Ethiopia Audit Reveals Slow Recovery of 21.5 Bln Birr in Irregular Payments

Ethiopia Audit Reveals Slow Recovery of 21.5 Bln Birr in Irregular Payments

June 19, 2026
By Mintesinot Nigussie

Ethiopia has recovered less than one-third of 21.5 billion birr in irregular payments identified through federal audits, leaving nearly 15 billion birr still outstanding despite repeated directives for public institutions to return the funds.

The finding was disclosed in the Federal Auditor General's audit report for the 2024/25 fiscal year, which was presented to the House of Peoples' Representatives this week.

As reported by Sheger Radio, only 6.6 billion birr, or 31 percent of the amount flagged in audits conducted during the 2023/24 fiscal year and earlier periods, has been returned to the government treasury. More than 23,200 US dollars that auditors ordered to be refunded also remains unrecovered.

The outstanding amount stems from payments that audit investigations determined were made in violation of financial rules and procedures across a range of public institutions.

Customs offices, revenue branch offices and public universities accounted for much of the irregular spending identified by auditors. While some institutions have returned substantial sums, the report indicates that recovery efforts remain incomplete.

The Kaliti Customs Branch repaid 3.2 billion birr, the largest single recovery recorded in the report. The Kombolcha Customs Branch returned more than 800 million birr, while Airport Customs refunded 621 million birr. Arba Minch University repaid 120.7 million birr.

Auditors have now issued renewed instructions requiring institutions that still owe funds to return the money without delay.

The report also identified new financial irregularities during the 2017 fiscal year. More than 1.1 billion birr was recorded as expenditure without complete supporting documentation, while 280.6 million birr involved duplicate or excess payments. Another 57.8 million birr was spent in ways that did not comply with applicable regulations, and 35.8 million birr was disbursed without supporting evidence.

The Ministry of Health accounted for the largest share of duplicate and excess payments, at 231.1 million birr. Other entities cited by auditors included the Ethiopian Broadcasting Corporation, the Ethiopian Sports Academy, Jimma University and the Kaliti Customs Branch Office.

Among institutions with significant expenditures lacking complete documentation were Moyale Customs, which recorded 25.4 million birr, the Ethiopian Geological Institute with 23.4 million birr and the Government Communication Service with 7.5 million birr. The Mineral Development Institute, the Ministry of Mines and Bahir Dar Customs were also listed among institutions with notable unsupported expenditures.

The Auditor General warned that spending carried out without adequate documentation or in breach of financial regulations could result in accountability measures. The office called for stronger compliance with public financial management rules and the immediate recovery of outstanding funds to safeguard public resources.

Source: FSX Business News