AKIPRESS.COM - The World Bank Board of Executive Directors approved an allocation of US$10 million to finance the Public Finance Management Modernization Project (PFM-2), which aims to improve the effectiveness and transparency of public financial management in Tajikistan.

The United Kingdom Department for International Development (DFID) is co-financing the project in the amount of US$11 million, bringing the total project cost to US$21 million.

The Public Finance Management Modernization Project-2 will continue supporting the Government of Tajikistan in improving the effectiveness, control and accountability of public expenditure.

The project will support modernization of the automated financial management systems to strengthen the budget planning, budget execution, treasury, accounting and financial reporting functions across government entities. It will also strengthen accounting and financial reporting capacities of selected state-owned enterprises. The project will focus on strengthening the regulatory and institutional framework for public procurement and support implementation of an e-Procurement system.

In addition, the project will help the Chamber of Accounts to develop and implement an appropriate audit methodology to carry out compliance and performance audits. In line with the Government’s E-Government Concept, the project will also provide support in strengthening the regulatory framework for e-Government services in Tajikistan, as well as in developing a pilot of selected e-Government services. The PFM-2 will be implemented by the Ministry of Finance of the Republic of Tajikistan from 2015 to 2021.

The Public Finance Management Modernization Project-2 is designed to complement the efforts and activities carried out under the World Bank-financed Public Financial Management Modernization Project (2010-2015) and Public Sector Reform Project (2006-2011).

These projects helped to strengthen the national capacity in human resources management, budget preparation and execution, improved the automation of financial operations and IT capacity of the Ministry of Finance, and supported the introduction of a Financial Management Information System.