The Role of Internal Audit on Banking Performance

Abstract

The study aimed to identify the impact of internal audit on improving banking performance, by exploring the functions of internal audit in evaluating banking operations, detecting risks, and ensuring compliance with policies and procedures The study also aimed to examine the differences in the impact of internal audit depending on the size and type of bank, and the nature of banking operations The study adopted a descriptive and analytical approach due to its suitability for the research objectives. The study reached the following conclusions: -- Internal audit plays a pivotal role in enhancing the efficiency and effectiveness of banking operations and reducing the likelihood of errors or financial and operational risks. --Internal audit contributes to ensuring compliance with internal laws and policies, which enhances integrity and transparency within the bank. --The impact of internal audit varies depending on the size of the bank and the nature of its operations, with larger banks facing greater challenges in controlling multiple operations compared to smaller banks. --Internal audit assists senior management in making sound financial and strategic decisions by providing an objective assessment of banking operations and risks.