A Dissertation Submitted in Partial Fulfillment of the Requirements for Award of Degree of Master of Science in Accounting and Finance of Mzumbe Universityhe Internal Audit is responsible for the oversight of the quality and integrity of the organizations accounting and reporting practices, controls and financial statements, legal and regulatory compliance, staff qualifications and independence and the performance of the organizations in overall. This study aimed to assess the performance of internal audit in enhancing accountability in public sector by taking the Ministry of Industry and Trade as a case. The study involved three categories of respondents, namely the senior members including heads of departments and audit committee members of the Ministry, senior staff who are not audit committee members and the staff of internal audit within the Ministry upon whom data was collected using interviews. Data were also collected through questionnaires, observations and documentary review. As descriptive statistical analysis method was applied on the data. Among the findings that the study revealed, include lack of independence of the Internal audit unit which bears a huge implication on accountability and the internal audit also lacks of enough institutional supports, sufficient budget and the updated internal audit charter. The study recommends several measures based on observed and analyzed findings. These recommendations insist remedial actions so that the challenges discussed are taken care. These include the internal audit to be composed of executives from outside the ministry and non executive members, the internal audit should have an up dated internal audit charter, the need to restructure internal audit, restate its roles, responsibilities and its mandatory to make it cope with current requirements and overcome number of prevailing challenges.