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The Public Finance Control Committee has audited the Report of the CoARM regarding the performance of the National Development Fund

January 28, 2020 views 1340

 

Today, on the 28th of January, the Public Finance Control Committee from the Parliament of the Republic of Moldova has audited the results of the performance audit “Significant actions need to be done in order to assure the efficient and effective management of the resources of the National Regional Development Fund”. It should be mentioned that the Report was previously examined during the public meeting of the Court of Accounts of the Republic of Moldova (CoARM) in November 2019, where the Decision regarding the Report was approved.

The member of the CoARM, Marina Covali, has presented the objectives and the most significant conclusions that the audit mission has presented regarding the way the resources of the National Regional Development Fund were used.

The criteria used to select the projects within the National Regional Development Fund was imperfect. As a result there were accepted projects that are important for the region, but for their implementation there were used financial resources of over 225,9 mil.lei in a very inefficient way. Also there were accepted projects that included ineligible activities and for their implementation were used over 9 mil.lei.

The audit mission has stated that even though there were initiated some actions in order to improve the legal framework in the domain, these activities were not finished. An important obstacle in implementing the regional development projects was the low financing of the projects from the public local authorities, as well as the insufficient technical documentation of the projects.

According to the audit Report the major investments in the projects that were meant to assure the access of the population to the fresh water did not achieve the expected results. Also, 43,1 mil.lei were inefficiently used for implementing projects that were not given a continuity afterwards. The audit mission has also stated that two of the projects that were implemented were mistakenly assigned to one of the main development directions set by the National regional Development Strategy therefore there were decommissioned over 37,7 mil.lei.

The Court of Accounts has solicited the Ministry of Agriculture, Regional Development and Environment to undertake the necessary measures in order to implement the recommendations given.