Accountability Report 2016

Abu DhAbi AccountAbility Authority | AccountAbility RepoRt 2016 | 1
ACCOUNTABILITY
REPORT
www.adaa.abudhabi.ae

ADAA Accountability
Report on the website
This publication was printed in the United Arab Emirates using organic inks and
water based varnishes and sealants. The paper is Heaven 42, 300 g/m² and
150 g/m². This paper is FSC certified (sourced from well-managed forests and
chlorine-free) and Green Seal certified (contains a minimum of 30 percent post-
consumer fibre). When you wish to dispose of this report, please use recycled
paper waste facilities.
Did you know? Compared to virgin paper, each ton of recycled paper can save.
• 17 trees
• 3.3 cubic yards of landfill space
• 4,000 kWh of energy
• 7,000 gallons of water
(Source. US Environmental Protection Agency)
All Photographs by Nasser Ali AlKhlaifi at Qasr al Muwaiji.

Since God, bestows His graces on
us providing us with wealth, it is
our role to use this wealth for the
benefit and prosperity of our country
and our people as an expression of
gratitude to our Lord.
The late Sheikh Zayed bin Sultan Al Nahyan
(may God have mercy upon him)

His Highness Sheikh Khalifa bin Zayed Al Nahyan
The President of the UAE

His Highness Sheikh Mohamed bin Zayed Al Nahyan
The Crown Prince of Abu Dhabi and Deputy Supreme Commander
of the UAE Armed Forces

FOREWORD
Page 1
Part 01 Part 02
About ADAA
Page 3 - 15
ADAA outputs
Page 17 - 27
1. ADAA History
2. Strategic Pillars
3. Overall Strategy
4. Objectives and Responsibilities
5. Outputs and Outcomes
6. Subject Entities
7. Governance Report
1. Introduction
2. ADAA Audit Methodology
3. Financial Audit and Examination
4. Performance and Risk Assurance
5. Supporting Accountability

Part 03 Part 04
2015 RepoRt
& 2016 plAn
Page 29 - 57
FinAnciAl stAtements
Page 59
1. 2015 Achievements Highlights
2. Output Group 1: Financial Audit
and Examination
3. Output Group 2: Performance
and Risk Assurance
4. Output Group 3: Supporting
Accountability
5. 2016 Work Plan
Together with Independent
Auditor’s Report for the year
ended 31 December 2015

Abu DhAbi AccountAbility Authority | AccountAbility RepoRt 2016 | 1
FOREWORD
It gives us great pleasure to bring you the “Accountability Report 2016”, the
8th issue of the annual report of Abu Dhabi Accountability Authority (ADAA),
that affirms our commitment to the highest standards of transparency and
accountability as adopted by the UAE and the Emirate under the leadership of our
President His Highness Sheikh Khalifa bin Zayed Al Nahyan.
This issue of the annual report arrives at a time when the UAE has achieved a number of unique successes
accredited by key international reports and indicators. The Country ranked 23rd globally in the Corruptions
Perceptions Index issued by Transparency International in 2015 whereas it ranked 35 th in 2008, which reflects
the great achievement in this respect. The UAE attained top four ranking in a number of indicators in the
Global Competitiveness Report issued by the World Economic Forum (Davos). The UAE was also ranked the
happiest Arab Country and the 20th globally in the World Happiness report published by the United Nations.
Further, the Country was ranked 1st regionally in the “Ease of doing business” category according to a report
issued by the World Bank.
We at ADAA, under the direction of His Highness Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of
Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces and the support of His Highness
Sheikh Hazza bin Zayed Al Nahyan, Vice Chairman of the Abu Dhabi Executive Council, are proud that
we have developed and sponsored the “Auditor Development Program” designed with the objective of
contributing to the training and development of Emirati Auditors and assisting them acquire the necessary
skills and knowledge to advance and excel in their careers. Since the inception of the Program, more than fifty
UAE nationals have joined.
This Report illustrates a number of ADAA accomplishments during the past year including:
• 159 reports issued as outputs of the Financial Audit and Examination group and the Performance and Risk
Assurance group.
• Hosting the 2015 meeting of the Public Interest Oversight Board (PIOB) in Abu Dhabi, for the first time in the
Middle East.
• Hosting the MENA Public Sector Leadership Summit in collaboration with the International Federation of
Accountants (IFAC), in Abu Dhabi, for the first time in the Middle East.
• Participating in the 9th Inspection Workshop of the IFIAR, held in London, United Kingdom alongside more
than 147 audit inspectors from around 43 international jurisdictions.
• ADAA’s Chairman continued as a member in the “High-Level Advisory Group” of IFAC.
• The accreditation of ADAA Knowledge Centre as an approved training provider by the UK Institute of
Leadership and Management.
In conclusion, I would like to thank everyone who has contributed to these achievements including public
entities and ADAA employees, praying to the Great and Almighty Allah to grant us success in serving our
generous country.
Riyad Al Mubarak
ADAA Chairman

2 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016

Part 01
About ADAA
1. ADAA History 04
2. Strategic Pillars 05
3. Overall Strategy 05
4. Objectives & Responsibilities 06
5. Outputs & Outcomes 06
6. Subject Entities 08
7. Governance Report 12

4 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
1. ADAA HISTORy
Abu Dhabi Accountability Authority (ADAA) was
established under Law No. (1) for the year 1985
as an independent body reporting to His Highness
the Crown Prince of Abu Dhabi and mandated
to perform financial oversight on funds disbursed
by public entities and ensure the accuracy and
legitimacy of the management of these funds,
which were previously under the responsibility of the
Department of Finance.
ADAA began to exercise its powers since the issuance
of Decree No. 8 of 1996 appointing His Excellency
Mohammed Al Marar as the first Chairman. In April
1997, the Law referred to above was amended
to make ADAA responsible for the post financial
control instead of the pre-audit to strengthen its
independence. In July 2004, Law No. 6 of 2004 was
issued to give ADAA broader powers.
In December 2007, Decree No. 32 of 2007 was
issued appointing His Excellency Riyad Al Mubarak
as Acting Chairman of ADAA as part of the
restructuring of the Government of Abu Dhabi.
In December 2008, Law No. 14 of 2008 (the
Law) was issued to shift the role of ADAA from
financial control to government audit and added
a new objective that is to promote the principles
of accountability and transparency. The Law also
changed the name of the authority from ”Abu Dhabi
Audit Authority” to “Abu Dhabi Accountability
Authority”. On 31 December 2008, Emiri Decree No.
(10) was issued appointing His Excellency Riyad Al
Mubarak as Chairman of ADAA.

| 5 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
2. STRATEGIC PILLARS
Our Vision
“To be one of the top 5 accountability authorities in the world”
Our Mission
“To help improve performance and promote accountability and transparency
across Abu Dhabi Government and Public Entities by providing independent
and objective assurance and advisory services”
Our Values
3. OVERALL STRATEGy
To enhance performance and to promote accountability and transparency by:
• Becoming a trusted advisor.
• Leading by example and supporting adoption of better practices.
• Enhancing communication and collaboration between Subject Entities and support sharing of knowledge.
Accountability and Transparency
Integrity and Respect
Professionalism
Lead by
example
Listening to other points
of view
Earning the trust of people we interact with
Innovating and going beyond the current standards
Collaborative and effective teamwork
Treating others with
respect
Being passionate about the work we do
Being independent, objective
and neutral

6 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
4. OBJECTIVES & RESPONSIBILITIES
Law number 14 of 2008 defines ADAA’s objectives as:
• Ensuring public resources and funds are managed, collected and expended efficiently, effectively and
economically.
• Ensuring accuracy of the financial reports and compliance of Subject Entities with relevant laws, rules and
regulations and governance guidelines.
• Promoting accountability and transparency across all Subject Entities.
Law number 14 of 2008 defines ADAA’s responsibilities as:
• Audit the Government consolidated financial reports and examine Subject Entities’ financial reports.
• Review performance and risk by examining the efficiency, effectiveness and economy of the financial and
operational activities of Subject Entities and ensuring compliance with laws, regulations and rules and
governance guidelines.
• Submit reports to HH the Crown Prince as well as carry out any other functions and duties requested by HH
the Crown Prince.
• Provide advice and recommendations and perform other procedures and services to Subject Entities as the
ADAA Chairman deems reasonable and appropriate.
• Conduct investigations of complaints referred to ADAA and other violations it may discover as well as
examine violations investigated by Subject Entities.
• Train and qualify UAE National graduates of universities and institutions.
5. OUTPUTS & OUTCOMES
ADAA discharges its responsibilities through the outputs that have been developed during the past years
(please see Part 2).
ADAA has also defined a set of outcomes based on its objectives and responsibilities as follows:
• Enhanced accountability and transparency in the Government and Subject Entities.
• The public and the world are better informed about accountability in Abu Dhabi Government.
• Efficient and effective public sector.
• Improved governance practices in all Subject Entities.
• Increased number of UAE Nationals in the fields of accounting and audit.
• Improved transparency and reliability of financial reporting.
• Enhanced compliance with rules and regulations.

| 7 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
The following figure illustrates ADAA objectives, responsibilities, outputs and outcomes:
1. Audit the Government consolidated financial reports and examine Subject Entities’ financial reports.
2. Review performance and risk by examining the efficiency, effectiveness and economy of the financial and
operational activities of Subject Entities and ensuring compliance with laws, regulations and rules and
governance guidelines.
3. Submit reports to HH the Crown Prince as well as carry out any other functions and duties requested by
HH the Crown Prince.
4. Provide advice and recommendations and perform other procedures and services to Subject Entities as the
ADAA Chairman deems reasonable and appropriate.
5. Investigate complaints referred to ADAA and other violations it may discover as well as examine violations
investigated by Subject Entities.
6. Train and qualify UAE National graduates of universities and institutions.
Responsibilities
Outputs
1. Enhanced accountability and transparency in the Government and Subject Entities.
2. The public and the world are better informed about accountability in Abu Dhabi Government.
3. Efficient and effective public sector.
4. Improved governance practices in all Subject Entities.
5. Increased number of UAE Nationals in the fields of accounting and audit.
6. Improved transparency and reliability of financial reporting.
7. Enhanced compliance with rules and regulations.
Outcomes
3. Promote accountability and
transparency across all Subject
Entities.
3. Supporting Accountability
2. Ensure accuracy of the financial
reports and compliance of
Subject Entities with relevant
laws, rules and regulations and
governance guidelines.
2. Performance and Risk Assurance
1. Ensure public resources and
funds are managed, collected
and expended efficiently,
effectively and economically.
1. Financial Audit and Examination
Objectives

8 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
6. SUBJECT ENTITIES
ADAA Subject Entities comprise of local departments, councils, authorities and other similar entities, in
addition to institutions, companies and projects in which the Abu Dhabi Government’s interest is equal to
or greater than 50% inclusive of their subsidiaries, companies and projects. Other entities may be subject to
ADAA work based on other criteria as defined in Law number 14 of 2008.
Subject Entities Classification by Type
ADAA classified Subject Entities into groups based on their types as shown in the following figure:
Central Government State-Owned
Enterprises (SOE)
SOEs Subsidiaries
Courts
(Diwans)
Other Government Entities / Subsidiaries
Department of
Finance
Health Authority
– AD
AD Education
Council
AD Urban
Planning Council
Department
of Economic
Development
Energy
Authority
AD Centre
for Technical
& Vocational
Education
AD Housing
Authority
Department of
Municipal Affairs
AD Tourism &
Culture Authority
AD Food Control
Authority AD Police
Department
of Transport
Environment
Agency – AD
AD Sports
Council
AD Systems &
Information
Centre
Media Zone
Authority – AD
Civil Service
Council
AD Human
Resources
Authority
Musanada
Executive Council
Ruler Court
Ruler
Representatives
Courts
Judicial
Department
Crown Prince
Court
National
Consultative
Council
Abu Dhabi
Accountability
Authority
ADNOC
ADFD
ADIA
IPIC
ADWEA
ADX
Mubadala
Etihad Aviation Group
Senaat
TDIC
ADSSC
ADNEC
ADAC
ADPC
ADIC
SEHA
ADMC
EPCO
ENEC
Daman
Etihad Rail

| 9 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Subject Entities Classification by Sector
ADAA has also classified Subject Entities by sector as shown in the list below (excluding subsidiaries of State
Owned Enterprises and Government Entities):
Sector Policy Area Entity Name
Economic
Development
Planning and
Economy
1. Department of Economic Development
2. Khalifa Fund for Enterprises Development
3. Abu Dhabi Quality and Conformity Council
4. Abu Dhabi Council for Economic Development
5. Higher Corporation for Specialized Economic Zones
6. Media Zone Authority - Abu Dhabi
7. Global Marketplace Abu Dhabi
Energy 8. Supreme Petroleum Council
9. Energy Authority
10. Regulation and Supervision Bureau
Tourism
and Culture
11. Abu Dhabi Tourism and Culture Authority
12. Emirates Heritage Club
13. Zayed House for Islamic Culture
14. Public Institution Zoo and Aquarium in Al Ain
Social
Development
Justice 15. Judicial Department - Abu Dhabi
Security 16. General Directorate of Abu Dhabi Police
17. Monitoring and Control Centre
Health 18. Health Authority - Abu Dhabi
19. The National Rehabilitation Centre
Food and
Agriculture
20. Abu Dhabi Food Control Authority
21. Abu Dhabi Farmers Services Centre
22. Abu Dhabi Farmer Financial Support Fund
Social Inclusion 23. Family Development Foundation
24. Zayed Higher Organization For Humanitarian Care
and Special Needs
25. Social Care and Minors Affairs Foundation
26. Zayed bin Sultan Al Nahyan Charitable and
Humanitarian Foundation
27. Khalifa Bin Zayed Al Nahyan Foundation
28. Emirates Foundation
29. Zayed House for Family Care
Housing 30. Abu Dhabi Housing Authority

10 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Subject Entities Classification by Sector
Sector Policy Area Entity Name
Human Capital
Development
Education 31. Abu Dhabi Education Council
32. Khalifa University for Science, Technology and
Research
33. Emirates College for Advanced Education
34. Paris-Sorbonne University - Abu Dhabi
35. Mohammed V University - AGDAL - Abu Dhabi
36. Abu Dhabi Centre for Technical and Vocational
Education and Training
37. Abu Dhabi Vocational Education and Training
Institute
38. Institute of Applied Technology
39. Petroleum Institute
40. Rabdan Academy
Labour 41. Abu Dhabi Human Resources Authority
42. Civil Service Council
43. Abu Dhabi Retirement Pensions and Benefits Fund
Sports 44. Abu Dhabi Sports Council
Infrastructure
and Environment
Urban Planning
and Municipal
Affairs
45. Abu Dhabi Urban Planning Council
46. Department of Municipal Affairs
47. Municipality of Abu Dhabi City
48. Municipality of Al Ain City
49. Western Region Municipality
50. The Center of Waste Management - Abu Dhabi
51. Abu Dhabi General Services Company - Musanada
Transport 52. Department of Transport
53. The Center for Regulation of Transport by Hire Cars
(Trans Ad)
54. Compensations Fund for Owners of Taxi Licenses
Environment 55. Environment Agency - Abu Dhabi
56. International Fund for Habara Conservation
57. Mohamed bin Zayed Species Conservation Fund

| 11 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Subject Entities Classification by Sector
Sector Policy Area Entity Name
Government
Administration
Government
Administration
58. Ruler Court
59. Crown Prince Court
60. Ruler Representative in the Eastern Region Court
61. Ruler Representative in the Western Region Court
62. National Consultative Council
63. Abu Dhabi Accountability Authority
64. Executive Affairs Authority
65. Vice Chairman of the Executive Council Office
66. General Secretariat of the Executive Council
67. Department of Finance
68. Statistics Centre - Abu Dhabi
69. Presidential Flight Authority
70. Abu Dhabi Systems & Information Centre
Public
Investments
Public
Investments
71. Abu Dhabi National Oil Company – ADNOC
72. Abu Dhabi Fund for Development – ADFD
73. Abu Dhabi Investment Authority – ADIA
74. International Petroleum Investment Company – IPIC
75. Abu Dhabi Water & Electricity Authority – ADWEA
76. Abu Dhabi Securities Exchange – ADX
77. Mubadala Development Company – Mubadala
78. Etihad Aviation Group
79. General Holding Corporation – Senaat
80. Tourism Development & Investment Company – TDIC
81. Abu Dhabi Sewerage Services Company – ADSSC
82. Abu Dhabi National Exhibitions Company – ADNEC
83. Abu Dhabi Airports Company – ADAC
84. Abu Dhabi Ports Company – ADPC
85. Abu Dhabi Investment Council – ADIC
86. Abu Dhabi Health Services Company – SEHA
87. Abu Dhabi Media Company – ADMC
88. Emirates Palace Company – EPCO
89. Emirates Nuclear Energy Corporation – ENEC
90. National Health Insurance Company – Daman
91. Etihad Rail Company

12 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
7. GOVERNANCE REPORT
Leadership
ADAA ensures that all its processes and operations adhere to the utmost principles of transparency whereby
its Chairman has welcomed and adopted various channels of communication with the employees providing
adequate communication relating to the overall strategy, ADAA’s yearly plan and its performance through
events such as the Annual Meeting held at the beginning of every year as well as the periodic management
meetings that cover different topics of importance and impact on ADAA’s work and verifies that the
operational activities are in line with the annual plan and is consistent with the vision and overall strategy of
the Abu Dhabi Government.
ADAA aims to earn the trust of its stakeholders and
sustaining it through adopting and implementing
the highest standards of accountability and
transparency and issues its Governance Report
accordingly.
In this report, ADAA follows a set of guiding
principles, regulations, ideal fundamentals and
processes that are integrated under the following
main components of governance:
Institutionalization
ADAA developed a strategic planning framework based on its strategic priorities. ADAA also developed
work methodologies for every output and service it provides in accordance with international best practices
and is considered a guideline for ADAA’s actions and the provision of its services. These framework and
methodologies are constantly revisited and reviewed to ensure their validity and relevance to the current needs
of Abu Dhabi and relative stakeholders.
Leadership
Institutionalization
Performance Management
Control
External Reports
Outcomes
ADAA Mandate
1
2
4
3
5
Objectives
Outputs
Responsibilities

| 13 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Performance Management
ADAA’s performance is measured based on a set of
internationally recognized performance metrics to
ensure the objectivity of these measurements. ADAA
has developed three types of performance measures
as shown below:
• Outcome Performance Indicators: to measure the
impact of ADAA’s work on the state or condition of
the society, the economy, or the environment and
any change in that state or condition.
• Output Performance Indicators: to measure
the cost, quantity, quality and timeliness of
our services (outputs) (Such as: the cost of the
reports, the number of reports, the quality of the
recommendations, issuing reports on time).
• Internal Performance Indicators: to measure the
performance of ADAA’s internal departments and
units.
ADAA has also designed its organizational structure based on its operating model to fulfill its responsibilities
and achieve its objectives as shown in the figure below:
ADAA implements a remuneration policy and
procedure for its employees as well as a performance
management system that ensures fair evaluations of
individual performance and identifies a clear career
path and progression plan for each one. ADAA
employees are exposed to training programs and
workshops that aim primarily at enhancing their
capabilities, skills, knowledge and competence to
grow within their careers.
ADAA considers communication a crucial and
indispensable approach to measure its performance
and achieve transparency with its stakeholders; be it
Subject Entities or the general public. ADAA launched
many initiatives to enhance awareness of its role and
responsibilities that included launching its new identity
and its official website www.adaa.abudhabi.ae along
with other initiatives to improve the Accounting and
Audit professions and has created communication
channels with its Subject Entities to encourage
knowledge sharing such as the monthly e-newsletter
“ADAA IFRS Digest”, the e-maarifa web portal,
Abu Dhabi Audit Management portal in addition
to networking seminars, workshops and panel
discussions on new services and policies.
ADAA seeks feedback from its Subject Entities on the
review process executed after the issuance of each
audit and assurance report. The feedback received
constitutes an important guide to the effectiveness of
existing practices and further developments that may
be required.
Performance Standards Sets
ADAA Chairman
Internal Audit
Financial Audit and
Examination Group
Performance and Risk
Assurance Group
Support Services
Group
Legal Affairs and
Investigations
Department
Deputy Chairman
ADAA views its people as its primary asset as it includes top-tier professionals from multi-cultural backgrounds,
unified by the ADAA vision, mission and values.
ADAA is committed to develop and attract Emiratis to the Accounting and Audit profession. The Authority has
equally defined career paths and growth plans for all employees and promotes the success of ADAA as one team.
Outcome
Performance Indicators
Output Performance
Indicators
Internal Performance
Indicators

14 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Control
Internal Control:
ADAA annually reviews its internal controls, including financial, operational, compliance controls and risk
management to ensure that its processes are in line with best practice, laws, rules and regulations through its
internal audit function that follows international standards set forth in the “Internal Audit Manual” issued by
ADAA in 2010.
ADAA also implemented a rigorous Code of Conduct safeguarding business and professional ethics and
ensuring that all ADAA employees understand and abide by this code of conduct, additionally ADAA has
established a “Compliance Officer” role whose responsibility is to handle the receipt of complaints related
to employees and to ADAA’s activities, examine complaints and prepare a memo of the outcomes of the
examination and make recommendations with the necessary action.
All ADAA employees take the below mentioned oath before the
ADAA Chairman upon joining the Authority as per Article (9) of
Law (14) of 2008 establishing ADAA:
I SWEAR BY ALMIGHTY GOD TO BE LOYAL TO THE RULER
AND THE COUNTRY, TO HONOR THE CONSTITUTION
AND LAW, TO WORK TO SAFEGUARD PUBLIC FUNDS, TO
PERFORM MY DUTIES HONESTLY AND SINCERELY AND TO
MAINTAIN THE CONFIDENTIALITY OF ALL BUSINESSES
External Audit:
ADAA’s financial statements are reviewed and audited by an external auditor. For the year 2015, KPMG
was reappointed in accordance with Statutory Auditors Appointment Rules issued by ADAA to review
and audit the interim and annual financial statements of ADAA. KPMG was reappointed for a fee of
AED 125,000.
External Reports
ADAA prepares an annual plan that comprises its operational intentions, objectives and performance
targets for the coming year. The plan also includes ADAA’s strategy, priorities, outputs, outcomes
and performance measures. In addition, ADAA prepares an annual report “Accountability Report” to
provide information about the following:
• Comparison of actual performance against set targets; as well as other information necessary to
assess ADAA’s performance during the financial year.
• Governance Report.
• ADAA’s annual financial statements accompanied with the Statutory Auditor’s report.

| 15 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Sheikh Zayed Grand Mosque in Abu Dhabi
Picture

Part 02
ADAA outputs
1. Introduction 18
2. ADAA Audit Methodology 19
3. Financial Audit and Examination 20
4. Performance and Risk Assurance 22
5. Supporting Accountability 25

18 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
1. INTRODUCTION
ADAA established a number of outputs enabling the execution of its mandate as outlined in its establishment
law. The following table demonstrates ADAA’s outputs in relation to the mandate item it fulfills:
ADAA Law
1. Financial Audit Financial
Audit and
Examination
Performance
and Risk
Assurance
Supporting
Accountability
Audit the Government consolidated Financial Reports
and Subject Entities’ Financial Reports. 2. Financial Examination
3. Financial Management
Assessment
4. Internal Audit Function
Assessment
5. Procurement Review
6. Service & Output Review
7. Accountability Reports
8. Advisory
9. Special Examination
10. ADAA Knowledge
Centre
ADAA RESPONSIBILITIES ADAA OUTPUTS
Review performance and risk by examining the
efficiency, effectiveness and economy of the
financial and operational activities of Subject Entities
and ensuring compliance with laws, regulations and
rules and governance guidelines.
Submit reports to HH the Crown Prince as well as
carry out any other functions and duties requested by
HH the Crown Prince.
Provide advice and recommendations and perform other
procedures and services to Subject Entities as the ADAA
Chairman deems reasonable and appropriate.
Investigate complaints referred to ADAA and other violations
it may discover as well as examine violations investigated by
Subject Entities.
Train and qualify UAE National graduates of universities
and institutions.

| 19 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
2. ADAA AUDIT METHODOLOGy
ADAA performs its audit assignments in accordance with a standardized audit methodology to ensure the
quality of audit work performed which is then reflected in its reports and outputs. ADAA’s audit methodology
involves three main phases where each phase includes a number of steps as shown in the following figure:
In addition, ADAA developed specific “audit criteria” for every output of the Financial Audit and Examination
and Performance and Risk Assurance groups. The high quality of reports detailing the encompassed findings
and recommendations are directly dependent on the presence of auditing standards developed based on
internationally recognized best practices.
Abu Dhabi Accountability Authority performs its audit assignments based on previously defined ”audit
criteria” prepared in accordance with generally accepted standards and best practices applied on the
subject of the audit.
Prepare and send
engagement letter
Hold “opening
meeting” with
management
Hold “closing“meeting
with management
Prepare draft report
4
5
12
13
Collect data
Coordinate with the
Entity's management
and set time schedule
Present findings
to the Entity
Review report
3
6
11
14
Define audit scope
criteria and prepare
audit program
Analyse data
Draft findings
Present report to
ADAA Chairman
2
7
10
15
Understand
the business
Identify findings
Collect and document
evidence and link
them with findings
Prepare and issue
final report
Communicate with those charged with
governance and follow up
1
8
9
16
17
Abu Dhabi Accountability Authority audit methodology was developed in accordance with the standards
and guidelines issued by the International Federation of Accountants (IFAC), The International Organisation
of Supreme Audit Institutions (INTOSAI) and other internationally accepted standards.
Reporting Phase
Execution Phase
Planning Phase

20 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
3. FINANCIAL AUDIT AND
EXAMINATION
ADAA developed 3 types of outputs under this group with the objective of enabling it to provide assurance on
the accuracy of the Government’s Consolidated Financial Statements and the Financial Statements issued by
Subject Entities:
• Financial Audit
• Financial Examination
• Financial Management Assessment
3.1 Financial Audit
Audit the Consolidated Financial Statements of the Government of Abu Dhabi to express an opinion whether
the financial statements present fairly, in all material respects, the financial performance of the Government of
Abu Dhabi.
ADAA audits the Consolidated Financial Statements of the Government of Abu Dhabi in accordance with
International Standards on Auditing (ISA), the purpose of which is to express an opinion on whether the
financial statements present fairly, in all material respects, the financial performance of the Government of
Abu Dhabi, according to International Public Sector Accounting Standards (IPSAS).
3.2 Financial Examination
Ensure that Subject Entities implement the Statutory Auditors Appointment Rules (SAAR) issued by ADAA
when appointing a statutory auditor, perform financial examination of the Subject Entity’s financial statements
and examine the work undertaken by the statutory auditor to provide assurance on the accuracy of the
financial statements of Subject Entities.
ADAA developed 390 audit criteria spread over 21 standards within 5 elements as illustrated in the following
figure:
Audit Elements and Standards for Financial Examination
Auditor Appointment Audit Execution Audit Conclusion and reporting
1. Auditor Independence
2. Expertise in the business of the
entity
3. Technical resources and quality
4. Technical and financial proposals
evaluation
8. Test of controls
9. Perform analytical procedures
10. Significant balances and
transactions
11. Applied accounting framework
12. Accounting estimates
13. Related parties transactions
14. Subsequent events
15. Going concern
16. Management representations
17. Use of expert work
18. Litigations and claims
19. Conclude the assignment and
evaluate result
20. Form the opinion and prepare
the report
Audit Planning
Legal, Regulatory
and Other Requirements
5. Audit planning memorandum
6. Understand the entity business
and environment
7. Assess risk of significant
misstatement due to fraud or error
21. Compliance with relevant laws
and regulations

| 21 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Audit criteria for Financial Examination were developed based on the following:
• Statutory Auditors Appointment Rules issued in accordance with Law Number 14 of 2008,
• International Standards on Auditing (ISA) issued by the International Federation of Accountants (IFAC), and
• Accounting standards used for preparing the financial statements. i.e. IPSAS or IFRS.
ADAA’s financial examination reports findings are classified as follows:
• Significant improvement required: Significant finding that requires immediate action
• Needs improvement: Finding indicates issues on audit quality that require action to improve the audit
• Needs improvement - Specific exception noted: Had this exception been noted during the audit process, it
might has resulted in an adjustment
3.3 Financial Management Assessment
Assess the financial management at a Subject
Entity and its conformity with best practices to
ensure efficiency of the preparation of its financial
statements and reports.
Audit criteria for Financial Management Assessment
were developed based on good practice statements
issued by the Chartered Institute of Public Finance
and Accountancy (CIPFA). CIPFA is a member of the
International Federation of Accountants (IFAC).
The good practice statements developed by the
institute are structured around three progressive
styles:
• Securing stewardship,
• Supporting performance and
• Enabling transformation.
Good
finance
function
Enabling
transformation
Supporting
performance
Securing
stewardship
C
h
a
n
g
e
m
a
n
a
g
e
m
e
n
t
Opportu
nit
y
d
r
i
v
e
n
L
e
a
d
i
n
g
p
r
a
c
t
i
c
e
s
G
o
o
d
fi
n
a
n
c
i
a
l
a
n
a
l
y
s
i
s
S
u
p
p
o
r t
g o o d
G o o
d
i
n
t e
r
p r
e
t
a
t
i
o
n
o
f
c
o
s
t
d
r
i
v
e
r
s
m
a
n
a
g
e
m
e
n
t
D
er
iv
e
v
a
l
u
e
Risk
d
e
c
i s i
o
n
-
m
a k i n g
C
o
n
t
r
o
l
l
e
r
s
h
i
p
A
c
c
o
u
n
t
a
b
i
l
i
t
y
C
o
m
p
l
i
a
n
c
e
d
r
i
v
e
n
Underdeveloped Emerging Maturing Leading
The CIPFA good practice statements are structured around four management dimensions:
• Leadership
• People
• Processes
• Stakeholders
The financial management is assessed against 38 Good Practice Statements based on how far each
Statement is met. The financial management is rated, for each Statement, on a scale from 1-4 with 1
being “not-applied” and 4 being “leading” based on 442 criteria distributed over the dimensions of
the financial management.
1.5
1
2.5
3.5
4

22 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
4. PERFORMANCE AND RISK
ASSURANCE
ADAA developed 3 types of outputs under this group with the objective of ensuring Subject Entities’
resources and funds are managed, collected and expended efficiently, effectively and economically and
in compliance with the relevant laws and regulations and governance rules:
• Internal Audit Function Assessment
• Procurement Review
• Service and Output Review
4.1 Internal Audit Function Assessment
Assess the Internal Audit function at Subject Entities to ensure effectiveness of risk management
activities, control and governance at Subject Entities. ADAA has developed 96 audit criteria to assess
the internal audit activity spread over 26 standards within six main elements.
The following figure shows the elements and evaluation standards:
The “Internal Audit Assessment Methodology” was developed based on best practices and in
accordance with the standards issued by the Institute of Internal Auditors (IIA).
Independence and Objectivity
1. Organizational Independence
2. Aspects of Organizational
Independence
3. Impairment to Independence or
Objectivity
4. Recognition of the Definition of
Internal Auditing, the Code of
Ethics, and the Standards
5. Direct Interaction with the Board
Organization and Emiratization
6. Developing the Internal Audit
Strategic Plan
7. Internal Audit Function Charter
8. Organizational Structure and
Resource Capabilities
9. Career Development Plans
10. Emiratization Plans
Methodology
11. Internal Audit Methodology
and Manual
12. Methodology and Technology
Interface
13. Methodology Awareness
Operations
14. Resource Management: Time
and Money
15. Audit Planning and Risk
Assessment
16. Audit Execution Process
17. Communication and Reporting
Process
18. Follow-up Process
19. Advisory Services
20. Annual Audit Plan Coverage
21. Management of 3rd Party
Service Providers
Technology
22. Use of Technology
23. Security, Maintenance and
Upgrade
Value
24. Acceptance and Perception
of the Internal Audit Function
within the Organization
25. Expectation Management and
Value Add
26. Promotion of Better
Governance Practices

| 23 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Each of the 6 elements are assessed; the outcome of assessing all elements allows the Internal Audit Activity
to achieve an overall “Pass” or “No Pass” score. Due to the dissimilarity of the significance of those elements,
each element was assigned a specific weight according to its criticality.
Internal Audit Activity with “Pass” rates is classified within the following 3 categories:
Category Score Description
Tier 1 Over 89% Minor improvement opportunity to meet leading practices
Tier 2 75% to 89% Specific improvement opportunities to meet leading practices
Tier 3 50% to 74% Significant improvement needed to meet leading practices
4.2 Procurement Review
Review procurement processes at Subject Entities to verify their efficiency, effectiveness and economy and
ensure their compliance with applicable regulations and procedures.
ADAA has developed 74 audit criteria to review the Procurement spread over 13 standards within three main
elements: Procurement Regulatory Framework, Procurement Practices and Record Keeping and Reporting.
The following figure shows the elements and evaluation standards:
Procurement Review Methodology was developed based on the pronouncements made by the Chartered
Institute of Purchasing and Supply (CIPS) and in line with the prevailing Laws and Regulation relating to the
Procurement applied in the Emirate of Abu Dhabi.
Observations resulted from the Procurement Review are classified according to their significance impact as
follows:
Observation with medium risk exposure
Observation that refers to a weakness in the procurement process that requires corrective action(s).
Observation with significant risk exposure
Observation of a significant effect on the procurement process that requires immediate action to
ensure non-recurrence.
Audit Elements and Standards for Procurement Review
Procurement Regulatory
Framework
1. Procurement Policy
2. Authorities and
Delegations
3. Conflicts of Interest
4. Procurement Manual
Record Keeping and
Reporting
12. Documentation
13. Procurement Activity
Performance Reports
Procurement
Practices
5. Procurement Planning
6. Registration and Classification
7. Purchase Requisition
8. Prequalification
9. Request for and Receipt of Proposals
10. Proposals Evaluation
11. Award

24 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
4.3 Service and Output Review
Review operations and processes used by Subject Entities to provide services or outputs for the purpose of
ensuring the effective, efficient and economic use of public funds, as well as conformance with applicable laws
and leading practices. It also includes Capital Projects Review addressing the review of infrastructure assets and
critical projects under development by Subject Entities for which these projects represent one of their outputs.
ADAA develops set of criteria and standards within three main elements for each review as illustrated in the
following chart:
ADAA has also developed a number of criteria distributed into 17 audit standards to review the projects within
three main elements based on Project Management Standards issued by the Project Management Institute
(PMI) as shown below:
*Audit standards of applied practice differ from audit to another based on the audit subject.
Audit Elements and Standards for Service and Output Review
AD Emirate Laws
and Policies
Governance
Framework Practices* Performance Metrics
and Reports
Public Benefits
of Services
Outside of
ADAA’s
Scope
1. Regulatory Framework
2. Strategy
3. Service Operational
Model
4. Annual Plan
5. Work Manuals
6. IT, Archival and
Continuity Management
7. Conflict of Interest
Management
1. Issuance of
licenses
2. Renewal of
licenses
3. Revoking of
licenses
4. Inspection and
Quality Control
5. Sanctioning of
violators
1. Performance
Metrics
2. Data Integrity
3. Performance
Reports
Program Management
1. Program Governance
2. Program Planning and Standardization
3. Program Monitoring and Reporting
Project Management
Planning Execution and Monitoring Closeout
1. Project Funding
2. Project Planning
3. Design Management
4. Procurement Management
1. Scope and Contract Management
2. Cost Management
3. Schedule Management
4. Quality Management
5. Risk Management
6. Health, Safety, and Environmental
Management
7. Communications and Stakeholder
Management
8. HR Management
1. Facility Closeout
2. Financial Closeout
Outside of
ADAA’s
Scope

| 25 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
ADAA developed 4 types of outputs under this group
to support holding Subject Entities accountable for
their roles and responsibilities, in addition to training
and developing UAE Nationals and supporting
sharing knowledge and leading practices:
• Accountability Reports
• Advisory
• Special Examination
• ADAA Knowledge Centre
5.1 Accountability Reports
ADAA prepares and submits reports to His
Highness the Crown Prince of Abu Dhabi about its
work and carries out other functions, duties and
responsibilities requested by His Highness.
5.2 Advisory
ADAA provides advice to Subject Entities based
on the Subject Entities request and upon approval
of ADAA Chairman. ADAA provides its advice
in accordance with its “Advisory Provision
Methodology” and in light of the information
provided by the Subject Entity.
5.3 Special Examination
ADAA investigates complaints referred to ADAA
and violations discovered when carrying out its
work at Subject Entities and examines violations
investigated by Subject Entities.
The “Special Examination Methodology” was
developed based on best practices and in
accordance with applicable laws and regulations in
the Emirate of Abu Dhabi.
Financial Violation Investigation
ADAA investigates complaints forwarded to it from
His Highness the Crown Prince of Abu Dhabi and
the violations discovered in the course of its work
with the objective of identifying the nature of these
violations and the individuals responsible in order
to hold them accountable.
ADAA may investigate these violations directly or
assign the responsible officer (Compliance Officer)
at the Subject Entity if he/she has not investigated
the same violation before.
Financial Violation Examination
ADAA’s establishment law requires Subject Entities
to immediately notify ADAA upon discovering
any violation or the occurrence of any incident
that resulted in a violation. It also obliges these
Subject Entities to send a copy of the investigation
documents once completed supported by the
investigation records and actions taken within a
maximum period of ten days from the date of its
issuance.
ADAA examines the investigation documents sent
by the Subject Entity to ensure the objectivity of
the investigation and to determine the cause of
the violation with the corrective actions taken by
the Subject Entity to ensure eliminating future
recurrence of the same violations.
5.4 ADAA Knowledge Centre
ADAA developed 4 types of secondary outputs
under this output with the objective of training and
developing UAE Nationals and supporting sharing
knowledge and leading practices:
• Qualifying Emirati Auditors
• Research and Knowledge Sharing
• National and International Representation
• Seminars and Workshops
Qualifying Emirati Auditors
Develop specialized training programs with
the objective of contributing to the training
and development of Emirati Auditors and
assisting them to acquire the necessary skills and
knowledge to advance and excel in their careers.
ADAA developed the “Auditors Development
Program” which was designed as a fast track, all-
encompassing opportunity that takes young Emirati
applicants from entry level Assistant Auditor to a
Chief Auditor over a period of 7 years. Professional
5. SUPPORTING ACCOUNTABILITy

26 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
training programs were developed specifically for
Emiratis in the Accounting and Audit profession
such as the Certified Public Accountant (CPA)
examination preparation course and the Certified
Internal Auditor (CIA) examination preparation
course. ADAA also offers internships on an
annual basis to undergraduates studying to attain
a Bachelor’s Degree in Accountancy, Business
Administration, Economics, or Finance who may
be seeking employment experience and helping
them gain a thorough understanding of the audit
profession and what to expect as a Financial or Risk
Auditor.
Research and Knowledge Sharing
ADAA set up this output with the objective of
creating awareness of best practices implemented
in the public sector and on an international level
as well as developing a local knowledge base and
resources hub that contributes to the development
of government performance.
ADAA launched many research and knowledge
sharing initiatives such as:
Research and Knowledge Management (RKM)
Function: ADAA established this function in 2009
with the objective of developing, codifying and
disseminating knowledge more effectively across all
areas of ADAA’s operations as well as contributing
towards supporting the research and knowledge
needs and capabilities of Subject Entities.
Accounting and Auditing Standards Desk
(AASD): ADAA established the AASD to supervise
issuing technical papers in accounting and
auditing and issues a monthly e-newsletter about
the International Financial Reporting Standards
(IFRS) titled “ADAA IFRS Digest”, a quarterly
bulletin on the International Public Sector
Accounting Standards (IPSAS) and Illustrative IFRS
and IPSAS entity and consolidated and whole
of Government Financial Statements. AASD
publications focus primarily on accounting matters
related to preparation of Subject Entities’ financial
statements, and assist in eliminating inconsistencies
in the interpretations of current accounting
standards.
E-maarifa: In 2010, e-maarifa web portal
was launched with the objective of creating a
knowledge platform across the Government
and Subject Entities that enables participants to
share experience and transmit knowledge more
effectively across common operational functions.
Practice Guides: ADAA identifies best
practices that are internationally recognized and
implemented and issues practice guides for use
throughout the public sector.
National and International Representation
Participate actively in the regulation and supervision
of the accounting and audit profession through
acquiring memberships of various national and
international organizations that promote and
support accountability and transparency and
contribute to the enhancement of laws and
regulations in this area.
ADAA was the first organization in the Middle East
to become a member of the International Forum
of Independent Audit Regulators (IFIAR) and to be
elected to sit on its Advisory Council.
Seminars and Workshops
Organize seminars and workshops for Subject
Entities on matters that complement ADAA’s
primary role and fall within its area of expertise
such as:
Abu Dhabi Technical Forum (ADTF): This Forum
brings together the UAE based accounting and
audit technical professionals of the international
audit firms. Discussions focus on current and
expected problematic accounting treatments.
The aim of the forum is to eliminate the local
inconsistency in application of accounting
standards by building consensus on the
interpretation of accounting standards and the
acceptability (or not) of accounting treatments,
thereby improving the comparability and quality of
financial reporting in Abu Dhabi.
Internal Audit Seminar: This event brings
together the heads of the Internal Audit functions
at Subject Entities to discuss processes, internal
controls, policies, issues and challenges as
well as share knowledge of best practices and
developments.

| 27 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Text

30
33
38
47
56
Part 03
2015 RepoRt & 2016 plAn
1. 2015 Achievements Highlights
2. Output Group 1: Financial Audit
and Examination
3. Output Group 2: Performance
and Risk Assurance
4. Output Group 3: Supporting
Accountability
5. 2016 Work Plan

30 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
1. 2015 ACHIEVEMENTS HIGHLIGHTS
The following is a summary of highlights of
ADAA’s Achievements during 2015:
• Audited the financial statements of the
Government of Abu Dhabi in accordance
with international standards and issued the
independent audit report with “unqualified”
opinion.
• Performed 70 Financial Examinations and
ensured Subject Entities compliance with their
budgets and the requirements of international
standards regarding the issuance of the
financial statements and continued monitoring
the compliance of Subject Entities with
Statutory Auditor Appointment Rules (SAAR).
• Assessed the Internal Audit function of 52
Subject Entities to ensure the efficiency and
effectiveness of Internal Audit activities.
• Reviewed Procurement Functions and issued
22 reports.
• Reviewed services and outputs related to
the licensing of private schools, the THIQA
program, the licensing process by the Media
Zone Authority, the construction of the
Midfield Terminal Building, the minors’ assets
management and the family development.
• Conducted 4 Financial Management
Assessments (FMA) to support and strengthen
the financial management function within
Subject Entities.
• Submitted a number of accountability reports
on important issues, examined and investigated
complaints received or violations discovered and
issued Special Examination reports.
• Participated in the 9th Inspection Workshop
of the IFIAR, held in London, United Kingdom
alongside more than 147 audit inspectors from
around 43 international jurisdictions.
• Hosted the 2015 meeting of the Public Interest
Oversight Board (PIOB) in Abu Dhabi during
March 2015, for the first time in the Middle
East.
• Held workshops for the board of directors
of the government entities and companies
introducing latest best practices in collaboration
with UK Institute of Directors (IoD).
• Participated alongside more than 50 countries
and jurisdictions in the plenary meeting of
the International Forum of Independent Audit
Regulators (IFIAR).
• ADAA’s Chairman participated as a key speaker
in the Future Challenges in Audit Oversight
Seminar in Madrid, Spain - at the invitation
of the Chair of the Public Interest Oversight
Board (PIOB) - alongside other members
of the international audit oversight bodies,
professional institutes and standard setting
boards.
• Hosted the MENA Public Sector Leadership
Summit in collaboration with the International
Federation of Accountants (IFAC), in Abu Dhabi
during November 2015, for the first time in the
Middle East.
• ADAA’s Chairman continued as a member in
the High-Level Advisory Group of IFAC.
• ADAA obtains OHSAS 18001:2007 certification,
demonstrating a recognised occupational,
health and safety management system from the
Lloyd’s Register Quality Assurance.
• ADAA has been awarded the International
Standard Organization (ISO) 20000:2011
Certification in Service Management from the
Lloyd’s Register Quality Assurance.
• ADAA’s Human Resources and Communications
Department, has been awarded the Investors
in People Standard, demonstrating their
commitment to realising the potential of their
people.
• ADAA has been awarded the International
Standard Organization (ISO) 27001:2013
Certification in Information Security
Management Systems from the Lloyd’s Register
Quality Assurance.

| 31 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
• ADAA Knowledge Centre has achieved
recognition as an approved training provider
by the UK Institute of Leadership and
Management.
• Continued monitoring the outputs of “Auditors
Development Program” related to the
training and development of Emirati Auditors
and continued the secondment of Emirati
employees joining the “Auditors Development
Program” to the big audit firms.
• ADAA continued to chair the Abu Dhabi Technical
Forum (ADTF) unifying accounting interpretations
of International Financial Reporting Standards
and International Standards on Auditing between
ADAA, audit firms and accounting and auditing
professionals in the UAE.
• Issued technical papers that addressed complex
accounting matters and helps in unifying
accounting interpretations.
• Continued providing advisory and support to
Subject Entities upon their request and assisted
Subject Entities to build their capabilities in
internal audit.
• Completed research papers, several international
benchmarking studies, surveys, in addition to
continuing the issuance of the monthly Global
Accountability & Transparency Newsletter.
• Enhanced the value of the e-maarifa portal for
sharing knowledge and best practices which
includes 550+ members from 95 Abu Dhabi
Government Entities.
The following table provides an overview about the number of reports issued by ADAA through the Financial
Audit and Examination Group and the Performance and Risk Assurance Group:
Description
Actual Actual Actual Actual Target Actual
2011 2012 2013 2014 2015 2015
Financial Audit and
Examination Group 87 80 82 82 78 78
Performance and Risk
Assurance Group 68 86 80 80 81 81
Total Number of Reports 155 166 162 162 159 159

32 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
The following chart provides the total number of
reports by output during the past 5 years:
Total number of reports by output during the
past 5 years
Further, the following chart provides the total number
of reports for each sector during the past 5 years
Total number of reports by sector during the
past five years
The following chart provides the number of reports
issued by output during the past 5 years amounted to
804 reports:
Number of reports by output during the past
5 years
ADAA reports have covered all public sectors and the
following chart provides the number of reports by
sector for each of the past five years:
Number of reports by sector for each of the past
five years
FE IAFA SOR PR FA FMA
804
total reports
804
total reports
SOE Sub. SOE Infra. & Env. Econo. Devt. Public Admin. Social Devt. Human Capital
2015
2014
2013
2012
2011
2015
2014
2013
2012
2011

| 33 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
2. OUTPUT GROUP 1
FINANCIAL AUDIT AND EXAMINATION
This output group focused on the audit of the financial statements of the Government of Abu Dhabi, and
examination of the financial statements of Subject Entities in accordance with ADAA methodologies.
This group continues to advise Subject Entities how to improve the quality of their financial reporting and
specifically in relation to their financial statements basis of preparation varying according to the Subject Entity’s
operations, with a focus on having all Subject Entities prepare their financial statements using IPSAS accrual
basis of accounting or IFRS based on the nature of their activities. As a result, major changes have occurred as
to the basis of preparation of the financial statements of the Subject Entities since 2009.
The following charts demonstrate the change in Subject Entities and State Owned Enterprises (Government
Companies) financial statements basis of preparation:
The Financial Audit and Examination Group comprise the following outputs:
• Financial Audit
• Financial Examination
• Financial Management Assessment
2.1 Financial Audit
ADAA completed its audit of the financial statements of the Abu Dhabi Government for the year ended 31
December 2014 and issued an unqualified opinion. The financial statements were prepared on a cash basis
in accordance with International Public Sector Accounting Standards (IPSAS). ADAA conducted its financial
statements’ audits in accordance with International Standards on Auditing (ISA).
Subject Entities (excluding SOEs) Financial
Statements Basis of Preparation
State Owned Enterprises “SOEs” (Government
Companies) Financial Statements Basis of Preparation
60
50
40
30
20
10
0
30
25
20
15
10
5
0
25
39
6
17
4
20
1
58
International Standards Other Standards
2008 2015 2008 2015

34 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
2.2 Financial Examination
During 2015, ADAA examined 70 independent audit reports and work of statutory auditors, appointed by
Subject Entities. The financial statements and audits were selected in accordance with the prioritization criteria
developed by ADAA.
ADAA’s Financial Examination Comments Summary
ADAA issues its report upon the completion of the financial statements examinations and sends it to
those charged with governance at Subject Entities and to the statutory auditors for future improvements
implementation and follow up.
The Financial Examinations continue to highlight a number of areas where improvements are required and
they are as follows:
• Financial statements issuance timeliness in
accordance with the relevant Circulars and best
practices.
• Impairment testing of goodwill and intangible
assets in accordance with IFRS.
• Impairment testing of assets if external or
internal indications of impairment exist.
• Recognizing revenue in the financial periods to
which they relate and in accordance with the
requirements of IFRS and best practices in the
relevant sector.
• Depreciating assets over the estimated useful
lives during which these assets are expected to
provide future economic benefits.
• Preparation of consolidated financial statements
in accordance with the requirements of IFRS.
• Accounting treatment for finance and
operating lease arrangements.
• Execution of annual budget in accordance with
applicable laws and regulations.
• Recognition of all assets used by entities to
generate revenue in their financial statements.
• Recognition of all assets related to projects and
capital initiatives.
• Recognition of transactions with the owners
in their capacity as owners in the owners’
equity statement in the financial statements in
accordance with guidance provided by IFRS.
• Presentation of government contributions in
the financial statements in accordance with
approved operational budgets and received
contributions.
• Issuance of financial statements in Arabic
language in accordance with the relevant
decrees.
• Estimation of the fair value of investment
properties in accordance with the requirements
of IFRS.
• Payment of annual bonuses and incentives for
employees in accordance with the relevant
resolutions issued.
• Assessing the recoverability of financial facilities
and loans.
• Consistency between cash generated from
operating activities with profits recognised
in the income statements taking into
consideration IFRS requirements.
• Recognition of foreign investments’ results of
operations in accordance with the requirements
of IFRS.
• Presentation of the comparison between
budget and actual spending in the financial
statements in accordance with the relevant
resolutions issued.
• Validity of amounts recorded as due from the
Government of Abu Dhabi in the statement of
financial position.
• Limiting the statutory auditor’s liability towards
third party in the engagement letter of the
audit engagement, which is not in accordance
with the requirements of the relevant laws.
• Management’s reliance on statutory auditors for
financial reporting and accounting matters.
• Applying the second edition of SAAR issued in
September 2014.

| 35 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Analysis of Financial Examination Comments
ADAA’s comments in the Financial Examination report are classified into “Significant improvement required”,
“Needs improvement” and “Needs improvement - Specific exception noted” based on their nature and
significance to the financial statements of Subject Entities and the Statutory Auditor’s audit process.
ADAA’s financial examination reports included 1,137 comments in 2015 classified as follows:
Significant improvement required
458 comments in 2015 were classified into this category. These comments require the immediate focus of the
Subject Entities’ management and their statutory auditors since in our judgement they have a significant effect
on the financial statements of the Subject Entities.
Needs improvement
The majority of our 548 comments in this category focus on audit quality resulting from incomplete
documentation of audit procedures performed. If such procedures were performed, as entailed in the
International Standards on Auditing or other applicable standards, a potential adjustment to the Subject
Entities’ financial statements might have been noted.
• Active participation of the UAE national
audit team member in all stages of the audit
engagement.
• The statutory auditor commitment to the
number of work hours provided in their audit
proposal.
• The extent of the statutory auditor’s
independence in mind and in appearance from
any of the parties that have an interest in the
financial statements in accordance with the
SAAR.
• Communication by the statutory auditors with
those charged with governance throughout
the audit phases in accordance with the
International Standards on Auditing.
• Audit procedures performed by the statutory
auditor on the following matters:
- Assess the ability to continue as a going
concern for some entities.
- Ensure the validity of assumptions, including
the discount rate used in the preparation
of the estimated cash flows in investments
valuation and calculating the fair value of
assets.
- Test the existence and completeness of
revenue and incorrect presentation of
government grants and funding.
- Involvement of independent quality review
partner.
- Sufficiency of work performed by IT audit
specialists.
- Fraud risk assessment procedures.
- Test and rely on the internal controls and
understand the work of internal auditors.
- Compliance with relevant laws and
regulations.
- Group Audits and related parties transactions.
All examination comments are set out in detail in
the examination reports sent to Subject Entities
for implementation and improvement in the
future. These reports include the responses and
explanations provided by the statutory auditors
and ADAA’s final conclusions and views on each
examination comment.

36 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Needs improvement – Specific exception noted
131 comments in 2015 were raised highlighting specific exceptions to the financial statements audit process
and/or the management’s financial statements closing process. Had these exceptions been noted during
the audit process, they might have resulted in an adjustment to the nature and extent of audit procedures
performed and/or the financial statements of the Subject Entities.
Generally, these comments related to areas including, but not limited to, specific accounting treatments
resulting from incorrect application of IFRS or IPSAS, financial statements presentation and disclosures, and
insufficient audit procedures in areas affecting various captions of the financial statements such as inventories,
related parties, estimates and fair values and communication with those charged with governance.
Classification of Financial Examination (1,137 comments)
Below is an analysis of independent audit reports examined by ADAA in 2015, comments raised and their
respective classification (excluding 318 comments addressed only to Subject Entities):
458 548 131 1,137
comments
Statutory Auditor
Number
of reports
examined
Comments classification
Total
comments Significant
improvement
required
Needs
improvement
Needs
improvement
- Specific
exception
needed
Firm 1 27 89 189 49 327
Firm 2 17 53 94 31 178
Firm 3 15 64 81 25 170
Firm 4 9 36 64 15 115
Firm 5 2 11 10 8 29
Grand Total 70 253 438 128 819

| 37 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Implementation of SAAR
The objectives of SAAR are to regulate the process of
appointing the statutory auditors across all Subject
Entities, which includes all Abu Dhabi Government
public entities and state owned enterprises, and
to ensure that the statutory auditors fulfil their
professional duties in accordance with the highest
standards of quality and performance. The SAAR
also aims at developing the skills and expertise of the
UAE Nationals in the audit and accounting fields by
requiring statutory auditors of the Subject Entities to
include, as a minimum, one UAE National in the audit
team.
During 2015, ADAA continued monitoring the
Subject Entities implementation of SAAR. ADAA’s
Financial Examination reports included 75 comments
related to the application of statutory auditors’
appointment and re-appointment procedures.
The second edition of SAAR was issued in September
2014. According to the SAAR, Subject Entities
shall appoint statutory auditors through circulating
requests for audit services’ proposals to at least
four statutory auditors. Statutory auditors may be
reappointed for additional periods, up to a maximum
of three consecutive years, subject to an annual
evaluation by the Subject Entity on the quality of
audit services provided and the competence of the
audit team while taking into consideration comments
raised by ADAA.
Statutory auditors cannot be retained for a period
exceeding four consecutive years, and Subject Entities
can only appoint the same statutory auditor or the
audit engagement partner after a cool off period of
four years from the date of the last audit services
provided by either of them.
2.3 Financial Management Assessment
In 2015, ADAA conducted “Financial Management
Assessments (FMAs)” in 4 different Subject Entities
reviewing their financial capabilities, processes and
assisting them in enhancing and strengthening
their finance functions and financial management
processes.
After conducting the 4 FMAs, ADAA found that
financial management at the 4 Subject Entities were
at an “Emerging” stage based on the assessment
methodology followed by ADAA.

38 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
3. OUTPUT GROUP 2
PERFORMANCE AND RISK ASSURANCE
This output group provides assurance on the efficient, effective and economic utilization of resources by
Subject Entities and its compliance with the laws and regulations and governance guidelines.
ADAA has aimed through this group to enhance governance practices at Subject Entities since its
establishment; ADAA has thus urged and supported Subject Entities in establishing Audit Committees and
Internal Audit Functions.
The following chart demonstrates the development of Audit Committees and Internal Audit functions within
Subject Entities:
Number of Audit Committees and Internal Audit functions
The Performance and Risk Assurance Group comprise the following outputs:
• Internal Audit Function Assessment
• Procurement Review
• Service and Output Review
3.1 Internal Audit Function Assessment
During 2015, ADAA issued 52 Internal Audit Function Assessment reports with the purpose of identifying
gaps in performance, in addition to areas for improvement to bring the internal audit role at Subject Entities to
meet benchmark practices. Another key objective from these assessments is to obtain assurance on the role of
the Internal Audit Functions in highlighting areas of risk exposure at Subject Entities.
Internal Audit Functions were assessed on a series of 6 elements: Independence and Objectivity, Organization
& Emiratization, Methodology, Operation, Technology, and Value.
60
50
40
30
20
10
0
8
54
2015
Pre 2008
Audit Committees
52
18
Internal Audit Functions

| 39 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Pass
No Pass
33 19
Internal Audit Function Assessment Reports Summary
During 2015, ADAA issued 1,618 recommendations to improve the Subject Entities’ control environment and
for the enhancement of the governance structure.
In line with ADAA methodology, the final results of those assessments of the Internal Audit Functions at
Subject Entities were presented, when requested, to the Audit Committees.
The figure below recaps the distribution of recommendations by each of the element:
Number of recommendations by element
Out of 52 Subject Entities, 19 met pass requirements based on the criteria established by ADAA, while 33 did
not.
The following figure shows the results of the internal audit function assessment conducted in 2015:
Results of the Internal Audit Function Assessments
Value 198
Technology 85
Operations 550
Methodology 93
Organization & Emiratization 410
Independence & Objectivity 282
0 100 50 150 200 250 300 350 400 450 500 550 600
52
Subject Entities

40 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
3.2 Procurement Reviews
During 2015, ADAA reviewed capital and operational procurement at Subject Entities and issued 22 reports.
Procurement activities were reviewed to ensure the existence of an approved Procurement Regulatory
Framework at Subject Entities (i.e. the existence of approved policies and procedures) and comparing it
with best practices, and to consequently measure the compliance of the Subject Entities with the approved
regulatory framework.
These procurement reviews identified observations that were rated as “High” or “Medium” Risk. The
following chart illustrates the classification of observations within the three elements of a procurement review:
Classification of Procurement Review Observations (1,139 observations)
The observations noted through the procurement reviews included a number of non-compliance incidents for
which appropriate recommendations were issued, and the responsible individuals were held accountable and
disciplinary actions were taken against them for those incidents that involved disciplinary violations.
3.3 Services and Output Review
The Service and Output Review deliverables during 2015 were related to various sectors and covered reviews
of activities, operations, business regulations, policies and procedures and best practices implemented upon
the provision of their services and outputs.
Below are summaries of the Service and Output Reviews that were conducted in 2015 with a brief description
of the scope of those reviews and of the recommendations made by ADAA:
480
400
320
240
160
80
0
185
214 237
42
0
Medium Risk
High Risk
Procurement Regulatory
Framework
Procurement and
Contracting Practices
Record Keeping and
Reporting
461

| 41 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Private Schools Licensing Review
ADAA conducted a review of the services and outputs of Private Schools licensing in order to verify that:
• An approved governance system to provide services and outputs related to Private Schools licensing is in
place and is aligned with best practices.
• Assess and review the extent of compliance with the implemented governance system, and the efficiency,
effectiveness and economic practices through which the services and outputs of Private Schools licensing are
provided, and their alignment with related best practices.
ADAA’s recommendations included the following:
1. Review the “Organising the regulation of Private Schools in the Emirate of Abu Dhabi”, and
revise appropriate articles and clauses to address identified gaps and incorporate them into
a revised draft of the regulations and obtain the required approvals.
2. Review the licensing approach and make appropriate updates required to ensure that the
licensing regime is practical and effective.
3. Coordinate and work closely with the concerned entities to assess whether all students in
age of attending school are doing so.
4. Develop Standard Operating Procedures for all operational activities and correctly identify
and link interdependencies with the other concerned sectors.
5. Develop a comprehensive Conflict of Interest statement and a template for declaring
potential conflicts, and oblige the third party inspection contractors to ensure that all
inspectors read the Conflict of Interest statement and complete the template prior to
conduct inspections.
6. Ensure that Private School comply with all regulations before being issued a General
Operating License.
7. Update the inspection and monitoring practices related to setting a minimum and
maximum notification period for inspection, reduce the maximum notification period before
inspection and review whether the added value of the pre-inspection briefing outweighs
the preparation time of how to hide performance shortfalls.

42 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
UAE Nationals Health Insurance Scheme
ADAA conducted a review of the services and outputs related to provision of the UAE Nationals health
insurance scheme (THIQA program) in order to ensure that:
• An approved governance system to provide services and outputs related to the THIQA Program is in place
and aligned with best practices.
• Assess and review the extent of compliance with the implemented governance system, and the efficiency,
effectiveness and economic practices through which the services and outputs of the THIQA Program are
provided, and their alignment with related best practices.
ADAA’s recommendations included the following:
1. Implement the necessary course of action to limit the increase in Government spending on
health through monitoring closely and consistently the costs of the THIQA Program and
querying its incremental trends, to undertake the necessary actions to control these costs,
identifying the root causes behind the increase in the use of the THIQA insurance cards and
address any non-compliances with the purpose of the THIQA Program.
2. Revise the current mechanism implemented to define the tariffs for the services covered
by the THIQA Program to ensure that they are based on the actual costs of the provided
services and on criteria established to evolve the quality and availability of the Program in a
financially sustainable manner.
3. Improve the quality of the financial reporting in relation to Government Spending on health
services.
4. Implement the necessary measures to prevent any health insurance company from
providing any health insurance program whose benefits represent partial or full duplication
with those provided under THIQA program.
5. Establish the necessary mechanisms to ensure that all the Program’s beneficiaries are bona
fide in line with the stipulations of Resolution no. (83) of 2007, and instil the adequate
procedures to govern the issuance and renewal of the THIQA cards.

| 43 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Media Zone Licensing Review
ADAA conducted a review of the services and outputs of the licenses of the Media Zone’s operating entities
in order to verify that:
• An approved governance system to provide services and outputs related to licensing Media Zone’s operating
entities is in place and is aligned with best practices.
• Assess and review the extent of compliance with the implemented governance system, and the efficiency,
effectiveness and economic practices through which the services and outputs of licensing Media Zone’s
operating entities are provided, and their alignment with related best practices.
ADAA’s recommendations included the following:
1. Segregate the regulatory mandate from operational activities.
2. Define the geographical location and boundaries of the Media Free Zone and obtain the
necessary resolutions.
3. Develop and implement a comprehensive plan for the automation of the activities and tasks to
facilitate the related procedures and to enhance the accuracy and completeness of information
and data.
4. Revise the implemented incentives and investment mechanisms through the development of a
comprehensive and detailed approach that depicts the different types of incentives that may be
granted, along with the detailed conditions to be met by the entities candidate for investment
or incentives, in a manner to link the provided incentives with the expected performance of such
entities.
5. Identify all inactive entities and follow-up periodically on their status to ensure they are changed
in line with the applicable regulations and take the necessary actions required by the governing
regulations.
6. Perform a comprehensive analysis of the registration and licensing fees in addition to the capital
requirements and benchmark against leading practices including those applies by other Media
Zones within the United Arab Emirates.

44 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Midfield Terminal Building Project Review
ADAA conducted a review of Midfield Terminal Building Project review in order to ensure that:
• An approved governance system to provide services and outputs related to the Midfield Terminal Building
Project is in place and aligned with best practices.
• Assess and review the extent of compliance with the implemented governance system, and the efficiency,
effectiveness and economic practices through which the services and outputs of the program for the
Midfield Terminal Building Project are provided, and their alignment with related best practices.
ADAA’s recommendations included the following:
1. Identify all required critical decisions that will impact the planned opening date and ensure that
a proper system is in place to discuss and evaluate the decisions, inputs of all related functions,
costs and challenges.
2. Ensure that an updated and relevant Program Management Plan (given that significant work
has been completed) is in place including the program organisation structure, responsibilities,
objectives, expectations, risks and challenges.
3. Conduct comprehensive project planning, using the following steps (as a guide) to help
determine realistic dates for completing the Midfield Terminal Building Project:
• Review the current project status by reviewing the outstanding design issues, Requests for
Information, and any other construction-related issues and claims.
• All potential changes currently under review should be identified, such as stakeholder
requested scope changes and the potential early release of Piers.
4. Establish a Contract Administrator position independent from the program manager with
administrative authority to ensure active management and resolution of all contractual issues.
5. Develop an assessment of the risks associated with the revised schedule and ensure that
concerned leadership accepts these risks before approving.
6. Perform a thorough assessment of the near misses to understand the causes and trends, and put
in place controls and training to significantly reduce these incidents from occurring.
7. Ensure that comprehensive manpower planning is conducted and relevant strategy and plans
(both recruitment and training) are prepared and approved in a timely manner.

| 45 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Minors’ Assets Management Review
ADAA conducted a review of the service and outputs related to the Minors’ Assets Management in order to
ensure that:
• An approved governance system to provide the services and outputs related to Minors’ Assets Management
is in place and is aligned with best practices.
• Assess and review the extent of compliance with the implemented governance system, and the efficiency,
effectiveness and economic practices through which the services and outputs related to Minors’ Assets
Management are provided, and their alignment with related best practices.
ADAA’s recommendations included the following:
1. Develop an investment policy related to the management of the minors’ assets and funds,
in addition to the other necessary policies.
2. Define and implement procedures to identify and manage instances of conflict of interest.
3. Establish Service Level Agreements with the parties contracted to manage the real estate
portfolio to ensure that the necessary updated information is available.
4. Identify all the instances of discrepancies between rental values related to similar units
owned by beneficiaries, study the reasons of such discrepancies and take necessary remedy
actions.
5. Identify of all industrial plots to determine the ones that are not rented out, update its
information regularly and perform studies on vacant plots for a specific period of time.
6. Perform a comprehensive analysis of units requiring maintenance and demolition to
establish priorities for the necessary actions based on the status of those units, in addition
to identifying the sources of funding for the required course of action.
7. Establish formal agreements and memoranda of understanding with the concerned parties
in the UAE to identify assets and investments outside the United Arab Emirates.

46 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Family Development Service and Outputs Review
ADAA conducted a review of the service and outputs of the Family Development in order to ensure that:
• An approved governance system to provide services and outputs related to family development is in place
and aligned with best practices.
• Assess and review the extent of compliance with the implemented governance system, and the efficiency,
effectiveness and economic practices through which the services and outputs related to the Family
Development are provided, and their alignment with related best practices.
ADAA’s recommendations included the following:
1. Develop a 5 year strategy to align with the new Abu Dhabi Emirate plan.
2. Assess current human capital capabilities to identify current and future needs including new
specialized roles.
3. Refocus and re-energize program portfolio to align with the new Abu Dhabi Emirate Plan.
4. Prioritize partners by planned programs and services to be rendered, and establish service
level agreements with strategic partners.
5. Establish a comprehensive channel strategy based on beneficiaries’ needs and preferences,
and planned programs and services to be rendered.
6. Upgrade and integrate program KPIs in portfolio decision making, and develop KPIs to
measure the results of the programs. For government KPIs, agree on baseline, targets,
owners and methodology for measurement.

| 47 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
4. OUTPUT GROUP 3
SUPPORTING ACCOUNTABILITy
This output group provides the necessary support to hold Subject Entities accountable for their roles and
responsibilities and fulfilling them in addition to training and developing UAE Nationals and supporting
sharing knowledge and leading practices.
The Supporting Accountability Group comprises the following outputs:
• Accountability Reports
• Advisory
• Special Examination
• ADAA Knowledge Centre
4.1 Accountability Reports
In 2015, a number of reports were issued under this output on matters related to ADAA’s work; among these
important reports are the reports submitted to His Highness the Crown Prince under this output such as the
Audit Report on the Consolidated Financial Statements of the Government of Abu Dhabi, the Accountability
Report that ADAA completes in the first quarter of each year and the report showing the results of financial
examination reports issued on SOEs.
4.2 Advisory
ADAA provides advice, in the areas that fall within its expertise and do not conflict with its independence,
upon receiving requests from Subject Entities and after the approval of the Chairman of ADAA. Below are
examples of such advisory work provided during 2015:
Accounting Technical Advice
ADAA publishes accounting technical papers to provide guidance to Subject Entities on particular topics. These
papers contributed to the improvement of both the quality and consistency of International Financial Reporting
Standards (IFRS) and International Public Sector Accounting Standards (IPSAS) reporting and understanding.
To date technical papers have been published covering: Leases, Fair Value Measurement, Investment Property,
IFRS Disclosures, Investment Entities, Related Party Disclosures and Depreciation.
Internal Audit Function Establishment support
ADAA provided guidance, tools, methodology and advice to support a smooth and effective establishment of
the Internal Audit role at a number of Subject Entities.
In 2015, ADAA completed 9 installations of the e-Governance Portal along with the necessary training
required and setting the methodology.

48 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
4.3 Special Examination
In 2015, ADAA received 7 anti-corruption complaints and 12 violations that were examined as per the “Special
Examination Methodology” outlined by ADAA.
Based upon the investigations conducted by ADAA in 2015, it was noted that some cases were referred to the
relevant public prosecutor office to take the necessary action as related violations indicated the existence of a
suspected punitive crime.
All examinations conducted by ADAA during the year were generally identified as violations related to the
following:
• Abuse of power and conflict of interest.
• Violation of procurement laws, regulations and procedures.
• Mismanagement and negligence in managing public money.
• Breaching code of conduct.
• Imprest embezzlement.
It is worth indicating that during 2015, ADAA continued to receive suspected financial violations and the
violations that were examined by the subject entities in light of the directives issued by His Highness the Crown
Prince of Abu Dhabi for the creation of an anti-corruption unit within ADAA with the role of investigating all
financial and administrative irregularities and instances of corruption. Under the directives, ADAA shall draft
the appropriate legislations to enable performing this critical role in accordance with the legal system of the
Emirate and to serve the public interest.
Below is a summary of some of ADAA’s examinations and investigations conducted during the year:
Case 1:
The case could be summarized in what was
attributed to a director of human resources
in one of the government entities who had
contracted with a recruitment agency to occupy
the entity’s vacant positions some of which
are outside the approved entity’s organization
structure, based on the sole delegation of the
entity’s Director General, while overriding the
normal chain of authorities within the entity.
Moreover, a conflict of interest was noted
between the government entity and the Director
General as a result of having business relationship
between the government entity and an advisory
company owned by him which has been
introduced to the government entity through
the same recruitment agency. The investigation
concluded the responsibility of the mentioned
key persons and recommended the disciplinary
actions in accordance with the applicable rules
at the entity. This led to the termination of the
Director General and the retribution of the
director of human resources.
Case 2:
The case could be summarized in what has been
referred to Public Prosecution concerning an
official whose responsibility is cash collections
in one of the government entities, whereas he
received sums of money of more than three
and a half million dirhams from the entity’s
customers against payment receipts which have
not been recorded in the entity’s records, while
the sums have been concealed and embezzled by
himself. This scheme has occurred as a result of
weaknesses in the internal controls of the entity.

| 49 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
4.4.1 Qualifying Emirati Auditors
ADAA further developed specialized training programs with the objective of contributing to the training and
development of Emirati Auditors and assisting them to acquire the necessary skills and knowledge in order
to advance and excel in their careers. ADAA is managing the “Auditors Development Program” which is
designed as a fast track, all-encompassing opportunity that takes young Emirati applicants from entry level
Assistant Auditor to a Chief Auditor over a period of 7 years.
The below figure demonstrates the career path under the “Auditors Development Program”:
Optimum progression within ADAA
In 2015, ADAA recruited 11 Emirati graduates into the program that included on-the-job training,
secondments to the big 4 audit firms as well as simultaneously offering professional certifications in the
accounting and audit profession such as the Certified Public Accountant (CPA) and the Certified Internal
Auditor (CIA). To help facilitate this development, ADAA has a full time lecturer that provides preparation
courses in these subjects which has already proven beneficial with the Emirati Graduates obtaining a number
of passes in various examinations.
4.4 ADAA Knowledge Centre
ADAA created an integrated approach to establishing this output group to fulfil its objective of training and
developing UAE nationals and supporting sharing knowledge and leading practices.
The outputs defined under this group are:
• Qualifying Emirati Auditors
• Research and Knowledge Sharing
• National and International Representation
• Seminars and Workshops
ADAA Further defined and enhanced our offerings under this output group and to further pursue its objective
of training and developing UAE Nationals in Accounting and Audit related activity.
Position within ADAA
years in service
Auditor
Assistant Auditor
Senior Auditor
Executive
Auditor
Chief
Auditor
* Must at this stage hold a professional certification for advancement to Chief Auditor, i.e., CPA/CIA.

50 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
4.4.2 Research and Knowledge Sharing
The twenty first century is driven by knowledge economies. Developing, capturing and sharing knowledge is
going to be critical for the success of any organization. With this objective, ADAA has established a range of
capabilities that will help institutionalize creation and dissemination of knowledge not only to professionals
within ADAA but also to professionals across the Abu Dhabi Government.
Key initiatives that have been launched by ADAA with this objective are:
The Research and Knowledge Management function
ADAA’s outputs are informed by global trends, benchmarks and research across a range of topics. ADAA’s
Research and Knowledge Management function focuses on bringing insights across a wide variety of
industries, functions and topics to keep our professionals up to date on the latest developments and best
practices. The Research and Knowledge Management team has, this year, delivered multiple research outputs
on topics ranging from the structure and role of anti-corruption agencies, to benchmarking public health
insurance practices, licensing practices in the media free zones and education sectors, learnings from mega
construction projects such as airports and museums and reporting service performance across entities.
The team continued to publish a monthly newsletter which focuses on key issues in accountability and
transparency being highlighted globally.
Accounting and Auditing Standards Desk (AASD)
ADAA seeks to contribute to improve the quality of financial reporting for Abu Dhabi Government Business
Enterprises and the Public Sector through the issuing of publications and comment letters which highlight best
practice in accounting, financial reporting and governance matters.
ADAA issues an IFRS Digest, an IPSAS Bulletin and an Audit Committee Update. The publications feature
ADAA’s hot accounting and financial reporting topics, what is new from the IASB, the IPSASB and the
accounting profession.
ADAA publishes illustrative consolidated and entity financial statements for IFRS and IPSAS reporters which
includes guidance on Management Commentary and Reporting Service Performance.
The AASD provides comment letters to the IPSASB on their exposure drafts of new international public sector
accounting standards and international financial reporting guidelines. The comment letters are published on
the IPSASB’s and IASB’s websites.
E-maarifa
In today’s knowledge driven economy, it is essential to bring together communities of interest and ensure
more effective and timely sharing of insights and information. E-maarifa is an online community of like-
minded professionals within the Abu Dhabi Government with a common interest and the desire to share their
knowledge, expertise and best practices with a broader group of colleagues. This platform allows Abu Dhabi
Government employees to share their knowledge and best practices across government entities and benefit
from the rich repository of expert views, insights and documents available elsewhere within the Government.
The Internal Audit Community on e-maarifa is one such community which now connects 550+ Internal Audit
professionals across 95 Abu Dhabi Government entities.

| 51 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
4.4.3 National and International Representation
ADAA continued to put in efforts to explore new opportunities that contribute to enhancing accountability
and transparency across the Government and the implementation of best practices.
International Forum of Independent Audit Regulators
ADAA became the first organization in the Middle East and North Africa to acquire membership of the
International Forum of Independent Audit Regulators (IFIAR) in early 2009 and to host the IFIAR Plenary
Meeting in Abu Dhabi in 2010.
During 2015, ADAA participated in the Plenary Meeting of the IFIAR, held in Taipei, Republic of China
(Taiwan) over the period from 20 to 23 April 2015. The highlights of the meeting this year were around
the announcement of the new IFIAR Chair Mrs. Janine Van Diggelen, Head of Audit Firm Oversight at the
Netherlands Authority for the Financial Markets (AFM) and the election of Mr. Brian Hunt the Chief Executive
Officer of the Canadian Public Accountability Board (CPAB) as IFIAR Vice-Chair for a two-year term with
immediate effect. Additional members were elected to the IFIAR Advisory Council from Germany, Japan and
the United States of America.
The meeting also covered many topics including the agreement on the Officers’ Work Plan for 2015 – 2017
which emphasizes increased public outreach and enhanced cooperation among IFIAR Members. In addition,
Members agreed with the principle to adopt a governing board structure to lead IFIAR in the future.
IFIAR 9th Inspection Workshop
During the year, ADAA also participated in the 9th Inspection Workshop of the International Forum of
Independent Audit Regulators (IFIAR), held in London, United Kingdom alongside more than 147 audit
inspectors from around 43 international jurisdictions.
Inspection workshops were organised to enable independent audit regulators meet and discuss inspections
processes, learn and leverage from each other, and consider similarities and differences among their practices
and methodologies. ADAA participation in the inspection workshops comes as part of its activities as a
member of the Inspection Workshops Working Group (IWWG) alongside other IFIAR Members from France,
Germany, Japan, Luxembourg, South Africa, Switzerland, UK and USA.
The Workshop sessions discussed a number of key issues and challenges faced by the world audit regulators
including the audit quality measurers, key considerations in the design and development of audit inspection
regimes, fair value measurement and how to challenge audits of impairment tests.
During the Workshop, IFIAR issued its third Inspection Findings Survey which summarized key inspection
results from audits of public companies, including systemically important financial institutions, identified by
IFIAR Members in their individual inspections of audit firms in their jurisdictions, including in particular those
affiliated with large, international audit firm networks. The Survey reflected continued deficiencies in key areas
of audit, and expressed concerns about the implications of the findings for audit quality.
The survey resulted in 1,210 total findings in inspected audits of 948 listed public interest entities, or public
companies, and highlighted the following deficiencies:
1. Auditing fair value measurements accounted for 17 percent of total findings;
2. 15 percent of the findings relates to internal control testing; and
3. Revenue Recognition accounted for 9.5 percent of the findings.

52 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
Public interest is a key concern to Abu Dhabi Accountability
Authority, whereby our main objective is to enhance and
promote transparency and accountability through ensuring
that public entities operations are conducted in a way to
serve the public interest.
ADAA’s Chairman in his inaugural speech at the Public Interest International Forum
We are grateful to Abu Dhabi Accountability Authority for
providing the opportunity of gathering the Profession and
the regulators in the Gulf area and getting to understand
their concerns, their difficulties, their initiatives.
PIOB Chair in the Public Interest International Forum
Public Interest Oversight Board Meeting
In March 2015, ADAA hosted the annual meeting of the Public Interest Oversight Board (PIOB), which is held
in the Middle East for the first time.
The PIOB is the global independent oversight body that seeks to improve the quality and public interest focus
of the international standards formulated by the Standard Setting Boards supported by the International
Federation of Accountants in the areas of audit, assurance, education and ethics. Through its oversight
activities, the PIOB works to bring greater transparency and integrity to the audit profession, thereby
contributing to the enhanced quality of international financial reporting.
To mark this occasion, ADAA and PIOB organised the Public Interest International Forum in Abu Dhabi on
23 March 2015. During the Forum, prominent speakers from the international, regional and local levels,
representing the accounting and auditing profession presented a number of crucial topics covering challenges
and concerns of the practitioners and regulators of the profession, the relationship between external auditors
and financial sector regulators and the interface between internal and external auditors.
The Forum was attended by PIOB board members, leadership of the International Federation of Accountants
and more than 150 professionals from the accounting and auditing profession from International, regional and
local bodies such as the IAASB, IESBA, ICAEW, SOCPA, UAE AAA, etc, in addition to representatives from the
regional and local audit firms and accounting professionals from the UAE’s public sector.

| 53 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
In the wake of the financial crisis, International Financial
Reporting Standards were heavily criticized and several
remedial solutions were recommended to fix the problem
without adequate diagnosis nor proper root-cause analysis
to the crisis. These solutions were proposed by “intruders”
from outside the profession.
ADAA’s Chairman in his inaugural speech of the MENA
Public Sector Leadership Summit
ADAA and PIOB share a common goal, where both are
dedicated to promote transparency and accountability for
the sake of public interest.
ADAA’s Chairman in the Future Challenges in Audit Oversight Seminar
Future Challenges in Audit Oversight Seminar
In September 2015, ADAA’s Chairman participated as a key speaker in the Future Challenges in Audit
Oversight Seminar in Madrid, Spain – at the invitation of the Chair of the Public Interest Oversight Board
(PIOB). The Seminar was held under the auspices of the Public Interest Oversight Board (PIOB), to mark the
PIOB’s 10th anniversary.
During the Seminar, leaders of the international audit oversight bodies, professional institutes and standard
setting boards exchanged views on the future challenges within the accounting profession and how best to
protect the public interest in standard development in the fields of audit and assurance, ethics and education
for accountants.
MENA Public Sector Leadership Summit
In November 2015, ADAA hosted the MENA Public Sector Leadership Summit in collaboration with the
International Federation of Accountants (IFAC), in Abu Dhabi, for the first time in the Middle East.
The Summit is organised as part of the “Accountability. Now.” Campaign, initiated by the IFAC, to promote
high-quality public financial information as the foundation of informed decision-making, better public financial
management, and greater accountability.
The Summit was attended by regional policymakers and notable international figures with extensive
experience of a range of complex issues that impact governments’ ability to effectively and efficiently deliver
high-quality public services. In addition to local and international experts that explored regional economic
challenges and the role public financial management reform plays in supporting economic development.

54 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
4.4.4 International Certifications
ADAA continued pursuing international certifications in order to ensure continuous application of best
practices and recognised professional standards.
Institute of Leadership and Management
During 2015, the UK Institute of Leadership and Management (ILM) recognises ADAA as an approved ILM
training provider.
The ILM is Europe’s largest independent organisation that focuses on leadership and management
development and is responsible for developing the leadership skills of over 95,000 managers every year around
the world.
This achievement was obtained as part of ADAA ongoing enhancements to its services and belief that
leadership development has positive impact on every aspect of a business, from improving performance to
increased innovation and efficiency. This also acts as a catalyst to attracting and retaining top talent within
ADAA.
ADAA is the first local Government entity to obtain this recognition in Abu Dhabi.
With this prestigious global recognition ADAA will be able to strengthen training programs and further
enhance the development of all staff in accordance with global standards.
ISO 20000:2011 Certification
ADAA has been awarded the International Standard Organization (ISO) 20000:2011 Certification from the
Lloyd’s Register Quality Assurance.
ISO 20000:2011 details requirements to plan, establish, implement, operate, monitor, review, maintain
and improve a Service Management System. The requirements include the design, transition, delivery and
improvement of services to fulfil agreed service requirements.
It is a great achievement to receive such a reputable certificate that recognises that ADAA has comprehensive
set of policies and procedures in order to manage its IT operations and services to achieve highest level of
ADAA employees’ satisfaction.
ISO 27001:2013 Certification
ADAA has been awarded the International Standard Organization (ISO) 27001:2013 Certification from the
Lloyd’s Register Quality Assurance. ISO 27001:2013 recognizes that ADAA has comprehensive information
security controls in order to protect its IT infrastructure.
Many countries require private sector organizations to
prepare financial statements, and have them audited,
in accordance with rigorous international standards.
Remarkably, similar requirements do not apply to the public
sector and we need to change that.
IFAC’s CEO in the MENA Public Sector Leadership Summit

| 55 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
This certification is awarded only to those organizations that demonstrate that they meet the highest
information security standards as judged by an independent and accredited team of auditors. ADAA
recognizes that establishing an information security program based on an international standard is of utmost
importance.
OHSAS 18001:2007 certification
OHSAS 18001:2007 is an internationally recognized occupational, health and safety management system
series standard which enables ADAA to promote a safe and healthy working environment by providing a
framework that helps us to:
Identify and control health and safety risks
Reduce the potential for accidents
Aid legal compliance
Improve overall performance
Investors in People
ADAA’s Human Resources and Communications Department, has been awarded the Investors in People
Standard, demonstrating their commitment to realising the potential of their people. Investors in People is
the UK’s leading accreditation for business improvement through people management, and demonstrates our
commitment to providing best practices in people management.
Undergoing the evaluation process has enabled us to focus and improve on ten core areas, involving people
management namely: Business Strategy, Learning and Development Strategy, People Management Strategy,
leadership and Management strategy, Management Effectiveness, Recognition and Reward, Involvement and
Empowerment, Learning and Development, Performance Measurement, and continuous improvement.
Attending the UAE National Student Forum in the United States of America.
For the fourth year in succession the ADAA attended the UAE National Student Forum in Washington DC.
This is an event hosted by the UAE Embassy in the United States of America for UAE National student’s
resident there. It provides an opportunity for them to become familiar with potential employers. This exposure
enables us to explain not only the role of ADAA but also of the Auditor Development Program.
4.4.5 Seminars and Workshops
ADAA conducted workshops and seminars for Subject Entities and the public on matters that complement its
primary role and that fall within its area of expertise.
ADAA held workshops for the board of directors of the government entities and companies introducing latest
best practices in collaboration with UK Institute of Directors (IoD). In addition, ADAA’s Head of Accounting
and Auditing Standards Desk (AASD) chairs Abu Dhabi Technical Forum (ADTF), comprising ADAA and the
accounting and audit technical partners of the audit firms.
The ADTF has met 34 times since inception in 2010 and reviewed more than 200 accounting technical
papers covering topics such as impairment, fair value, goodwill, service concession assets, asset recognition,
depreciation, principal and agent, government contributions, related parties identification and disclosure,
selection and application of accounting policies, disclosure of sources of estimation uncertainty, common
control transactions, leases, provisions, investment property, onerous contracts, and professional accountants’
code of ethics.

56 | ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016
5. 2016 WORKPLAN
Below are some of the highlights of ADAA’s 2016 annual plan:
Design regulatory framework for transparency and accountability within the Government
which determines the general principles and responsibilities for preventing financial
and administrative misconduct, avert its risks, detect it, resolve its root causes and hold
perpetrators accountable. The framework combines both government audit and financial and
administrative anti-corruption.
Develop the required legislation to implement the regulatory framework, and develop the
bylaws, regulations and standards derived from this legislation.
Conduct a review over ADAA outputs, develop them and prepare the methodologies required
to deliver these outputs.
Review and update ADAA strategy and work plan in light of the above.
Audit the financial statements of the Government of Abu Dhabi in accordance with
International Standards and issue the audit report within the time frame specified in the
Financial Management Law.
Conduct examinations of the financial statements of Subject Entities and enhance and unify
Subject Entities’ financial statements basis of preparation according to Subject Entities’
operations and aligned with international standards. Review Subject Entities compliance with
Budget and SAAR.
Review the performance of the Internal Audit function of Subject Entities and continue to
provide support to improve the role of internal audit.
Examine complaints referred to ADAA or discovered during its course of work at Subject
Entities and issue Special Examination Reports accordingly.
Address complex accounting matters and unify interpretations of financial reporting
standards through the Abu Dhabi Technical Forum.
Continue to provide advice to Subject Entities, when requested.
Enhance the role of the Research and Knowledge Management function at ADAA and
continue engagement with national and international auditing bodies through seeking
memberships in appropriate organizations.
Participate in the International Forum of Independent Audit Regulators (IFIAR) plenary
meeting for year 2016.
Host the 10th Inspection Workshop of the IFIAR in Abu Dhabi during February 2016.
Monitor the outputs of the “Auditor Development Program” and continue the secondment of
Emirati employees joining the program to the big audit firms.
Supervise ADAA’s head office building project.

| 57 ABU DHABI ACCOUNTABILITY AUTHORITY | AccountAbility RepoRt 2016

Part 04
FinAnciAl stAtements
togetheR with
inDepenDent
AuDitoR’s RepoRt
For the year ended
31 December 2015

Table of Contents Page
Independent auditor’s report addressed to The Chairman of
Abu Dhabi Accountability Authority 1
Statement of financial position 2
Statement of financial performance 3
Statement of changes in Government of Abu Dhabi account 4
Statement of cash flows 5
Statement of comparison of budget and actual amounts 6
Notes to the financial statements 8
Abu Dhabi Accountability Authority
FINANCIAL STATEMENTS
For the year ended at 31 December 2015

Independent auditor’s report
The Chairman
Abu Dhabi Accountability Authority
Abu Dhabi
United Arab Emirates
Report on the Financial Statements
We have audited the accompanying financial statements of Abu Dhabi Accountability Authority (“the Authority”), which
comprise the statement of financial position as at 31 December 2015, and the statement of financial performance, statement
of changes in Government of Abu Dhabi account, statement of cash flows, and the statement of comparison of budget
and actual amounts for the year then ended, and notes comprising a summary of significant accounting policies and other
explanatory information.
Management’s Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance with
International Public Sector Accounting Standards (“IPSAS”) and for such internal control as management determines is
necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud
or error.
Auditors’ Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in
accordance with International Standards on Auditing. Those standards require that we comply with ethical requirements and
plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material
misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial
statements. The procedures selected depend on our judgment, including the assessment of the risks of material misstatement
of the financial statements, whether due to fraud or error. In making those risk assessments, we consider internal control
relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s
internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of
accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Opinion
In our opinion, the accompanying financial statements present fairly, in all material respects, the financial position of the
Authority as at 31 December 2015 and its financial performance and its cash flows for the year then ended in accordance with
International Public Sector Accounting Standards.
Report on other legal and regulatory requirements
We further confirm that we have obtained all information and explanations necessary for our audit; the financial statements
comply, in all material respects, with the applicable requirements of Law number (18) of 2006 issuing the financial system of
the Government of Abu Dhabi. We are not aware of any violations of the above mentioned Law having occurred during the
year ended 31 December 2015, which may have a material effect on the Authority’s financial statements.
KPMG Lower Gulf Limited
Munther Dajani
Registration No.: 268
Abu Dhabi, United Arab Emirates 25 January 2016
KPMG Lower Gulf Limited
Abu Dhabi Branch
P.O. Box 7613
Abu Dhabi
United Arab Emirates
Telephone +971 (2) 4014 800
Telefax +971 (2) 6327 612
Website www.ae-kpmg.com
KPMG Lower Gulf Limited, registered in the UAE and a member firm of the KPMG network of independent member
firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
Page 1 of 17

Mohammad Al Mehairi
Director of Finance
The attached notes 1 to 15 form part of these financial statements.
The independent auditor’s report is set out on page 1.
Seham Al Hammadi
Executive Director Support Services
Riyad Al Mubarak
Chairman
2015 2014
Notes AED AED
ASSETS
Current assets
Cash and cash equivalents 4 5,000 246,452
Government of Abu Dhabi account 5,12 20,489,925 16,357,406
Prepayments and other receivables 6 4,530,176 5,734,484
25,025,101 22,338,342
Non-current assets
Intangible assets 8 2,933,273 1,232,699
Property and equipment 7 151,827,063 69,421,048
154,760,336 70,653,747
TOTAL ASSETS 179,785,437 92,992,089
LIABILITIES
Current liabilities
Accrued expenses and other payables 9 15,171,288 7,249,061
Deferred government grant related to assets 5 1,812,697 735,640
16,983,985 7,984,701
Non-current liabilities
Deferred government grant related to assets 5 132,161,123 60,018,005
Retention payables 6,245,073 3,228,745
Employees’ end of service benefits 10 24,395,256 21,760,638
162,801,452 85,007,388
TOTAL LIABILITIES 179,785,437 92,992,089
The financial statements were authorised for issue in accordance with a resolution of the Authority’s Chairman
on 25 January 2016.
Abu Dhabi Accountability Authority
STATEMENT OF FINANCIAL POSITION
As at 31 December 2015
Page 2 of 17

2015 2014
Notes AED AED
Revenue
Revenue from non-exchange transaction
Contributions from Government of Abu Dhabi 5, 12 135,403,951 125,285,836
Revenue from exchange transaction
Other income 1,189,977 1,386,698
Total revenue 136,593,928 126,672,534
Expenditures
Employees’ salaries and other benefits 118,600,486 111,336,821
Depreciation and amortisation 1,153,537 1,008,968
General and administrative expenses 11 16,839,905 14,326,745
Total expenditures 136,593,928 126,672,534
The attached notes 1 to 15 form part of these financial statements.
The independent auditor’s report is set out on page 1.
Abu Dhabi Accountability Authority
STATEMENT OF FINANCIAL PERFORMANCE
For the year ended 31 December 2015
Page 3 of 17

2015 2014
Notes AED AED
Balance at 1 January 5 (16,357,406) (12,596,961)
Funds received during the year related to operating
and capital expenditures 5 205,865,658 157,158,565
Funds received during the year related to
capital expenditures and transferred to deferred
government grant 5 (74,373,712) (34,151,582)
Refund to Government of Abu Dhabi during the year 5 (1,374,051) (2,490,560)
Contribution related to operating expenditures
recognised as revenue during the year 5 (134,250,414) (124,276,868)
Balance at 31 December 5 (20,489,925) (16,357,406)
The account is classified in the statement of financial position as follows:
Current Assets
Government of Abu Dhabi account 5 20,489,925 16,357,406
The attached notes 1 to 15 form part of these financial statements.
The independent auditor’s report is set out on page 1.
Abu Dhabi Accountability Authority
STATEMENT OF CHANGES IN GOVERNMENT OF ABU DHABI ACCOUNT
For the year ended 31 December 2015
Page 4 of 17

2015 2014
Notes AED AED
OPERATING ACTIVITIES
Adjustments for:
Depreciation and amortisation 1,153,537 1,008,968
Provision for employees’ end of service benefits 10 3,385,011 3,507,728
Gain on sale of property and equipment (21,500) (16,200)
Contributions related to operating expenditures
recognised as revenue during the year 5 (134,250,414) (124,276,868)
Deferred government grant related to assets recognised
as revenue during the year 5 (1,153,537) (1,008,968)
Decrease in prepayments and other receivables 1,204,308 1,151,098
Increase/(decrease) in accrued expenses and other
payables 52,141 (886,067)
Government contributions received during the year net
of refund 204,491,607 154,668,005
Employees’ end of service benefits paid during the year 10 (750,393) (428,025)
Net cash flows from operating activities 74,110,760 33,719,671
INVESTING ACTIVITIES
Payments to purchase property and equipment (72,093,612) (33,081,645)
Payments to purchase intangible assets (2,280,100) (1,069,937)
Proceeds from sale of property and equipment 21,500 16,200
Net cash used in investing activities (74,352,212) (34,135,382)
(DECREASE) IN CASH AND CASH EQUIVALENTS (241,452) (415,711)
Cash and cash equivalents at the beginning of the year 246,452 662,163
CASH AND CASH EQUIVALENTS AT THE END OF THE
YEAR 4 5,000 246,452
The principal non cash transactions excluded from the statement of cash flows are:
Purchase of property and equipment 15,773,961 4,796,435
The attached notes 1 to 15 form part of these financial statements
The independent auditor’s report is set out on page 1.
Abu Dhabi Accountability Authority
STATEMENT OF CASH FLOWS
For the year ended 31 December 2015
Page 5 of 17

Description Original
budget
amounts
Final budget
amounts
Actual
amounts on
comparable
basis
Difference
AED AED AED AED
RECEIPTS
Contribution from Government of Abu Dhabi 234,233,000 263,625,000 205,865,658 57,759,342
Revenue from non-subject entities - - 1,045,039 (1,045,039)
Total receipts 234,233,000 263,625,000 206,910,697 56,714,303
Refund to Government of Abu Dhabi during
the year - - (1,374,051) 1,374,051
Net receipts available for disbursement 234,233,000 263,625,000 205,536,646 58,088,354
EXPENDITURES
Chapter one - Salaries and other benefits
Basic salary and other allowances 118,312,000 118,312,000 101,119,337 17,192,663
Tuition allowance 5,000,000 5,000,000 4,878,154 121,846
Contributions to Retirements Pension and
Benefits Fund 6,969,000 6,969,000 5,165,127 1,803,873
End of service benefits paid during the year 3,068,000 3,068,000 750,393 2,317,607
Medical insurance 2,242,000 2,242,000 1,674,520 567,480
Staff training 2,664,000 1,386,000 1,274,661 111,339
Recruitment fees 285,000 285,000 109,775 175,225
Staff events and activities 847,000 847,000 681,659 165,341
Other expenses 680,000 680,000 461,433 218,567
Total salaries and other benefits 140,067,000 138,789,000 116,115,059 22,673,941
Chapter two – Other operating
expenditures
Consultancy fees 8,600,000 8,145,000 5,166,492 2,978,508
Office rent and other related expenses 3,811,000 3,701,000 2,564,951 1,1

المصدر الرسمي ↗