Finance Ministry not working to recover funds lost through state incompetence: AG

The Finance Ministry has not been working to recover lost funds from the state, Auditor General Niyaz Ibrahim has alleged.

Speaking to local media, Niyaz said  the state treasury has suffered huge losses due to incompetence from state employees.

Despite audit reports revealing where money has been wrongly spent, Finance Ministry has not been working to recover the funds, Niyaz told local media.

“We are sending a copy of the audit reports from each institution to the Finance Ministry. We recommend the finance ministry to take action against them in which the ministry is involved.

“However there has not been enough work towards taking action against them, especially in the cases where the incompetence of some employees and other loss,” Niyaz was quoted as saying in local newspaper Haveeru.

The Auditor General said that transactions made against the state finance act and violations of travel procedures in government offices were common issues repeated in the audit reports.

Niyaz added that as some offices are repeating these mistakes, there will be a period of three months whereby the offices have to improve prior to an assessment at the end of the time period.

Cases of incompetence or deliberate acts of fraud resulting in losses of state funds are also being submitted to the Anti-Corruption Commission (ACC) by the Auditor General, according to local media.


Treasury Bills debt stands at over a third of annual budget: report

Government debt accrued through the sale of Treasury Bills to banks and commercial enterprises in the country is estimated to be equivalent to more than a third of this year’s Rf12bn national budget, according to Maldives Monetary Authority (MMA) figures.

Haveeru has reported that at present, Rf5bn of debt has been generated through the MMA’s sale of T-Bills, which are sold frequently to national businesses at interest rates recently set around 4.57 percent, 5.34 percent and 5.53 percent.

According to the report, Treasury Bills have been sold by the government since September 2006 initially as a short-term attempt to settle outstanding national debt.  An estimated Rf1.3bn is expected to be raised through the sale of T-Bills under the current national budget.