Final Draft Report- Assessment for Accountin Fin &Audit-YOBE

St.Tade

Informations

• Publié par: Suib
• Nombre de lectures: 56
• Langue: English

Extrait

European Development Fund
Federal Government of Nigeria
National Planning Commission
Support to Reforming

Institutions Programme



DETAILED NEEDS ASSESSMENT
FOR ACCOUNTING
FINANCIAL CONTROL AND AUDIT
SYSTEMS IN YOBE STATE-
NIGERIA
Facilitating Consultant Report



TRANSTEC

in consortium with:
ATOS Origin/Crown Agents/CDD/Solace




EXTERNALISED DIRECT LABOUR OPERATION

GLOBAL FINANCIAL COMMITMENT No (9ACP UNI 007)

SUPPORT TO REFORMING INSTITUTIONS PROGRAMME













DETAILED NEEDS ASSESSMENT FOR
ACCOUNTING FINANCIAL CONTROL AND
AUDIT SYSTEMS IN YOBE STATE-NIGERIA
Consultant Report













Prepared by Andrew Oliko &
Adeleke Fakayode







This report is financed by the European Commission and is presented by Transtec SA for the
National Planning Commission and the European Commission. It does not necessarily reflect the
opinion of the National Planning Commission and the European Commission.

SRIP Consultant’s Report Number 2
SUPPORT TO REFORMING INSTITUTIONS PROGRAMME

Table of Contents

Abbreviations/Acronyms…………...……………………………………..………………..……….5
Acknowledgement….……………………………………..………………..……………………….5
Executive Summary ..……………………………………..………………..……………………….6
1.0Introduction…..…………………………………………………………………………………9
1.1 Background…..……………………………………..………………..……………………….9
1.2 Objectives….…………………………………………………..……..………………………9
1.3 Structure of the report…………………………………………………...……………..……..9
2.0 Methodology…………………………………………………………………………..……..10
2.1 Document Review ……………………………………………………………………….....10
2.2 Meeting with Staff……………………………………………..… ……………………..….10
2.3 Questionnaire…………………………………………………………..……………..……..10
2.4 Meeting with the State Governor/ De briefing of State officials……………………………10
3.0 Outputs…………………………………………………………………………….………...11
3.1 Overview of Treasury Operations………………………………………………………..….11
3.1.2 Sources of Revenue (Cash Inflow)……………………………….……………………..11
3.1.2.1 Operating Activities…………………..……………………………………………….12
3.1.2.2 Investing Activities………………….…………………………………………….......12
3.1.2.3 Financing Activities………………………………………….……………………......13
3.1.3. Treasury Findings/Observations…………………………….………………………….13
3.1.3.1 Internally Generated Revenue (IGR) performance from 2002 - 2006 ..………….…..13
3.1.4. The Root Cause of Leakages and Wastages in Yobe State PFEM system……………..14
3.2 An Overview of Accounting Process and Procedures..……………………………………...15
3.3 Review of Components of Accounting…………….....…………………………………… 16
3.3.1 Accountant General’s Office ……..……………………………………………………. 16
3.3.2 Accounting & Monitoring: Findings/Recommendation.………………………………...17
3.3.3 Bases of Accounting ...………………………………………………….……………….17
3.3.4 Charts of Accounts………………………………………………...………………….….18
3.3.5 Books and Documents………………………………………………………..……….....18
3.3.6 Accounting for Treasury operations in Yobe State..……………………..……………...19
3.3.7 Financial Statements...………………….………...……………………………………...19
3.3.7.1 Partial Compliance with FAAC Standard Financial Statements…...………………….20
3.4 Auditing and Reporting Practice in Yobe State ………………………………………….......21
3.4.1An Overview…..……………………..……………………………………………………..21
3.4.2 The Need for Audited Annual Accounts & Financial Statements..….…………………….22
3.4.3 Administrative Structure, Focus and Operational Procedures of the Auditor General……22
3.4.3.1 Government Accounts Audit…………………….……………………………………...20
3.4.3.2 Project Verification, Monitoring and Evaluation.……………..…………………..........22
3.4.3.3 Personnel, Management and Finance…………………………………………………...22
3.4.3.4 Audit of Boards and Parastatals………………………………………………………...22
3.4.4. Audit observations and Recommendations……………………………………………....23
3.5 Controls………………………………………………………………………………………..24
3.6 The Roles of the Accountant General and the Auditor General in the entire budget process24
4.0 Synthesis/Conclusions……………..……………………….……………………………… 25
5.0 Recommendations and Follow up….……………………………...…………………….….26
6.0 Annexes,Tables, Figures,Boxes and Appendices…..………………………..……………..28

SRIP Consultant’s Report Number 3
SUPPORT TO REFORMING INSTITUTIONS PROGRAMME

Annexes
Annex 1 Terms of Reference
Annex 2 List of Documents Referred To
Annex 3 List of Persons Met

Tables
Table 1 Comparative Review of Personnel Cost and internally Generated Revenue 2001-2006
st
Table 2 Statement of Consolidated Assets and Liabilities As At 31 December, 2001-2005
stTable 3 Statement of Consolidated Revenue As At 31 December, 2001-2005
st
Table 4 Statement of Consolidated Capital Development Fund As At 31 December, 2001-2005
Table 5 Comparative Review of Payroll, 2004-2005
Table 6 Comparative Review of Final Accounts and Budget Performance Reports, 2004-2005
Table 7 Comparative Review of Final Accounts and Inland Revenue Records, 2004-2005
stTable 8 Yobe State Revenue Profile As At 31 Dec., 2002-2006

Figures
Figure 1 Graph of Yobe State Budget Profile, 2001-2005 (N’000)
Figure 2 Graph of Yobe State Revenue Profile, 2001-2005
Figure 3 Organizational Chart of Ministry of Finance, Yobe State
Figure 4 Comparative Review of Personnel Cost and Internally Generated Revenue

Boxes
Box 1 Questionnaire No. 1 for Permanent Secretary, MoF, Yobe State
Box 2 Questionnaire No. 2 for Permanent Secretary, MoF, Yobe State
Box 3 Questionnaire for State Auditor General, Yobe State
Box 4 Implementation Action Plan 1
Box 5 Implementation Action Plan 2
Box 6 Implementation Action Plan 3

Appendices
Appendix 1 Consultants’ Work Plan/Meeting Time Table
Appendix 2 Accounting and Monitoring Checklist








ii
SRIP Consultant’s Report Number 4
SUPPORT TO REFORMING INSTITUTIONS PROGRAMME

Abbreviations/Acronyms

ACG Accountant General NPC National Planning Commission
AG Auditor General NEEDS National Economic Empowerment
BIR Board of Internal Revenue Development Strategy
CAC Corporate Affairs Commission OACG Office of Accountant General
EC European Commission OAG Office of Auditor General
EU European Union OACGF Office of the Accountant General of
DFA Director Final Accounts The Federation
DT Director Treasury PAC Public Accounts Committee
FMS Financial Management System P.A.YE Pay-As-You-Earn
FAAC Federation Accounts Allocation PFEMS Public Finance and Expenditure
Committee Management System
HM Her Majesty, the Queen of England PEM Public Expenditure Management
ISAS International Statements of Accounting PRSP Poverty Reduction Strategy Paper
Standards PS Permanent Secretary
IGR Internally Generated Revenue SEEDS States Economic Empowerment
IFAC International Federation of Accountants Development Strategy
IPSAS International Public Sector Accounting SFRP Strategic Forecast Revenue Plan
Standards SHA State House of Assembly
JTB Joint Tax Board STU State Technical Unit
MDAs Ministries Departments and Agencies SRIP Support to Reforming Institutions
MDGs Millennium Development Goals Programme
M&E Monitoring and Evaluation STB State Tenders Board
MoF Ministry of Finance Yobeans Indigenes of Yobe State
MoBP Ministry of Budget and Planning YOSERA Yobe State Economic Reform Agenda
MTEF Medium-Term Expenditure Framework YSTB Yobe State Tenders Board
MTSS Medium-Term Sector Strategy





Acknowledgement

The Consultants would like to thank the Programme Director, State Coordinator and the staff of
SRIP Programme Yobe State for providing the enabling environment for this review. The support
generously extended to the Consultants by the Permanent Secretary, MoF, the State Auditor
General, the Deputy Accountant General, the Director (Budget) and the Director (Planning) Yobe
State is hereby acknowledged.


Andrew Oliko
Adeleke Fakayode
SRIP Consultant’s Report Number 5
SUPPORT TO REFORMING INSTITUTIONS PROGRAMME

Executive Summary
1.0 Introduction
This report is one in a series of interventions by Support To Reforming Institutions Programme
(SRIP)/European Commission (EC) to support the on-going pro-Millennium Development Goals
(MDGs) reform agenda of the Federal and State Governments of Nigeria. In line with the
underlying objectives of the assessment, the review focused on the Accounting, Auditing, Control
and Monitoring aspects of the State’s Treasury operations.

The exercise covered the State’s Ministry of Finance with concentration on the organization and
functions of the office of the State Accountant General. Also, the office of the State Auditor
General received large attention during the review.