The Auditor general plays a critical role in the audit of public finances including the National Government Constituency Development Fund. Public Finance Act requires that at the end of each financial year the Constituency Development Fund shall prepare financial statements. The audit of the financial statements of the Constituency Development Fund is critical in ensuring that there is financial accountability in the usage of financial resources and the achievement of objectives of the Constituency Development Fund. This study examined the influence of NG CDF management actions on the auditor general report on financial accountability of Njoro NG CDF in Kenya. The study was based on the descriptive research design. The target population of this study were the NG CDF Accounting officers, management committee and the project coordinators of various projects within Njoro constituency. Thus, this study had a target population of 56 members that constitute the 10 NG CDF Accounting Officers, 30 Constituency Development Fund management committee and 16 project coordinators of various projects. Reliability of the questionnaires was tested using Cronbach’s Alpha test of internal consistency. The results indicated that NG CDF management action significantly influenced financial accountability (β=0.417; p<0.05). Therefore, it can be deduced that a unit increase in NG CDF management action would lead to an increase in financial accountability by a factor of 0.417. The study concludes that NG CDF management actions on auditor general queries significantly influence financial accountability among Njoro NG CDF in Kenya. The study recommended that NG CDF should observe objectivity in taking management action to improve financial accountability of the constituencies. Amongst the aspects that the NG CDF officers should observe, include, elimination of the conflict of interest in the drawing of the financial reports. Moreover, further research should be carried out to investigate the moderating role of other variables on the relationship between Auditor General Audit report implementation practices and NG CDF performance.
30 June 2023
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