29th June 2021, Skopje – Implementation of reforms and strengthening of the legal framework and the financial management and control mechanisms in the public sector, will contribute to creating improved system, public administration reforms, as well as and successful implementation of the measures aimed at combatting corruption. This was underlined at the conference held on 29th June, attended by Deputy Prime Minister in charge of fight against corruption and criminal, sustainable development and human resources Ljupco Nikolovski and Minister of Finance, Fatmir Besimi, covering the topic “Supporting Accounting and Auditing Developments and Synergies”, organized by the Chartered Institute of Public Finance and Accountancy – CIPFA from Great Britain and the Centre of Excellence in Financed, based in Slovenia.
Deputy Prime Minister Nikolovski pointed out that fight against corruption and crime is also among the key priorities of the Government and a result, Plan for Fight against Corruption has been prepared and adopted for the first time, including systemic measures for profound reforms in the society.
“North Macedonia stood firm and determined, through its institutions, in detecting weaknesses and fight this evil, via uncompromising and non-selective actions. Some of the measures we are undertaking as a Government are aimed at devising systemic solutions, thus providing for prevention of corruption and ensuring transparency when spending the public funds. Public fund management should be geared towards meeting the needs of citizens and rational spending of the budget funds”, Deputy Prime Minister Nikolovski pointed out.
At the conference, Deputy Prime Minister Nikolovski presented one part of the Government’s Plan for Fight against Corruption, as regards the public procurement, digitization of the processes, preparation of Draft Law on Origin of Property, and increasing the level of transparency.
Minister of Finance Besimi underlined that now is the right time to step up the intensity of financial management and control activities related to the budget cycle, in all its phases: planning and projecting, programming, financial plan preparation, execution, accounting and reporting.
All this should be underpinned by having a strong and independent audit process in place, which will provide feedback on the executed expenditures, as well as the results of the implemented programs, i.e. the respective activities and projects.
“Adoption of the new Budget Law, as well as the new Law on Internal Financial Control System in the Public Sector, pending parliamentary procedure, are expected to provide for the required legal framework so as to implement the reform steps in the public financial management system in the Republic of North Macedonia. By regulating the overall budget process, i.e. the procedure for budget preparation and adoption, budget execution, annual statements, as well as the reporting system, we plan to contribute to the development of the internal financial control system, which is a rather extensive process, to also play a significant role in carrying out the reforms in the field of public administration, as well as the measures aimed at combatting corruption.” – Besimi said. Besimi also announced reforms in the field of budget accounting, according to which, expenditures will be recorded when a transaction occurs in the reporting period, rather than when payment is made, whereby revenues will continue to be recorded when being collected. Such recording concept will provide for more realistic and up-to-date monitoring of budget users’ arrears, which principle will be also applied in the State Treasury by implementing the new Financial Management Information System.
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