Defense of the dissertation of Bekturova Arman Tursunovna for the degree of Doctor of Philosophy (PhD) in the specialty «8D04121 - State Audit»

L.N. Gumilyov Eurasian National University, a dissertation defense for the degree of Doctor of Philosophy (PhD) by Bekturova Arman Tursunovna on the topic «Evaluation of the efficiency of the application of international standards of state audit in the Republic of Kazakhstan» educational program «8D04121 - «State audit».

 

The dissertation was carried out at the «Business and мanagement» of L.N. Gumilyov Eurasian National University.

The language of defense is russian

Reviewers:

Tusibayeva Gulmira Sergeevna - PhD, Associate Professor of the Department of «Accounting and Audit» Esil University (Astana, Republic of Kazakhstan).

Kuzgibekova Svetlana Bolatovna - Candidate of Economic Sciences, Chief consultant - State auditor of the sector of expert-analytical work of the Department of Audit of the quasi-public sector of the Supreme Audit Chamber of the Republic of Kazakhstan (Astana, Republic of Kazakhstan).

 

Temporary members of the Dissertation Committee:

Zeynelgabdin Altay Boltaykhanovich - Doctor of Economics, Professor at the Institute of Management of the Academy of Public Administration under the President of the Republic of Kazakhstan (Astana, Republic of Kazakhstan).

Zhamkeeva Makhabbat Kangozhievna - PhD, Chief Expert of the Directorate of Development and Monitoring of Local Content of JSC «Kazakhstan Center for Industry and Export «QazIndustry» (Astana, Republic of Kazakhstan).

Esenova Gulmira Jeksenovna - Candidate of Economic Sciences, Associate Professor, Senior Manager of the Department of Additional Professional Education of JSC NIS «Center for Pedagogical Excellence» (Astana, Republic of Kazakhstan).

Natalia Alekseevna Prodanova - Doctor of Economics, Professor of the «Basic Department of Financial Control, Analysis and Audit» of the Main Control Department of the City of Moscow, Federal State Budgetary Scientific Institution of the G.V.Plekhanov Russian University of Economics (Moscow, Russian Federation).

Klychova Guzalia Salikhovna - Doctor of Economics, Professor, Head of the Department of «Accounting and Audit» of the Federal State Budgetary Educational Institution of Higher Education «Kazan State Agrarian University» (Kazan, Republic of Tatarstan).

 

Academic Advisors:

Sembiyeva Lyazzat Myktybekovna - Doctor of Economics, Professor, Head of the Department of «State Audit» of L.N. Gumilyov ENU (Astana, Republic of Kazakhstan).

Petrov Alexander Mikhailovich - Doctor of Economics, Professor of the Department of Business Analytics of the Faculty of Taxes, Audit and Business Analysis of the Federal State Education «Financial University under the Government of the Russian Federation» (Moscow, Russia).

The defense will take place on March 15, 2024, at 04:00 PM in the Dissertation Council for the training direction «8D041 - Business and мanagement» in the specialty «8D04121 - State Audit» of L.N. Gumilyov Eurasian National University. The defense meeting is planned to be held online.

Link: http://surl.li/pizvb 

Address: Astana, K.Satpayev str., 2, Main building, room № 302.

Abstract (English): The dissertation of Bekturova Arman Tursunovna «Evaluation of the effectiveness of the application of international standards of state audit in the Republic of Kazakhstan», submitted for the degree of Doctor of Philosophy (PhD) of the educational program 8D04121 - «State Audit» Relevance of the research topic. The presented dissertation touches upon an important topic of state audit and the application of international standards in the context of the Republic of Kazakhstan. The work includes in-depth analysis and practical recommendations for improving public audit processes, noting the lack of a system for evaluating the effectiveness of the application of international standards in the country. The Supreme Audit Institutions (SAI) are considered as key participants in the effective management of public finances, especially in compliance with international standards. The thesis also highlights the importance of developing the ISSAI system and the need for joint initiatives at the international and national levels. In the context of the instructions of the Head of State Kassym-Jomart Tokayev to reform budget policy and transition to results management, the dissertation discusses the need to find new tools, including the possibility of implementing a block budget. In the context of modern economic reforms, the efficient use of resources, the provision of quality services and ensuring the transparency of government agencies are becoming key tasks. The development of public audit is a priority for ensuring financial and national security, and the optimization of the audit regulatory mechanism can contribute to effective public administration and its reform. The degree of development of the topic. The application of new standards is a task that requires significant resources and a well-thought-out implementation strategy. However, despite the difficulties, there is a limited amount of research devoted to the process of adoption of INTOSAI standards at the national and international levels, as well as the problems of non-compliance of auditing practices with these standards. Studies of foreign and domestic scientists, such as Burns J., Fogarty J., Boolaky P., Soobaroyen T., V. Leuz C., Wysocki P., Lopéz Combarros, Saunin A.N., Fraser P. N., Cordery C. J., as well as Oksikbaev O.N., Zeynelgabdin A.B., Zagoskina Z.P., Nurumov A.A. and others focus on the analysis of problems related to the application of international standards of public audit. They emphasize the importance of implementing these standards, but also point to the need to adapt to the specifics of each country and overcome potential difficulties through support, education and the development of appropriate infrastructure. This contributes to strengthening transparency, efficiency and responsibility in the use of public resources and increasing public confidence in public authorities. The purpose of the dissertation research is to develop a set of measures aimed at improving the effectiveness of the implementation of international standards of public audit. This goal is achieved by reviewing and systematizing theoretical approaches presented by both domestic and foreign scientists and practitioners. The study also includes an analysis of the process of implementation of the International Standards of state audit (ISSAI) by the state audit bodies of the Republic of Kazakhstan using the methods of exploratory research and evaluation of existing methodologies. The object of the study is the activities of the Supreme Audit Chamber of the Republic of Kazakhstan, audit commissions, the Internal State Audit Committee, internal audit services on the application of ISSAI and assessment of their effectiveness. The subject of the study is a set of economic relations that arise when evaluating the effectiveness of the application of international standards of public audit. In accordance with the problem, purpose, and subject of the study, we formulated the following research objectives: - to generalize and systematize approaches to the economic essence and the need to develop and implement ISSAI; - to consider the mechanism of organization and application of ISSAI of public audit, taking into account the global needs of the progressive development of civilization; - to reveal methodological approaches to assessing the effectiveness of the application of international standards of state audit based on the study of the regulatory framework for the functioning of the system of state audit and financial control of the Republic of Kazakhstan; - to analyze the results of audit activities by the state audit and financial control bodies of the Republic of Kazakhstan in terms of compliance with ISSAI; - to assess the effectiveness of the application of ISSAI by the state audit and financial control bodies of the Republic of Kazakhstan and to identify common advantages and problems associated with the development and implementation of ISSAI based on the use of international experience; - to develop recommendations on improving the methodology for assessing the effectiveness of state audit using modern information technologies; - identify and develop measures to increase budget transparency when using fiscal rules for the further development of public audit tools. The theoretical and methodological basis was the works of leading foreign and domestic scientists, economists, revealing the patterns of development of the institute of state audit, the specifics of the state audit of the use of budgetary funds. The information base of the study was legislative acts of the Republic of Kazakhstan, regulatory documents of the Supreme Audit Chamber of the Republic of Kazakhstan, the Bureau of National Statistics of the Agency for Strategic Planning and Reforms of the Republic of Kazakhstan, ISSAI, materials of the Supreme Audit Bodies of foreign countries, the UN, the World Bank and the resources of the global Internet. The materials of scientific and practical conferences, seminars and publications in the periodical press were used in the work. In the course of the study, the materials of general and specialized literature, developments and recommendations of international audit organizations were studied and summarized. A variety of research methods and techniques were used in the work. Quantitative methods provided for their use in the study of quantitative indicators: their collection and research for further comparison, identification of the relationship and dynamics of the development of a phenomenon or process based on data from state audit bodies. Qualitative methods were used to study the qualitative characteristics of the phenomena under study: conducting interviews with open questions requiring a detailed answer, expert interviews, and discussions on certain topics of the effectiveness of the application of standards that stemmed from their inherent meaning. An important tool for obtaining effective results of applying the norms of international standards was empirical research based on the use of economic and mathematical modeling. The main provisions submitted for protection: 1. The theoretical and conceptual foundations of ISSAI are summarized and systematized, namely: - based on an in-depth review of scientific, specialized, analytical literature and materials, we came to the conclusion that ISSAI are a valuable tool for improving auditing and public resource management. Their implementation requires concerted efforts on the part of government agencies, auditors and the public to ensure the effective and responsible use of public funds; - the author's view on the conceptual approaches of scientists to the need and possibility of implementing international standards of public audit is presented; - the author's approach to the process of organizing and applying international standards of public audit is justified, taking into account the global needs of the progressive development of civilization through standardization in the field of public audit, systematization of the main aspects justifying the need to assess the application of the implementation of ISSAI; - methods for evaluating the effectiveness of the implementation of ISSAI into national practice are systematized by constructing the stages of ISSAI implementation, identifying key points in using the methodology for evaluating the effectiveness of standards implementation, using the GCS model and the ISMS information security management system. 2. The assessment of the current state of ISSAI application by the state audit and financial control bodies of the Republic of Kazakhstan is given: - based on the analysis of the regulatory and methodological foundations of the organization of state audit in the Republic of Kazakhstan, the main achievements and shortcomings in the current system have been identified; - we propose to introduce the concept «assessment of the application of international standards of public audit is a set of measures to determine the effectiveness of the application of international standards of public audit, aimed at objectively reflecting the state of their implementation in practice using information databases and a risk management system»; - based on the analysis, the definition is proposed for the introduction of the concept of internal control system into the Law as follows: «the internal control system is a set of organizational structure, methods and procedures adopted by the organization's management for orderly and effective control of the organization's activities, aimed at verifying the correctness and timeliness of management decisions to achieve strategic goals and objectives». This definition will improve the operational activities of both facilities and internal audit bodies. - based on the results of the analysis of the documents of the Supreme Audit Chamber of the Republic of Kazakhstan, a number of proposals have been submitted to improve the effectiveness of the implementation of international standards of public audit, amend national standards, expand the possibilities of using digital technologies through increased automation of budget transparency, government support measures, and the development of a unified audit database architecture. 3. A set of recommendations has been developed on the prospects and opportunities for harmonization of international and national standards of public audit: - based on the analysis of international experience, the common advantages and problems associated with the development and implementation of ISSAIs using methods for assessing authority according to IPSAS 35 have been identified; - a set of measures and programs has been developed to improve the methodology for evaluating the effectiveness of public audit using the author's questionnaire, a hypothesis aimed at the need to strengthen the tools and methodology of public audit in sectors with the largest share of participation in the country's economy (according to the risk management system), the introduction of a risk-oriented methodology for the equitable distribution of financial resources of the country through the use of remote sensing; - We recommend using fiscal rules to define and increase budget transparency, which can encourage fiscal adjustments and improve auditing practices. The scientific novelty of the dissertation work is manifested in a comprehensive study of both methodological and practical aspects of the implementation of international standards of public audit. In addition, the work is developing a set of measures aimed at improving the process of evaluating the effectiveness of the application of ISSAI in national standards. These developments are based on the analysis and evaluation of both foreign and domestic achievements in this field. Theoretical and practical significance. The study is important because it fills in gaps in understanding the process of implementing international auditing standards in the public sector of Kazakhstan and analyzes convergence in this area. Its results can be useful for national and international bodies seeking to improve the quality of audits in the public sector and ensure more transparent management of public resources. Approbation and implementation of research results. The main scientific provisions and results of the dissertation research were reported and discussed at international, republican and foreign scientific and practical conferences: - International online conference of the Intergovernmental Working Group on International Accounting and Reporting Standards of the United Nations (ISAR 37) «Accounting Development Tool and Guidance on Core Indicators implementation experiences from member States (Kazakhstan)» (Geneva, 2020). -International scientific and practical conference «The system of state audit in the conditions of a new historical reality» (Astana, 2021). -International scientific and practical conference «State audit in ensuring high quality of life of the population and national security» (Astana, 2023). On the topic of the dissertation research, 13 scientific papers with a total volume of 5.35 p.s. were published, including in publications recommended by CQAFSHE MSHE RK -4. The materials of the work were published in the international citation database Scopus, the journal «Montenegro Journal of Economics», «Experience of Kazakhstan in Implementation of International Standards in Auditing: Healthcare Sector». Selected scientific results of the dissertation research. The proposals developed in the dissertation to improve the audit have found their practical application, which is confirmed by 2 implementation acts from the Ministry of Finance in the form of improving the Rules of Internal Audit for discussing violations before taking response measures and for the development of remote sensing of the Earth during the state audit. Some scientific results of the dissertation research have been tested in the educational process of the Academy of Public Administration under the President of the Republic of Kazakhstan, according to them there are entries in the register of copyrights for № 24206, 24249, 24691, 24270 on modules of disciplines for state auditors. The volume and structure of the dissertation research reflects the logical sequence and algorithm of the tasks set and is 254 pages, which include an introduction, three sections, conclusion, list of sources used and two appendic.

Dissertation