The aim of this course is to provide an in-depth understanding of the theoretical foundations and practical aspects of internal audit systems within the banking sector. The course equips students with the ability to analyze how internal control, risk management, and auditing processes are structured and implemented in banks. Emphasis is placed on understanding the functioning of the internal audit function within the framework of banking regulations, Basel accords, and corporate governance principles. The course ultimately aims to develop strategic and operational-level competencies necessary for the establishment of an effective internal audit system in financial institutions.

This course examines internal audit practices in the banking sector from both theoretical and practical perspectives. It begins by introducing fundamental concepts related to banking and independent auditing, followed by an evaluation of the development and application of auditing standards at both national and international levels. The course explores the structure and functioning of internal control systems in banks, focusing on their relationship with auditing within a risk-based framework. The audit process—including planning, evidence collection, auditing techniques, and reporting—is covered in detail. Furthermore, the role of the internal audit function within banking regulations, its link to corporate governance, and its interaction with audit committees are critically analyzed. All topics are discussed through a doctoral-level lens, supported by industry practices, regulatory expectations, and current academic literature.