Reserve Bank of Australia Annual Report – 2016 Financial Statements Independent Auditor's Report
INDEPENDENT AUDITOR'S REPORT
To the Treasurer
I have audited the accompanying financial statements of the Reserve Bank of Australia and Controlled Entity for the year ended 30 June 2016, which comprise the following for the consolidated entity:
- Statement of Assurance;
- Statement of Financial Position as at 30 June 2016
- Statement of Comprehensive Income;
- Statement of Distribution;
- Statement of Changes in Capital and Reserves;
- Cash Flow Statement; and
- Notes to and forming part of the annual Financial Statements, including Accounting Policies and other explanatory information.
The consolidated entity comprises the Reserve Bank of Australia and the entity it controlled at 30 June 2016 or from time to time during the year.
Opinion
In my opinion, the financial statements of the Reserve Bank of Australia and the Controlled Entity:
- comply with Australian Accounting Standards and the Public Governance, Performance and Accountability (Financial Reporting) Rule 2015;
- present fairly the financial position of the consolidated entity as at 30 June 2016 and its financial performance and cash flows for the year then ended; and
- comply with International Financial Reporting Standards as disclosed in Note 1.
Accountable Authority's Responsibility for the Financial Statements
The Governor of the Reserve Bank of Australia is responsible under the Public Governance. Performance and Accountability Act 2013 for the preparation and fair presentation of annual financial statements that comply with Australian Accounting Standards and the rules made under that Act and is also responsible for such internal control as the Governor determines is necessary to enable the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. In the Notes to the financial statements, the Governor also states, in accordance with Accounting Standard AASB 101 Presentation of Financial Statements, that the financial statements comply with International Financial Reporting Standards.
Auditor's Responsibility
My responsibility is to express an opinion on the financial statements based on my audit. I have conducted my audit in accordance with the Australian National Audit Office Auditing Standards, which incorporate the Australian Auditing Standards. These auditing standards require that 1 comply with relevant ethical requirements relating to audit engagements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor's judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of accounting estimates made by the Accountable Authority of the entity, as well as evaluating the overall presentation of the financial statements.
I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my audit opinion.
Independence
In conducting my audit, I have complied with the independence requirements of the Australian National Audit Office, which incorporate the requirements of the Australian accounting profession.
Australian National Audit Office
Grant Hehir
Auditor-General
Canberra
18 August 2016