THE IMPACT OF ARTIFICIAL INTELLIGENCE ON THE EFFICIENCY OF PUBLIC EXPENDITURE OVERSIGHT: EVIDENCE FROM MUNICIPALITIES IN PERNAMBUCO
DOI:
https://doi.org/10.56238/Keywords:
Accountability, Artificial Intelligence, Pernambuco Municipalities, Public Expenditure Oversight, Public Governance AccountabilityAbstract
Digital transformation has significantly changed control and oversight mechanisms in public administration, especially at the municipal level. In this context, artificial intelligence (AI) has emerged as a strategic tool to enhance efficiency, timeliness, and accuracy in fiscal oversight processes. This study aims to analyze the impact of AI on the efficiency of public expenditure oversight in municipalities of Pernambuco, Brazil, focusing on four main dimensions: operational efficiency, detection of irregularities, audit coverage, and institutional responsiveness. The methodology is characterized as applied research with a mixed-methods approach. It involved: (i) a multiple case study design; (ii) secondary data collected from fiscal, budgetary, and external control databases; (iii) primary data obtained through semi-structured interviews with auditors, managers, and municipal technicians; and (iv) quantitative analysis (descriptive statistics) combined with qualitative analysis (thematic content analysis). The results indicate that municipalities adopting AI achieved significant reductions in average audit processing time, an increase in the number of relevant findings, expanded audit coverage, and greater responsiveness to detected irregularities. In addition, organizational changes related to standardized procedures, data integration, and data-driven decision-making were observed. It is concluded that AI acts as a driver for strengthening fiscal accountability, contributing to greater efficiency, transparency, and institutional capacity in local oversight bodies.
References
AGOSTINO, D. “AI accountability and public sector auditing: a framework for oversight”. Government Information Quarterly, vol. 42, n. 2, 2025.
ANSELL, C.; TORFING, J. “Public governance as co-creation: A strategy for revitalizing the public sector”. Public Administration Review, vol. 81, n. 6, 2021.
BABBIE, E. The practice of social research. Boston: Cengage Learning, 2021.
BARDIN, L. Análise de conteúdo. Lisboa: Edições 70, 2016.
BARRETO, M.; ALMEIDA, L. “Capacidades institucionais e controle de gastos públicos no Brasil”. Revista de Administração Pública, vol. 57, n. 2, 2023.
BERNARDINO, J. F.; STEFANI, S. R.; ZAMPIER, M. A. “Sustentabilidade municipal E práticas de gestão do conhecimento: uma análise governamental”. Boletim de Conjuntura (BOCA), vol. 17, n. 50, 2024.
BOVENS, M. “Public accountability and the rise of transparency”. Governance, vol. 35, n. 1, 2022.
BROMAN, S. L. S.; GUIMARÃES, V. A. “A diversidade racial em relatórios de sustentabilidade padronizados: um tema material”. Boletim de Conjuntura (BOCA), vol. 18, n. 52, 2024.
CARVALHO, R.; MENEZES, P. “Fiscalização municipal e inovação tecnológica: desafios da governança local”. Cadernos de Gestão Pública, vol. 5, n. 1, 2023.
CLIFF, N. “Dominance statistics: Ordinal analyses to answer ordinal questions”. Psychological Bulletin, vol. 114, n. 3, 1993.
COHEN, J. Statistical power analysis for the behavioral sciences. Hillsdale: Lawrence Erlbaum Associates, 1988.
COSTA, E.; LIMA, F. “Aplicações de Inteligência Artificial no controle externo: experiências e perspectivas”. Revista do Tribunal de Contas, vol. 33, n. 2, 2023.
CRESWELL, J. W.; CRESWELL, J. D. Research design: Qualitative, quantitative, and mixed methods approaches. Thousand Oaks: Sage, 2023.
CROWE, D. Decoding AI in public audit: risks and opportunities. Oxford: Oxford University Press, 2024.
FLICK, U. An introduction to qualitative research. London: Sage, 2022.
GENARO-MOYA, R. “Artificial intelligence and public oversight: a shift from reactive to predictive accountability”. Public Administration Review, vol. 85, n. 2, 2025.
GODZ, P. AI-driven auditing: efficiency and predictive control in public governance. Cambridge: Cambridge University Press, 2025.
HEALD, D.; HOOD, C. “Transparency, accountability and trust in government”. Public Money and Management, vol. 43, n. 3, 2023.
IBGE – Instituto Brasileiro de Geografia e Estatística. Malhas territoriais municipais: Brasil. Rio de Janeiro: IBGE, 2025. Disponível em: . Acesso em: 15/09/2025.
INTOSAI. Guidelines on the use of artificial intelligence in public auditing. Vienna: INTOSAI Development Initiative, 2024.
KOKINA, J.; SUTTON, S. G.; ARNOLD, V. “Challenges and opportunities for AI in auditing”. Journal of Information Systems, vol. 39, n. 1, 2025.
MARCONI, M. A.; LAKATOS, E. M. Fundamentos de metodologia científica. São Paulo: Editora Atlas, 2021.
MENDONÇA, D.; ROCHA, A. “Transformação digital e accountability no setor público”. Revista Brasileira de Políticas Públicas Digitais, vol. 2, n. 1, 2023.
MERRIAM, S. B.; TISDELL, E. J. Qualitative research: A guide to design and implementation. Hoboken: Wiley, 2022.
OECD. Artificial Intelligence in the Public Sector: Enhancing Accountability and Transparency. Paris: OECD, 2023.
OJEWALE, A. et al. “Algorithmic governance and public audit infrastructure”. Government Technology and Society, vol. 18, n. 3, 2024.
OLIVEIRA, T.; TEIXEIRA, C. “Auditoria inteligente e inovação em Tribunais de Contas brasileiros”. Revista de Direito e Tecnologia Pública, vol. 4, n. 1, 2024.
PETERS, B. G.; PIERRE, J. “Governance and the public sector in turbulent times”. Governance, vol. 36, n. 1, 2023.
RIBEIRO, G. “IA e controle social no Brasil: potencialidades e riscos”. Revista de Estudos Governamentais, vol. 6, n. 3, 2023.
RIBEIRO, G. et al. “Data analytics and fiscal oversight in Brazilian municipalities”. Revista de Administração Pública, vol. 57, n. 4, 2023.
SANTOS, J. “Automação e eficiência na fiscalização orçamentária”. Revista do Controle Público, vol. 1, n. 1, 2024.
SANTOS, R.; COSTA, E. “Desafios do controle externo no federalismo brasileiro”. Revista Brasileira de Administração Pública, vol. 4, n. 2, 2024.
SOUZA, A.; FONSECA, T. “Limitações estruturais do controle interno em municípios brasileiros”. Revista de Gestão Fiscal e Controle Público, vol. 3, n. 1, 2023.
UN DESA. E-Government Survey 2024: AI for Responsive and Inclusive Governance. New York: United Nations, 2024.
WIRTZ, B. W.; PIEHL, A.; LÜCKE, G. “Artificial intelligence in the public sector: an empirical analysis of strategic, organizational, and ethical challenges”. Government Information Quarterly, vol. 41, n. 1, 2024.
YIN, R. K. Case study research and applications: Design and methods. Thousand Oaks: Sage, 2018.
Downloads
Published
Issue
Section
License
This work is licensed under a Creative Commons Attribution 4.0 International License.
Copyright (c). Conjuncture Bulletin (BOCA)
This work is licensed under a Creative Commons Attribution 4.0 International License.
