Ministry freezes new positions, cuts costs

By Joyetter Feagaimaali’i-Luamanu ,

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Ministry of Finance Chief Executive Officer Lavea Iulai Lavea.

Ministry of Finance Chief Executive Officer Lavea Iulai Lavea. (Photo: Samoa Observer)

The Ministry of Finance (M.O.F.) is cutting down expenditure costs and will not allow any new proposals for the financial year 2017-2018. 

The Government is also freezing the decision on any positions.

This is according to a letter by the Chief Executive Officer of M.O.F, Lavea Iulai Lavea, which has been obtained by the Samoa Observer. 

Dated 3 April 2018, the letter titled “Treasury Budget Circular Memorandum 2018” is addressed to the Chief Executive Officers of all government ministries and state owned enterprises.

“This Budget Circular advises that the deliberations on the 2018/19 Main Estimates have now been scheduled to take place from Monday 9th to Wednesday 18th April 2018,” the letter reads.

“Ahead of these discussions, we have attached herewith your respective Ministry’s budget template containing the Ministry of Finance’s proposal against your First Round bid as submitted on the 15th January 2018.

“The Ministry of Finance’s proposal is based around the issues raised and discussed in our meeting of 28th February 2018

• Freezing of all new positions and proposals for new organisational structures as per FK (16) Faapitoa 05.

• Maintaining all operating expenditures at current 2017/18 levels where possible.

• Declining of all capital expenditures and long services benefits requests as per budget policies on use of savings.

• All new developments for the new financial year that was decided after the first round exercise was due have not been considered.

• All new developments that were submitted without the proper supporting documentations, P.S.C. and Cabinet approvals have not been considered.

The letter further says all new developments for the new financial year that was decided after the first round of exercise was due have not been considered, said Lavea. 

Furthermore “all new developments that were submitted without the proper supporting documentation P.S.C. and Cabinet approval have not been considered by the Finance Ministry. 

“To assist in ensuring that Samoa’s fiscal deficit targets are net and maintained, Ministries are advised to pursue the released templates and request a reshuffle of expenditures whilst maintaining provided budget.” 

The letter is published in full below:

 

MINISTRY OF FINANCE

3rd April 2018

Treasury Budget Circular Memorandum 2018 No.04

 

To: All Chief Executive Officers – Government Ministries

      All Heads of Public Beneficiary Bodies & State Owned Enterprises

2018/19 BUDGET SCREENING AND SECOND ROUND RELEASE OF TEMPLATE

 

This Budget Circular advises that the deliberations on the 2018/19 Main Estimates have now been scheduled to take place from Monday 9th to Wednesday 18th April 2018.

Ahead of these discussions, we have attached herewith your respective Ministry’s budget template containing the Ministry of Finance’s proposal against your First Round bid as submitted on the 15th January 2018.

The Ministry of Finance’s proposal is based around the issues raised and discussed in our meeting of 28th February 2018

• Freezing of all new positions and proposals for new organisational structures as per FK (16) Faapitoa 05.

• Maintaining all operating expenditures at current 2017/18 levels where possible.

• Declining of all capital expenditures and long services benefits requests as per budget policies on use of savings.

• All new developments for the new financial year that was decided after the first round exercise was due have not been considered.

• All new developments that were submitted without the proper supporting documentations, PSC and Cabinet approvals have not been considered.

To assist in ensuring that Samoa’s fiscal deficit targets are met and maintained, Ministries are advised to peruse the released templates and request a reshuffle of expenditures whilst maintain provided budget envelopes and ceilings should there be a need to redirect priorities. NO NEW PROPOSALS WILL BE CONSIDERED OUTSIDE OF THESE ENVELOPES.

A tentative schedule for the proposed 2018/19 Budget Screening and deliberations is attracted as Annex 1.

For further assistance or clarification please contact your allocated budget officer as per Annex 11.

Ma le fa’aaloalo lava,

 

Lavea Tupaimatuna Iulai Lavea

Chief Executive Officer

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