Jakarta, Sept 23 (Antara) - The State Audit Board (BPK) this year awarded 376 institutions with an unqualified opinion (WTP) rating for having presented financial records and statements honestly and accurately last year.
Of the 376 entities, 56 are ministries/state institutions, 29 provincial governments, 222 district governments and 60 municipal administrations.
The Finance Minister awarded 22 ministries/state institutions, three provincial governments, eight district administrations and four municipal governments for securing the WTP rating for five consecutive years.
The ceremony where such appreciation letters were handed over to the 22 ministries/state institutions was organized by the Finance Minister, Sri Mulyani, herself. It was for the first time that the central government filed a financial report in 2015 based on the accrual financial report basis.
The Central Government Financial Report (LKPP) was considered a significant step in accounting for the state money based on the best international accountancy standards.
The government launched an infrastructure and poverty eradication development program as a result of massive financial allocation provided for in the state budget. This program is a prime mission of President Joko Widodo's (Jokowi's) Working Cabinet.
The Central Government's Financial Report in 2015 showed that the capital expenditure realized was worth more than Rp215 trillion. Similarly, the social assistance expenditure and the village funds that were realized amounted to Rp97 trillion and Rp21 trillion, respectively.
Thomas Lembong, the head of the Capital Investment Coordinating Board (BKPM), said in a press release in Jakarta on Tuesday (Sept 20) that President Jokowi has directed that government agencies must continue to endeavor towards further improvement. They should not become complacent after the WTP rating they have already secured.
The BKPM is among the government institutions which have been securing a WTP rating status from the BPK for five consecutive years. The BKPM chief made the remarks during a meeting on Accountancy National Working and Government Financial Report 2016.
"President Jokowi this morning spent 10 percent of his time to convey his appreciation to ministries/state institutions that had secured the WTP rating. During the rest of the 90 percent time in the meeting, the President provided guidance on how the government could work better in the future," Lembong, a former trade minister before he was transferred to the post of BKPM chief in the recent cabinet reshuffle, informed.
The ministries and state institutions deal with state resources allocated to them from the budget. This money comes from the people, and the government must justify its use.
President Jokowi said in his address that the unqualified opinion rating is not a guarantee that a ministry or a state institution will no longer make a mistake or abuse the exchequer's resources.
Following the WTP rating, the government should work harder to build a culture of prudent financial management which is transparent and accountable.
On the occasion, President Jokowi awarded the government agencies that have received the Unqualified Opinion (WTP) rating for five consecutive years.
An unqualified opinion is an independent auditor's judgment that a company's financial records and statements are honestly and accurately presented.
"Government agencies should not stop at this achievement," Jokowi said during the National Working Meeting (Rakernas) on Government Accounting and Financial Reporting 2016 at the State Palace in Jakarta on Tuesday.
During the meeting on ways to expedite infrastructure building and alleviating poverty, 22 ministries and state institutions, as well as 15 local governments received awards for having won an unqualified opinion (WTP) rating for five consecutive years.
In the meantime, the Papua Province in the Indonesian eastern region, one of the 22 provincial regions which won the WTP status, welcomed the unqualified BPK opinion rating.
"The WTP rating accorded by the BPK is not easy to achieve. It is possible only through hard work and comprehensive improvement in financial governance," Kristina R.I. Luluporo, a member of Papua Regional Legislative Assembly (DPRD), said.
The Papua governor must have succeeded in improving the regional asset governance and applied accrual basis accountancy in his financial report in 2015.
Kristina said the success sets a starting point for Papua to carry out the tough task of improving its financial management so that it can maintain its WTP rating in the coming years.
"The Budgetary Body of the DPRD, therefore, calls upon everyone to maintain the unqualified opinion rating status by effectively, efficiently and economically managing the financial system in an orderly and transparent manner," she counseled.
***3***(A014/INE)EDITED BY INE/H-YH(T.A014/A/BESSR/A/Yosep) 23-09-2016 19:29:1 |
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