Cap. 534 Art. 39Implementation of the approved budget.

(1) In the course of the budget execution, the Ministry for

Finance shall monitor and evaluate regularly the implementation of the approved budget.

(2) In exercising its monitoring and evaluation functions, the Ministry for Finance shall, from time to time, have the right to:

(a) issue any instructions or directives to Ministries, Departments, Public Sector Authorities, Entities and Agencies and Local Councils, as may be deemed necessary in furtherance of Government’s fiscal strategy objectives and targets;

(b) request from Ministries, Departments, Public Sector Authorities, Entities and Agencies and Local Councils, as it may deem fit, any information as may be prescribed.

(3) Ministries, Departments, Public Sector Authorities, Entities and Agencies and Local Councils shall comply with any instructions and directions that may be issued by the Ministry for Finance and shall provide full access and provide all the required information in the format and within the time period as may be prescribed, from time to time, by the Ministry for Finance.

(4) Ministries, Departments, Public Sector Authorities, Entities and Agencies and Local Councils shall have a distinct responsibility to ensure a reliable, transparent and functioning institutional framework that would ensure the integrity of all fiscal reporting systems. For this reason, they shall:

(a) keep proper books of accounts that would provide a fair and true picture of all their revenues and debtors, expenditures and creditors, expenditure commitments, and other contingent liabilities;

(b) follow any prescribed Government accounting policies, principles, procedures and methodologies as may be approved or prescribed, from time to time, by the Ministry for Finance;

(c) ensure the comprehensiveness, integrity, reliability and timeliness in reporting financial data and other information to the Ministry for Finance, the Treasury and the National Statistics Office.

(5) Heads of Ministries, Departments, Authorities and other entities shall ensure full observance and compliance with the statutory and other reporting requirements as provided in this Act or as may be prescribed, from time to time, by the Ministry for Finance, the Treasury and/or the National Statistics Office. Any failure to abide by the provisions of this sub-article and of sub-and economic function.

(7) In July of each year, the Minister for Finance shall compile and lay on the table of the House of Representatives a half-yearly report on the economic and budgetary situation.

(8) The half-yearly report stipulated in sub-article (7) shall, without being limited to, contain the following:

(a) a review of the macroeconomic situation that would include the latest significant changes and trends since the finalization of the annual budget;

(b) an assessment of the impact on the fiscal targets of any changes in the macroeconomic situation;

(c) a presentation of necessary corrective measures being undertaken and/or to be taken to address such impacts;

(d) an explanation of how the implementation of the budget is consistent with the Government’s European commitments, in particular the terms of the Stability and Growth Pact;

(e) data on the general budget revenues, detailed for each category of revenue, indicating the initial forecast, revenues collected in the first six months and an updated forecast for the entire year;

(f) data on the general budget expenditures, detailed by economic and functional classification for each constituent budget of the general government budget, indicating the approved expenditure, the expenditures incurred in the first six months and an updated forecast for the entire year;

(g) data on the budgetary balance of the general government budget (total and primary), indicating the approved program, in the first six months and an updated forecast for the entire year;

(h) data on the absorption of European funds, indicating the approved program, the results achieved in the first six months and an updated forecast for the entire year;

(i) data on all outstanding creditors for the first six months of the year;

(j) data on government debt and financing of the budget deficit;

(k) explanations for any shortfalls in the forecasted revenues and revenue arrears, indicating the measures taken and any planned measures to improve such collection.

(9) The information contained in the half-yearly report referred to in sub-article (7) on the economic and fiscal situation must take on the economic situation and the budget must be presented in a tabular format comparable to those in the annual budget and in the Medium Term Fiscal Strategy. Data should reflect actual data or estimates based on the most recently available data where appropriate.

Revisions