The new role of supreme audit institutions in monitoring the SDGs. A comparative study between the western balkans and nordic countries

This monograph presents a comparative study of the new role of Supreme Audit Institutions (SAIs) in auditing the Sustainable Development Goals, focusing on the Western Balkans (WB) and Nordic countries. The study seeks to answer three core questions: What role do SAIs play in auditing SDG implementation in these regions? Why do auditing practices differ between the Western Balkans and Nordic countries? How can the Western Balkans adapt innovative Nordic practices to enhance their SDG auditing? Our research analyzes audit reports and relevant documents from these two regions’ SAIs, complemented by semi-structured interviews with officials specializing in SDG performance auditing. The study also reviews related academic literature, policy papers, and articles to create a robust theoretical framework for assessing the role of SAIs in auditing and monitoring the SDGs. The research begins by discussing the emerging role of SAIs in the WB, namely Albania, Bosnia and Herzegovina, Kosovo, Montenegro, North Macedonia, and Serbia. It recommends that SDG audits become more frequent, comprehensive, and aligned with SDGs in this region to accurately monitor progress toward achieving them. The thesis then explores Nordic approaches to auditing a specific SDG: SDG 13 on climate action. It showcases how Nordic SAIs have made substantial progress by rigorously auditing national and international climate policies and frameworks. Danish, Finnish, Norwegian, and Swedish SAIs have all played important roles in ensuring the effective implementation of these policies and transparency in climate finance. The analysis also addresses challenges such as the complexity of climate issues and the need for continuous adaptation in auditing practices. Building on these insights and previous literature on Nordic SAIs, which recognizes them for being at the forefront of public sector auditing, the INTOSAI standard-setting process, and capacity building in developing countries (Jeppesen et al., 2017; Norgren, 2010; Anerud, 2004, 2007), the monograph offers adaptation strategies for the WB. It underlines the importance of tailoring these strategies to the region's political, economic, and social contexts. Recommendations include a stepby-step implementation, such as conducting comprehensive assessments and adopting emerging technologies to improve auditing efficiency. The study also highlights the value of regional and international collaboration and stakeholder engagement in strengthening SDG auditing. This research fills a gap in the existing literature by explicitly focusing on the role of SAIs in SDG auditing and monitoring within the WB and Nordic regions. As the first comprehensive comparison of all WB SAIs among each other and with their Nordic counterparts in this field, it analyzes a previously underexplored area with limited scholarly attention. The findings contribute to the theoretical discourse on public sector auditing by emphasizing the critical role of SAIs in promoting public accountability and effective governance in the context of sustainable development. They also offer valuable insights for scholars, policymakers, SAI auditors, and international organizations involved in SDG implementation and oversight, such as INTOSAI, IDI, the European Court of Auditors, and OECD. This monograph presents a comparative study of the new role of Supreme Audit Institutions (SAIs) in auditing the Sustainable Development Goals, focusing on the Western Balkans (WB) and Nordic countries. The study seeks to answer three core questions: What role do SAIs play in auditing SDG implementation in these regions? Why do auditing practices differ between the Western Balkans and Nordic countries? How can the Western Balkans adapt innovative Nordic practices to enhance their SDG auditing? Our research analyzes audit reports and relevant documents from these two regions’ SAIs, complemented by semi-structured interviews with officials specializing in SDG performance auditing. The study also reviews related academic literature, policy papers, and articles to create a robust theoretical framework for assessing the role of SAIs in auditing and monitoring the SDGs. The research begins by discussing the emerging role of SAIs in the WB, namely Albania, Bosnia and Herzegovina, Kosovo, Montenegro, North Macedonia, and Serbia. It recommends that SDG audits become more frequent, comprehensive, and aligned with SDGs in this region to accurately monitor progress toward achieving them. The thesis then explores Nordic approaches to auditing a specific SDG: SDG 13 on climate action. It showcases how Nordic SAIs have made substantial progress by rigorously auditing national and international climate policies and frameworks. Danish, Finnish, Norwegian, and Swedish SAIs have all played important roles in ensuring the effective implementation of these policies and transparency in climate finance. The analysis also addresses challenges such as the complexity of climate issues and the need for continuous adaptation in auditing practices. Building on these insights and previous literature on Nordic SAIs, which recognizes them for being at the forefront of public sector auditing, the INTOSAI standard-setting process, and capacity building in developing countries (Jeppesen et al., 2017; Norgren, 2010; Anerud, 2004, 2007), the monograph offers adaptation strategies for the WB. It underlines the importance of tailoring these strategies to the region's political, economic, and social contexts. Recommendations include a stepby-step implementation, such as conducting comprehensive assessments and adopting emerging technologies to improve auditing efficiency. The study also highlights the value of regional and international collaboration and stakeholder engagement in strengthening SDG auditing. This research fills a gap in the existing literature by explicitly focusing on the role of SAIs in SDG auditing and monitoring within the WB and Nordic regions. As the first comprehensive comparison of all WB SAIs among each other and with their Nordic counterparts in this field, it analyzes a previously underexplored area with limited scholarly attention. The findings contribute to the theoretical discourse on public sector auditing by emphasizing the critical role of SAIs in promoting public accountability and effective governance in the context of sustainable development. They also offer valuable insights for scholars, policymakers, SAI auditors, and international organizations involved in SDG implementation and oversight, such as INTOSAI, IDI, the European Court of Auditors, and OECD.