29. Expenditure control system

Any expenditure of public funds shall be made subject to the following steps: -

For the purpose of this section, competent authority means any officer who has been delegated functions of the authorization, approval, commitment, certification or payment by the Accounting Officer of the relevant public entity.

The Accounting Officers may delegate functions either generally or with regard to individual transactions, and shall be responsible for ensuring the competence to whom the authority is delegated and the adequacy of internal checks in the system of delegation.

Approvals of commitments shall be subject to the availability of sufficient unencumbered appropriation in the annual budget line against which the commitments are being made.

The obligation to pay shall arise when works, goods or services received by the Competent Authority from third parties.

Any contract or other arrangement, which may incur an expenditure commitment, entered or made by a budgetary entity shall be entered into the financial management information system, in the manner as shall be prescribed.

The Minister of Finance shall establish a clearance strategy to continuously reduce arrears of expenditure commitments which exist on the date of the coming into operation of this Act, and enhance mechanisms to prevent the accumulation of arrears.