedicated teams for these purposes. A Quality Assurance Unit (QAU) undertakes ongoing quality assurance of audit activities and ensures that these are in conformance with the international standards and best practices. Additionally, a dedicated Compliance Unit is responsible for following up and reporting of outstanding audit recommendations on a periodic basis. The internal audit function also performs special assignments that are received from Governor / Audit Committee.