Background:

CPZ is implementing activities under the Civil Society Strengthening Fund (CSSF) 2025-2030 program supported by Zambia Governance Foundation (ZGF). As a grant recipient, CPZ is contractually obligated to undergo an annual independent financial audit of the CSSF funds and its overall institutional finances for the period 1st January 2025 to 31st December 2025. This audit is a critical component of good governance, financial accountability, and transparency. It ensures compliance with donor requirements, national laws (such as the Zambia Institute of Chartered Accountants - ZICA standards and the Companies Act), and strengthens internal controls, thereby enhancing donor confidence and public trust.

Objective of the Audit:

To obtain reasonable assurance that the financial statements of CPZ for the year ended 31st December 2025 are free from material misstatement and to express an independent audit opinion in accordance with International Standards on Auditing (ISAs).

Scope of Work:

The audit firm will:

• Plan and Perform the Audit: Conduct the audit in line with ISAs.
• Financial Statements: Audit the Statement of Financial Position, Statement of Activities, Cash Flow Statement, and accompanying notes.
• Internal Controls: Evaluate the adequacy and effectiveness of the accounting and internal control systems.
• Compliance:
  • Verify compliance with the specific terms and conditions of the CSSF 2025-2030 grant agreement.
  • Verify compliance with relevant Zambian tax laws and other statutory regulations.
• Expenditure Verification: Confirm that expenditures are properly supported, authorized, and correctly allocated to the appropriate budget lines and donor projects.
• Assets & Liabilities: Verify the existence, ownership, and valuation of assets and liabilities.
• Management Letter: Provide a comprehensive management letter detailing significant audit findings, weaknesses in internal controls, recommendations for improvement, and an action plan for management response.

Deliverables:

• An Audit Engagement Letter.
• An Audit Plan.
• Draft Financial Statements and Draft Audit Report for management review.
• Final Documents (in 5 hard copies and soft copies):
  • Signed Independent Auditor’s Report.
  • Approved and Signed Financial Statements.
  • Detailed Management Letter.

Duration and Timing:

• Contract signing: By 10th February 2026.
• Audit commencement: by 16th February 2026.
• Submission of Draft Reports: by 10th March 2026.
• Submission of Final Signed Reports: by 16th March 2026.

Qualifications and Experience of the Audit Firm:

• Registered and actively licensed with the Zambia Institute of Chartered Accountants (ZICA) to practice as an Audit Firm.
• A minimum of 5 years of proven experience in auditing NGOs/CSOs, with specific experience in auditing donor-funded projects (experience with climate/grant funds is an added advantage).
• Demonstrated understanding of International Financial Reporting Standards (IFRS) or IFRS for SMEs and International Standards on Auditing (ISAs).
• CVs of the proposed key audit team members (Partner/Manager and Audit Senior) must be submitted.
• Provide at least three references from previous similar audit clients, preferably from the NGO sector.
• Provide valid auditing practicing licence.

• Plan and Perform the Audit: Conduct the audit in line with ISAs.
• Financial Statements: Audit the Statement of Financial Position, Statement of Activities, Cash Flow Statement, and accompanying notes.
• Internal Controls: Evaluate the adequacy and effectiveness of the accounting and internal control systems.
• Compliance: Verify compliance with the specific terms and conditions of the CSSF 2025-2030 grant agreement. Verify compliance with relevant Zambian tax laws and other statutory regulations.
• Expenditure Verification: Confirm that expenditures are properly supported, authorized, and correctly allocated to the appropriate budget lines and donor projects.
• Assets & Liabilities: Verify the existence, ownership, and valuation of assets and liabilities.
• Management Letter: Provide a comprehensive management letter detailing significant audit findings, weaknesses in internal controls, recommendations for improvement, and an action plan for management response.

• Demonstrated understanding of International Financial Reporting Standards (IFRS) or IFRS for SMEs and International Standards on Auditing (ISAs).

• Registered and actively licensed with the Zambia Institute of Chartered Accountants (ZICA) to practice as an Audit Firm.
• A minimum of 5 years of proven experience in auditing NGOs/CSOs, with specific experience in auditing donor-funded projects (experience with climate/grant funds is an added advantage).
• Demonstrated understanding of International Financial Reporting Standards (IFRS) or IFRS for SMEs and International Standards on Auditing (ISAs).
• CVs of the proposed key audit team members (Partner/Manager and Audit Senior) must be submitted.
• Provide at least three references from previous similar audit clients, preferably from the NGO sector.
• Provide valid auditing practicing licence.