1. Reorganization of the MOF Treasury System of the Republic of Moldova
PEMPAL TCOP VC
April 18, 2018

2. Presentation outline:
Regulatory Framework for the Reorganization
Changes in the Treasury System Structure
Expanding Remote Provision of Treasury Services
Benefits from the Treasury System Reorganization
Issues and Challenges

3. Regulatory Framework for the Reorganization
Strategy for Public Administration Reform for (Resolution of the Government of the Republic of Moldova #911 dated July 25, 2016)
Resolution of the Government of the Republic of Moldova #696 dated August 30, 2017, on reorganization of the Ministry of Finance
Ordinance of the Ministry of Finance #144 dated November 27, 2017, on service areas for regional treasuries

4. The State Treasury Authority of MOF Cash Management Section
2. Changes in the Treasury System Structure (1)
The State Treasury Directorate of the MOF
(before and after)
The State Treasury
(General Directorate of MOF ) (41 staff)
The State Treasury Authority of MOF
(30 staff)
Cash Management Directorate
Оperations Directorate
Methodology Directorate
Reporting Directorate
Cash Management Section
Operations Section
Methodology Section
Reporting Section
Public Sector Accounting Methodology Section
State Budget Reporting Unit
Cash Forecasting and Management Section
Budget Execution Reporting Section
Administrative Units Reporting Section
Authorization Service
OPEX Section
Treasury System Regulation and Monitoring Section
Operating Revenue Section
National Public Budget Reporting Section

5. Territorial MOF Treasuries (before and after)
2. Changes in the Treasury System Structure (2)
Territorial MOF Treasuries
(before and after)
5 regional MOF Treasuries
(89 staff)
38 territorial MOF Treasuries
(255 staff)

6. The Treasury System Personnel Strength
2. Changes in the Treasury System Structure (3)
The Treasury System Personnel Strength 96 80 41 33 30 30 33 28 17 13 10 4

7. Service Areas of MOF Regional Treasuries (RTs)
2. Changes in the Treasury System Structure (4)
Service Areas of MOF Regional Treasuries (RTs)
MOF-RT North - 13 districts + Beltz
MOF-RT Center - 13 districts + Chisinau
MOF-RT South - 4 districts + Gagauzia ATE
МOF-RT Cahul districts
МOF-RT Chisinau state budget - central government and budget-funded entities from neighboring districts

8. Expanding Remote Provision of Treasury Services
entities submit payment documents electronically with e-signature
electronic current account statements
electronic access to relevant information, reports and statements
entities submit e-statements
Учреждения заключают договора с обслуживающими казначействами на электронные услуги представления платежных документов через модуль “E-docplat”.

9. Expanding Remote Provision of Treasury Services
Automation of transactions for which MOF enters into a contract with commercial bank (“Moldova - Agroindbank” А.О.):
e-transactions with cash in local currency (January 2018)
e-transactions with cash in foreign exchange (testing in progress)
remittances in foreign exchange (testing in progress)

10. Expanding Remote Provision of Treasury Services
Implementation of E-Procurement
Low-value public procurement (МOF, subordinate administrative bodies) – since January 1, 2018
High value public procurement – March 2018
Training – since February 2018 (ministries, agencies. Local governments)
Sistemul de achiziții publice electronice este în proces de definitivare și implementare

11. Expanding Remote Provision of Treasury Services
Green Corridor :
Thermal Energy Complex
Personnel expense
Scholarship allowances
Social benefits payable by employers
Business travel expenses
Grants.

12. Benefits from the Treasury System Reorganization
Public spending optimization
Fewer staff
Fewer paper-based documents
Lower expenditures for entities
Higher wages and salaries
Better quality of treasury services
Faster budget execution
Transparent budget execution
Corruption risk reduced
Сокращение необходимости учреждений приезжать в обслуживающие казначейства

13. Issues and Challenges Reorganization coincided with year-end closing
Layoffs in territorial treasuries
Lack of personnel in regional treasures
Increased workload per public servant
FMIS changes
E-services partially available to entities
Long distance to regional treasuries
Training, advice, workshops