The Government of Liberia through the Ministry of Finance has launched the Special National Budget Fiscal Year for a period of six months; from July 1, 2021, to December 31, 2021.
The Revised PFM Law mandates that the government transitions to a full calendar year (January 1 to December 31) with the intent that in the medium to long term plan, the new strategy shall endeavor to mainstream the budget planning process to the development planning process.
Towards this strategy of the new fiscal year that is expected to facilitate a smooth transition to the full calendar year, Finance Minister Samuel Tweah said Liberia’s problem is not that there is lack of money in the country but how the monies generated are being spent.
Speaking at the launch held at the Ministerial Complex in Congo Town on yesterday, Minister Tweah said the government intends to move the country into the tourism sector.
He said citizens will continue to wonder why all these money when the game is not changing therefore the government is also looking into the agricultural sector adding, “You can’t be cooking rice and eating it on the fire; its only greedy people who can do that.”
Minister Tweah said a significant work has happened in the last 18 months wherein the government has not borrowed money from the Central Bank thereby attributing its action to fiscal discipline and pointed out that many people are surprised that the infliction rate has dropped from 30 percent to 11 percent; noting that all the squeeze is intended to stabilize the exchange rate.
He disclosed that young people will work by receiving skills from government for the labor market and that those who are entitled to exemptions will have to pay for services and then we can return their money.
“We are delivering for the people of Liberia. We are fixing roads and education system; those are things we will change. You can’t change government looking over your shoulder and trying to announce results. Be patient enough to go with government and deliver this change,” Tweah encouraged the citizens.
He said partners request for indications regarding procurement standards and compliance in the country’s fight against corruption and urged the public stating, “We are greater together or nothing alone. It is that togetherness that achieves our greatness.”
Meanwhile, over the weekend, the Department of Budget and Development Planning climaxed a three-day planning retreat on the change in the fiscal year focusing the deliberations on the finalization of the detailed budget timetables (calendars) of the Special National Budget and the New Fiscal Year, as well as a comprehensive Sector Working Group engagement strategy, Public Engagement, and training strategy for the department of budget staff.
At the closing ceremony, Deputy Minister for Fiscal Affairs, Dr. Samora P.Z. Wolokolie said the budget department is a trailblazer because it has set the benchmark for the continuation of the budget preparation process and execution process of the national budget.
“Transitioning in the change of government’s fiscal year is a key topic that attracts a number of key technical considerations and one of the attractions come from the setting of the timeline by the budget department,” he stated.
He explained how the accounting plays a very important role because revenue projections that are being made have to match with actual expenditures that are reflected in the fiscal report and government consolidated report.
He emphasized that the Department of Fiscal Affairs and the department of the Comptroller and Accounting General need to start thinking on the transition method since the government uses the International Public Sectors Accounting Standard which specifically speaks to number three of the accounting policy changes in the accounting estimates and errors.