Because the 2023 monetary 12 months winds up, the Workplace of the Accountant Normal of the Federation (OAGF) has issued a stern discover to all Ministries, Departments, and Businesses (MDAs) concerning the closure of 2023 accounts and the graduation of 2024 funds entry.
The discover got here within the annual Federal Treasury Round with reference quantity TRYA7&B7/2023/OAGF/CAD/026/Vol.V/823 dated December 19, 2023 and signed by the Accountant Normal of the Federation (AGF) Dr. Oluwatoyin Madein.
Because the 2023 Appropriation Act implementation attracts to an in depth, each recurrent and capital expenditures for the present 12 months might be closed on December thirty first, 2023.
This means an important timeline for MDAs to finish their monetary actions and adjust to the OAGF’s directives.
The method might be swift and automated for MDAs using the Authorities Built-in Monetary Administration Info System (GIFMIS) and the Treasury Single Account (TSA).
Madein stated: “Each ledger durations and entry to funds might be closed on-line, real-time, by midnight of December thirty first, 2023”.
“Equally, TSA-Sub Accounts of MDAs holding common budgetary funds with a recurrent part will face the identical automated closure at midnight. The OAGF warned towards any makes an attempt to avoid the closure course of.
“Transferring funds to hidden accounts or participating in practices like creating surrogate accounts to control unspent balances, the AGF stated “, might be detected and met with penalties. MDAs and officers concerned in such manoeuvres will face applicable sanctions.”
Accordingly, OAGF stated MDAs utilizing GIFMIS should add all 2023 transactions from their Sub-TSA Accounts into the system utilizing the Journal Entry Performance; the Authorities insisted this train have to be accomplished by February thirteenth, 2024.
As well as, entry to funds for 2024 transactions will solely be granted to MDAs after the Treasury confirms the correct posting of all Sub-TSA transactions into GIFMIS.
Moreover, the OAGF has developed a particular framework for add, out there inside the GIFMIS journal entry performance sub-module. Adherence to this framework, the AGF warned, is necessary for all MDAs.
In step with Worldwide Public Sector Accounting Requirements (IPSAS) and Monetary Laws, all MDAs have been ordered to submit their Audited Trial Stability and Audited Monetary Statements for the 12 months ended December thirty first, 2023, to the OAGF on or earlier than February twenty eighth, 2024.
The well timed submission of audited monetary studies, the AGF stated, “is essential for the OAGF to proceed with opening accounts and releasing budgetary allocations for the 2024 fiscal 12 months”.
The Authorities famous that failure to adjust to these necessities could have important penalties.
Concerning the Presidential Directives and Monetary Laws, any MDA that fails to submit their audited monetary statements will face rapid suspension of fund allocation. Moreover, a question might be issued to the Director or Head of Finance and Accounts of the non-compliant MDA.
The OAGF’s directive underscores the significance of accountability and clear monetary administration inside MDAs.
Recall that in January this 12 months, former Muhammadu Buhari signed the 2023 funds of N21. 83 trillion into regulation.
