This study was targeting towards the need of adopting the digital governance principles in Government institutions and understanding its role in promotion of electronic auditing. A descriptive-analytical method was adopted and the data was quantitative that was collected with questionnaires to identify the perception of respondents, and all staff of the Audit Department in General Directorate of Education in Basra Governorate (30 staff). SPSS (Statistical Package for the Social Sciences) Version 27 software was used for statistical analysis. The findings showed that level of digital governance is moderate (overall mean score 3.44) and the level of electronic auditing is high (overall mean score 3.83). Moreover, the results showed a high and positive correlation between digital governance (its dimensions) and electronic auditing. The results of multiple linear regression analysis showed that the digital governance variable had an influence on electronic auditing in the Directorate, the correlation coefficient obtained at that stage was R=0.881 and R2=0.777 which showed that the deviation of electronic auditing from digital governance was 77.7%, and the value R>0.05 showed that the level of credibility for the influence of digital governance on electronic auditing reached the influential category level. The study provides the recommendations to the Directorate of Education of Basra that it needs to establish higher level of digital governance at all its aspects with special focus on digital accountability and digital participation within the Audit Department. Also, recommends implementing effective electronic auditing practices in the department to maintain a better performance level.