Diese Präsentation wurde erfolgreich gemeldet.
Wir verwenden Ihre LinkedIn Profilangaben und Informationen zu Ihren Aktivitäten, um Anzeigen zu personalisieren und Ihnen relevantere Inhalte anzuzeigen. Sie können Ihre Anzeigeneinstellungen jederzeit ändern.

The Sustainability of Public Finances - Kingdom of Saudi Arabia Perspective

482 Aufrufe

Veröffentlicht am

This presentation was delivered on July 22, 2020. For more information, or to watch the full webinar, please visit: https://www.ifac.org/knowledge-gateway/contributing-global-economy/discussion/securing-sustainable-finances-advancing-global-approach

Veröffentlicht in: Business
  • Als Erste(r) kommentieren

  • Gehören Sie zu den Ersten, denen das gefällt!

The Sustainability of Public Finances - Kingdom of Saudi Arabia Perspective

  1. 1. The sustainability of public finance- supporting Resilient Response and Recovery in the Public finance C2A-KSA
  2. 2. 03 Phase I & II 02 Cash to Accrual (C2A) Project 01 Opening Remarks 05 Covid-19 04 Phase III CONTENT
  3. 3.  Converting to accrual basis is one of the most important tools for enhancing and ensuring the sustainability of public finance.  The conversion itself is an initial step in a journey to have a wholistic structural financial system based on solid foundation (unified standards, policies, and procedures)  Today unique challenges are facing us, with Covid-19 changing the dynamics of the way we do business, should it stop us? Or should we take it as an opportunity to push for a more sustainable public finance (accrual accounting)? Opening Remarks C2A - KSA
  4. 4. Cash to Accrual (C2A) project
  5. 5. CASHTOACCRUAL (C2A) Project Objectives:  Accurate information & financial reports for Decision-making.  Optimal resource allocation.  Promote Comparison & improve financial planning.  Transparency & accountability.  Management of assets & liabilities. Project Governance: Financial Committeeat the RoyalCourt SteeringCommittee Monthly report Technical Committee Executive Committee Decision/SupportQuarterlyreport Decision/Support C2A - KSA
  6. 6. PROJECTCOMMITTEES Develop the general framework, governance, controls, standards and procedures related to counting and valuation of assets and liabilities. Central Committee for counting and valuation of assets and liabilities Contribute to the change management cycle and support the transformation to accrual accounting Financial Managers Committee Review the accounting policies and guidelines in the public sector and ensuring their completeness, suitability , formulation, and applicability. Focus Group Study, evaluate and approve the materials related to the training of human resources working in financial in public sector. Training Committee Study of the International public sector accounting standards, policies, and procedures (IPSAS) Technical Committee Plan and supervise the project in order to achieve its objectives. Steering Committee Believe, Commitment, value added C2A - KSA
  7. 7. 2019 - 2020 2021 - 2022 Preparation with the Government entities Execution and bookkeeping based on the Accrual basis Preparation of the opening account balance and establishing the consolidated financial statements After 2022July 2017 – December 2018 Completed Completed Current Stage Phase II Phase III Phase IVPhase I Financial Position Study of the current status and gap analysis Designing and Planning of the transformation to accrual basis PROJECT PHASES IPSAS Implementation & Covid-19
  8. 8. Phases I & II
  9. 9. 10 workshops over 4 weeks Global Comparison Organize visits to similar project The study of the National Transition Program Initiatives Phase One: Study of the current situation and gap analysis1 Prepare Questionnaire1.2Planning & Preparation1.1 Communicate with the Governmental Sectors 1.4 Asses Current Situation1.3 Phase Deliverables Success factors PHASE ONE: ASSESSMENT OFTHE CURRENT SITUATION IPSAS Implementation & Covid-19
  10. 10. Case Study FieldVisits Technology Operational Model C2A Conversion Experience1 2 3 1 France 2 Austria 3 UK 4 UAE 5 Finland 1 2 China 6 Estonia 1 3 South Korea 7 Turkey 1 4 India 8 Singapor e 1 5 Siri Lanka 9 Australia 1 6 Jordan 1 0 Brazil 1 7 Egypt INTERNATIONAL BENCHMARK C2A - KSA
  11. 11. Adopting a unified chart of accounts Accurately identify the requirements of the transformation Development & training of human resources Focus on the Technical requirements of the Financial System Effective change management Lessons learned 1 2 3 5 6 complete adoption of IPSAS standards7 Establishment of the support center (C2A Center) within MOF4 Mostly were learned from the previous international experiences & the world bank recommendations SIGNIFICANT LESSONS LEARNED C2A - KSA
  12. 12. Technical and business functional requirements of the financial systems Initiatives & RFPs for the accrual accounting implementation. Recommended amendments to the current legislation & regulation Count and valuation of the assets and liability guideline Conceptual framework and public sector Accounting Standards manual Current situation and gap analysis study Unified charts of accounts Policy and procedure Manual Operational Model and Organizational structure of the public financial affairs Strategy and methodology of the accrual accounting implementation Follow up mechanism of the public sectors accounting standards guideline Consolidated financial statements guideline Best Practice Adopt the International Organizations Recommendations Governance & quality assurance PHASETWO: DESIGNING - SUCCESS FACTORS C2A - KSA
  13. 13. Methodologyfull adoption of IPSAS gradual transformation of Governments entities Dependence of transformation by entities, supported by ministry of finance Transformation requirements 4. Communication and support center (C2A center) 2. Effective Change Management Plan 6. Unified Government Resources Planning (UGRP) 8. Partnership with Vision Realization Offices 3. Training Programs 7. Integration of decentralized public entities within the UGRP Implementing Accrual accounting on the entities within the budget Transformation requirements 5. Direct Adoption of IPSAS • Pilot execution ( four Governmental entities) • (Phase3) • (Phase4) Comprehensive transformation plan Transformation Strategy & methodology 9. Partnership with General Auditing Bureau 10. Forming the accounting standards committee 1. High authority support PHASETWO : STRATEGYAND METHODOLOGY OF EXECUTING C2A - KSA
  14. 14. PHASETOW: STRATEGYAND METHODOLOGY OF EXECUTING Timeframe Research the required timeframe in accordance with the analysis of the current situation and gaps, the experience of other countries, and the recommendations of the World Bank Reliance and Correlation Study the reliance and correlation between C2A project and other related initiatives. Comprehensive Roadmap Roadmap should be aligned with the UGRP and Change Management initiatives to facilitate implementation Establishing Roles and Responsibility Establishing roles and responsibility, governance and challenges. • Pilot execution ( four Governmental entities) Comprehensi ve transformatio n plan Transformati on Strategy & methodology C2A - KSA
  15. 15. 20232022202120202019 Phase 3 Execution 1 Roll out – government entities 2 Change management, training and development C2A Stages of GFMIF Change management, training and development Roll-out of GFMIS Setting up the GFMIS Implementation and gradually handling the book keeping on accrual base Pilot - 4 entities (Simulation) Coordinate with governmental entities to prepare and implement C2A project GFMIS Pilot Comprehensive Roadmap... PHASETOW : STRATEGY AND METHODOLOGY OF EXECUTING Cont. • Pilot execution ( four Governmental entities) Comprehensi ve transformatio n plan Transformati on Strategy & methodology C2A - KSA
  16. 16. Phase III
  17. 17. PHASETHREE : Preparation with the Government entities- Simulation of the conversion 1 3 4 2 Change Management assets and liabilities – based on available information Apply the complete accounting cycle Objectives Build the experience-/challenges • Pilot execution ( four Governmental entities) Comprehensi ve transformatio n plan Transformati on Strategy & methodology
  18. 18. DetailedRoadMapand Costing Exercise Theobjective of this exerciseis to havea complete roadmap for each entity and an estimatedcostfor theoverall conversion. DetailedActivitiesand initiatives:objectives,responsibilities,KPIs,expected durationforachievement …etc. The methodologyforidentifyingentitieswithingroupsbasedonthethreestream:accounting,fixed assetsand technology,andclarifiesamethodologyfor distributinggroupswithinthe timeperiodtill 2023. The potentialrisksthathave beendefinedthat would impactthe roadmapand themitigationplan. Estimated costby entity andby stream. Main Risks Detailedconversion initiativeswithaprecise timeline Methodologyforentitiesgrouping – Rollouttimelist Costing PHASETHREE : Detailed Road map and an estimated cost • Pilot execution ( four Governmental entities) Comprehensi ve transformatio n plan Transformati on Strategy & methodology
  19. 19. COVID-19
  20. 20. COVID-19  Priority to the existing operations  Central Payment system  Existing Investment in IT infrastructure  Partnerships -Increase number of licenses  Clear mandates and procedures  Remote access lockdown & social distancing C2A - KSA
  21. 21. Review of the roadmap- yet overall delivery date is fixed Opportunity to conduct workshops with a large number of attendees Reviewing of Existing Manuals Effective communication Working remotely C2A & COVID-19 C2A - KSA
  22. 22. Thank you Questions and discussion