SoEs to prepare monthly performance reports
Tuesday, 25 December 2007
Shakhawat Hossain
The government has decided to ask the state-owned enterprises (SoEs) to prepare monthly performance reports aiming to assess their updated financial condition.
The decision was taken at a budget review meeting by the Ministry of Finance (MoF) early this month. The move is being taken as per suggestions by the International Monetary Fund (IMF) and the World Bank (WB), sources said.
Chaired by MoF secretary Mohammad Tareque, the meeting decided to introduce the 'flash report' for the SoEs, which will show their updated financial condition. The move aims at maintaining better fiscal discipline in the SoEs, sources added.
The monitoring cell that oversees the financial operating system of 44 SoEs has already been instructed to carry out the decision against the backdrop increasing operating losses of the SoEs.
The operating losses of the SoEs stood at nearly Tk 45.0 billion in the last fiscal.
Sources pointed out that in the absence of update financial reports, the MoF had been facing problem in maintaining fiscal discipline in SoEs as operation of the SoEs is linked with fiscal measures.
Most SoEs prepare financial statements that, according to sources, are at least three months' old.
The country's development partners have long been suggesting for introduction of the 'flash report' on a monthly basis by which the MoF can bring about essential changes in the fiscal measures.
The government has decided to ask the state-owned enterprises (SoEs) to prepare monthly performance reports aiming to assess their updated financial condition.
The decision was taken at a budget review meeting by the Ministry of Finance (MoF) early this month. The move is being taken as per suggestions by the International Monetary Fund (IMF) and the World Bank (WB), sources said.
Chaired by MoF secretary Mohammad Tareque, the meeting decided to introduce the 'flash report' for the SoEs, which will show their updated financial condition. The move aims at maintaining better fiscal discipline in the SoEs, sources added.
The monitoring cell that oversees the financial operating system of 44 SoEs has already been instructed to carry out the decision against the backdrop increasing operating losses of the SoEs.
The operating losses of the SoEs stood at nearly Tk 45.0 billion in the last fiscal.
Sources pointed out that in the absence of update financial reports, the MoF had been facing problem in maintaining fiscal discipline in SoEs as operation of the SoEs is linked with fiscal measures.
Most SoEs prepare financial statements that, according to sources, are at least three months' old.
The country's development partners have long been suggesting for introduction of the 'flash report' on a monthly basis by which the MoF can bring about essential changes in the fiscal measures.