A KPMG audit has revealed significant shortcomings in the way Germany’s federal government handled the procurement of personal protective equipment (PPE) during the COVID-19 pandemic, according to reports. The findings, documented in a report commissioned by the Federal Ministry of Health (BMG) and obtained by “Der Spiegel”, highlight deficiencies in oversight and cost management.
The audit, conducted in April, examined the collaboration between the Ministry, responsible for placing orders and two consulting firms tasked with practical execution. KPMG’s assessment indicated a lack of comprehensive progress tracking regarding the PPE procurement process within the Ministry. Furthermore, the report identified the absence of a systematic risk management approach to identify potential challenges.
Concerns were also raised regarding cost control. The audit concluded that the Ministry failed to maintain an overarching view of all expenditures, leading to a compromised traceability of funds and their allocation. The Ministry reportedly acknowledged to KPMG that a lack of individuals with business or finance backgrounds within the organizational structure may have contributed to these issues.
Germany acquired 5.8 billion masks at a cost of 5.9 billion euros during this period. The findings raise questions about financial accountability in the handling of substantial public funds during a critical period of the pandemic.