Internal oversight: revised estimates relating to the proposed programme budget for 2026 and the support account for peacekeeping operations for the 2025/26 period

 

Eightieth session

Agenda items 136 and 148

 

Proposed programme budget for 2026

 

Administrative and budgetary aspects of the financing of the United Nations peacekeeping operations

 

 

 

                Internal oversight: revised estimates relating to the proposed programme budget for 2026 and the support account for peacekeeping operations for the 2025/26 period

 

 

                     Report of the Independent Audit Advisory Committee

 

 

 

Summary

The present report reflects the observations, advice and recommendations of the Independent Audit Advisory Committee on the proposed programme budget for 2026 of the Office of Internal Oversight Services (OIOS). The Committee reaffirms its view that effective oversight by OIOS is essential to strengthening accountability and enhancing the Organization’s governance framework. The present report has been prepared in response to the revised estimates relating to the proposed programme budget for 2026 and the support account for peacekeeping operations for the 2025/26 period (A/80/400). Given the current operational and financial environment, the Committee underscores the need for OIOS to strategically prioritize its resources to ensure that high-risk areas receive adequate attention. While not objecting to the revised estimates, under the current environment the Committee believes that resources of OIOS may need to be augmented in the future to provide the oversight necessary to assist the Secretary-General and the General Assembly in fulfilling their oversight responsibilities.

 

 

 

           I.   Introduction

 

 

1.     The Independent Audit Advisory Committee has undertaken a review of the revised estimates relating to the proposed programme budget for 2026 and the support account for peacekeeping operations for the 2025/26 period (A/80/400) in accordance with paragraphs 2 (c) and (d) of its terms of reference (see resolution 61/275, annex). The Committee’s responsibility in this regard is to review the budget proposal of OIOS, taking into account its workplan, and to make recommendations to the General Assembly through the Advisory Committee on Administrative and Budgetary Questions. The present report contains the Committee’s comments, advice and recommendations relating to the proposed programme budget of OIOS for 2026 for consideration by the Advisory Committee and the Assembly.

2.     OIOS shared the internal oversight section of the proposed programme budget for 2026 with the Independent Audit Advisory Committee. The Committee also benefited from a briefing and supplementary information from OIOS, which aided the Committee in its review of the budget proposals.

 

 

         II.   Review of the proposed programme budget for 2026 of the Office of Internal Oversight Services

 

 

                     Programme of work and resource availability

 

3.     The Committee reviewed the revised estimates for the OIOS budget, which called for a 15.5 per cent reduction in the post resources of OIOS from the regular budget and the support account. The Committee noted that this is consistent with the cuts across the Organization (see table).

 

                     Table

                     Changes in the resources for the Office of Internal Oversight Services on the basis of the revised estimates

 

 

	Initial proposal		Total	Proposed cuts		Total	Percentage change
	Programme budget	Support account		Programme budget (including general temporary assistance)	Support account (including general temporary assistance)
Internal audit	44	69	113	10	11	21	18.6
Inspection and evaluation	24	11	35	3	2	5	14.3
Investigations	33	64	97	5	8	13	13.4
Executive direction and support	15	4	19	2	–	2	10.5
Total	116	148	264	20	21	41	15.5

 

 

4.     The Committee was informed that the revised estimates were based on the Secretariat-wide reduction targets. The assurance strategy of OIOS continues to focus on oversight of organizational risks and timely investigations. As such, OIOS noted that it had prioritized investigations over internal audit and evaluation due to their higher impact on organizational reputation and operations. The Committee was further informed that the strategy and risk coverage might have to be adjusted upon approval of the Organization’s programme and budget.

5.     According to OIOS, the impact of the exercise, which calls for a reduction of 26 audit and evaluation posts, together with 13 investigation posts, will extend timelines for risk coverage, evaluations and misconduct investigations.

6.     The Committee has been advising OIOS to clarify objectives and risk coverage of its oversight work that contributes to the assurance it provides to the General Assembly and the Secretary-General. Especially in view of the severe resource constraints, OIOS needs to review its risk coverage strategy in all three of its divisions. Therefore, the Committee advises that OIOS should evaluate whether its objectives and strategies remain appropriate for risk coverage with the level of available resources.

7.     The Committee has noted the ever-increasing caseload for investigation and has expressed concern about the limited resources available to manage the rising caseload. Without adequate staffing and support, there is a heightened risk of investigator burnout, delays in completing investigations and a potential erosion of the accountability framework. The Committee emphasized that sustaining the integrity of the system would require an investment in resources, combined with efficiencies and improvements in the process, to ensure timely, thorough and credible investigations. The Committee also advised that a root cause analysis should be undertaken to gain insights into these trends and coordinate with management and other stakeholders to address factors contributing to the ever-increasing caseload. Until the caseload becomes manageable, the Committee remains concerned about the impact of the resource cuts on the ability of OIOS to meet its targets for completing investigations.

8.     The Committee has previously supported the OIOS budget prior to the proposed reductions, with caveats about the need to invest in the investigations function and better articulate the linkage of OIOS priorities with the risk-based methodology and the performance measures that OIOS uses to demonstrate its contribution to the achievement of the Secretary-General’s oversight responsibilities. The Committee also recognizes that the revised estimates for the proposed programme budget for 2026 are based on Secretariat-wide reduction targets.

9.     Under the circumstances, the Committee does not object to the proposed budget at this time. However, the Committee recommends that OIOS further articulate its assurance strategy, capacity gaps and resulting residual risks to the Organization during this period of change. The resources of OIOS may need to be augmented in the future to provide the oversight necessary to assist the Secretary-General and the General Assembly in fulfilling their oversight responsibilities.

 

 

        III.   Conclusion

 

 

10.   The members of the Independent Audit Advisory Committee respectfully submit the present report, containing the Committee’s comments and recommendations, for consideration by the General Assembly.

 

 

(Signed) Anton V. Kosyanenko

Chair, Independent Audit Advisory Committee

(Signed) Suresh R. Sharma

Vice-Chair, Independent Audit Advisory Committee

(Signed) Dorothy A. Bradley

Member, Independent Audit Advisory Committee

(Signed) Jeanette Franzel

Member, Independent Audit Advisory Committee

(Signed) Eric O. Osae

Member, Independent Audit Advisory Committee