The effectiveness of internal financial controls with specific reference to the Eastern Cape Provincial Department of Basic Education

The purpose of this study was to assess the effectiveness of internal financial controls with specific reference to the Eastern Cape provincial department of basic education. A self-administered questionnaire was used to collect data. The questionnaire was filled by the respondents who are directly involved in processing payments and procuring for the departments. The findings have shown that Internal control system does exists within the department however the implementation and monitoring of its effectiveness needs to be strengthened. The findings show that the internal control system have an important role to play in attaining desired positive results within the department. Internal control effectiveness is one of the most important aspects in any organisation, whether in a private sector or in the public sector. It determines the stewardship of an entity’s management. The PFMA states that the accounting officer of a department must ensure that that department has and maintains effective, efficient and transparent systems of financial and risk management and internal control. If public officials could strictly adhere to the stipulated internal controls, there will be a positive response to accountability and also in service delivery as expected by the citizens. Public accountability gives a reflection on how does the entity conducts its business affairs in terms of adhering to the norms and standards as prescribed by the law and whether there are any strong controls to prevent acts of fraud and corruption