What criteria does ADB follow in selecting external auditor?
ADB requires an executing agency for an ADB-financed project to have the project accounts and financial statements, and, where required, those of the executing agency itself, audited each fiscal year in accordance with the agreed upon auditing standards by independent auditors whose qualifications, experience, and terms of reference are acceptable to ADB1. Requirements on Auditing Standards and Auditor Engagement in ADB Projects states that, “although borrowers are responsible for auditor selection, appointment and performance of an auditor, auditors must meet the required standards in terms of independence, experience and competence”2.
