Audit of financial instruments in the 2021-2027 programming period

fi-compass Knowledge Hub

4 March 2024

Not formal guidance

The European Commission (EC) has published the methodology for the audit of financial instruments (FI) in the 2021-2027 programming period (the 2021-2027 audit methodology). The approach in the 2021-2027 audit methodology reflects the requirements of the Common Provisions Regulation 2021/1060 (CPR), in particular:

  • Articles 58-62, 92 rules governing the setup and implementation of FIs;
  • Article 68 specific eligibility rules for financial instruments;
  • Article 74 risk-based management verifications;
  • Article 81 general principles of management verifications and audit for FIs (reduced scope under Article 83 enhanced proportionate arrangements);
  • Articles 77 and 79 system audits and audits of operations.

The 2021-2027 audit methodology follows the EC’s approach to the CPR by seeking to simplify the rules relating to FI in the CPR. The early publication of the 2021-2027 audit methodology is intended to further enable the efficient implementation of FI and associated control and audit provisions by managing authorities and audit authorities.

On 3 July 2023, a group of practitioners (representatives of managing authorities, audit authorities, national promotional banks and bodies implementing financial instruments) gathered in Brussels with experts from the European Commission (EC) and European Investment Bank (EIB) to take part in a workshop to discuss the 2021-2027 audit methodology. This Note captures the key points discussed, best practice shared and lessons learned during the workshop.