The Ministry of Finance has claimed that civil government’s expenditure has reduced by Rs9 billion in the first quarter of the current fiscal year (2019-20) compared to the same period of the last fiscal year (2018-19), a private news outlet has reported.
According to the reports, in order to revamp the entire Public Financial Management System, Finance Division has presented the Public Finance Management (PFM) law which has been approved and enacted.
Moreover, this law has reportedly put several controls and monitoring mechanisms on federal spending units, the cabinet, and the parliament. The committee under the PFM Act will oversee the implementation and secondary legislation has been notified. Finance Division is working on the introduction of pre-audit and internal audit systems within ministries.
Reports further reveal that the Treasury Single Account (TSA) policy and framework have been approved and recently, the Fiscal Advisory Department of IMF [International Monetary Fund] extended technical facilitation to achieve structured implementation of TSA which revolves around efficient cash management, treasury management, and debt management.
Finance Division is also reportedly involved in the working of the Task Force on Restructuring of the federal government where realignment of federal entities is underway leading to merger, liquidation, and retention of selected entities.