Call for External Audit - Water and Energy for Food (WE4F) Program – MENA Regional Innovation Hub

Introduction

Berytech wishes to engage the services of an audit firm for the purpose of auditing the Water and Energy for Food (WE4F). The audit shall be carried out in accordance with international audit standards (ISA) issued by IAASB. In addition, an assignment according to International Standards on Related Services (ISRS) 4400 (Revised) shall be carried out. The audit and the additional assignment shall be carried out by an external, independent and qualified auditor.

I. Objectives and scope of the audit

The objective is to audit the financial report for the USAID support to WE4F within 1 January 2024 to 28 February 2025 for the MENA Regional Innovation Hub managed Berytech, and to express an audit opinion according to ISA, applying ISA 800/ISA 805, on whether the financial report of Water and Energy for Food is in accordance with Berytech’s accounting records and Sida’s requirements for financial reporting .

II. Additional assignment; according to agreed upon procedures ISRS 4400 (Revised), review the following areas in accordance with the Terms of Reference below

Mandatory procedures that must be included:

1. Observe whether the financial report is structured in a way that allows for direct comparison with the latest approved budget.
2. Observe and inspect whether the financial report provides information regarding:
   a) Financial outcome per budget line (both incomes and costs) for the reporting period and cumulative information for earlier periods under current agreement.
   b) Compare if the opening fund balance matches the previous closing fund balance.
   c) Disclosure of exchange gains/losses, including full chain of exchange from Sida’s disbursement to local handling.
   d) Explanatory notes (e.g. accounting principles applied).
   e) Amount of funds forwarded to implementing partners, if applicable.
3. Inspect salary costs:
   a) Frequency of debiting to the project/programme (sample 3 individuals for 3 different months).
   b) Supporting documentation for debited salary costs.
   c) Documentation and verification of actual time worked by a manager, and reconciliation between debited and actual worked time.
4. Inspect compliance with tax and social security fees.
5. Confirm partner screens IPs/suppliers against EU sanctions list and report any findings.
6. Inspect unspent fund balance against accounting system/bank account, and for final year confirm balance (including exchange gains) to be repaid to Sida.

III. The reporting

The reporting shall be signed by the responsible auditor (not just the audit firm) and shall include the auditor’s title.

Reporting from the ISA assignment:

• Independent auditor’s report (ISA 800/805 format).
• Attach audited financial report.
• Include a Management Letter disclosing all audit findings, weaknesses, and recommendations (in priority order and with risk classification).
• Present measures taken by the Cooperation partner to address prior weaknesses.
• If no findings/weaknesses, auditor must disclose this.

Reporting from the ISRS 4400 (Revised) assignment:

• Findings to be reported separately in an “Agreed-upon procedures report.”
• Procedures performed must be described.
• Sample sizes should be stated when applicable.

Evaluation Criteria
Proposals will be evaluated based on the following:

1. Technical Capacity (60%)

• Relevant Experience (20%) – demonstrated experience in auditing donor-funded projects, preferably USAID, Sida, or other international donors.
• Proposed Methodology & Approach (15%) – clarity, appropriateness, and robustness of the methodology for carrying out the ISA and ISRS 4400 assignments.
• Key Staff Qualifications (15%) – expertise and certifications of the proposed audit team (e.g., CPA, ACCA, CIA, or equivalent), experience with ISA and ISRS 4400.
• Compliance & Understanding (10%) – demonstrated understanding of the Terms of Reference, reporting requirements, applicable standards, and the requirement to complete the full assignment by no later than mid-November 2025.

Financial Proposal (30%) – cost-effectiveness and clarity of the financial offer.

References and Portfolio (10%) – past performance and feedback from previous clients and administrative.