Audit Reports

As part of its annual workplan, the Office of Internal Audit conducted an audit of WFP operations in Ethiopia. The audit covered the period from 1 January to 31 December 2024 and the areas in the audit scope included: (i) risk management, assurance project and oversight; (ii) needs assessment and targeting; (iii) identity management; (iv) management of cooperating partners; (v) logistics; (vi) cash-based transfers; (vii) monitoring; (viii) community feedback mechanism; and (viii) security and access. In 2024, WFP direct operational expenses in Ethiopia, amounted to USD 420.0 million, and the office reached approximately 8.6 million beneficiaries, 57 percent through unconditional resource transfers as part of activity 1 (4.1 million people assisted) and activity 3 (801,000 refugees reached). Other programme areas included nutrition (2.9 million beneficiaries), school meals (528,000 beneficiaries), capacity strengthening and livelihoods. Based on the results of the audit, the Office of Internal Audit reached an overall conclusion of some improvement needed.

As part of its annual workplan, the Office of the Internal Audit conducted an audit of WFP operations in Ethiopia that focused on beneficiary management, management of cooperating partners, monitoring, donor relationship management, supply chain, service provision, and humanitarian access. Through five strategic outcomes, WFP in Ethiopia focuses on two goals in its Country Strategic Plan 2020–2025: continuity and strengthened focus in meeting the emergency, nutrition and resilience needs of targeted populations; and support for government policies, institutions and operational systems that deliver towards hunger reduction goals and targets. The Government of Ethiopia leads the humanitarian response at federal, regional and sub-regional levels. The audit focused on the implementation of activities 1, 2, 9 and 11 under strategic outcome 1 – Shock-affected populations in targeted areas and refugees in camps are able to meet their basic food and nutrition needs throughout the year, and strategic outcome 5 – Government, humanitarian and development partners in Ethiopia have access to and benefit from effective and cost-efficient logistics services. The activities in scope accounted for 79 percent of the total expenses during the audit period. The audit was subject to a scope limitation as the Tigray region was excluded, due to the lack of access and ongoing conflict at the time of audit planning and fieldwork. Allegations of significant post-delivery food aid diversion in the Tigray were made in March 2023, and later in other regions of Ethiopia, further to significant aid sale by the refugee community and potential fraudulent food diversion schemes in all regions. Pertaining to the period in scope, based on the results of the audit and in the context of the scope limitation, the Office of Internal Audit reached an overall conclusion of major improvement needed.

Ethiopia represents a unique operational context for WFP. The Government of Ethiopia is by far the most important humanitarian actor and development investor in the country, defining and leading all policy processes, institutional structures, and organizational arrangements at federal, regional, and sub-regional levels. As is true for all humanitarian and development partners, WFP’s activities and support for the Government are delivered exclusively in partnership with Government agencies, within defined boundaries, with strong implications for autonomy of action and enforcement of key standards of accountability and risk management. Based on the results of the audit, the Office of Internal Audit has come to an overall conclusion of partially satisfactory / major improvement needed.