AN ACCOUNTABILITY OF SUPREME AUDIT INSTITUTIONS IN THE EUROPEAN UNION COUNTRIES

It is well known that governmental audit is a prerequisite for economic, efficient and effectiveness spending public money. In that sense, national Supreme audit institutions have an important role and accountability. This paper considers several important topics about the accountability of governmental audit. The main goal of this research is to define and test main areas of national Supreme audit institutions' accountability. Paper shows that most of the EU countries ensure accountability of Supreme audit institution (SAI) using several mechanisms and here are presented these mechanisms and theirs main features. Authors test whether accountability of SAI is connected to the organisational type of SAI and the results shows that there is not the strong relationship between the SAI's organisational status and its accountability. Further, most of SAIs in the EU has financial and functional independence. SAIs prepare theirs draft annual budget of their own but, in most of the countries, Parliaments approve this budget. SAI's budget is a part of national budget. Results show that the most of SAIs in the EU can expend resources budged independently, as well. SAIs in the EU have functional independence in recruitment of their staff and in forming working plan. One part of the article considers state of independence and accountability of Croatian supreme audit institution in the comparison with the EU countries. Considering that Croatia is the EU candidate country, this comparison is the source of information of possible changes in the field of independence and accountability of Croatian national audit office. Also, this is a good overview for other non EU countries. Authors use several scientific research methods. Comparative method is used during comparison of 27 EU SAIs. Analysing some parts of governmental audit authors use an analysis method. Induction method is important in considering information about the countries and setting general conclusions about governmental audit in the EU; generalizing the observed behaviour and creating opinion about the possible changes of SAI in Croatia after its entry in the EU.