Assessment of Internal Audit Practices in Private Commercial Banks of Ethiopia: The Case of Selected Private Banks

Abstract

The purpose of this research is to assess internal Audit Practices on selected private commercial banks of Ethiopia. Internal auditing plays a critical role in the governance and operation of an organization. When effectively implemented, operated and managed, it is an important element in helping an organization to achieve its objectives. This study therefore sought to investigate the internal audit practice in commercial banks in Ethiopia. Specifically, how the internal audit was functioning in line with the audit work quality, scope of the audit work, the level of independence of the internal audit function and adequacy of competent internal audit staff. This study employed a descriptive research designed. The study used purposive sampling method and covered only focused on four private banks at Jimma head office internal auditors. Data collected from questionnaires was coded and analyzed with the aid of the Statistical Package for Social Sciences (SPSS) version 20 for descriptive statistics. Based on the conclusion and the finding the internal auditing practice of private Banks in Jimma city relatively better and follow the theoretical aspects of internal audit practice