The terms mentioned below shall have the meanings specified next to each of them unless the context of the text requires otherwise:
*The Entity: Any governmental body or public institution with legal personality included in the state’s general budget.
*The First Responsible: The highest administrative authority in the entity.
*The Unit: The internal audit unit in the entity.
*Internal Control Systems: A set of means, procedures, and methods used to protect cash and other assets, ensure accounting accuracy, enhance productive efficiency, and encourage compliance with established administrative policies.

Each entity shall establish an internal audit unit at its headquarters, with its manager reporting to the primary responsible official of the entity. As for the branches, the unit shall be established - when necessary - by a decision from the primary responsible official of the entity.
The unit shall carry out internal audit activities by exercising the powers granted to it under the provisions of these regulations, in order to achieve the following objectives:
A) Protecting public funds and properties, and minimizing the occurrence of fraud and errors, as well as detecting them immediately upon their occurrence.
B) Ensuring the accuracy and completeness of financial data and accounting records.
C) Ensuring the effectiveness and efficiency of administrative and financial operations, leading to the optimal utilization of available resources.
D) Ensuring compliance with the regulations, instructions, policies, and plans binding on the entity; to achieve its objectives efficiently and in an orderly manner.
E) The integrity and effectiveness of internal control systems.

The unit is formed by a director whose rank is determined according to the administrative structure of the entity, provided that his rank is not less than the eleventh or its equivalent at the headquarters - as for the branches, the rank is determined according to the size of the branch, its tasks, operations, the number of its employees, and the job level of its head - and a sufficient number of specialized employees to carry out its work and achieve its objectives, and a decision is issued by the top official in the entity to form it.

It is required for anyone appointed as the manager of the unit - in addition to the general employment conditions - to be of Saudi nationality, to possess professional competence in terms of academic qualifications and practical experience, and that their educational qualification should not be less than a university degree in accounting or its equivalent in the specialization. Furthermore, their practical experience should not be less than seven years in the field of auditing at the head office - while for branches, the experience is determined according to the size of the branch, its tasks and operations, the number of its employees, and the job level of its head - and they shall not be appointed, promoted, transferred, seconded, or assigned without the approval of the primary responsible person in the entity.

It is required for those appointed in the unit from specialized employees - in addition to the general employment conditions - to hold a university degree or a diploma in accounting or its equivalent in the specialization, or in a field closely related to the activities of the entity, and to have practical experience in one of these two areas.