Public Finance Management Act 2016

Comply to avoid penalties: Ngangan

 

This is the warning from Finance Secretary Dr Ken Ngangan, during the announcement of the revised Act in Port Moresby today.

The PFMA 2016 contains wholesale changes to the PFMA 1995 which aims to improve compliance and clearly stipulate functions and procedures dealing with public finance. 

Dr Ngangan said the revised PFMA has set clear guidelines and anyone seen to be circumventing or not complying with the stipulated regulations in the Act will be dealt with accordingly.

Finance Management Act to be announced

The PFMA 2016 replaces the PFMA 1995 following a review spearheaded by the Department of Finance.

The PFMA was amended in Parliament in August 9 this year and will officially come into effect in January 1, 2017.

Earlier this year, Finance Secretary, Dr Ken Ngangan, said a review of the PFMA was to correlate the country’s economy and to ensure Government accountability, transparency and efficiency.

“The systems that were in place 20 to 25 years ago were systems that were put in place to manage about K500 million budget.