Relevant Verkhovna Rada Committee Considers Results of Financial Audit of IBRD Project Supporting Higher Education

04 September 2026

The Verkhovna Rada Committee on Education, Science and Innovation considered the Report of the Accounting Chamber of Ukraine on the results of the financial audit of the special purpose financial statements of the Ukraine Improving Higher Education for Results Project, supported by a loan from the International Bank for Reconstruction and Development (IBRD),for 2025.

The audit results were presented by Olha Pishchanska, Chairwoman of the Accounting Chamber of Ukraine.

The total amount of the IBRD loan is USD 200 million. From the beginning of the Project’s implementation through the end of 2025, the audited sample of funds amounted to USD 157.5 million, or 78.8% of the total loan amount, including USD 6.4 million in 2025.

The Accounting Chamber of Ukraine conducted the financial audit of the financial statements for this Project for the fourth time.

Based on the audit results, the Accounting Chamber of Ukraine issued an unmodified opinion: the special purpose financial statements present fairly, in all material respects, information on the flow and use of funds and do not contain material misstatements resulting from fraud or error. Overall, the funds were used in accordance with the terms of the Loan Agreement and for their intended purpose.

“The audit also confirmed the availability and proper retention of source documents, accounting records and financial documents related to the Project. Overall, the audit results demonstrate positive dynamics in the preparation of financial statements by the Ministry of Education and Science of Ukraine,” noted Olha Pishchanska.

The auditors identified certain deficiencies in the internal control system of the Ministry of Education and Science of Ukraine. While these deficiencies did not affect the reliability of the financial statements, they require the attention of the Ministry’s management.

In particular, it was established that insufficient coordination between the Ministry of Education and Science of Ukraine and the Ministry of Finance of Ukraine resulted in delays in approving certain withdrawal applications from the loan account.

Approaches to accounting for individual assets acquired under the Project also required improvement. The Ministry of Education and Science of Ukraine had not determined the procedure for the further use, restoration or write-off of damaged monitors, while laptops had been incorrectly classified as fixed assets. The accounting error concerning the laptops was corrected during the audit.

In addition, the arrangements for the payment of remuneration to members of supervisory boards of higher education institutions from Project funds had not been fully regulated.

Accordingly, the Accounting Chamber of Ukraine recommended that the Ministry of Education and Science of Ukraine develop a coordination mechanism among the Project participants to ensure the timely preparation and approval of withdrawal applications, as well as determine how the damaged assets would be used going forward and properly reflect the relevant transactions in the accounting records.

During the discussion, Andrii Butenko, Minister of Education and Science of Ukraine, thanked the Accounting Chamber of Ukraine for conducting the audit and emphasised the importance of external assessment for improving work processes. Anastasiia Sofiienko, Deputy Minister of Education and Science of Ukraine, reported that the World Bank had agreed to extend the Project through June 2027.

Following the meeting, the Committee took note of the Report of the Accounting Chamber of Ukraine and also plans to consider separately, at future meetings, the issue of attracting and using loan and grant funds in the education sector since the beginning of the full-scale invasion.