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30.10.2019

Committee of State Control of Belarus and Accounts Chamber of Russia note the need to increase the efficiency of the use of Union State budget funds

Committee of State Control of Belarus and Accounts Chamber of Russia note the need to increase the efficiency of the use of Union State budget funds
 The joint meeting of Boards of the Committee of State Control of Belarus and the Accounts Chamber of Russia was held in Minsk on October 30, 2019. The auditors considered the conclusion of two SAIs on the report of the Council of Ministers of the Union State on the execution of the Union State budget for 2018.

The audit of SAIs of Belarus and Russia confirms the data of the report of the Union State Council of Ministers on the execution of the Union State budget for 2018 on income and expenses.

It should be noted a fairly high financial discipline in the execution of the Union State budget, which is confirmed by joint annual inspections.

“Belarus and Russia fully fulfill their obligations regarding gratuitous transfers. This allows us to implement joint programs, projects and activities and, accordingly, to develop integration, strengthen ties between business entities, regions and our countries as a whole. However, we have to admit that the allocated funds are not yet fully used. There are some facts of violations in using budget funds, ”said Vasily Gerasimov, First Deputy Chairman of the State Control Committee during the meeting. He focused on the need to develop solutions to improve the efficiency of all stages of the budget process.

According to him, the growing demands to strengthen budgetary and financial discipline, to ensure savings in all spheres of life impose increased obligations on SAIs. The main task is to ensure the targeted and efficient use of budget funds.

Chairman of the Accounts Chamber of Russia Alexei Kudrin said that auditors should use a comprehensive, strategic approach in the analysis of Union State programs. “We should talk about the effectiveness of the programs, whether these resources really led to the results we were counting on,” the head of the Accounts Chamber emphasized.

In 2018, the revenues of the Union State budget were executed in the amount of 6.95 billion Russian rubles, or 100.4% of the adjusted target. The transfers of the participating states have remained unchanged since 2009 (Russia - 65%, Belarus - 35%) and occupy the bulk of the revenues of the Union State budget.

Financing of budget expenditures for 2018 amounted to 5.33 billion Russian rubles, or 99.8% of the revised consolidated budget list. Over the past five years, this is the best indicator of the execution of the expenditure side of the Union State budget.

In 2018 was also noted the best indicator of cash execution of expenditures since 2011 - 5.29 billion Russian rubles, or 99.1%.

The main directions of budget expenditures are the programs and activities of the Union State. In 2018, 85.4% of the expenditures of the Union State budget were allocated for their implementation.

So, last year 3.27 billion Russian rubles, or 98.95% of the updated consolidated budget list, were spent on financing 12 programs. For 9 out of 12 Union State programs, budget assignments were fulfilled 100% or almost in full, for 3 programs the execution amounted to 90.7-99.4%.

Since 2018, two Union State projects have been implemented: "Overhaul, restoration and museumification of the structures of the Brest Fortress in the memorial complex" Brest Fortress Hero" and "Development of educational and scientific activities of the Belarusian-Russian University based on innovative technologies. "

1.25 billion Russian rubles, or 99.2% of the volume provided for by the updated consolidated budgetary list, were used for 27 Union State activities (in 2017, 1.17 billion Russian rubles, or 97.8%).

The audit revealed the facts of violations in using budget funds. So, during the inspection of Memorial Complex ‘’Brest Fortress”, an overestimation of the volume and cost of completed construction work at three sites was established by the controllers of State Control Committee. This led to the illegal receipt of almost 2 million Russian rubles from the Union State budget (the entire amount in 2019 was returned to the Union State budget).

Along with this, a number of problems have not been resolved to nowadays. Mechanisms have not been developed that allow obtaining income from the use of Union State property and from the implementation of Union State programs; there is no single procedure for Union State property accounting.

In order to improve control over the effectiveness of the implementation of Union State programs, the Standing Committee is invited to recommend the republican government bodies and federal executive bodies, as well as other interested parties, which agree the draft programs, to include in these programs the target indicators and indicators by year.

The audit report  of the Accounts Chamber of the Russian Federation and the Committee of State Control of the Republic of Belarus on the report of the Union State Council of Ministers on the execution of the Union State budget for 2018 will be sent to the Parliamentary Assembly of the Union of Belarus and Russia, the Permanent Committee of the Union State.

The heads of SAIs approved the Plan of joint activities of the State Control Committee of the Republic of Belarus and the Accounts Chamber of the Russian Federation for 2020. It is planned to hold 7 events, including workshops on the experience exchange.

After a meeting of the Boards of two SAIs, a bilateral meeting was held between the Chairman of the State Control Committee of Belarus Leonid Anfimov and the Chairman of the Accounts Chamber of Russia Alexei Kudrin, at which the main directions of further cooperation were discussed.
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