OVERVIEW

The Malawi Value Chains (MVC) Project implemented by Adam Smith International is one of three components of the Malawi Trade and Investment Programme (MTIP), a five-year Foreign, Commonwealth & Development Office (FCDO)-funded initiative which aims to break Malawi's cycle of low growth through driving exports. The overall objective of MVC is to design and implement the value chain component of MTIP, with the goal of increasing the productivity, quality and production performance of macadamia and mango, and promoting investment in mining.

The FCDO signed a Memorandum of Understanding (MoU) with ASI for the implementation of the MVC component of MTIP in May 2020. The contract is valued at £7,446,665 up to April 2028. These Terms of Reference set out the requirements for the Year 3 external audit of the project's Income and Expenditure Statement for the financial period 1 April 2025 to 31 March 2026, building on the Year 2 audit for the year ended 31 March 2025.

KEY RESPONSIBILITIES

• Express an independent professional opinion on the recorded income from the donor and the expenditure for the financial period 1 April 2025 – 31 March 2026.
• Assess whether the resources have been used in conformity with the provisions of the Memorandum of Understanding (MoU) with the FCDO.
• Conduct the audit in accordance with International Standards on Auditing (ISA) as published by the International Federation of Accountants (IFAC), with special reference to ISA 800.
• Perform additional Agreed-upon procedures ("AUPs") and issue a report of factual findings.
• Validate costs charged to the project related to positions included in the budget in the agreement.
• Verify that costs charged to the project correspond to time spent on the project and have been approved in line with relevant internal policies.
• Validate that expenditures are related to the project, supported by valid invoices and proper delivery documents, and duly authorised.
• Check the completeness of the asset register and validate the existence of all assets.
• Assess awareness of the project staff about cyber-crime, fraud and safeguarding-related risks.
• Establish that harmonised rates are used for Daily Subsistence Allowances (DSA).
• Confirm that funds disbursed through the Matching Grant Facility (MGF) were released within the agreed timelines, used for their intended purpose, and properly accounted for.

KEY QUALIFICATIONS

• Registration and good standing with the Institute of Chartered Accountants in Malawi (ICAM) to carry out audits in Malawi, in compliance with the Public Accountants and Auditors Act, 2013.
• The firm shall be independent of ASI and the programme in accordance with the IESBA Code of Ethics, with no conflict of interest in respect of the project.
• Team Leader with a minimum of 10 years' experience in a similar role and in conducting financial audits, due diligence assessments for grants and financial aid, and demonstrable experience in auditing donor-funded (preferably FCDO-funded) programmes and in special-purpose engagements under ISA 800. Must be a registered member of a professional accounting or auditing body.
• Other personnel shall have a minimum of five years' experience in a similar role and in undertaking financial audits and grants or financial aid. They must also be registered members of a professional accounting or auditing body.

DELIVERABLES

Deliverable 1: Statement of Expenditure

• Express opinions on whether the financial position of the project is presented fairly, whether project funds have been used in conformity with the contract, and whether the Financial Statements agree with the programme accounts.
• Assess the adequacy and effectiveness of the accounting and overall internal control system.
• State whether a fixed assets register exists and is maintained in accordance with the contract.
• Confirm whether goods and services have been procured transparently, competitively and in accordance with the contract.
• Verify whether disbursements are in line with agreements with implementing partners.

Deliverable 2: Management Letter

• Provide an assessment of the accounting system, records, and controls examined during the audit.
• Identify specific deficiencies and weaknesses in systems and controls.
• Report on actions taken by Management to make improvements with respect to deficiencies and weaknesses reported.
• Bring to the attention of FCDO and MVC any matters that the auditor considers pertinent to the success of the programme objectives.

AUDIT PERIOD, TIMELINE AND DURATION

The audit will cover the financial period from 1 April 2025 to 31 March 2026. The assignment shall commence by 13th July and conclude by 31st August 2026, involving no more than 30 working days. Key milestones include the commencement assignment and kick-off meeting by 14th August 2026, submission of the Inception Report by 24th August 2026, the Draft Report by 15th September 2026, and the Final Report by 30th September 2026.

HOW TO APPLY

To apply for this job, please visit: adamsmithinternational1.recruitee.com