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Official News

Wednesday, 29 September 2010

Prime Minister Tigran Sargsyan’s Statement at 10th Session of CIS Council of Supreme Control Agency Heads





I welcome you on behalf of the Government of the Republic of Armenia. I am convinced that the debates will be of service to all of you.

The topic at issue is of great current interest considering that the CIS governments are busy assessing the impact of our joint anti-crisis action which were developed and coordinated by those panels established in the CIS framework.

From this perspective, I would rather divide the problems of concern into two groups: first, to enhance the effectiveness of control chambers’ activities which may lead to higher efficiency in public governance and the use of financial resources, minimize corruption risks through transparency. This will help the governments to identify and expose the existing potentialities.

Crises oblige us to find quick responses to emergency situations. This, in turn, implies manual handling in decision-making processes, adoption of innovative approaches and updated schemes. Formal procedures are often bypassed in these cases leading to greater corruption risk exposures. Thus, the control chambers are supposed to understand the rationale of anti-crisis measures. Any single draft of a decision should be made available to control agencies in order to reduce corruption risks. From this perspective, we would like to get acquainted with the workings of our foreign counterparts: how they cooperate in handling specific problems and situations.

The second item of interest is to understand how we can achieve higher efficiency in the activities of control chambers based on risk exposure. This implies the use of a common methodology in making risk analyses. The governments can thereby get strong indications concerning those high-risk areas where we should be tighter in internal control and more determined in reform action. Process audits come to the forefront in the light of the ongoing public sector reforms and large-scale institutional transformations. First of all, we have tried to define the functions assigned to individual ministries based on the best practices and standards. The ministries turned out to have been implementing activities incompatible with their mandate, often stemming from the terms of reference of project implementation agencies. A ministry is first of all supposed to develop and carry out policy in a given field.

The control chambers should be ready to oversee financial discipline as soon as we have clear-cut descriptions of ministerial functions at all levels of public governance. This is why governments and control chambers should go hand in hand in improving spending efficiency and the tools of control respectively.

We have maintained effective ties of cooperation with the Armenian Control Chamber in recent years. We are fully satisfied with the performance of our control chamber and are doing everything to assist them with their mission. The shortfalls revealed during their work are discussed in public which helps curb corruption risks as everyone knows very well that the Control Chamber’s findings are discussed at the government sittings.

Strongly convinced that the forum will be effective, I assure you that any proposal or recommendation voiced during its proceedings will be kept in focus by the government. We look forward to cooperating with you more closely as any government seeks to anticipate the risks and challenges in order to enhance the country’s financial potential.
 

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