PSAF - May 2016 - L2 - Q2a - Public sector fiscal planning and budgeting

PSAF – May 2016 – L2 – Q2a – Public sector fiscal planning and budgeting

Question

Government agencies and subvented organisations receive financial support from the government for their operations.

Required:
Explain THREE conditions which these entities must fulfill to enable them to receive financial support from the government. (3 marks)

Answer

Government agencies and subvented organisations must fulfill the following conditions to receive financial support:

Appointment of a Government Nominee: The entity must have a government nominee in its governing body to ensure alignment with government policies.
Prior Approval of Financial Arrangements: The financial and accounting arrangements of the institution must be approved by the government, ensuring transparency and compliance with the financial regulations.
Submission of Annual Estimates: The entity must submit its annual estimates to the relevant Minister for review and submission to Parliament for approval, ensuring that the allocation of funds aligns with national priorities.