Donor Projects supporting PIFC

Ongoing Projects

 

  1. Public Finance Reform – Agenda 2030 – PFR A2030

Donor: German Cooperation in Serbia (GIZ)

The project, co-financed by the Swiss Agency for Development and Cooperation, aims to make policy formulation and public finances more oriented towards EU integration and the implementation of the 2030 Agenda. The strategy is based on covering the main topics of Serbia’s reform agenda and supporting implementation of priority measures, in accordance with the principles of good governance. The project activities are based primarily on the Public Financial Management Reform Program (PRUJF), the Tax Administration Transformation Program, the Strategy for the Development of Internal Financial Control in the Public Sector, and Agenda 2030. The project works in five key areas: 1) capacity development of key actors in Serbia to finance the 2030 Agenda, 2) improved services to taxpayers, 3) budget transparency, financial control and accountability, 4) policy coordination for the implementation of the 2030 Agenda and 5) the establishment of a public dialogue on the 2030 Agenda databases to monitor COR implementation. The process brings together all key actors: representatives of politics and public administration, civil society organizations, academia, interest groups, citizens and the economy.

 

  1. Local Finance Reform Project – RELOF II

Donor: Swiss State Secretariat for Economic Affairs (SECO)

Project description and objective: The RELOF2 project currently supports 33 local governments in Serbia in introducing or improving financial management and control, internal audit and supervision of public enterprises. Expert assistance and support is provided to local self-government groups (partnerships) organized around local self-government units that already have certain capacities for successful application of the principles of good governance and which can be mentors to other local self-governments in their region. This approach encourages inter-municipal cooperation.

The project also encourages dialogue on public policies between the central and local levels in order to improve the system and better enforcement of regulations and is a support to the Ministry of Finance, the Central Unit for Harmonization in this process.

The RELOF2 project is implemented through the following components:

 

  1. Introduction or improvement of the system of financial management and control at the local level.
  2. Introduction or improvement of the internal audit function at the local level
  3. Improving the system of supervision over the work of local public companies (monitoring and control of fiscal risk)
  4. Development of advanced and innovative activities to improve local financial management

 

  1. Responsible platform for public financial management

Donor: Swedish International Development Cooperation Agency (SIDA)

Implementing partner: UNDP

This project represents a new phase of SIDA’s support to Serbia in reforming public financial management, continuing the platform-based approach. The project builds on and complements the support previously provided by SIDA under the ongoing project Accelerating Accountability Mechanisms in Public Finances, funded by the Swiss Agency for Development and Cooperation. The project focuses on two parts: budget execution and financial control as well as external oversight of public finances, while focusing on horizontal and cross-sectoral issues related to ensuring sustainable internal control systems in key public sector institutions, increasing transparency in public fund management. at the local level and improving cooperation between civil society organizations and local self-government.

 

Projects recently finalized

 

  1. Twinning project – Support to further development of internal financial control in the public sector (IFKJ)

Donor: European Union

The partnership of the two state administrations of France and Serbia will enable the development of internal financial control in the public sector in all public institutions of the Republic of Serbia. This is extremely important for public administration reform and public finance reform in accordance with the priorities of the national PIFC Strategy 2017-2020, the requirements of the European Union – Chapter 32 and international standards – INTOSAI, COSO 2013, IPPF IIA.

The very term and concept of the PIFC system was developed by the European Commission with the aim of assisting candidate and potential candidate countries for EU understanding and implementation of well-developed and effective measures for control and management of public finances.

The Central Harmonization Unit is responsible for developing the internal control and audit methodology. The PIFC Twinning project will further strengthen the role of this body through the exchange of expertise, experience and examples of good practice in the public sector.

The central activity of the project is the implementation of managerial responsibility. Management responsibility is a cornerstone of Public Administration Reform and includes:

  • system of delegation of authority
  • effect
  • transparent roles and responsibilities of organizational units

 

  1. Improving municipal audit for accountability and efficiency in public financial management

Donor: Swiss State Secretariat for Economic Affairs (SECO)

Implementing partner: UNDP

The main goal of the project is to support internal financial control (PIFC) in Serbia. The direct goal of the project is to implement a system of certification and professional development for internal auditors in the public sector and to strengthen the professional capacity of the Central Harmonization Unit (CHU). The project will support the CHU in redirecting its activities from IFKJ training and certification of internal auditors to taking the lead in improving the control environment, supporting the introduction of performance management and monitoring the implementation of financial management and control (FMC) and internal audit requirements in the Serbian administration. The project is implemented by UNDP, in close coordination with CHU, providing a strategic orientation of the certification and professional development program for internal auditors in the public sector.