The Finance and Procurement Compliance Directorate (LGD) was created in June 2021 with the objective to strengthen Local Government Division’s oversight role through the conduct of compliance reviews of the Local Councils’ financial and procurement activities, to ensure adherence by local councils with pertinent financial and procurement laws and regulations. Reports disclose recommendations for the Executive Secretaries’ and Councillors’ attention and perusal. Apart from compliance reviews, the Directorate performs internal audits specifically focused on the Local Councils’ primary financial cycles. The Directorate has reinvented LGD’s strategic role by introducing onsite visits at local councils’ premises. This approach allows for independent analysis of financial processes, empowering Local Councils to identify weaknesses and strengthen internal controls. Furthermore, the Directorate serves in an advisory capacity, offering guidance on financial management and accounting issues to Local Councils. It also plays a crucial role in implementing NAO Recommendations by facilitating their execution, coordinating recovery plans, and compiling supervisory reports. Issuing circulars to ensure consistency in work methods, policies, and procedures, as well as resolving common issues highlighted in management letters, falls within the Directorate’s responsibilities. The Directorate conducts Financial Analysis and Interpretation of Financial Statements for the purpose of performing risk assessments to understand risk levels, prior to the compilation of the Risk Based Internal Audit Plan designed for local and regional councils and performed by the Directorate. The same risk assessment is also used when selecting Compliance Reviews and helps evaluate the financial standing of Local Councils, particularly regarding reserves and working capital.