Financial Management and Accountability A Presentation by Malcolm Holmes PRMPS 11/16/2018

Financial Management & Accountability Matching Authority and Accountability Transparency IMF Fiscal Code Auditing Financial Management Information Systems 11/16/2018

Reporting to Parliament Budget Policy Statements Fiscal Programmatic Budget Documents Budget Execution Departmental Annual Reports 11/16/2018

Auditing Independence Timeliness of Reports Financial Performance Parliamentary Consideration Committee Whole Executive Action 11/16/2018

Financial Management Information Systems Underpin decisions on and scrutiny and management of: Fiscal Policy Resource Allocation Resource Use 11/16/2018

* 07/16/96 Information systems provide public sector decision makers and managers a set of tools to: Design fiscal and monetary responses to changing macro-economic conditions Design systems to ensure accountability Enable decentralization without losing control Improve effectiveness and efficiency of programs Mobilize and manage domestic & external resources Manage the civil service 11/16/2018 *

Why Automated Information Systems for GFM: * 07/16/96 Why Automated Information Systems for GFM: Large number of transactions in limited periods of time across a country wide network of offices Retrieving information from manual records and classifying it in a form suitable for decision making is difficult Without automation the basic data required for economic management may simply not be available in a timely manner 11/16/2018 *

GFM systems modules Macro-economic forecasting Budget preparation Budget execution and fiscal reporting Core government accounting Cash management Debt management Revenue administration Civil service management Auditing 11/16/2018

The Treasury System Information systems for budget execution, accounting, fiscal reporting and cash management Primary repository of financial data - basis of the Government’s FMIS 11/16/2018

Key functions of a Treasury System Better cash management by putting all government resources under the control of the treasury Ensures that budgetary expenditures are in accordance with approved budget by instituting appropriate controls Accounting and reporting for better financial management 11/16/2018

Budget Execution Processes and Information Flows MOF Cash requirements forecast Spending limits, funds allocations Budget appropriations Instructions to Central Bank to pay Budget appropriations, Spending limits for subordinate units Receipts Commitment/verification and payment transactions Daily file showing receipts and payments Financial /Accounting Reports from Treasury Provide accounting and reporting functions for spending agencies and MOF Commercial Banks Spending Ministries/ Subordinate units Treasury Treasury System Central Bank 11/16/2018