The Public Finance Management Act (PFMA) 2016 will be officially announced tomorrow in Port Moresby.
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.
“Now the same system is managing K10 billion, K12 billion, and K14 billion. You can’t expect a better outcome from the use of the same system. We have to change the system, to suit the changing environment,” Dr Ngangan said.
The announcement of the PFMA 2016 will be held at the Institute of Public Administration with Dr Ngangan and Prime Minister, Peter O’Neil, listed as key speakers.
There will also be launchings of the Association of Government Accountants (AGA) and Public Finance Managers (PFM).
Loop file photo