Impact of Internal Control Systems on Performance of Financial Institutions in South Sudan a Case Study Nile Commercial Bank Juba
Author: MARTIN MABIOR
Supervisor: Perez Mujuni
Study was based on the impact of internal control systems on performance financial institutions case study of Nile Commercial Bank Juba South Sudan. The study was guided by the following objectives: To examine how financial records can lead to the performance of financial institutions, To examine how Nile Commercial Bank can ensure effective and efficient payments for proper performance of financial institutions and To ascertain the extent to which fraud and errors can be prevented or detected early on the performance of financial institutions. Questionnaire, and interview were used to collect data of 52 respondents, questionnaire were distributed to the respondents in Nile Commercial Bank in different departments such as Finance and accounting department, Human resource department, Procurement department, Administrator, auditors, line managers, risk managers and tellers. Data was analysed using frequency tables, Pie charts computer programs such as SPSS 16.0, Microsoft excel, Microsoft word and Epidata 3.0 software. The study found out that effective and efficient payment were not properly followed by Nile Commercial Bank this is in line with the findings which shows some respondents agreed, other were neutral and other strongly disagreed. Financial record were not minutely followed by the auditors which lead to disagreement of some respondents and fraud and errors in Nile Commercial Bank were seen as the majority obstacle to the achievement of the objectives with majority of the respondent agreeing that there fraud and errors in the Bank. The relationship between financial records and performance of financial institutions indicated a 0.211 which is a very weak positive relationship. The weak relationship attributed to the insecurity to the Bank and management, and also the relationship between effective and efficient payment and the performance of financial institutions have a very strong positive correlation 0.86 and this implies that the payment procedures were effective and efficient.
It is therefore recommended that the implementation of internal control system be reviewed especially in the area financial records and fraud and errors.