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Department of Finance Newsletter · Newsletter Issue No.1 February, 2020 Paita presents K1 million...

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2020 Govt Accounts opened, Ngangan Audit Committee launched See Page 03 See Page 02 See Page 04 Secretary Dr Ken Ngangan has announced the 2020 Government accounts are officially opened at the Vulupindi Haus. DR. Ken Ngangan OBE PhD CMA CPA Secretary With the new working year commencing I would like to extend my best wishes to all our staff a happy, successful and rewarding 2020. ough we have just come out of the holiday season, the past weeks have still been busy for the department. We started the year on a sound financial footing and are well-placed to continue to support the Government’s fiscal objectives and public financial management reform agenda. e New Year brings new challenges and opportunities and there is much to be positive about in terms of building further on these reforms. A great deal has been achieved over the past few years in many respects; the improved quality of policy framework and settings, our operational and governance arrangement. All of you have worked hard to support the progress we have made. I encourage you all to give your best to addressing challenges, grasping new opportunities and supporting the Department in delivering Government’s reform and development agendas. With the support of our Minister who provides the requisite political leadership to the Department we have achieved what we have so far. I thank our Minister Hon. Rainbo Paita for his leadership and look forward to his continuing support and also with you all, for a rewarding and successful 2020. Secretary’s Kona 1 Public servants to have five year contract Department of Finance Newsletter Issue No.1 February, 2020 Paita presents K1 million to PAC Minister for Finance and Rural Development Hon. Rainbo Paita has presented K1 million to the Public Accounts Committee at the Vulupindi Haus on Wednesday 22, 2020. On hand to receive the funding was PAC Chairman Sir John Pundari and witnessed by Secretary for Finance Dr Ken Ngangan, PAC secretariat, committee members, Department senior officers and members of the media fraternity. Minister Paita commended Chairman Pundari for the great work that is evident in some of the State institutions currently under investigations. “It is important that we support an established committee in making sure every State institutions are accountable for the funds that they receive from the Government,’’ Minister Paita said. “I am happy to see Sir John heading this important committee and thank the Governor for Northern Province Hon. Gary Juffa who had done a tremendous job in putting some institutions under spotlight. “I want to also thank the Public Accounts Committee members for the work done in the past months under the leadership of Sir John. We are hoping much will be done this year and see how best we can work together as Public Accounts is crucial in the Public Finance Management Act. -CONTINUE PAGE 3 We are hoping much will be done this year and see how best we can work together PM has instructed the Department of Personal Development and Public Service to introduce a 5-year contract for every public servant. Minister for Finance and Rural Development Rainbo Paita presenting the cheque to PAC Chairaman Sir John Pundari. Department of National Planning and Monitoring has officially launched its Audit Committee
Transcript
  • 2020 Govt Accounts opened, Ngangan

    Audit Committee launched

    See Page 03See Page 02 See Page 04

    Secretary Dr Ken Ngangan has announced the 2020 Government accounts are officially opened at the Vulupindi Haus.

    Dr. Ken Ngangan OBE PhD CMA CPA Secretary

    With the new working year commencing I would like to extend my best wishes to all our staff a happy, successful and rewarding 2020. Though we have just come out of the holiday season, the past weeks have still been busy for the department. We started the year on a sound financial footing and are well-placed to continue to support the Government’s fiscal objectives and public financial management reform agenda.The New Year brings new challenges and opportunities and there is much to be positive about in terms of building further on these reforms. A great deal has been achieved over the past few years in many respects; the improved quality of policy framework and settings, our operational and governance arrangement.All of you have worked hard to support the progress we have made. I encourage you all to give your best to addressing challenges, grasping new opportunities and supporting the Department in delivering Government’s reform and development agendas.With the support of our Minister who provides the requisite political leadership to the Department we have achieved what we have so far. I thank our Minister Hon. Rainbo Paita for his leadership and look

    forward to his continuing support and also with you all, for a rewarding and successful 2020.

    Secretary’s Kona

    1

    Public servants tohave five year contract

    Department of Finance

    Newsletter Issue No.1 February, 2020

    Paita presents K1 million to PAC

    Minister for Finance and Rural Development Hon. Rainbo Paita has presented K1 million to the Public Accounts Committee at the Vulupindi Haus on Wednesday 22, 2020.On hand to receive the funding was PAC Chairman Sir John Pundari and witnessed by Secretary for Finance Dr Ken Ngangan, PAC secretariat, committee members, Department senior officers and members of the media fraternity.Minister Paita commended Chairman Pundari for the great work that is evident in some of the State institutions currently under investigations.“It is important that we support an established committee in making

    sure every State institutions are accountable for the funds that they receive from the Government,’’ Minister Paita said.“I am happy to see Sir John heading this important committee and thank the Governor for Northern Province Hon. Gary Juffa who had done a tremendous job in putting some institutions under spotlight.“I want to also thank the Public Accounts Committee members for the work done in the past months under the leadership of Sir John. We are hoping much will be done this year and see how best we can work together as Public Accounts is crucial in the Public Finance Management Act. -CONTINUE PAGE 3

    We are hoping much will be done this year and see how best we can work together

    PM has instructed the Department of Personal Development and Public Service to introduce a 5-year contract for every public servant.

    Minister for Finance and Rural Development Rainbo Paita presenting the cheque to PAC Chairaman Sir John Pundari.

    Department of National Planning and Monitoring has officially launched its Audit Committee

  • 2

    Secretary Dr Ken Ngangan (pictured) has announced the 2020 Government accounts officially opened at the Vulupindi Haus.The Accounts have opened on January 6 this year according to Dr Ngangan as this will allow smooth flow from 2019 to 2020 financial year.Dr Ngangan said in the previous years the accounts opening takes place around March and this has changed last two years. It is an achievement for us as the Department responsible for the government accounts.“We had a hard close of accounts in 2019 and thanks to Minister for Finance and Rural Development Rainbo Paita who led the close of accounts well,’’ he said.“This was a quick turnaround as we now open the 2020 financial year.“Government accounts are now ready for use and the Treasury Department can issue warrants to government

    agencies, provinces and government

    business should kick off. There is no excuse for public servants to delay coming to work,’’ he said.As soon as the Treasury Department starts issuing warrants, funds will start flowing into provinces and districts and public service work to start.IFMS has been the success of the quick accounts opening in 2020. “I would like to also mention that all 2019 cheques can still be in use this year. I have notified the commercial banks not to reject 2019 cheques and it’s valid for 12 months.Meanwhile, Minister Paita applauds senior management and staff that stayed behind during the shutdown period to ensure successful close and opening of accounts was done in time.

    Ngangan announces2020 accounts open

    One of the completed house at Tokarara. Inset: (L-R) Nelly Atasoa (Project Manager), Gibson Gotaha (Housing Project participant), and Chris Kandaro (Assistant Project Officer) during site inspection at Gibson’s residence at Tokarara Sub-Division.

    Free up state land, says Marape Decent accommodation is a basic need for everyone in our country which public servants are no exception. Many public servants are having difficulty owning a first home and this has been an ongoing problem faced throughout the country. Even though accommodation is not a condition of employment for public servants, it is the sole responsibility of the employer to provide incentives and opportunities. Prime Minister James Marape said this during the Public Service Dedication Service that he has issued instructions to Lands and Physical Planning Minister to idenity and free up state land for public servants to build houses. On that note the Department of Finance under my leadership has decided to embrace home ownership scheme, Dr Ngangan said.This is not a new program and has been managed by the Department well before my time and all we are doing is to ensure scares resources are well managed and fairly distributed to hardworking officers who have

    been loyal and have contributed a lot in public service, This is to make sure when they retire they will have a shelter and that will reduce some of the stress that they will be encountering after their work life. Although resources are scarce but will try our very best to provide that support to our staff and it must be seen as a provision of incentives and not a condition of employment that can be provided to everyone. We are also working in partnership with Department of National Planning and Monitoring to embrace the government agenda of National Affordable Land and Housing Project which many of our staff will also benefit and that will also eventually reduce the huge pressure that is on our back as a Department. Site work is progressing well and I believe the first lot of participants will be announced soon by the Government through the National Planning project office.Incentives will be provided by this government and therefore public servants are encouraged to give their best in work performance.

    Providing prudent PFM system for sustainable PNG News & Reviewwww.finance.gov.pg

  • 3

    Providing prudent PFM system for sustainable PNG News & Reviewwww.finance.gov.pg

    FROM PAGE 1

    “It is our responsibility as the Finance Department to make sure timely funding is given and we will continue to support the great work that the team is doing to bring some issues under spotlight. He said we want to give the public confidence that all state institutions will be accountable for all the funding that is given.’’PAC Chairman Sir John thanked the Government through the Ministry and the Finance Department for making K1 million available to the Committee.He said this is unprecedented which shows the commitment this government has under the leadership of Marape-Government in supporting Parliamentary Accounts Committee.“This is the first time the government has recognised the significance of a Parliamentary Accounts Committee. This funding will be used to address issues surrounding us in conducting inquiry into institutions,’’ he said.He also thanked Secretary Ngangan, Department of Finance staff for the great work in supporting Minister Paita and the Ministry.

    Pundari acknowledges Finance department

    Dept pledges support for Planning’s Audit Committee The Department of Finance is glad that the National Planning and Monitoring Department has finally come on board to have an audit committee which was launched on 25 of February, 2020.Finance Secretary Dr Ken Ngangan thanked the Planning Minister, Secretary and the team for the effort to see this committee successfully launched and vows to support them.‘‘That demonstrates confidence in your management in terms of good governance, risk management, sound internal control of transparency and accountability,’’ he said.‘‘Having an Audit Committee in the Department and its function removes a lot of criticism that come our way“It gives confidence to people that we are doing the right thing. We will work together to see this effective and it is our responsibility to provide relevant information subject under scrutiny. ‘‘With that I look forward to working with you all to make sure that audit committee functions in the National Planning and Monitoring Department.’’National Planning and Monitoring Acting Deputy Secretary (Programming and Monitoring) Loia Viara said it is a milestone achievement for the

    Department as our Department is a central agency where we lead in planning, policy making and development of the capital investment budget is such an important part of the process that we take it internally.‘‘There is a high level of expectations at the political level to deliver the capital budget effectively, efficiently so that we can bring the services down to our people and the only way forward is to ensure we have this process to make sure there are control mechanisms in place,’’ she said.‘‘The reasons why we establish this committee is to provide objectives inside on the implementation of the investments, evaluates the risk involve in the operations, access the control mechanisms, and compliance to our laws and regulations.’’She said in terms of strengthening this going forward we have the audit team working on the structure and we have a division of its own. We are increasing manpower and allocated budget for as part of our monetary aspects of things.’’She said with the leadership of our secretary and his determination we are so pleased to have this launched today.PAC Chairman Sir John Pundari

    (L-R) Planning and Monitoring Acting Deputy Secretary (Planning and Monitoring Wing) Loia Viara, Finance Secretary Dr Ken Ngangan and Auditor General Gordon Kega durinng the launching of the Audit Committee.

  • ‘Public servants to have five year contract’

    4

    Prime Minister James Marape has instructed the Department of Personnel Management to introduce a 5-year contract for every public servant.PM Marape revealed this at the public service dedication service on Friday 31, January. He said every public servant down to the lowest staff, must be attached to a contract.“Currently only the departmental heads are linked to contracts and they come in and go but the body and mass of public servants remain below the radar of scrutiny.PM Marape called on DPM to take stock of general orders and have every public servant attached to a key performance indicator based-system contract.“I’m proposing a five-year contract term for every public servant to the lowest officer we

    have in our system.“Every public servant right across will have a contract-based attachment to the state and in the term of your contract.“If you are not delivering consistently, then you will not be kept anymore in the public service,” Prime Minister said.PM Marape urged every public servant to take note of what they’ve accomplished and have planned for this year and make every effort to achieve these goals.

    Prime Minister James Marape speaking at the public service dedication service.

    Prime Minister James Marape has launched the annual 2020 operational plans for all departments and state agen-cies on Friday, 31 January, 2020.The launch coincided with the annual public service dedication service at the Sir John Guise Stadium indoor complex.The dedication service was attended by ministers, department heads and chief executive officers of the statutory bodies, and public servants.Prime Minister Marape challenged all public servants to deliver what they had planned for this year.“By the end of this year, if you do not achieve what you have planned, then you might as well resign,” he said.

    PM Marape made it clear his government will not entertain complacency, corrup-tion, inefficiency and ineffectiveness in the system and called on all public ser-vants to take note. “I have claimed success and productivity, not complacency and corruption. “Success or failure of our country up till today has been the aggregate of the contri-butions of politicians and public servants because we are the lot consuming over 60 per cent of our country’s budget available since 1975,” he said.“The future of this country is in our hands as public servants. There must be a sense of awakening, of consciousness, a sense of emotional attachment to our country for

    it has looked after our public service well so far,” PM said.

    PM Marape launches 2020 work plan

    If you are not delivering consistently, then you will not be kept anymore in the public service.

    Providing prudent PFM system for sustainable PNG News & Reviewwww.finance.gov.pg

  • 5

    Parlt passes Whistleblower Bill 2020

    IFMS system benefical, despite challengesThe Integrated Financial Management System (IFMS) will hold government departments accountable and transparent, says Finance Minister Rainbo Paita.‘’A plan was set out by the Finance Department and was endorsed by the Government in 2015 to roll out the IFMS and it was pilot in six provinces,’’ he said.‘’I know there are challenges as the system needs internet access and electricity to function.‘’There are infrastructure that we can build before

    rolling out the IFMS. We can also see where we can customize the system to fit our needs.’’Paita said people should view the IFMS not only on the challenges but also on the positive side of it.‘’We are adjusting to a new system but I know there are challenges, but with this system in place, there can be accountability and transparency,’’ he said.‘’You can access information online on every Government Department.’’ -The National

    The proposed Whistleblower Bill has been passed by the members of the Parliament during the recent season this month.Minister for Finance and Rural Development and Leader of Government Business Rainbo Paita thanked Minister for Justice and Attorney General Davis Steven on passing the proposed Bill successfully. Mr Paita said Commission Against Corruption (ICAS) is an approved authority and once authorised, an employee can make disclosure to ICAC for an impropriety that constitute a corrupt conduct for investigation. Mr Steven said; “This proposed Bill is a conduit for employees that note suspicious improprieties to make protected disclosures in accordance with relevant disclosure channel.’’Mr Steven said the concept of whistle blowing of impropriety is not a new concept. “This Bill is a modest approach in establishing protection mechanisms for employees”, he said. “It is important to note that this Bill

    is not the only solution to addressing the issue of corruption, rather, a piece of the anti-corruption system that will encourage a culture of accountability and transparency.’’He said the proposed Bill is designed to provide for employees to report suspected improprieties in workplace and protect employees who make protected disclosures from occupational detriment; and provide remedies to employees who suffer occupational

    detriment having made protected disclosures. He said under this proposed Bill, employees now have an avenue to disclose any suspicious impropriety within their workplace in terms of a criminal offence, failure to comply with a legal obligation, a miscarriage of justice, endangering the health and safety of an individual, environment damaged, unfair discrimination and deliberately concealing any conduct.

    Hon. Minister Rainbo Paita speaking during the Parliament session recently.

    Providing prudent PFM system for sustainable PNG News & Reviewwww.finance.gov.pg

  • 6

    nNew Officers Induction

    nWebsite Launching

    nExecutive Management Retreat

    nPFM/DFM Regional Workshop

    nR & R Exercise- Southern/HQ & NGI

    For any stories or events contact the Communications & Reporting Branch at OSD...

    Up Coming Events Dept focuses on improving servicesThe Department of Finance is focused on improving delivery of services in PNG through the implementation of the Integrated Financial Management System (IFMS). IFMS is an important tool for financial management and is part of reformation of the Government Accounting System, Finance and Rural Development Minister Rainbo Paita said.Six provinces have been chosen to pilot the project and other provinces.’’Minister Paita said integrated financial management system shares certain core components such as Accounting, PSIP/DSIP management, and Information System.“These components are integrated together in financial management system in terms of accountability and transparency in service delivery”, he said. The Government at the time were looking at integrating the entire government financial system, not just having system that were isolated and operating but to have more holistic integrated government system. There was a plan set out by the department and endorsed by the then government in 2015 to have the IFMS rollout. “The members will appreciate the big issues like corruption and transparency that will provide visibility to our account”. “Many of the District Finance Officers and Provincial Finance Officers, when we ask for the reports they don’t give us the reports on time”. “With the advantage of having IFMS system, you can check through the system, it is a user friendly.’’“From the district level up to the national level you can access to see the implementation of your funds that you get through the district.’’ The biggest issue was that the issue of having a transparent system that is accountable to reporting. That was the reason why the IFMS was rolled out to have system connected. “I think it needs some holistic approach because implementing the IFMS on the ground is one and IFMS will need other

    infrastructure such as electricity, and internet connection”. “Some of the districts where there is no electricity is quite difficult because IFMS depends on internet”. He said one of the districts has raised concern on electricity to have internet connection but we can use our DSIP and PSIP to have it connected. “The most important thing to rollout the IFMS is the training of officers both at national and sub national level,’’ he said.“Just like my district many of the officers don’t know basic computer skills, it is time to up skill those officers through the rolling out of the IFMS system. “The Department of Finance is looking at ways to improve those issues.“We are working with the vender who is responsible for the IFMS system so that we can customise the system”. “Many of the districts we don’t set up the district tenders board yet, we are procuring below K500,000. “Once those District tenders board are establish will procure according to the district budget. “Holistically the system is good and accountable. “With this system, there is a controlled mechanism in place. “It is a mechanism and infrastructure that is failing and we need to find solutions to it. “We have limited budget to rollout the IFMS in the country and I will talk to the Treasurer to assist us with some funding to rollout the program”.

    From the district level up to the national level you can access to see the implementation of your funds that you get through the district

    Providing prudent PFM system for sustainable PNG News & Reviewwww.finance.gov.pg


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