2001年-世界发展银行全球_Mozambique___Country_Financial_Accountability_Assessment_65页_84mb

Mozambique Country Financial Accountability Assessment (CFAA) Summary

Overview

This report, Report No. 25731 - Mozambique Country Financial Accountability Assessment (CFAA), conducted between March and November 2001, evaluates the financial accountability systems in both the public and private sectors of Mozambique. It was carried out by a joint team comprising World Bank staff, government representatives, and donor-funded consultants. The assessment is not an audit but provides an informed and objective evaluation of financial management systems, identifying problems, offering recommendations, and highlighting the level of financial accountability risk.

The main conclusion is that public sector financial management systems in Mozambique are very weak, as evidenced by the Tribunal Administrativo (TA) reports on the General State Accounts (CGE) for 1998 and 1999. These systems require substantial strengthening over several years, with high risks of waste, diversion, and misuse of funds in the interim. The Government and its donors must work together to address these issues and improve financial accountability practices.

Key Initiatives by the Government

• PRSP (PARPA): Approved in April 2001, it emphasizes the importance of economic growth in poverty eradication and outlines six priority areas: education, health, agriculture, basic infrastructure, good governance, and macroeconomic management.
• Public Sector Reform Program (PSRP): Launched on June 25, 2001, it aims to institutionalize transparency, improve service quality, and strengthen democratic participation. It includes two phases:
  • Phase 1 (3 years): Focus on building basic accountability capacity and improving wage incentives.
  • Phase 2 (7 years): Focus on restructuring, reengineering, and decentralization of public services, supported by the Performance Improvement Fund.
• Public Finance Management Law (PFML): Approved by the National Assembly in November 2001, it is a key legal framework for improving financial management practices.

Issues Identified in the Public Sector

Budgeting

• The current budget process is limited to three main documents: the Annual Budget (OGE), the Economic and Social Plan (PES), and the Medium-Term Fiscal Framework (CFMP), which must align with the PRSP.
• The preparation of four documents annually strains technical resources.
• Budgets are incomplete due to the exclusion of significant receipts and payments, especially those from external financing.
• The functional classification introduced in 1998 is too aggregated and fails to show expenditures in priority sectors.
• There is a lack of comparability between budget and actual figures.

Cash Flow Management

• Weak cash flow projections, multiple treasury accounts, and ineffective integration between accounting and cash management functions cause delays in resource transfers to spending agencies.
• The non-availability of counterpart funds often results in project delays.
• A single treasury account (Conta Unia) is recommended, along with the introduction of annual and monthly cash plans.
• Monthly reconciliation of all bank accounts and prompt investigation of discrepancies are also recommended.

Accounting and Financial Reporting

• The government uses a manual, single-entry, cash-based accounting system, which is outdated and lacks transparency.
• The system fails to capture all government receipts and expenditures, especially those involving earmarked funds.
• The DNCP (National Directorate of Public Accounting) has prepared quarterly budget execution reports since 2000, but they do not allow for sector-wise comparison.
• The delay in submitting audited financial statements to the National Assembly (up to 20 months) hinders timely corrective actions and decision-making.

Records Management and Information Technology

• The quality of information storage and retrieval systems is poor.
• There is a need for an overall IT strategy.
• Staff turnover is high due to low remuneration compared to the private sector.

Transparency, Ethics, and Integrity

• The President has condemned corruption as "poisonous and pernicious" and emphasized the need for transparency and accountability.
• A Draft Anti-Corruption Strategy has been prepared by UTRESP, including measures such as a code of conduct, modernization of the notary system, and identity cards for civil servants.
• Recommendations include strengthening the Inspector General of Finances (IGF), the Tribunal Administrativo (TA), and the Attorney General's Office (PGR) to combat corruption and improve transparency.

Oversight Arrangements

• Internal Audit (IGF): Operates under the Ministry of Planning and Finance, applying international auditing standards. However, it lacks qualified staff and needs political and financial support to fulfill its mandate.
• External Audit (TA): Independent audit of government transactions and financial statements is conducted by the Tribunal Administrativo, which is part of the judiciary. Despite its legal powers, it is under-resourced and requires strengthening.
• Parliamentary Oversight (CPB): The Committee on Plan and Budget monitors and reports on the CGE. It is under-resourced and needs technical and financial support to fulfill its role. Study tours to advanced countries and timely follow-up on recommendations are recommended.

Recommendations

• Budgeting: Simplify the number of documents and ensure that the new chart of accounts aligns with the latest budget classifications. Prepare and execute the budget at current prices to improve comparability.
• Cash Flow Management: Rationalize bank accounts, introduce a single treasury account, and implement annual and monthly cash plans.
• Accounting and Reporting: Modernize the accounting system, introduce double-entry bookkeeping, and update financial procedures manuals. Discontinue the complementary payment period and cease non-accounting activities of the DNCP.
• IT and Records Management: Develop an IT strategy, improve information systems, and enhance staff training.
• Implementation of PFML: Promulgate supporting rules, adapt the chart of accounts, and implement a phased modernization plan.
• Anti-Corruption Measures: Strengthen the IGF, TA, and PGR. Enhance transparency, enforce sanctions, and improve public sector ethics.
• Public Sector Reform: Support the Government in restructuring and decentralizing public services, improving wage incentives, and building capacity through training and international collaboration.

Private Sector and Donor Support

• The private sector requires improved accounting and auditing standards, corporate governance, and transparency.
• Donors are shifting from project-based support to sector-wide approaches (SWAps) and budget support.
• The Government's recent initiatives, such as the completion of the PARPA and improved financial management practices, are expected to accelerate this trend.
• The World Bank and other donors are supporting various projects to strengthen financial management systems, including the Public Sector Reform Project, Higher Education Project, and Municipal Development Project.

Conclusion

The CFAA highlights the urgent need for comprehensive reform in Mozambique's public financial management systems. While the Government has initiated several important steps, significant challenges remain in terms of capacity, transparency, and accountability. The implementation of the Public Finance Management Law (PFML) and the introduction of an Integrated Financial Management Information System (IFMIS) are seen as critical steps toward modernization. Donor support and collaboration are essential to ensure that these reforms are effectively implemented and that financial accountability is strengthened across all levels of government.