Windhoek: Nkurenkuru Town Council Acting Chief Executive Officer Magana Mukuve says errors in the council's financial statements are the result of work overload and not incompetence.

According to Namibia Press Agency, Mukuve appeared before the Public Accounts Committee (PAC) of the National Assembly during its regional public hearing in Nkurenkuru. He explained that the finance division is understaffed and overwhelmed by daily tasks while also preparing annual financial statements. Mukuve stressed that the department only has three staff members who are responsible for managing financial statements, leading to errors. Despite these challenges, he assured the committee that corrections were made to the statements.

Mukuve further explained that corrections to past statements were incorporated during the preparation of the 2024/25 financial year accounts. He attributed some of the errors to the high volume of customers and transactions. Additionally, he mentioned that external service providers compiled some comparative figures, complicating the rectification of inherited errors.

Member of Parliament Job Amupanda questioned the acting CEO regarding the recurring audit findings and the slow transition from Generally Accepted Accounting Principles (GAAP) to International Public Sector Accounting Standards (IPSAS). Amupanda noted that although IPSAS was introduced seven years ago, there is still a lack of concrete steps to strengthen internal controls, staff training, and compliance. He questioned whether future audits could realistically yield an unqualified opinion.

Mukuve reiterated the capacity constraints faced by the finance department, noting that there was a time when no staff member was available to review financial matters before finalizing the statements. He admitted that there was limited understanding when IPSAS was first introduced, and that the department is still in the learning phase. He added that short training courses offered were often too basic for staff to fully understand the new reporting requirements.

The regional public hearing specifically addressed the Nkurenkuru Town Council, providing the committee with a platform to examine audit findings, seek clarification on issues identified by the auditor-general, and question officials on their implementation of recommendations from the reports. Amupanda emphasized that the committee is assessing whether Nkurenkuru's financial statements accurately reflect the town council's position and whether longstanding weaknesses in financial management are being resolved.