Performance audit of the use of budget funds in the rural water supply sector: evidence from Pavlodar and Akmola regions

Abstract

The article presents a performance audit of the use of budget funds allocated for rural water supply in Kazakhstan, focusing on Pavlodar and Akmola regions. The study is based on an analysis of the state programs “Aq Bulaq” and “Nurly Zher”, official financing volumes, as well as the authors’ own empirical data (household surveys and physicochemical water analysis). A performance audit approach was applied using the 3E criteria — economy, effectiveness, and efficiency. The findings show that despite significant investments, the actual water quality and the level of public satisfaction do not always match the stated objectives. The main reasons identified include project duplication, insufficient monitoring, weak feedback from the population, and the absence of local KPIs. Specific recommendations are proposed: introduction of a permanent performance audit mechanism, increased transparency and accountability of programs, and development of indicators for the socio-economic impact of water infrastructure projects. The presented results will be of interest to government audit bodies, state auditors, and public sector managers.