OTR and CAG Team Up to Strengthen Public Sector Oversight

OTR and CAG Forge Partnership to Strengthen Oversight of Public Corporations

COAST REGION, Tanzania – In a pivotal move aimed at advancing public sector reforms, the Office of the Treasury Registrar (OTR) and the National Audit Office of Tanzania (CAG) have entered into a collaborative agreement covering eight key areas. The primary focus of this partnership includes bolstering governance, implementing audit recommendations effectively, and embracing President Samia Suluhu Hassan’s R4 philosophy, which emphasizes Reconciliation, Resilience, Reforms, and Rebuilding.

The agreement, formalized during a two-day working session that began on February 25, 2025, at the Mwalimu Julius Nyerere Leadership School in Kibaha, Coast Region, was led by Treasury Registrar Mr. Nehemiah Mchechu and Controller and Auditor General (CAG) Mr. Charles Kichere. Among the topics discussed were the integration of Information, Communication, and Technology (ICT) systems within public institutions and enhancing employee training to drive improved management and leadership.

Speaking to reporters on February 26, 2025, Mr. Mchechu stressed the importance of good governance in realizing the government's reform objectives. He highlighted the critical role of the National Audit Office in promoting accountability within public institutions, noting that collaboration between the OTR and CAG is essential to strengthen governance practices.

“We must improve good governance. This is why it is imperative to partner with the National Audit Office, which plays a significant role in ensuring accountability and transparency in public institutions,” Mr. Mchechu said. “By enhancing our collaboration, we will improve the efficiency of these institutions, ultimately benefiting the government’s Consolidated Fund.”

Mr. Mchechu also outlined the substantial investments the government has made in public institutions. As of June 30, 2024, the government had invested a total of 86.3 trillion Tanzanian shillings across 308 institutions, reflecting a 14.2% increase from the previous year’s 75.6 trillion shillings. The goal is to ensure that these investments yield returns for the nation and benefit Tanzanians.

“Public institutions that meet certain criteria will be granted greater autonomy to manage themselves,” Mr. Mchechu said. He explained that the criteria for such autonomy include financial independence, the ability to generate non-tax revenue, and the contribution to national security, economic welfare, and social stability.

For his part, Mr. Kichere emphasized the productive nature of the meeting, which focused on ensuring that public funds are utilized efficiently and in alignment with the principles of good governance.

“We discussed several strategies aimed at improving financial accountability and ensuring that public funds are used transparently and effectively,” Mr. Kichere said. He also pointed out the mutual recognition that both the OTR and CAG must work together to implement audit recommendations effectively.

The discussions also focused on the importance of reducing the dependence of public institutions on government funding. Mr. Kichere noted that the aim is for these institutions to contribute more actively to the government’s Consolidated Fund.

“We aim to reduce the dependency on central government funds and instead empower public institutions to strengthen the national financial system,” he said.

Both leaders also agreed that embracing the R4 philosophy, which focuses on Reconciliation, Resilience, Reforms, and Rebuilding, will be key to fostering greater efficiency within public institutions. Additionally, the use of ICT and employee training will play a significant role in ensuring long-term success.

“We are committed to empowering public employees and ensuring that ICT is embraced as a tool to increase efficiency,” Mr. Kichere added. “By exchanging ideas and best practices, we are confident that the OTR and CAG can contribute to the government’s broader goals of improving public sector performance.”