New Strategic Plan in Place to Strengthen Public Financial Management Reforms

The Ministry of Finance will be increasing its rollout of the Integrated Financial Management Information System (IFMIS), an automated program that supports the management of public sector budgetary, financial, and accounting operations to promote better public financial management.

 

This was disclosed during a presentation of the IFMIS strategic plan for 2021-2025 to key stakeholders.

 

Presenting key result areas to be achieved in the second strategic period, IFMIS Project Manager at the Ministry of Finance, Nega Mengistu said the government is working to transform Public Finance Management (PFM) efficiency, transparency, and accountability.

 

He added that efforts are underway to build the overall capacity to increase institutional and operation coverage of the program to reach an additional 760 sites in various parts of the country.

 

The strategic plan pointed out how IFMIS is contributing to Ethiopia’s macroeconomic stability, enacting public service delivery, improving accountability across budgeting, revenue collection, and expenditure management.

 

According to the Project Manager, during the first strategic period, 2016-2020 IFMIS was rolled out to 156 sites, training was conducted for 14,773 end-users, sufficient internal capacity was built to support the application.

 

Nega further stated that as part of the achievement of the first period 84 percent of the federal government’s budget is currently being managed by IFMIS.

 

IFMIS has also managed over 25 million transactions during the first strategic period, it was learned.

 

Moreover, the strategic plan will enhance the integration of IFMIS with other information systems such as Debt Management and Financial Analysis System (DMFAS), NBE, CBE revenue, and Customs.

 

The successful implementation of IFMIS will enable standard processes across public bodies and regions timely, relevant, and reliable financial data to promote fiscal discipline, assist with resource allocation, and improve operational efficiency and fiscal transparency.

 

While it will also improve the current limitation of financial system support for property administration, fixed assets management, procurement, and payroll, stated ENA.