Chingwanji
Member
- Oct 18, 2006
- 54
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2008-03-15 09:32:13
By Judica Tarimo
The Bank of Tanzania (BoT) has promised to consider dropping some of the activities of its external payment arrears (EPA) account should the measure be deemed necessary.
A final decision on the matter would be made after a foreign company now assessing the account`s relevance is through with the assignment, BoT Governor Benno Ndulu told journalists in Dar es Salaam yesterday.
He said a French consulting firm, Lazer, has been commissioned to make a through evaluation of EPA, widely cited as a major source of massive embezzlement of public funds from the bank.
Prof Ndulu said Lazer experts were expected to go into business beginning next month in partial implementation of the bank?s strategy to relieve itself of non-core activities.
``We have put the operations of EPA on hold pending the completion of the assessment. The idea is to see if there is still any need to continuing with the account,`` he pointed out.
The BoT chief executive was responding to questions relating to the operations of the account, through which over 133bn/- in public funds was dubiously paid out to 22 companies.
``We are trying as much as possible to drop non-core activities. We want to concentrate more on core functions, mainly to improve efficiency and effectiveness in our operations and overall performance,`` he noted.
``That should not mean that EPA will be halted soon after the assessment?If there is a need to retain it, we shall work out modalities in such a way that the bank will be playing the role of paying out money only and not managing the account as such,`` he added.
Meanwhile, in a move aimed to boost corporate discipline and enhance transparency in the bank in the wake of the financial scandal, the governor announced that he quit the institution`s Audit Committee and strengthened the internal audit team.
``I decided to withdraw from the audit committee, where I doubled as chairman and member, to help it execute its duties more independently and transparently. Besides, our internal audit unit has been strengthened and its head has already been appointed,`` said Ndulu.
The EPA scandal led President Jakaya Kikwete into relieving immediate former BoT governor Daudi Ballali of his duties in January this year.
It also triggered the formation of a presidential probe team led by Attorney General Johnson Mwanyika, which was given six months from January to complete its assignment.
Some 60bn/- out of 133bn/- improperly paid out in financial year 2005/06 has already been recovered, the AG told a news conference earlier this week.
SOURCE: Guardian
By Judica Tarimo
The Bank of Tanzania (BoT) has promised to consider dropping some of the activities of its external payment arrears (EPA) account should the measure be deemed necessary.
A final decision on the matter would be made after a foreign company now assessing the account`s relevance is through with the assignment, BoT Governor Benno Ndulu told journalists in Dar es Salaam yesterday.
He said a French consulting firm, Lazer, has been commissioned to make a through evaluation of EPA, widely cited as a major source of massive embezzlement of public funds from the bank.
Prof Ndulu said Lazer experts were expected to go into business beginning next month in partial implementation of the bank?s strategy to relieve itself of non-core activities.
``We have put the operations of EPA on hold pending the completion of the assessment. The idea is to see if there is still any need to continuing with the account,`` he pointed out.
The BoT chief executive was responding to questions relating to the operations of the account, through which over 133bn/- in public funds was dubiously paid out to 22 companies.
``We are trying as much as possible to drop non-core activities. We want to concentrate more on core functions, mainly to improve efficiency and effectiveness in our operations and overall performance,`` he noted.
``That should not mean that EPA will be halted soon after the assessment?If there is a need to retain it, we shall work out modalities in such a way that the bank will be playing the role of paying out money only and not managing the account as such,`` he added.
Meanwhile, in a move aimed to boost corporate discipline and enhance transparency in the bank in the wake of the financial scandal, the governor announced that he quit the institution`s Audit Committee and strengthened the internal audit team.
``I decided to withdraw from the audit committee, where I doubled as chairman and member, to help it execute its duties more independently and transparently. Besides, our internal audit unit has been strengthened and its head has already been appointed,`` said Ndulu.
The EPA scandal led President Jakaya Kikwete into relieving immediate former BoT governor Daudi Ballali of his duties in January this year.
It also triggered the formation of a presidential probe team led by Attorney General Johnson Mwanyika, which was given six months from January to complete its assignment.
Some 60bn/- out of 133bn/- improperly paid out in financial year 2005/06 has already been recovered, the AG told a news conference earlier this week.
SOURCE: Guardian