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The Ministry of finance has in the 2022 Fiscal Report outlined measures to curb sports financing and control budget overruns.
These measures primarily focus on limiting sports financing and controlling expenses related to overseas travel and procurement.
The Ministry aims to streamline expenditures and ensure responsible financial management across all government departments and agencies.
To begin with, the Ministry recommends restricting sports financing to international football competitions while closely monitoring the size of delegations.
Friendly football matches will be temporarily put on hold until July 2023. This step aims to rationalize spending and avoid unnecessary expenses associated with non-competitive events.
Regarding overseas travel, the Ministry suggests that only approved statutory travel be considered, subject to the availability of funds within the respective departments and agencies (MDAs).
The Ministry of Finance emphasizes the need for careful evaluation and approval to minimize excessive delegation sizes that may lead to the wastage of resources.
Furthermore, the Ministry acknowledges the significant variation in air ticket prices submitted for reimbursement.
To rectify this inconsistency, the Accountant General’s Department (AGD) will be tasked with establishing a price cap or harmonizing airfare rates.
This measure seeks to standardize expenses and eliminate irregularities in air ticket costs.
To centralize the procurement of air tickets for government officials attending statutory meetings, the Ministry of Finance or the Accountant General will create a dedicated account with sufficient funds.
This centralized approach aims to enhance efficiency and ensure consistent practices when acquiring air travel arrangements.
Additionally, the Ministry plans to strengthen the Cash Management Committee to provide accurate data for informed decision-making during the budget execution process.
The focus will be on aligning commitments with available funds to reduce the accumulation of arrears. In light of fluctuating contract prices for goods, works, and services, the Ministry of Finance will activate the Contract Management Committee (CMC) to address these issues and offer valuable advice to the Ministry’s leadership.
To facilitate smooth budget execution, all MDAs are expected to adhere to the newly developed arrears clearance strategy. This strategy serves as a guideline for effective financial management and aims to improve the overall execution of budgets within government entities.
In a notice issued by the Ministry of Finance, all Subvented Agencies (SVAs) have been instructed to halt any expansions, including recruitment or salary increases for existing staff, until July 2023. Similarly, all Ministries, Departments, and Agencies (MDAs) are required to suspend the procurement of furniture and fittings for the time being.
These measures seek to curtail unnecessary expenditures and align spending with budgetary constraints.
With the implementation of these measures, the Ministry of Finance aims to enhance financial control, curb budget overruns, and promote responsible spending across government entities.
By prioritizing effective budget execution and optimizing resource allocation, the Ministry seeks to achieve fiscal stability and ensure efficient financial management at all levels of governance.
