Tuesday, February 18, 2020
11:25 PM (GMT +5)

Go Back   CSS Forums > CSS Optional subjects > Topics and Notes

Topics and Notes Here you can share Notes/Topics that you consider important for the exam

Reply Share Thread: Submit Thread to Facebook Facebook     Submit Thread to Twitter Twitter     Submit Thread to Google+ Google+    
 
LinkBack Thread Tools Search this Thread
  #1  
Old Wednesday, April 15, 2009
Islaw Khan's Avatar
Senior Member
Qualifier: Awarded to those Members who cleared css written examination - Issue reason: CSS-2008, Roll no. 5170, CSS-2012 Roll no. 11105PMS / PCS Award: Serving PMS / PCS (BS 17) officers are eligible only. - Issue reason: PCS - 2008 / TehsildarMedal of Appreciation: Awarded to appreciate member's contribution on forum. (Academic and professional achievements do not make you eligible for this medal) - Issue reason:
 
Join Date: Jun 2008
Location: ||Under The Green Wood Trees||
Posts: 1,066
Thanks: 928
Thanked 1,757 Times in 791 Posts
Islaw Khan has much to be proud ofIslaw Khan has much to be proud ofIslaw Khan has much to be proud ofIslaw Khan has much to be proud ofIslaw Khan has much to be proud ofIslaw Khan has much to be proud ofIslaw Khan has much to be proud ofIslaw Khan has much to be proud ofIslaw Khan has much to be proud of
Exclamation Help in public Finance required

salam dear friends

i need ur help on the topic.... Public Finance and Accountability.

i have to write a term paper in Provncial services acadmy.

as i have not good backgound of managment and economics so if any one of the members can help me out in making my term papre i will be gratefull.

thanx in anticipation

islah_G...
__________________
Life is a tale told by an idiot...
Reply With Quote
The Following User Says Thank You to Islaw Khan For This Useful Post:
  #2  
Old Wednesday, April 15, 2009
Raz's Avatar
Raz Raz is offline
Senior Member
Qualifier: Awarded to those Members who cleared css written examination - Issue reason: CE 2009 - Roll no. 2638Medal of Appreciation: Awarded to appreciate member's contribution on forum. (Academic and professional achievements do not make you eligible for this medal) - Issue reason: Elite CSP Medal: Members who previously received (CSP Award  and Member of the Year Award ) OR (CSP award + Gold Medal + Medal of Appreciation) are eligible for this award. - Issue reason: Member of the Year: Awarded to those community members who have made invaluable contributions to the Community in the particular year - Issue reason: Diligent Service Medal: Awarded upon completion of 5 years of dedicated services and contribution to the community. - Issue reason:
 
Join Date: Sep 2007
Location: In the hearts of Friends and heads of foes.
Posts: 1,855
Thanks: 2,165
Thanked 3,863 Times in 1,437 Posts
Raz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant future
Default

@islah_G

Dear if you have access to Public Administration books of Sultan Khan and Hassan Shaikh you can easily understand these topics. There are complete chapters on Accountability and Public Finance.

Material from VU lectures on Public Finance:

In the production of goods finance is required. For example if parks are to be made available then
in developing parks, finance or money is required. Similarly if motor bike is to be produced money is
required by the producer. The distinction between production of public and private goods makes us think
that how finances are raised by public sector. This leads us to understand public finance.
Public finance is related to the financing of government activities i.e. how government raises
money to produce goods and services. It a subject discusses financial operation of the fisc or public
treasury. Public finance is a subject and is taught as a semester course. But since than this is introductory
course. We will only touch upon this subject in few lectures.
Public finance has undergone repeated revision in line with development in state and government
activities. At one time, it was said that the role of the government was not to interfere with the market
forces but to limit its activities to the barest minimum, therefore, it should perform its conventional
functions of law and order, defence and collect taxes and to create infrastructural facilities like roads,
bridges etc.

Concept & Definition

‘Public finance deals with the finance of the government. The finances of the government include
the raising and disbursement of government fund’ or public fund.
Carl Plehm says that the term public finance has come to be confined to the study of funds raised
by government to meet the cost of the government activities and responsibilities.
The subject matter of public finance deals with not only the way in which public treasury operates, it also
deals with the repercussions of policies adopted.
Musgrave calls the government sector as ‘public household’. The objective of this household are:
1. Allocation of resources: It means that government will tax rich people and spend money in areas
where private sector will not invest. For example private sector will not develop parks and road.
2. Distribution of income and wealth: Government redistributes income by taxing rich and spending
on welfare programme for the poor. It will reduce income inequalities in society by subsidising
food items.
3. Stabilization of prices and employment: Government will stabilize prices by controlling the prices
of food items and will invest so that people are employed.
Components of Public Finance
The government operates at three levels, i.e., Federal, provincial and Local. The subject of public
finance looks into financial problems and policies of government at these three levels and studies inter
governmental financial relation. The area of public finance also sees that how the 3 government raise and
share resources.

Following are the main components of public finance:
(1) Public revenue: sources of government income are:
a. Taxation and its effect on economy
b. Non-tax revenues such as fee, fines, grants, interest receipt etc.
c. Public debt problems: public debt is a source of income
(2) Public Expenditure: through public expenditure government participates and contributes to
the financial flows of the economy. It is also a tool for implementing welfare and other
policies. The expenditure that government makes affects the economics because government
expenditure is inflow to the economy.
(3) Financial Administration: It involves issues of financial administration including public budget,
its approval, financial implementation, control systems and audit. Without the study of
financial administration the subject of public finance remains incomplete.
(4) Federal finance: It studies the multilayer (the 3 levels of government) system of government
which necessitates a division of function and resources between the layers of government and
inter-governmental relations. We will deal with each of these areas separately.

Similarities & Dissimilarities between Public and Private Finance
Private finance means the financial problems of individual economic unit, i.e., a household, a shop,
a firm etc. Private finance does not form part of government. We will look at the similarities and
dissimilarities to develop analytical framework for public finance.

Similarities
Modern economies are monetized, that is goods and services are exchanged through a medium of
money. In other words both public & private sector create and use financial claims. Both are engaged in
activities that involves purchase, sales and other transactions. Both are thus engaged in production of
goods and service, exchange goods & services, save capital and invest capital to further create money.
In order, to finance its operations and invest in projects government creates money (which is a
financial asset), raises loans, makes payment, etc. Similarly, private economic unit lends, borrows, receive
payments, make payments, etc. In this respect both are quite similar. So both sectors are engaged in
satisfying wants of society. Both have limited resources at their disposal and try to maximize decisions. But
the similarities are few.

Dissimilarities
The dissimilarities are many and are discussed one by one in the following paragraph:-
1. Private economic unit has to live within its means and its borrowing capacity is less then
government. Its deficit budgeting can be only for limited time period. It can accumulate
outstanding debt liabilities up to a certain amount. But the government can add to its outstanding
debt with every budget by borrowing from the banking sector or by floating bonds and bills. A
number of governments resort to instrument like bond and treasury bills to raise money.
2. It is not only the amount of borrowings over which government has control but also the forms,
interest paid on loans and other terms that government dictate. Government can borrow both
internally and externally i.e., from domestic banking sector and from international banking &
financial sector. The high creditworthiness of government enables it to borrow at lower rates
because it has the support of the Central Bank which serves as an agent and underwriter when
loans are floated in the market.
3. The government can create legal tender currency. That is it has the power to add to currency supply.
Governments have control over Central Bank & mints, therefore, the government decides how
much money has to be supplied to economy. Although there are formal technical restriction to the
supply of money, that is how much currency supply should be added, but restriction can be waived
if the government so wants.
4. The private finance follows the ‘market principle’ or the principle of economic rationality but the
public finance follows the ‘budget principle’. The market principle is that private sector will invest
where there are profits. On the other hand budget principle means that investment will be made
not on the basis of profit but on the basis of redistribution of resources.
5. The government is expected to take the long term and short term view of the economy, because
society is perpetual entity and for its welfare many activities are needed which have no immediate
economic return. For example education does not have short term returns.
6. The government has complete power to raise money through taxes, confiscation, borrowing and
printing notes; it has to use this power carefully because over borrowing by the government from
the banking sector can banking sector leave little money for the private sector. This is called
‘crowding out’. Similarly excessive taxation can discourage savings and investment.
7. What can be said about public finance is that there are some fundamental differences between
public and private finance. But it is essential to remember that public sector is part of the total
economy. The activities of public and private sector affect each other because there is mutual
transferring of resources.

The Economic System and Public Finance

The public sector is the important sector and it can be operated in an effective way to improve the
performance of economy.
The classical economist believed that private sector was always efficient because it responded to
the market signals. And that market directs where to invest money. The market directs investment where
there is profit and that is the most efficient way to make decision. Classical economists were therefore,
against too much interference of government. They believed that if government would start spending
money in various sectors of the economy then government will have to borrow from banking sector. This
would lead to budget deficit. Budget deficit in their view was not good and government should try to
balance the budget.
On the other hand there is Keynsian view that government will have to invest to increase
employment and wages. Government investment will also correct market failures.
The borrowing by the government will lead to budget deficit and interfere with economy. It was
said that government should balance the budget.

Concepts

�� Public finance: that branch of finance that deals with raising of taxes and
expenditure by government.

�� Public debt: government borrowings accumulated over a long period of time.

�� Public deficit: the excess of expenditure over income in one budget period of
government i.e. one year.
__________________
"Tumhary nafs ki qeemat Janat hay isy Janat say kam qeemat pey na bechna."
"Jiyo to istarh ky log tum sy milny ko tarsy; maro to istrah k log tumharee mot par royain"

Last edited by Viceroy; Thursday, April 16, 2009 at 07:18 AM. Reason: Merger
Reply With Quote
The Following 2 Users Say Thank You to Raz For This Useful Post:
Islaw Khan (Thursday, April 16, 2009)
  #3  
Old Wednesday, April 15, 2009
Raz's Avatar
Raz Raz is offline
Senior Member
Qualifier: Awarded to those Members who cleared css written examination - Issue reason: CE 2009 - Roll no. 2638Medal of Appreciation: Awarded to appreciate member's contribution on forum. (Academic and professional achievements do not make you eligible for this medal) - Issue reason: Elite CSP Medal: Members who previously received (CSP Award  and Member of the Year Award ) OR (CSP award + Gold Medal + Medal of Appreciation) are eligible for this award. - Issue reason: Member of the Year: Awarded to those community members who have made invaluable contributions to the Community in the particular year - Issue reason: Diligent Service Medal: Awarded upon completion of 5 years of dedicated services and contribution to the community. - Issue reason:
 
Join Date: Sep 2007
Location: In the hearts of Friends and heads of foes.
Posts: 1,855
Thanks: 2,165
Thanked 3,863 Times in 1,437 Posts
Raz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant futureRaz has a brilliant future
Default

Accountability/Administrative Control


Administrative Accountability

According to Leonard D. White accountability is ‘the sum total of constitutional, statutory,
administrative and judicial rules and precedents and the established practices by means of which public
officials may be held accountable for their official actions’. It refers to the formal and specific location of
responsibility vested in a person. While responsibility has a personal and moral connotations and is not
necessarily related to formal status and power. Accountability is also defined as the answerability of a person
in organization.

The Meaning of Control

Accountability is a kind of management Control. Control is the process of ensuring that actual
activities conform to established standards and laid done procedures. Control helps managers to monitor
the effectiveness of managers

Types of Accountability
There are two types of accountability mechanism that make organizations to continue to achieve
goals. These are discussed below:
1. Internal Control: is exercised either by superior over the subordinates within the chain of
hierarchy or by other parallel agencies in the executive branch of government. It consists of directing, regulating, supervising, advising, inspecting and evaluating. It should be continuously done; without being felt. This mechanism of accountability has positive
results also.
2. External control, is fitted outside the administrative machinery and works within the
general constitutional framework of the system. It is exercised by the external bodies such
as legislature and judiciary.

(A) Internal Control:
In internal control mechanisms follows methods are used:
i) Administrative process:- In a parliamentary system, cabinet stands at the apex of the
executive. Prime minister directs the ministers; who are in-charge of their respective
department and are responsible for the efficient working to the cabinet and prime minister.
The whole working of the departments are reviewed by the Prime Minister and his
Cabinet.
ii) Hierarchical order:- Every administrative department is arranged on scalar pattern and
executives are organized in hierarchical order. The executives are linked with superiorsubordinate-
relationship with clear authority and responsibility. They are accountable to
their respective superiors for their actions and dealings. Thus hierarchy itself a powerful
instrument for monitoring subordinates behavior and for enforcing accountability.
iii) Annual confidential Reports:-The superior officers prepare annual confidential reports
(ACRs) of their subordinates every year. The work of whole year of each public servant is
assessed.
iv) Budgetary control:- A budget is not only a complete policy statement of the total
activities of the government but it also reflects the aspiration of the people. The Ministry
of Finance prepares budget, and operations of the budgetary sanctions and appropriations.
v) Administrative leadership:- It is another means of internal control. Leadership
motivates, and inspires the employees for efficiency. Thus the morale and motivation of
employees depends upon the leadership. The effective leader set examples of high
standards of integrity and performance for his followers. He inspires them for work and
instills in them a pride in work. A good leader is objective – oriented and always tries his
subordinates to achieve that objective.

(B) External Control:-
Following mechanism is in place as external methods
1. Legislative Control: The major instrument of public accountability is the authority of the
legislature to empower, limit, investigate and censure the executive branch. The legislature
enacts Laws, authorizes administrators to engage in quasi-legislative and quasi-judicial
activities, appropriates funds for all administrative programmes, and determines the general
outlines of administrative organization and procedure.
2. Questions:- The first hour of every day sitting of legislature is known as the questionhour.
This time is allotted for asking and answering questions. Every legislators, after
giving due notice, are entitled to put questions and supplementary questions to the
ministers about the state of public administration. The ministers are bound to answer these
questions. The purpose of questions is to elicit information on the working of
administrative departments.
3. Resolutions and Motions:- Resolutions and motions are of two kinds i.e. firstly, those
whose object is to censure a particular minister or government as a whole, secondly those,
which recommend some course of action to be adopted. The former leads to dismissal of
the government or ministry. The later is recommendatory, hence it may or may not be
accepted by the government. Members of parliament are entitled to pass resolutions on
matter of general public interest.
4. Debates and Discussions:- Debates or discussions in the House constitute another
important means for controlling the executive. Houses perpetually go on debating one
thing or other. Discussions, take place over every point of a bill or budget. Every motion
comes under discussion in the house. The inaugural address of the President, the budget
speech, introduction of bill for amendment, introduction of new law, or introduction of
motion or resolution provide opportunity for debates and discussions.
5. Committees of Legislature:- Legislatures are unwieldy bodies and can not meet for the
whole of year. Hence, they appoint committees of their own members, who are specialists
in their sphere of activity and keep constant watch over administration. Public Accounts Committee, Committee on Subordinate legislation, petitions Committee, Committee on Public Service. These committees gather a lot of material, hear expert evidences and frame
conclusions. Such conclusions, which are formed in the form of recommendations, which correct the tone of administration, by improving efficiency and quality of work civil service responds immediately to the recommendations of such committees, because they know
that their opinions are of experts and backed by the full house.

Methods of Executive Control
The executive exercises control over administration through the following methods:-
i. Policy-Making:- The chief executive along with his cabinet, control the administration
through policy-making. All important policy-decisions are taken by the cabinet in every
country. The departments carry on their day to day business, within the policies laid down
by cabinet.
ii. Budgetary System: It is the main responsibility of the chief executive to prepare budget
and to present it to the legislature. After the approval by legislature, the chief executive
implements it through the allocation of funds among various departments, and controls it
by proper utilization of funds.
iii. Recruitment system:- The third system of executive control works through recruitments
of public personnel. This is usually placed in the hands of an independent recruiting agency
like Public Service Commission.

Judicial Control
Judiciary is one of the important external agency, which exercises control over administration. By judicial control means the power of courts to keep the decisions and acts, of administrative officials within the bounds of law. L.D. White explains the importance of judicial control and says, “The system of formal external control officials and their acts which fall primarily into two divisions – that exercised by the legislative bodies and that imposed by the courts. The main purpose of judicial control is to determine the constitutionality and legality of
administrative acts of public administrators, and thus to protect the rights and liberty of citizens from the
wrongful acts of government officials.

Types of Remedies
There are two systems of legal remedies against the unlawful acts of government officials. One is called the Rule of law and the other Administrative law or Driot Administrative; the former system prevails in USA, England and Common Wealth countries including Pakistan, while the latter prevails chiefly in France, and Germany and Sweden. Brief description of each is given below:-
(a) Rule of law System:- Theoretically it means that every body high or low, and official or private is
subject to the same law. The public administrator is not above the law, while performing official duties. Ordinarily the aggrieved party to shall have all those legal remedies against the offending officials; which are known as prerogative writs,

Concepts

�� Control: a process of ensuring the actual activities conform to established standards.

�� Legislative control: the control exercised by legislature, through system of question hours, resolution and motions, debates and discussion.

�� Hierarchical order: type of internal control in which individuals are supervised by superiors.
__________________
"Tumhary nafs ki qeemat Janat hay isy Janat say kam qeemat pey na bechna."
"Jiyo to istarh ky log tum sy milny ko tarsy; maro to istrah k log tumharee mot par royain"
Reply With Quote
The Following 3 Users Say Thank You to Raz For This Useful Post:
The Star (Saturday, April 18, 2009), Islaw Khan (Thursday, April 16, 2009)
  #4  
Old Friday, April 17, 2009
qaarjk's Avatar
Member
 
Join Date: Mar 2008
Posts: 32
Thanks: 7
Thanked 50 Times in 17 Posts
qaarjk is on a distinguished road
Default

Quote:
Originally Posted by islah_G
salam dear friends

i need ur help on the topic.... Public Finance and Accountability.

i have to write a term paper in Provncial services acadmy.

as i have not good backgound of managment and economics so if any one of the members can help me out in making my term papre i will be gratefull.

thanx in anticipation

islah_G...
Finance Division is responsible for the financial control and budgeting in Pakistan. It has prescribed a system of financial control and budgeting. Just go through it as it might be helpful to you in understanding the financial and budgeting process of Government.

I shall also look for anyother material available with me. I do have a lot of material in this respect but it is in hard form and not up loadable to net.

Here is the download link

http://rapidshare.com/files/22247613..._2006.pdf.html

Also if u could be a little more specific as regards ur requirement it would be easier to help u
Reply With Quote
The Following 2 Users Say Thank You to qaarjk For This Useful Post:
Islaw Khan (Thursday, May 07, 2009)
  #5  
Old Saturday, April 18, 2009
qaarjk's Avatar
Member
 
Join Date: Mar 2008
Posts: 32
Thanks: 7
Thanked 50 Times in 17 Posts
qaarjk is on a distinguished road
Default

FINANCIAL REPORTING & ANALYSIS

THE ACCOUNTING SYSTEM-----An accounting system consists of the personnel, procedures, devices, and records used by an organization to develop accounting information and to communicate this information to decision makers. The design and capabilities of the accounting systems vary greatly. The basic purpose of the accounting system remains the same i.e. to meet the internal and external user’s needs for accounting information as efficiently as possible.


FUNCTIONS OF ACCOUNTING SYSTEM-----The Primary functions of an Accounting System are:
to make financial records;
to reveal the Financial conditions of the organization in all its branches or purposes at any time;
to protect those handling funds;
to facilitate necessary adjustments in rate of expenditure;
to give information to those in responsible positions on the basis of which plans for future financial and operating programs can rest; and
to aid in the making of an audit.


OBJECTIVES OF ACCOUNTING SYSTEM: Accuracy: the information in the accounts and the supporting subsidiary records shall be accurate, representing the actual substance of past events, without undue errors or omission. This shall include correct and consistent classification of transactions and the recognition of revenues and expenditures classification of transactions and the recognition of revenues and expenditures in the correct time period.
Completeness: the information in the accounts and the supporting subsidiary records shall be a complete representation of all past transactions that have occurred during the reporting period.
Existence/ Validity: all transactions accounted for must be genuine transactions.
Economy: the accounting system shall include controls to ensure the prudent allocation of government resources.
Effectiveness: the accounting system shall include controls to ensure the effective performance of government responsibilities.
Efficiency: in practice there will often be a trade off between economy and effectiveness. The accounting system should seek to operate as efficiently as possible by optimizing the relationship between these two variables.
Minimize risk of fraud and corruption: the accounting system shall include controls to minimize the risk of fraud and corruption.



PRIVATE versus PUBLIC SECTOR ACCOUNTING ENVIRONMENTS

Private sector accounting records are maintained to assess levels of profitability.


Public sector accounting records are maintained to ensure that public servants (politicians, bureaucrats, officials) have been properly accountable of the funds they have used. Greater emphasis on accountability and sewardship in public sector.


PRIVATE VS. PUBLIC ACCOUNTING

Private sector accounting based on matching revenue and expense in order to measure profit.
This leads to using accrual accounting which recognizes both revenues and expenses when they occur: bottom line is profitability, not cash position.
What accruals presents is an overall assessment of the financial condition of the organization.

Public sector focus on accountability for funds at hand has led to using a cash basis as it is more easily understood and more sensitive to annual budgetary approvals of government entity.
Significant gaps in the cash approach have created a growing trend of public sector entities to adopt the accrual approach to both accounting and budgeting.


In Accrual Accounting…
Capital assets are reported on the financial statements
Non cash transactions – depreciation, amortization, provisions, accruals, receivables are recorded Recognition of (retirement and pension benefits, accumulated leave) employee benefits in the financial statements
Financial and reporting practices are similar to
private sector

The adoption of accrual basis represents an effort to bring into both accounting and budgeting a totally inclusive approach to identifying costs and revenues, thereby providing a fuller picture Accrual budgeting represents a major challenge to the concept of annualized budgets approved by legislatures, although it in no way reduces the authority of those legislatures Accrual accounting forces a better integration of finance, operations and strategic direction because of its inclusive nature.

PAKISTAN- THE ACCOUNTING FRAMEWORK


a)CONSTITUTIONAL REQUIREMENTS

FINANCIAL PROCEDURES (Federal):

ARTICLE REFERENCES

78. Federal Consolidated Fund and Public Account;
79. Custody, etc. of Federal Consolidated Fund and Public A/C;
80. Annual Budget Statement;
81. Expenditure charged upon Federal Consolidated Fund;
82. Procedure relating to Annual Budget Statement;
83. Authentication of schedule of authorized expenditure;
84. Supplementary and excess grants;
85. Votes on account;
86. Power to authorize expenditure when Assembly stands dissolved;
88. Finance Committees.




FINANCIAL PROCEDURES (Provincial):

ARTICLE REFERENCES

118. Provincial Consolidated Fund and Public Account;
119. Custody, etc. of Provincial Consolidated Fund and Public A/C;
120. Annual Budget Statement;
121. Expenditure charged upon Federal Consolidated Fund;
122. Procedure relating to Annual Budget Statement;
123. Authentication of schedule of authorized expenditure;
124. Supplementary and excess grants;
125. Votes on account;
126. Power to authorize expenditure when Assembly stands dissolved;


Miscellaneous Financial Provisions:

ARTICLE REFERENCES

160. National Finance Commission;
164. Grants out of Consolidated Fund;
166. Borrowing by Federal Government;
167. Borrowing by Provincial Government;
Audit and Accounts:
168. Auditor-General of Pakistan;
169. Functions and powers of Auditor-General;
170. Power of Auditor-General to give directions as to accounts;
171. Reports of Auditor-General;
278. Accounts not audited before commencing day.



Federal Consolidated Fund

All revenues received and all loans raised by the Federal Government in repayment of any loan, shall form part of a consolidated fund to be know as the Federal Consolidated Fund.

Consolidated Fund represents those moneys for which the Government is at liberty to appropriate for the operations of Government.
(Article 78 of the Constitution)


Public Account
All other moneys received by or on behalf of Federal Government or received by or deposited with the Supreme Court or any other Court established under the authority of the Federation should be credited into the Public Account of the Federation.

The Public Account consists of those moneys received by the Government for which it has a fiduciary duty, but is not at liberty to appropriate for the general services of Government unless provided for under an Act of Parliament or Presidential order.
(Article 78 of the Constitution)

Annual Budget Statement

The Federal Government shall , in respect of every financial year, cause to be laid before the National Assembly a statement of the estimated receipts and expenditure of the Federal Government for that year, in this part refereed to as the annual Budget Statement
The Annual Budget Statement shall show separately_
the sums required to meet expenditure described by the constitution as expenditure charged upon the Federal Consolidated Fund; and
the sums required to meet the other expenditure proposed to be made from the Federal Consolidated Fund; and shall distinguish expenditure on revenue account from other expenditure.
(Article (80 of the Constitution)

ESSENTIAL CONDITIONS GOVERNING EXPENDITURE FROM PUBLIC FUNDS:
Schedule of authorized expenditure:
The Prime Minister shall authenticate by his signature a schedule specifying:
the grants made or deemed to have been made by the National Assembly under Article 82; and
the several sums required to meet the expenditure charged upon the Federal Consolidated Fund but not exceeding, in the case of any sum, the sum shown in the statement previously laid before the National Assembly.

As a general rule no authority may incur any expenditure or enter into any liability involving expenditure from public funds until the expenditure has been sanctioned by general or special orders of the President or by an authority to which power has been duly delegated in this behalf and the expenditure has been provided for in the authorized grants and appropriations for the year.


DISTRICT GOVERNMENT ACCOUNTS

Under Section 107(1) of the Local Government Ordinance, 2001, every District Government, Tehsil Municipal Administration and Town Municipal Administration shall establish the following:
1. Local Fund for every District Government, Tehsil Municipal Administration, Town Municipal Administration, and Union Administration;

2. A District provincial Account for every District Government, a Tehsil Provincial Account for every Tehsil Municipal Administration, and a Town Provincial Account for every Town Municipal Administration.


ACCOUNTABILITY REQUIREMENTS



PUBLIC ACCOUNTS COMMITTEE

Rule 172 of the Rules of Procedure and conduct of Business in National Assembly, 1973 lays down the function of the Standing Committee of Public Accounts.


FUNCTIONS OF PAC:
The Committee shall examine the accounts showing the appropriation of sums granted by the assembly for the expenditure of the government and the report of the Auditor General of Pakistan and such other matters as the minister for finance may refer to it.
In scrutinizing the appropriation accounts of the government and the reports of the Auditor General of Pakistan thereon, it shall be duty of the committee to satisfy itself,
(a) that the moneys shown in the accounts as having been disbursed were legally available for, and applicable to, the service or purpose to which they have applied or charged.
(b) that the expenditure conforms to the authority which governs it; and
(c) that every re-appropriation has been made in accordance with the provisions made in this behalf under rules framed by the Ministry of Finance.
It shall also be the duty of the committee:
1. to examine the statements of accounts showing the income and expenditure of state corporations, trading and manufacturing schemes, concerns and projects together with the balance sheets and statements of profits and loss accounts which the President may have required to be prepared or are prepared under the provisions of the statutory rules regulating the financing of a particular corporation, trading or manufacturing scheme or concern or project and the report of the Auditor General of Pakistan thereon;

2. to examine the statement of accounts showing the income and expenditure of autonomous and semi-autonomous bodies, the audit of which may be conducted by the Auditor General of Pakistan either under the directions of the President or under an act of the parliament; and
3. to consider the report of the Auditor General of Pakistan in cases where the President may have required him to conduct the audit of any receipts or to examine the accounts of stores and stocks.
4.If any money has been spent on any service during a financial year in excess of the amount granted by the assembly for the purpose, the Committee shall examine with reference to the facts of each case the circumstances leading to such an excess and make such recommendation as it may deem fit.

Last edited by Viceroy; Saturday, April 18, 2009 at 11:59 AM. Reason: Merger
Reply With Quote
The Following 3 Users Say Thank You to qaarjk For This Useful Post:
The Star (Saturday, April 18, 2009), Islaw Khan (Thursday, May 07, 2009)
Reply

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On


Similar Threads
Thread Thread Starter Forum Replies Last Post
development of pakistan press since 1947 Janeeta Journalism & Mass Communication 15 Tuesday, October 29, 2019 10:17 AM
Public Relations Cant think straight Journalism & Mass Communication 2 Friday, March 30, 2018 01:09 AM
Overview Of The Economy free thinker Pakistan Affairs 5 Tuesday, February 11, 2014 02:24 PM
Public Private Patnership Muhammad Akmal Economics 0 Wednesday, June 07, 2006 12:11 AM


CSS Forum on Facebook Follow CSS Forum on Twitter

Disclaimer: All messages made available as part of this discussion group (including any bulletin boards and chat rooms) and any opinions, advice, statements or other information contained in any messages posted or transmitted by any third party are the responsibility of the author of that message and not of CSSForum.com.pk (unless CSSForum.com.pk is specifically identified as the author of the message). The fact that a particular message is posted on or transmitted using this web site does not mean that CSSForum has endorsed that message in any way or verified the accuracy, completeness or usefulness of any message. We encourage visitors to the forum to report any objectionable message in site feedback. This forum is not monitored 24/7.

Sponsors: ArgusVision   vBulletin, Copyright ©2000 - 2020, Jelsoft Enterprises Ltd.