- October 9, 2022
- Posted by: admin
- Category: macroeconomic management
The Phase V (2017-2021) Strategic Plan identified Government Finance Statistics (GFS) as one of the critical capacity-building areas in macroeconomic statistics. The adoption of the GFS Manual 2014 (GFSM 2014) by countries has led to the development of comprehensive accounting frameworks for analysing and evaluating fiscal policy. However, migration to this latest manual has been slow and there are still apparent data gaps in the majority of MEFMI member countries. Against that background, MEFMI conducted a two-phased mission on Government Finance Statistics (GFS) to the Ministry of Finance, Lesotho. The two technical assistance missions were successfully conducted from 25 to 29 October 2021 and 29 November to 10 December 2021, respectively.
The aim of the intervention was to capacitate the officials of the Ministry of Finance on the classification and compilation of data using the Integrated Financial Management and Information System (IFMIS) based on the Status of Funds Reports (SOF) of forty-two (42) budget heads in line with the GFSM 2014 methodology. It also aimed to identify specific areas in the GFS tables that were causing statistical discrepancies in order to address them as well as solicit relevant information from agencies that are involved in the payment process of government expenses.
Upon completion of the missions, participants had been taken through nine predesigned and customised data collection templates. The participants were able to build the Classification of Outlays by Functions of Government (COFOG) database, derive fiscal tables according to the details of the IFMIS Chart of Accounts (COA) in GFS methodology and reduce statistical discrepancies. MEFMI is optimistic that this intervention will contribute to the production of consistent GFS data based on the GFSM 2014 methodology and assist the planning and execution of the budget for the Ministry of Finance, Lesotho.
The mission was attended by nine (9) officials from the Ministry of Finance of Lesotho. Of these participants, four (4) were female (representing 44.4 percent) while five (5) were male (representing 66.6 percent). The mission was facilitated by two (2) resource persons, Mr. Senei Molapo, a MEFMI Graduate Fellow and Programme Manager, Macroeconomic Management Programme and Ms. Marethabile Hlaahla a Graduate Fellow in GFS, and a Senior Economist at the Central Bank of Lesotho.
Going forward, MEFMI will continue to engage country officials from the Ministry of Finance Lesotho to use the output of the mission for the 2022 budget formulation.
Prepared by Senei Molapo