Inverclyde Council has made ‘significant improvements' in its financial management and service delivery, auditors have found.
The Accounts Commission said the council had ‘changed significantly' since 2005, when it found serious failings by the authority in meeting its legal duty to demonstrate Best Value and continuous improvement.
It said Inverclyde had developed a positive culture of improvement and collaborative leadership with a ‘clear vision'.
Audit Scotland described Inverclyde's financial management as ‘effective,' pointing to proposals that have already been worked up to yield savings of around £20m.
Acting chair of the commission, Ronnie Hinds, said: ‘Inverclyde has made real improvements and is doing well in many areas.
‘However, the council still faces big challenges and needs to maintain this positive momentum.'