1. 1 “APPROACHES TO MAXIMIZE ACCOUNTABILITY,MINIMIZE RISKS, IMPROVE TRANSPARENCY AND REDUCE FRAUD” THE TANZANIAN EXPERIENCE

2. 2 BACK GROUND:  Tanzania like an other developing country faced with a problem of inadequate resources  Govt requires good accountability systems.  Govt required to provide timely reports  In the case of Tanzania relied on Exchequer and Audit Ordinance.

3. 3 PRE-REFORMS ERA  Each MDA had its own accounting units and reporting formats  Monthly/quarterly/semi- annual submitted to Treasury  All reports were untimely  Consequently an impact on accountability of public resources

4. 4 PRE-REFORMS ERA (continues)  MDA had computers which could not promote coordinated information to aid decision making.  Major overdrafts and overspending.  Major misappropriation and theft of public funds

5. 5 PRE-REFORMS ERA (continues)  Govt – unable to honor its obligations  The government had to acquire a system able to provide information and transparency.  There was a need to establish an authoritative and reliable information center.

6. 6 REFORMS  In 1990s- govt embarked on Public sector reforms  Amongst the public service reforms were financial management reforms  Elaborate Financial mgt system was put in place(1998)  The system facilitated disbursement and tracking of funds (IFMS)  Following the adoption of IFMS the PFA was enacted and its regulations.  PFA clearly enhanced the oversight function and clearly defined the responsibility of the key actors in accountability process  PFA enforces the use of the International Accounting standards and best practices.

7. 7 REFORMS (CONTINUES)  PPA was enacted to curb malpractice.  Regulations were put in place for selection and employment of consultants and procurement of goods, works and related services  The legislation introduced procurement by tender.  The CTB has been transformed into Procurement Regulatory Authority

8. 8 REFORMS CONTINUES  Involvement of the parliament  Public entities reporting requirement; –Overall budget strategy –Nature and objective of each main program activities –Assessment of outputs and performance against agreed objectives –A summary of financial results for the fiscal year of the public entity –Plans for the year ahead as approved by the parliament –Provisional plans for two subsequent years.

9. 9 REFORMS continues……  AO are required to establish effective Internal audit mechanism by providing qualified personnel, adequate resources and commensurate independence.  Establishment of Audit committees with full mandate to make an internal oversight of the entities operations.

10. 10 REFORMS (CONTINUES)  NAO strengthened- resources and capacity  NAO scope of audit expanded by PFA to require CAG to carry out financial, Performance and forensic audit  The requires the Minister for Finance to appoint an auditor through a transparent process who shall audit NAO and the report thereof submitted to Parliament.

11. 11 REFORMS - continues  Necessary steps taken to involve general public in the oversight of monitoring  Public is involved in PER reviews  Allocation of public resources are published in the news media on a routine basis.  Strengthening of the anticorruption bureau.  Formulation of the National Anticorruption Strategy.  Awareness campaigns features daily through fliers and news bulletins

12. 12 CHALLENGES  Non adherence or compliance to the legislations.  Establishment of a regulatory framework to be enforced in case of non- compliance.  Recruitment/retention of trained personnel  Getting the public to be actively involved in tracking public finances.  Resistance to change.  Capacity buildings of parliamentarians- sharpen their skills

13. 13 To conclude  Tanzania has implemented reforms to facilitate transparency promote accountability.  We have an elaborate financial Management system backed by a solid legal frame work  Publication of resources allocations and expenditure reports hold the government accountable.

14. 14 To conclude……………..  The involvement of the parliament is another manifestation whereby the electorate through their MP are involved in the monitoring of Public funds.  Therefore a good system which promote good governance is a system that is worth its weight in Gold if it is to run efficiently and effectively  This is achieved by the reduction in transaction cost and a protracted elimination of corruption and corrupt practices.