:J..q/ 1.2 I ;Jc'?,;_ > ff b_'.!, L?(; •1, l «,,,,..,../, r/ Financial Attest Audit Report on the Accounts of Khyber Pakhtunkhwa Revenue Mobilization and Public Resource Management Program • Financed by World Bank Credit No. 6421-PK Finance Department Government of Khyber Pakhtunkhwa Financial Year 2022-23 Auditor General of Pakistan Islamabad • . .- TABLE OF CONTENTS Page No . .. List of Abbreviations ............................................................................................................... 1 Preface ..................................................................................................................................... .2 PART-I Project Overview ........................................................................................................ .4 Auditor's Report to the Management (Audit Opinion) ................................................ 5 Financial Statements .................................................................................................... 6 PART-II COVERING LETTER TO THE MANAGEMENT .................................................. 18 EXECUTIVE SUMMARY ........................................................................................ 19 MANAGEMENT LETTER ........................................................................................ 20 I. INTRODUCTION ..................................................................................................... 21 2. AUDIT OBJECTIVES ................................................................................................ 22 .. 3. 4. AUDIT SCOPE AND METHODOLOGY .................................................................22 AUDIT FINDINGS AND RECOMMENDATIONS ................................................. 23 4.1. Financial Management ....................................................................................... 23 4.2. Compliance with Grant/ Loan Covenants ......................................................... 24 4.3. Procurement and Contract Management.. .......................................................... 26 4.4. Assets Management ........................................................................................... 30 4.5. Environment ....................................................................................................... 30 4.6. Sustainability ...................................................................................................... 30 4.7. Overall Assessment. .......................................................................................... .30 5 CONCLUSION ............................................................................................................ 31 ACKNOWLEDGEMENT ............................................................................................ 32 ANNEXURES .............................................................................................................. 33 . • 1' • Abbreviations and Acronyms ADP Annual Development Program AFS Annual Financial Statements AID Associates in Development CGA Controller General of Accounts DAC Departmental Accounts Committee DLI Disbursement Linked Indicator DLR Disbursement Linked Results FAP Foreign Aided Project EEP Eligible Expenditure Program FAT Field Audit Team GCC General Conditions of Contract GSTs General Sales Tax on Services IDA International Development Agency !PF Investment Project Financing IPSAS International Public Sector Accounting Standards ISSA] International Standards of Supreme Audit Institutions !TB Instructions to Bidders KP Khyber Pakhtunkhwa . KPRA Khyber Pakhtunkhwa Revenue Authority KPRM Khyber Pakhtunkhwa Revenue Mobilization LC Letter of Credit NFMIS National Financial Management Information System NIT Notice Inviting Tender OEM Original Equipment Manufacturer PAO Principal Accounting Office PC-I Planning Commission Perfonna-I PCU Project Coordination Unit PforR Program for Results PFM Public Financial Management PMU Program Monitoring Unit RFB Request for Bids RFP Request for Proposals RFQ Request for Quotations SBP State Bank of Pakistan sec Special Conditions of Contract SDI Standard Debiting Instructions TA Technical Assistance TMA Tehsil Municipal Administration TPV Third Party Verification TSA Treasury Single Account UIPT Urban Immovable Property Tax WFDMS Workflow and Document Management System "' • Preface The Auditor-General conducts audits subject to Article 169 and 170 of the Constitution of the Islamic Republic of Pakistan 1973, read with Sections 8 and 12 of the Auditor-General's (Functions, Powers and Terms and Conditions of Service) Ordinance, 200 I. The audit of "Khyber Pakhtunkhwa Revenue Mobilization and Public Resource Management Program", financed by the World Bank (IDA) under Credit No.6421-PK and Government of Khyber Pakhtunkhwa, for the financial year 2022-23 was carried out accordingly. The Directorate General Audit conducted audit of "Khyber Pakhtunkhwa Revenue Mobilization and Public Resource Management Program" during September 2023 for the financial year 2022-23, with a view to reporting significant findings to stakeholders. Audit examined the economy, efficiency, and effectiveness aspects of the Program. In addition, Audit also assessed, on a test check basis, whether the management complied with the applicable laws, rules, and regulations in managing the Program. The Audit Report indicates specific actions that, if taken, will help the management realize the objectives of the Program. The Report was finalized in light of written replies/ discussion with the Program Management. The PAO was also requested to convene the DAC meeting. However, DAC . meeting was not convened till finalization of this report . The Report consists of two parts. Part-I contains Auditor's Report (Audit Opinion) and Financial Statements. Part-II contains Executive Summary, Management Letter and Audit Findings. The Report has been prepared for submission to the World Bank in terms of Loan Agreement No.6421-PK with the Government oflslamic Republic of Pakistan. Dated:0~ /12/2023 (Shahzad Nairn) Peshawar Director General Audit Khyber Pakhtunkhwa • • PART-I 1. PROJECT OVERVIEW 2. AUDITOR'S REPORT TO THE MANAGEMENT 3. FINANCIAL STATEMENTS • . • PROJECT OVERVIEW Name of Program Khyber Pakhtunkhwa Revenue Mobilization and Public Resource Management Program Sponsoring Authority World Bank through International Development Association (IDA) & Government of Khyber Pakhtunkhwa Executing Authority Finance Department, Government of Khyber Pakhtunkhwa Credit No. 6421-PK PC-I Cost $ 18 million (Rs. 2,829 million) DL!s $ 100 million GoKP Share $ 57 million Date of Commencement 17th June, 2019 Actual Date of Commencement 1st July. 2019 Date of Completion (as per PC-I) 30' hJune, 2025 Date of Approval by CDWP 27'h December 2019 Loan Closing Date 30111 June, 2025 Loan Utilization Status in F. Y 2022-23 Rs. 216.286 million Progressive Expenditure upto last F.Y Rs. 221.866 million i.e, 2021-22 • • OFFICE OF THE DGA = 9211306 DIRECTOR GENERAL AUDIT Fax: = 9222417 KHYBERPAKHTUNKHWA PBX: = 211250-54 PESHAWAR Auditor's Report to the Management (Audit Opinion) Auditor's Report on the Financial Statements We have audited the accompanying financial statements of "Khyber Pakhtunkhwa Revenue Mobilization and Public Resource Management Program", financed by the World Bank (JOA) under Credit No.6421-PK and Government of Khyber Pakhtunkhwa, that comprises of Statement of Receipts and Payments, Statement of Comparison of Budget and Actual th Amounts together with the notes forming part thereof for the year ended 30 June, 2023. Management Responsibility It is the responsibility of Project Management to establish and maintain a system of internal control, and prepare and present the Statement of Receipts and Payments in conformity with the requirements of Cash Basis IPSAS, Financial Reporting under the Cash Basis of Accounting Standard. Auditor's Responsibility The responsibility of the auditor is to express an opinion on the financial statements based on the audit conducted. We conducted our audit in accordance with the International Standards of Supreme Audit Institutions. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatements. The audit process includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. It also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall statement presentation. We believe that our audit provides a reasonable basis for our opinion. Opinion In our opinion: a) The financial statements present fairly, in all material respects, the cash receipts and payments by the project for the year ended 30 th June, 2023 in accordance with Cash Basis IPSAS, Financial Reporting under the Cash Basis of Accounting Standard. b) The expenditure has been incurred in accordance with the requirements of legal a reements . • Dated: O~ /12/2023 (Shahzad Nairn) Peshawar Director General Audit Khyber Pakhtunkhwa FINANCIAL STATEMENTS KHYBER PAKHTUNKHWA REVENUE MOBILIZATION AND PUBLIC RESOURCE MANAGEMENT PROGRAM WORLD BANK (IDA) CREDIT NO. 6421-PK FOR THE YEAR ENDED ON 30 th JUNE, 2023 Page No. Statement of Receipts& Payments 7 Statement of Comparison of Budget & Actual Amounts 8-9 Notes to the Financial Statements 10-15 Revolving Fund Account Statement 16 • • • • KP Revenue Mobilization and Public Resource Management Program (PforR) Statement of Cash Receipts and Payments For the Year Ended 30 June 2023 2022-23 2021-22 Amounts in Pak Rupees Receipts/ Receipts/ Note Payments Payments RECEIPTS External Assistance 5. 3,714,918,492 3,236,326,288 Counterpart Funds - GoKP 6. 115,523,516,856 92,374,661,290 TOTAL RECEIPTS 119,238,435,348 95,610,987,578 PA YMENTS/EXPENDITLJRE Program Expenditures Pay and Allowances 7. 3,861,612,231 2,989,092,386 Operating Expenses 8. 2,847,531,310 720,683,025 Employees Retirement Benefits 111,798,541,675 91,376,50 I ,052 Repair & Maintenance 54,635,935 94,089,010 15.3 118,562,321,151 95,180,365,473 Operation Expenditures from Designated Account Goods 9. 11,062,700 223,440 Consultancy Services 10. 123,969,307 59,154,660 • Incremental Operating Costs II. 68,928,655 45,121,847 Training and Workshops 12. 12,325,387 5,367,307 15.3 216,286,049 109,867,254 TOTAL PAYMENTS 118,778,607,200 95,290,232,727 NET INCREASE/ (DECREASE) IN CASH DURING THE YEAR 459,828,148 320,754,851 CASH AT THE BEGINNING OF THE YEAR 358,539,847 37,784,996 CASH AT THE END OF THE YEAR 13. 818,367,995 358,539,847 The annexed notes I to 15 form an integral part of these financial statements. , Audit Officer - - ------------ Office of the Director General Audit Khyber Pakhtunkhwa Governm t of Khyber Pakhtunkhwa • KP Revenue Mobilization and Public Resource Management Program (PforR) Statement of Comparison of Budgeted and Actual Expenditure By Departments For the year ended June 30, 2023 2022-23 (Amounts in Pak Rupee) 2021-22 (Amounts in Pak Runee) Actu11I Departments Original Budget Revised Budget Actual Expenditure Original Budget Revised Budget Expenditure DESIGNATED ACCOUNT Consultancy Costs 547,500,000 547,500,000 123,969,307 1,177,586,317 1,177,586,317 59,154,660 Uoods - (Assets) 501,900,000 501,900,000 11,062,700 13,815,297 13,815,297 223,440 Incremental Operating Costs 263,880,000 263,880,000 68,928,655 161,556,897 161,556,897 45,121,847 Training & Workshops 136,000,000 136,000,000 12,325,387 26,722,537 26,722,537 5,367,307 Total DA Payments (A) 1,449,280,000 1,449,280,000 216,286,049 1,379,681,048 1,379,681,048 109,867,254 PROGRAM EXPENOJTURE Excise Taxation & Narcotics Control Department Pay & Allowances 960,445,000 858,485,788 858,498, I 83 706,609,000 863,134,286 867,113,191 Operating Expenses 78,125,000 100,817,065 100,816,613 97,219,000 113,238,948 82,238,073 Pension Payments 13,325,000 18,047,463 18,047,463 I 0, 182,000 19,045,064 18,455,249 Repair & Maintenance 3,154,000 3,722,884 3,722,884 2,801,000 5,326,300 3,835,404 Sub Total 1,055,049,000 981,073,200 981,085,143 816,811,000 1,000,744,598 971,641,917 Finance Department Pay & Allowances 1,498,427,000 1,243,241,304 1,212,682,071 1,316,068,000 1,338,224,205 665,702,759 Operating Expenses 33,084,270,000 3,417,083,422 944, l 38,844 6,943,432,000 2,093,752,761 310,923,406 Pension Payments 92,247,306,000 110,378,565,547 111,748,198,609 82,625,875,000 90,824,619,556 91,341,656,528 Repair & Maintenance 39,427,000 25,935,382 21,894,091 32,774,000 28,852,212 27,628,823 Sub Total 126,869,430,000 115,064,825,655 113,926,913,615 90,918,149,000 94,285,448,734 92,345,911,516 Planning & Development Department l'ay & Allowances 654,544,000 632,378,297 678,350,694 487,211,000 579,545,360 587,569,218 • Operating Expenses 2,095,058,251 2,144,039,844 640,364,762 46,061,000 49,191,567 49,102,218 Pension Payments 7,912,000 13,11 l,360 14,771,466 7,804,000 7,797,406 7,797,406 Repair & Maintenance 5,472,000 9,178,338 8,368,840 4,768,000 6,740,320 6,740,320 Sub Total 2,762,986,251 2,798,707,839 1,341,855,762 545,844,000 643,274,653 651,209,162 Revenue Department Pay & Allowances 670,686,000 904,121,075 972,422,916 554,775,000 773,149,806 773,149,806 Operating Expenses 580,622,084 869,613,171 861,511,342 99,923,000 223,426,490 222,926,490 Pension Payments 3,008,000 14,680,100 13,949,758 12,000 6,891,749 6,863,749 Repair & Maintenance 3,372,000 18,237,710 18,127,690 3,128,000 16,453,062 16,453,062 Sub Total 1,257,688,084 1,806,652,056 1,866,011,706 657,838,000 1,019,921,107 1,019,393,107 Science Technology & lnform•tion Technolo£Y Pay & Allowances 94,217,000 I 06,495,421 139,658,367 74,631,000 99,767,081 95,557,412 Operating Expenses 345,279,159 353,515,768 300,699,749 49,891,000 60,185,115 55,492,838 Pension Payments 1,000,000 3,574,380 3,574,380 1,301,000 1,766,000 1,728,120 Repair & Maintenance 13,514,000 2,522,430 2,522,430 12,285,000 39,625,000 39,431,401 Sub Total 454,0 I 0, 159 466,107,999 446,454,926 138,108,000 201,343,196 192,209,771 Total EEP (B) 132,399,163,494 121,117,366,749 118,562,321,152 93,076,750,000 97,150,732,288 95,180,365,473 TOTAL PAYMENTS (A+B) 133,848,443,494 122,566,646,749 118,778,607,201 94,456,431,048 98,530,413,336 95,290,232,727 Audit Ofi,c;er Office of the Director General Audit Khyber Pakhtunkhwa Government of • • KP Revenue Mobalization and Public Resource Management Program (PforR) Statement of Comparison of Budgeted and Actual amounts by Function For the year ended June 30, 2023 2022-23 (Amounts in Pak Ruoees) 2021-22 (Amounts in Pllk Ruoees) Budl!eted Amounts Budeeted Amounts Function Note Original Budget \I Revised Budget Actual Exnenditure Originlll Budget II Revised Budget Actual Exnenditure PAYMl:.:NTS IPF Component - DA Payments L__1_,4_49_,2_so_,o_o_o"ll_ _1_,••_9_,2_so_,o_o~oIIL_ _ 1,3_7_9,_6s_1_,04_s~ILI_ _ 2_16_,2_s6_,0_49_,I L__1_,3_79_,6_s1_,0_4_8"ll_ _ 10_9'---,86_7-'---,2-54_,I Sub Total 1,449,280,000 1,449,280,000 216,286,049 1,379,681,048 1,379,681,048 109,867,254 PROGRAM EXPENDITURE Adm1111slrat1on of Financial Atfa1rs 34,131,207,000 4,231,667,105 1,582,744,951 8,458,312,000 3,608,408,135 995,438,869 Tax Management (Customs. l Tax Excise) 1,722,847,000 1,960,805,646 1,956,213,526 1,339,872,000 1,743,130,867 1,713,500,186 Accounting and Auditing Services 695,292,000 653,415,143 626,040,535 9,837,000 10,095,525 I0,095,525 Pens10n-C1v1I 92,042,931,000 l 10,179,743,407 l ! 1,718,128,129 82,450,000,000 90,666,945,074 91,340,377,122 Planning 2,691,559,251 2,739,005,973 1,282,260,456 491,881,000 588,316,390 596,216,773 Stat1st1cs 71,427,000 59,701,866 59,595,306 53,963,000 54,958,263 54,992,389 Centralized Oata 1-'rocessmg Services 454,010, l 59 466,107,999 446,454,926 142,116,000 206,801,831 I 97,668,406 Land management 589,890,084 826,919,610 890,883,323 130,769,000 272,076,203 272,076,203 Sub Total 132,399,163,494 121,117,366,749 118,562,321,152 93,076,750,000 97,150,732,288 95,180,365,473 TOTAL PAYMENTS 133,848,443,494 122,566,646,749 118,778,607 ,20 I 94,456,431,048 98,530,413,336 95,290,232,727 Audilbrticer Office of the Director General Audit Khyber Pakhtunkhwa Goverrnment of Khy er Pakhtunkhwa KP Revenue Mobilization and Public Resource Management Program (PforR) Notes to the Financial Statements For the year ended June 30, 2023 I. REPORTING ENTITY The Khyber Pakhtunkhwa Revenue Mobili:t.:ation and Public Resource Management Program is a Program of the Government of Khyber Pakhtunkhwa. The objective of the Program is to support the implementation of PFM reforms. The project is financed through a credit arrangement (US $ 118 million equivalent) between Government of Pakistan and the World Bank under Program for Results (PforR) mode of financing. The Financing Agreement comprising two components: i- Program-for- Results (PforR) for US$ 100 million equivalent and part ii- Investment Project Financing (!PF) for US$ 18 million equivalent was signed on 17th of June, 20 I 9. '!'he implementing agencies are: I. Finance Department (FD) 2. Planning and Development Department (P&DD) 3. Excise, Taxation and Norcotice Contorl Department (ET&NCD) 4. Board of Revenue (BOR) • 5. Science Technology and Information Technology (ST&IT) The project has Six Disbursement Link Indicators (DLls), The IDA funds of the Program will be channeled to the GoKP Non- Food Account-] through the State Bank of Pakistan (SBP). Disbursement of Program funds will be made twice a year, only upon achievement of the DLls. Once the DLI targets are met, a withdrawal application in accordance with the financing agreements is made. The evidence to support the DLls achievements is provided to the World Bank.The World Bank allows the withdrawal on the basis of achievements, verified by a third party. These financial statement presents the items of expenditures of PforR program incurred in the above mentioned departments and the expenditure under !PF component. The financing is made in the fonn of Credit based on Standard World Bank (IDA) terms. The Financing Agreement No is 6421- PK. 2. STATEMENT OF COMPLIANCE These financial statements have been prepared in accordance with the New Accounting Model (NAM). In December 2000, Auditor General of Pakistan prescribed NAM with the approval of the President of Pakistan under Article 170 of the Constitution of Islamic Republic of Pakistan. 3. ACCOUNTING CONVENTION AND BASIS OF CONSOLIDATION These financial statements have been prepared under the cash basis of accounting which recognizes transactions and events only when cash is received or paid by the entity. Assets and liabilities in the disclosed notes are on a historical cost basis. These financial statements have been prepared as per the requirements of NAM that supports international best practices. The statement of cash receipts and payments, statement of comparison of budget and actual amounts by function, statement of comparison of budget and actual expenditure by department and notes forming parts thereof have been prepared on Cash Basis IPSAS - Financial Reporting under the Cash Basis of Accounting. The Financial Statements for the financial year 2022-23 have been prepared and presented in order to make a fair presentation of all the relevant financial information without making any change in the fundamentals applied. The reporting and budget period of these financial statements is the financial year 2022-23 (from 1 July, 2022 to 30 June 2023). These financial statements have been prepared on the basis of data obtained from IFMIS for the regular grant numbers of above mentioned executing entities. The DL!s of these entities and the relevant spending made in order to achieve these DLl.s, from the recurrent budget, is separately reported to present the overall picture of this program. KP Revenue Mobilization and Public Resource Management Program (PforR) Notes to the Financial Statements For the year ended June 30, 2023 4. SIGNIFICANT ACCOUNTING POLICIES 4.1 Foreign Currency Transaction Cash receipts and payments arising from transactions in US $ are recorded in Pak Rupees by applying the US $ amount the exchange rate between the Pak Rupee and US$ at the date of receipts and payments. Exchange differences arising at the settlement of these transactions are recognized in the Statement of Receipts and Payments 4.2 Reporting Currency The reporting currency of these consolidated financial statements is Pak Rupees. 4.3 Recognition of revenue Revenue is recognized on the date of receipt of money by bank or clearance of cheque. Revenue is recognized on gross basis and any related costs are recorded separately 4.4 Recognition of expenditure Expenditure is recognized on the date when payment is made or cheque is issued. Financial year to which the payments pertain is determined by the date on which a cheque or payment advice is issued. 4.5 Eligible Expenditure of Program The recurrent expenditure incurred by the five implementing departments, in the following heads of chart of accounts is financed by the World Bank and in these financial statements reported as Eligible Expenditure of the Programe (EEP) a) Employee related expenses This include expenditure in object code AO 1 for pay and allowances to the otlicers and staff b) Operating expenses This includes expenditure in object code A03 for various operating purposes i.e fees, communication, utilities, rents, operating leases, motor vehicles fuel, travel & transporation and general expenses. c) Employee retirement benefits The government employees after their retirement from service are entitled to pension. The communtation and monthly pension to the retired employees or to their families are paid by the Accountant General KP and recorded in object code A04. d) Repair and Maintenance Expenditure on account of repair and maintenance is also recognized as eligible expenditure of the program. 4.6 Cash balance For the purpose of statement of receipts and payments, cash balance comprise cash with National Bank of Pakistan designated/ revolving fund account. KP Revenue Mobilization and Public Resource Management Program {PforR) Notes to the Financial Statements For the year ended June 30, 2023 Note 2022-23 2021-22 Amounts in Pak Rupees 5. EXTERNAL ASSISTANCE Designated Account Receipts 5.1 676,114,196 430.622.105 Provincial Consolidated Fund 5.2 3.038.804.296 2.805.704.183 3,714,918,492 3,236,326,288 5.t This represents US$ 2,354577@ Rs.287.1489 per$ transferred by the International Development Association to the Designated/ Revolving Fund Account No. A-119 of the project maintained m NBP Peshawar Canu B,·anch, on the basis of withdrawal application submitted by the project Note 2022-23 Amounts in Pak Rupees 5.2 External Assistance in Provincial Consolidated Fund !st Tranche US$ 5,532,537.60 (ZiJ Rs.227.8385 1.260,525,068 2,805,704,183 2nd Tranche US$ 7,765,747.20@) Rs. 228.9901 1,778,279,228 5.2.J 3,038,804,296 2,805,704,183 5.2.1 US $ 13,298.284.8 at average rate of Rs. 228.5110 per$ were received from the World Bank in the Provincial Consolidaled Fund Non-Food Account-I of the Govt: of Khyber Pakhtunkhwa maintained in State Bank of Pakistan Karachi 2022-23 2021-22 Amounts in Pak Rupees 6. COllNTERPART FUNDS- GoKP Excise and Taxation Department 981,085,143 971,641,917 Finance Department 113,926,913,615 92,345,911,516 Planning & Development lJepartmelll 1,341,855,762 651,209,162 Revenue Department 1,866,011,706 i,019,393,107 Science Technology & Information Technology 446,454,926 192,209,771 118,562,321,152 95,180,365,473 Less: DLI Receipts (3,038,804,296) (2,805,704,183) 115,523,516,856 92,374,661,290 7. PAY AND ALLOWANCES- EEP Pay of Officers & Staff 2,082,314,261 1,092,134,282 Allowances 1,779,297,970 1,896,958,104 3,861,612,231 2,989,092,386 Page f).. KP Revenue Mobilization and Public Resource Management Program (PforR) Notes to the Financial Statements For the year ended June 30, 2023 2022-23 2021-22 Amounts in Pak Rupees 8. OPERA TING EXPENSES- EEP Commumcations 49,001,118 59,369,598 Utilities 92,624,197 41.771,692 Occupancy Costs 66,433.744 49,015,202 Motor Vehicles 331,068 559,384 Travel & Transportation 209,466,220 151,183.786 General Operating 2,429,674.963 418,783.363 2,847,531,310 720,683,025 9. GOODS - (ASSETS) lT Equipments 275.000 Machinery and Equipment 223,440 Furniture and Fixture 806,400 Digital Screen 9,981,300 11,062,700 223,440 10. CONSULTANCY COSTS Consultants - Individuals 10.J 42,587,949 30,350.656 Consultants - Firms 10.2 81,381,358 28,804,004 123,969,307 59,154,660 JO.I Consultants - Individuals Coordinator PMU 8,275,548 7,523.226 Financial Management Specialist 6,142,663 5,584,239 Procurement Specialist 7,003.324 6,366,658 Social Safeguard Specialist 6,978,400 6,340,533 Monitoring and Evaluation Specialist 2,849,032 MIS Specialist 4,989,600 4,536.000 Capacity Building & Training Manager 2, l 05,323 IT Manager 600,833 Infrastructure Hardware Specialist 1,975,323 Communication & Event Manager 1,667,903 42,587,949 30,350,656 10.2 Consultants - Firms Tlmd Party Verfication (TPY) Finn 4,463,881 3,257,416 Workflow document management system (Netsol 'J'ech Ltd.) 29,096,571 12,773,294 Oversight & Advisory Workflow dm:urnent management (EV Ford 47,820,906 12,773,294 81,381,358 28,804,004 2022-23 2021-22 Amounts in Pak Rupees I I. INCREMENTAL OPERATING COSTS General Operating Expenses 11,J 39,374,141 17,264,552 Remunerations and Salaries 11.2 29.554,514 27,857,295 68 928 655 45 121 847 PageJJ KP Revenue Mobilization and Public Resource Management Program (PforR) Notes to the Financial Statements For the year ended June 30, 2023 2022-23 2021-22 Amounts in Pak Rupees 11.1 General Operating Expenses Telephone Charges 343,636 279,124 Electronic Communication 1,185,060 Courier Charges 5,995 26,516 Rent for Office Building 3,459,403 3,164,219 Electricity 1,863,766 1,455,192 Water Charges 98,424 76,248 Security charges 362,447 274,428 POL Charges for Official Vehicles 1,744,554 910,455 Travelling Charges 2,688,444 3,249,959 Stationery 560,012 416,258 Printing and Publication 1,045,155 524,714 Hire of Vehicles 3,395,491 2,979,355 Newspapers, Periodicals and Hooks 9,900 13,375 Advertising & Publicity 2,397,623 1,210,581 Liscencing Fee (Ysphere ENT Plus JO Nos.) 19,442,393 Unforeseen/ Misca!lenous 1,956,898 1,499,068 39,374,141 17,264,552 11.2 Remunerations and Salaries Project Office Manager 2,612,329 2,453,263 Sr. Finance Officer 2,646,633 2,408,303 Sr. Procurement Officer 2,691,443 2,455,123 M&E Officer 1,747,032 1,680,000 Accountants 2,075,761 2,525,754 Admin Assistants 2,644,018 2,422,471 Associates 9,083,523 9,178,655 Young Professional Offucers 2,201,527 2,941,830 Support Staff 1,939,869 1,791,896 Operation Manager 272,500 Associates 89,073 Project Ollicer 735,484 GIS Associate (ET & NCO) 456,451 Young Professional Officer (ET & NCO) 358,871 29,554,514 27,857,295 12. Training & Workhsop 1·raining/ Workshop/ Seminars 12,325,387 18,140,601 Adjustment for misclassification error (12,773,294) 12,325,387 5,367,307 13. CASH AT BANK Designated Account Balance 818,367,995 358,539,847 /3./ 818,367,995 358,539,847 KP Revenue Mobilization and Public Resource Management Program (PforR) Notes to the Financial Statements For the year ended June 30, 2023 13.l This represents closing bank balance in Designated/Revolving Fund Account maintained in NBP Peshawar Cantt Branch 14. AllTHORIZATION FOR ISSUE Under section 7 of the Auditor General's (Functions, Powers and Terms and Conditions of Service) Act, 2012, read with Article 171 of the Constitution of Islamic Republic of Pakistan, the Auditor-General submits the certified Financial Statements of the World Bank fi.mded Program for Results together with the audit reports on these Financial Statements These financial statements have been authorized for issue on _________ , 2023. 15. GENERAL IS.I Level of Precision Figures in these Financial Statements have been rounded off to the nearest million rupees, unles::. otherwise stated. 15.2 Corresponding Figures Corresponding figures have not been presented as the entity is established recently and presentmg its Financial Statements for the first time 15.3 Record Certification Payments of216.29 million incurred by PMLJ KPRMP from the [PF component are certified by Field Audit Team and payments of 118,562 million as contribution of Uovernment of Khyber Pakhunkhwa in the program is the voted current expenditure of five executing departments, incurred through the Pre-Audit Counters of Accountant General/ District Accounts Offices Khyber Pakhtunkhwa, which is separately certified by the Director General Audit in the Annual Financial Statements of Khyber Pakhtunkhwa Au-.,it (Aficer Oftn;e of the Dirt:ctor General Audit Khyber Pakhtunkhwa ' BANK RECONCILIATION STATEMENT KHYBER PAKHTUNKHWA RESOURCE MOBILIZATION & PUBLIC RESOURCE MANAGEMENT PROGRAM (KPRM&PRMP) IDA 64210 REVOLVING FUND ACCOUNT-(FOREIGN CURRENCY) NO. 4164767040 As on 30th June, 2023 Balance as per Bank Statement as on 30th June, 2023 PKR 837,245,724 1$ 3,232, 1s1 .61 I Less: UN PRESENTED CHEQUES/CHEQUE ISSUED BUT NOT YET PRESENTED Conversion Cheque Dated Voucher No. Particulars Cheque No. Amount in PKR AmOW\tln USl> Rate 10.01.2023 653 M/S Premier Svstem Pvt Ltd 252452204 18,847,456 199.2287 $ 94 •m2.11 23 05.2023 741 Shakir Ullah 252452420 20,975 199.2287 $ 105.28 21.06.2023 785 Untouched Waters Comoanv 252452448 9,298 199.2287 $ 46.67 TOTAL PKR 18,877,729 199.2287 $ 94.754,06 Balance as per Cash Book, as on 30th,June 2023 PKR 818,367,995 I $ 3,138,003.61 I PREPARED BY Checked BY APPROVED BY • rl Accountant Project Di ctor (KPRM & PRMP) Fm· ce Deptt, GOKP KPRM & PRMP ' •