Internal audit is mandatory for many companies operating in the financial sector.

In addition to credit institutions and insurance companies, internal audit is also mandatory for:

  • Creditors and credit intermediaries
  • Payment institutions and electronic money institutions
  • Fund managers

Information of the internal auditor must be submitted already upon application for the activity license from FSA, the functioning and procedures of internal audit activity must be described in the internal rules and policies.

As the internal auditor cannot perform tasks that cause or may cause a conflict of interest within the company, it is not possible to create a position where one employee would be both the internal auditor and act in other areas of management decision-making. Therefore, the company has essentially two options - either to hire an internal auditor or to outsource the service.

Internal audit Which companies operating in the financial sector in Estonia must have an internal auditor? Open the table