The Center For Transparency And Accountability in Liberia (CENTAL) described audit findings from the General Auditing Commission (GAC) as troubling.
The GAC findings, according to CENTAL, show continuous gross weakness in government’s revenue collection and financial management systems and processes.
At Wednesday’s September 10 news conference in Monrovia, CENTAL Executive Director, Anderson Miamen, said similar audit of the government consolidated account financial statement in previous years have shown even “worrying trends.”
Miamen indicated that national government is not doing enough to break away from the ugly past in some areas, and said there is urgent need for attention.
He said the audit, amongst many other things, revealed inadequacies in systems for revenue collection, disbursement without supporting documents, and the inability to disburse funds as allotted in the national budget to institutions and sectors providing critical public services, such as health and education.
He spoke of key GAC’s audit report that included the Liberia Revenue Authority (LRA), which Mr. Miamen said, did not expand its revenue reporting software (ASYCUDA and LITAS) to rural collectorates, which would ensure greater transparency of tax system and reduce the likelihood of corruption.
He said there is a gap in efficient revenue generation, which is compounded by the lack of adequate personnel deployed by LRA at rural tax collection centers, a finding validated during one of CENTAL’s engagements with stakeholders in Gbarnga, Bong County.
Mr. Miamen said the GAC audit report also revealed that over US$2.8 million was disbursed by the Ministry of Finance and Development Planning (MFDP) exceeding what was approved through the national budget.
“We see this revelation by the audit as very concerning especially so that this administration has been previously accused for disregard of the budget and the Public Financial Management (PFM) Laws by spending off-budget with zero approval from the national legislature,” Mr. Miamen said.
He further said that the audit report states that there is an under disbursement of approved appropriations in the national budget in the tone of US$78,289,600, which affected a total of 106 ministries and agencies.
“The report also revealed that eleven State-Owned Enterprises (SOEs) assessed to have paid US$ 10,160,233.98 as income tax, but made a payment of US$5,669,672.88 far less than what was required to be paid, thus leading to substantial revenue loss.
“These observations leave one to wonder as to whether government’s desire to increase resource mobilization is commensurate with commitments from agents of the government,” Mr. Miamen noted.