A treasury internal audit programme tests bank governance, borrowings, interest, covenant compliance, investments, deposits, bank guarantees, letters of credit, forex exposure, hedging, cash forecasting and treasury-system access.
Treasury combines liquidity, borrowing covenants, bank authority and market exposure. Errors may not appear in routine accounting until a breach, unauthorised exposure or funding shortage occurs.
Objective: Borrowings are approved, recorded and reconciled.
Loan register, sanction letter, confirmations, interest working, GL.
All facilities and material interest charges.
Objective: Covenants are monitored and reported.
Covenant tracker, lender reporting pack, waiver letters, MIS.
All active covenant facilities.
Objective: Treasury instruments are approved and safeguarded.
Investment register, FD receipts, demat/custody, BG/LC register, approvals.
All high-value instruments and open BG/LC items.
Objective: Exposure and treasury access are reviewed.
Exposure statement, hedge contracts, cash forecast, bank portal users, logs.
Open exposures and privileged treasury users.
ICAI IASB lists the Compendium of Standards on Internal Audit as on February 2026 as applicable from 1 April 2026. Use this page as a practical workpaper starter, then verify the latest standard, law, regulation, ERP report and client fact pattern before concluding.
It should cover borrowings, limits, covenants, lender reporting, interest, investments, deposits, bank guarantees, letters of credit, forex exposure, cash forecasting and treasury access.
No. It is a fieldwork starter. The internal auditor must tailor it to the approved scope, ERP, delegation matrix, locations, volumes, materiality, prior findings and current legal position.
Yes. Use the linked CORAA workbook for the cycle. It contains editable RCM, testing, evidence and monitoring sheets that can be used as a fieldwork base.
