Mozambique to have new SISTAFE law in line with international standards for public finance management – TVM

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Mozambique to have new SISTAFE law in line with international standards for public finance management – TVM

3:24 CAT | 06 Nov 2020

Photo. Notícias

This Thursday, the Assembly of the Republic approved, in general, the Proposed Law for the Revision of the State Financial Administration System (SISTAFE).

Eighteen years after its introduction, SISTAFE will now be adapted to international public finance management standards, with greater transparency in implementation, and incorporating new rules on infractions and sanctions.

According to Mozambique’s Minister of Economy and Finance Adriano Maleiane, SISTAFE now consists of six sub-systems: Planning and Budgeting; Public Accounting; Public Treasury; State Heritage; Internal Monitoring and Internal Audit.

The SISTAFE revision proposal, which contains 91 articles with revised and newly introduced aspects, was approved unanimously and by consensus by parliament this Thursday. “All of them have the objective of adapting this law to the dynamics of public finance management and the applicable international norms and rules,” the finance minister said.

Fraud perpetrated by means of SISTAFE shortcomings, such as embezzlement and manipulation of information, are covered by the new structure.

“The proposal aims to review the subsystems that constitute SISTAFE, adapting it to the current needs or management of the timetable and to define financial infractions, frauds and their respective sanctions,” the minister outlined.

Attorney General’s Office figures indicate that the Mozambican state lost about 3 billion meticais [around US$40.8 million] to corruption between 2016 and 2019.

Source: TVM