1. PUBLIC ACCOUNTANTS AND AUDITORS BOARD
OCAM Conference
‘O Impacto das reformas da gestao das Financas Publicas no Desenvolvimento Economica
Admire Ndurunduru
Thursday, 13 September 2018

2. Protecting the Public Interest
WHY PFM REFORMS? For Developing countries the Public Sector Makes up 60% of GDP
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3. Protecting the Public Interest
WHY PFM REFORMS? …cont. Illicit Financial Flows from the Continent - $50 Billion annually
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4. Protecting the Public Interest
WHY PFM REFORMS?....cont. AU Vision 2063 Winning the fight against corruption
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5. WHY PFM REFORMS? …cont. Attracting Investment
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6. Protecting the Public Interest
WHY PFM REFORMS? …cont. Create an enabling environment for private enterprise
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7. 1. Strong, capable and effective public institutions
WHY PFM REFORMS?
Effective Policy Making, Implementation & Evaluation
Regulatory Governance
Justice Reform
Rule of Law
Voice and Accountability VA
Public Financial Management SA
Control of Corruption
PFM Reforms
Social Accountability
Effective Regulatory Regime
Effective Public Resource Management
Procurement & Fiduciary
Governance in Service Delivery Sectors
- PFM encompasses the mobilization of government revenue; the allocation of that revenue to various activities; expenditure; and accounting for the two.
- PFM Reforms are one of the key foundations for economic development.
- PFM Reforms support governments’ efforts to deliver the three main fiscal and budgetary outcomes which are (1) aggregate fiscal discipline (2) strategic allocation of resources and (3) efficient service delivery
High Quality Public Service Delivery
Public Accountability & Transparency
Public Management & Performance

8. Protecting the Public Interest
WHY PFM REFORMS?....cont.
Overview: Upstream PFM aspects (budget preparation, budget release) are stronger than downstream ones (accounting, audit, oversight).
PEFA= Public Expenditure Financial Accountability
PEFA is conducted by the World Bank.
The objective of PEFA is identify areas of strengths and weaknesses in governments’ financial management systems.
PEFA upstream dimensions relate to budget preparation such as strategic budgeting (multi-year forecasting, strategic planning, investment planning, debt planning); annual budget preparation; legislative analysis of the annual budget; and the structure of formal budget documents on the one hand.
PEFA downstream dimensions relate to budget execution such as resource management (including cash inflow and outflow management, procurement, payroll); internal control, internal audit and monitoring; accounting and reporting; external audit; and legislative analysis of audit reports on the other.
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9. High Quality PFM requires (at least)…
PEFA= Public Expenditure Financial Accountability
PEFA is conducted by the World Bank.
The objective of PEFA is identify areas of strengths and weaknesses in governments’ financial management systems.
PEFA upstream dimensions relate to budget preparation such as strategic budgeting (multi-year forecasting, strategic planning, investment planning, debt planning); annual budget preparation; legislative analysis of the annual budget; and the structure of formal budget documents on the one hand.
PEFA downstream dimensions relate to budget execution such as resource management (including cash inflow and outflow management, procurement, payroll); internal control, internal audit and monitoring; accounting and reporting; external audit; and legislative analysis of audit reports on the other.
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10. Protecting the Public Interest
WHY PFM REFORMS?....cont.
PEFA= Public Expenditure Financial Accountability
PEFA is conducted by the World Bank.
The objective of PEFA is identify areas of strengths and weaknesses in governments’ financial management systems.
PEFA upstream dimensions relate to budget preparation such as strategic budgeting (multi-year forecasting, strategic planning, investment planning, debt planning); annual budget preparation; legislative analysis of the annual budget; and the structure of formal budget documents on the one hand.
PEFA downstream dimensions relate to budget execution such as resource management (including cash inflow and outflow management, procurement, payroll); internal control, internal audit and monitoring; accounting and reporting; external audit; and legislative analysis of audit reports on the other.
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11. BENEFITS OF PFM REFORMS Good Public Financial Management
High quality public sector financial reporting.
Effective, efficient public sector spending.
More informed government decision making.
Enhanced Transparency and Accountability
Better quality public services
Increased Trust in Government.
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12. We know the benefits and challenges, but what are the solutions
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13. Protecting the Public Interest
Partnership Between the Accountancy Profession and Government Strengthening accountancy capacity to support PFM reform
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14. Protecting the Public Interest
Support Adoption and Implementation of IPSAS Adoption Implementation Guidance Education and training Raising Awareness
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15. Protecting the Public Interest
ADVOCACY
Make public statements on public interest matters with accounting, auditing, or tax implications
Promote adoption of a legal framework to strengthen PFM
Promote and disseminate IPSAS
Continuously engage with key stakeholders and public to communicate the benefits of IPSAS
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16. Provide Technical Expertise
Guide government on the development of PFM reform implementation roadmap
Participate on implementation task forces or steering committees
Advise on practical implementation of standards
Support government with enforcement of legal framework to strengthen PFM
Contribute to research and sharing PFM experiences from other countries
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17. Strengthen Public Sector Accountancy Capacity
Enhance /Offer public sector accountancy education, training, and professional qualification
Curriculum reviews amongst accountancy education providers
Partner with public service commission, Accountant General, Auditor General to provide career opportunities and ensure attraction and retention
Identify and engage with government and development partners to build capacity needs Contribute to research and sharing PFM experiences from other countries
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18. Partnering for Success
The Profession
Government
Accountant General
Auditor General
Private Sector
Development partners
Regional organisations
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19. PAAB IN THE ZIMBABWE PFM REFORMS
The PAAB is implementing a project to Strengthen the Capacity of Public Sector Accountancy Professionals in Zimbabwe. The project is funded by DFID through IFAC.
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20. Protecting the Public Interest
Thank You QUESTIONS……..????
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21. Protecting the Public Interest
Acknowledgements
CIPFA
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