Regulatory Framework

Public Internal Financial Control Act
Internal audit, as part of the system of internal financial control in the public sector, is regulated by the Public Internal Financial Control Act.

The law defines ways to establish internal audits, the conditions which should be met by the internal auditor, defines obligations of the head of the internal audit unit, the independence of the internal audit unit and the internal auditor, compliance of conducting the internal audit with standards, planning and conducting of internal audit programs and projects financed by the European Union.

Rulebook on user of budget internal audit specifies criteria for Internal Audit establishment within Budget Users, the establishment of independent Internal Audit Unit directly responsible to the Budget User Head, the appointment of internal auditors directly responsible to the Budget User Head, the establishment of joint Internal Audit Unit, the establishment of internal audit by an agreement on internal audit performance, the performance of horizontal and vertical audits and internal audit quality check performed by Central Harmonization Unit of the Ministry of Finance.

Internal Auditors’ Manual describes the work methodology which is compliant with the International Internal Auditing Standards and was customised to fit the practices applied in the public sector of the Republic of Croatia.

The Code of Ethics of public internal auditors contains the principles and rules which are mandatory for certified internal auditors as well as candidates for taking the exam for a certified internal auditor and other persons engaged in any way in internal audit affairs.

Internal Auditors' Charter defines the rights and responsibilities of internal auditors in relation to the auditee.