Audit reveals the NRF has no financial strategy despite $436m in deals
The Albanese's flagship reconstruction fund has been rebuked for lacking a formal financial strategy and for other lapses, though its governance is "largely sound".
The National Reconstruction Fund has been rebuked for failing to adopt a formal financial strategy and for not obtaining conflict of interest disclosures from its external investment advisers before it deployed hundreds of millions in taxpayer funds on its first wave of deals.
The Australian National Audit Office last week released its first performance report for the NRF, finding that its governance arrangements were "largely sound". But the report also raised several questions about the NRF's operations, including its risk management protocols and procurement processes.
It revealed the NRF "is yet to develop a financial strategy" and "did not obtain conflict of interest declarations and confidentiality agreements from suppliers who assisted with investment due diligence."
The report found that the fund's board failed to develop the financial roadmap needed to transition from government funding to self-sufficiency by 2025-26, when taxpayer appropriations are scheduled to end.
