MANILA — President Ferdinand Marcos, Jr. has issued an executive order directing localities and government offices to implement the Integrated Financial Management Information System (IFMIS) to help improve cash management and transactions.
Marcos signed Executive Order No. 29 on June 1 but which was only released to the press on Friday.
The President said the EO was geared towards strengthening bureaucratic efficiency and government financial transactions "by capitalizing on digitalization efforts to ensure fast and efficient delivery of services to the public," Press Secretary Cheloy Garafil said.
The order covers all departments, agencies, and instrumentalities of the National Government, including government-owned or -controlled corporations (GOCCs) as well as local government units.
This move was recommended by the administration's digital infrastructure cluster under the Private Sector Advisory Council (PSAC), to further strengthen the ease of doing business with the government, she added.
"The implementation of the Integrated Financial Management Information System will enable greater financial management and control of oversight and government agencies [and] ensure strict compliance with existing appropriations laws, rules and regulations, as well as government accounting standards and policies," Marcos said in signing the order.
This would also "facilitate the generation of financial reports and ease reportorial requirements from the various levels of government," he added.
Aside from this, Marcos ordered the creation of the Public Financial Management Committee.
The panel will be composed of representatives from the Department of Budget and Management, Department of Finance (DOF), Commission on Audit, and the Bureau of Treasury to assist in the transition to full
digitalization of public financial management through the system.
The EO stated the committee would conduct policy and processes review which includes budget and cash management, accounting and reporting to "pinpoint bottlenecks and update corresponding policies."
Processes concerning public financial management will also be redesigned by the committee and boost financial systems to help ensure seamless government transactions.
The committee will also formulate a reforms roadmap to "expedite the development of IFMIS, while ensuring harmonization of policies across oversight agencies."
Marcos tasked the panel to formulate a 5-year plan for the implementation of the Integrated Financial Management Information System that connects national government agencies with the budget and finance department, the audit commission, and the treasury bureau.
This plan will help generate a comprehensive, accurate, reliable, and timely consolidated financial reports for oversight and implementing agencies, said the Chief Executive in the EO.
"The committee shall issue guidelines as to the transitional arrangement to be followed by covered agencies in the transition to full adoption of the IFMIS," the order read.
"The transitional arrangement shall take into account the results of the PFM policy and process review, technological infrastructure requirement, and capacity development interventions needed."
Initial funds for the implementation of the order will be sourced from the budget of the national government agencies and respective corporate operating budgets of GOCCs as long as this is available and compliant with budgeting and accounting rules.
EO 29 will be immediately effective upon its publication on The Official Gazette or in a newspaper of general circulation.