PH Government To Pursue Public Financial Management Reform

The Public Financial Management Committee (PFMC) will pursue Public Financial Management Reform through the use of digital technology as it works to achieve the Marcos administration’s socioeconomic goals of bureaucratic efficiency and sound fiscal management.

PFMC consists of principals from the Department of Budget and Management (DBM), the Department of Finance (DOF), and the Commission on Audit (COA).

Budget Secretary Amendah F. Pangandaman said the PFMC approved the Integrated Financial Management Information Systems (IFMIS), along with a draft executive order, and adopted the proposed Progressive Budgeting for Better and Modernized (PBBM).

Pangandaman noted that IFMIS seeks to enhance the Budget and Treasury Management System (BTMS) and promote the use of the New Government Accounting System or eNGAS and eBudget.

IFMIS will allow the decentralized and localized development of financial solutions/systems subject to centralized guidelines, Pangandaman said.

The BTMS is a centralized database that will facilitate the generation of vital information on government financial transactions; enable real-time mapping of transactions and allow accurate financial management, improved data governance, and enhanced oversight control.

“Through this digital transformation program and the development of a convergent hub, we will be able to have real-time and consolidated reports, achieve efficiency of government systems, ease of doing business and sustainability of systems, and establish conditions that would help reduce corruption and poverty incidence,” Pangandaman said.

Additionally, the PFM drafted a proposed Executive Order to update EO No. 55 which will direct all involved agencies including state-owned firms to adopt and implement IFMIS in the processing of government financial transactions.

“With the transition to the full adoption of IFMIS, we hope to secure the digital transformation objectives in our 8-Point Socioeconomic Agenda and achieve not only transparency and accountability, but also bureaucratic efficiency, sustainability, and, ultimately, economic growth through proper use of technology,” Pangandaman explained.

Source: Manila Bulletin