Overseas Aid

International Development written question – answered on 23rd June 2009.

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Photo of Ashok Kumar Ashok Kumar Labour, Middlesbrough South and East Cleveland

To ask the Secretary of State for International Development what steps his Department takes to ensure that UK aid money is used for the needs of the people for whom it is intended.

Photo of Michael Foster Michael Foster Parliamentary Under-Secretary, Department for International Development

The Department for International Development (DFID) uses established payment and accounting processes to ensure that UK aid money is paid to the intended recipients. Through its core project management systems, DFID then monitors, reviews and evaluates the way in which the funding is used to meet the needs of the poor.

DFID undertakes fiduciary risk assessments to inform its work in all countries to which it provides financial aid. Individual funding proposals then include an indication of how the lessons from these assessments will be applied and how risks will be managed. Individual projects also include a mechanism to provide assurance that funds have been used for the intended purpose: often this will be through independent external audits and reviews commissioned by DFID or by its partners.

Underpinning these processes, DFID's Internal Audit Department reviews the risk management systems and related controls to provide assurance that these are adequate and are operating effectively in practice.

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