Financial Staternents and Independent Auditor's Report Grat nmber TFOB083e n Project number P1i8248 Strengthening Governance in Mongolia Projeot For the period from 1 Jan uary 2022 to 31 December 2022 Contents Abbeviatons 3 Independent AudLor's Report 4 Statement of financial position 6 Statement of Souroes and Uses of Funds by Cost Category 7 Statement of Uses of Funds by Project activqy 8 Statement of Designated account 9 Statement of Sub-accoun 11 Sumi mary of withdrawal aPplicat ions (I DA} 12 Detailed statement of expe-dtures by IDA withdrawals 13 Notes to the financial statements 14 r.r iv - i zib"1:r 6y 2fl2. i wkirA J(1La ?) Abbreviations GOM Govmrment of MongoIRa IDA The Internatiron al Deve lopnenit Association IPSAS laternational Pub'ic Secror Accounfing Standards ISA International Standards on Auditing INGO Non-gOvemnental organizalion PIT Personal Income Tax PiU Project Implernentation Unit SIP Social Insurance Premium SoS Secretary of State VAT Value a0ded tax WB World Bank 3 Grant Thorton Independent Auditor'sI Report To the management of Grant No, TFOB006"-MOG; Strengthening Governarnce in Mongolia Project Opinion We have audited the rollowing statements an of 31 Dein ber 2022 and for ie year then ended af the Grant No. TFOBO63- MOG: Srengthening Govesance in MongolV ro:ec ithe "Project1): - statement of financiat pasåton, staternent of soures and uses of funds by oa category, - staterent of uses af funds by projed activity, - staleent if designated acQount, - stalemerit of sub-accounts, - detai led statemrent of expenrdiure-s and - te nots (oolectively referred to as r~iræ ial sltarmerts". in our opinion, in all material respoets: - The accornpanying finanoial statement o th Project give a Lue and fiir v ew of the finandal position av of 31 Decerber 2022 as welf as the funds rFaCived aid experditures for the penad from 1 January 2022 to 31 Decenmber 2022 in conlormity woh Word Bank tinance rpor:ng guiuel;nes ad acnounting poliiwes desenbed in Note 2 to the financial statements - The staternent of uses of lunds by pro,fect acvity has been accurately and objectively disclosed in accardance wth the rquirements cf Grant Agrexmni No. TFOGOOC3-MOG the project implementation manual and retevant regulatilns. - The accampanying statemonls of uesiated accournt gIve a Iric and tarr view el the balance af be designated acount and sub-accounts as!a 31 Dec!mber 2022 and the Project's recerpts and disbursemnns via the accounls far the period from I January 2022 and 31 Deeber 2022 i conformity with relevant regulatiors established by the World Bank and the operation of the accounts in aordance with Ihe financing agreement. and the iniernal cortols surcounding the operation of the accLur aaquate. - Withdrawal applcations were aquaely reiconciled ýo the staterTents of expenditures (SOEs') prepared by Projert rnanagerment unit for the yer anrd mase SOlEs ware aacuaely supported by accounting vouchers and expenditures elairned are litgible under the relevar financing agreement Basis for Opinion We conducted aur audit in accordance with iernat;o:: Standards on Auditing CSAs") Qur responsbilities under triose standards are turther described in the Auda, s RespunwbHes 'or the Audit af ihe Fi(ranaia Staements section of our repart. Wc are independen of the Pojecri inordlco vil.h the mernatlonal Ethics Standards Board for Accoinlants' Code of thics lor Profe-ssional Accounlants dhc i EEiBA Code") togeter wil the etha requirernents har are relevant to GrantThornton oGr audit of the financial staterrents in Mongolia. and we have fulled our other ethical responsibilhiles in accordance WIh lhose ethical requirements. We believe that the audit evidence we have obtained is sufficient and appropr ate to provide a basis for our opinion. Emphasis of the Matter The project financial statements are prepared in accordance with the designated purpose franework and that, as a result, the project financial statements may not be suitable for another purpose. Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of the firancal siatements in accordance with IPSAS, and forsuoh internal control as managementdetermines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. Statemen Auditor's Responsiblities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurarco about whether the financial statements as a whole are free fromn material misstatement, whether due to fraud or err, and to issup an auditors report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs wi I always detect a material missatement when it exisl, Misstatements can arise from fraud or error and are considered material if. iRdividually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken based on these financial statements. As part of an audit, our responsibilities include the exercise of professional judgment and skepticism and those responsibilities indlated in paragraphs 38 and 39 of (revised) ISA 700 posted on the titernational Federation of Accountants website. OS HUU MANAGING PA NER 30 May 2023 Ulaanbaatar, Mongolia www,nranrihoratonmnn GivEinrnerit vi Morng9i4 Tire Interrnational Development Association Strengthening Govirnarseo in Mcngoli Pjteot IDA Grant No.TF0093-MOG lknanclal StErnents fr1ihe priod Form 1 Jianasy 2022 to 31 Derjember 2022 Exprcsad in 1Lui 1unless I)1[r H täled) Statement of financial position In EUR Note 31 emernber 31 December 2022 2021 Asts Cosh and cash equivalents Desigr,ated account 3 1,612.86 4503.24 Sub-acco.nt 3 1,545.22 101.705.14 3,15808 10628-38 Cusm voative pruject expndtrs Goods 4.1 404.224.56 42,B95.-5 Con suitant r> rvices 4,2 1: 380820.46 B74,805.24 Training and workshops 4.3 202-40222 45,51 58 Inrerne ntal ope rairg cost 4.4 31,794.23 1B.274.28 4 Z019,241,47 761,726-75 Total assets 2.022,399,55 888,015.13 Funds IDA Fund 5 2,022.384.62 888,000.00 Other ircome 6 1493 15 13 Total funds 2,022,399.65 Bs,01 5.13 The statement of fnancial position was approved on 30 May 2023 by: 0, Batmurikh N. Jargarmaa Financial Management Project Qoord;na or SpeciAist tih sllatement of tirtnrcial posion is to bu nad in conjnirclion vith the notes to and forming pat of e firrncial satenienrls sGI oul ori pEges 14 to 20. iovernrent of Mong Glia The international Development Associaton Srengthering Covernarce in Mongolia Project IDA Grant No,TF060063-MOG krtania l Statemenls for the period frorn 1 Jasnuary 2022 lo 31 De cember 2022 For 11ie perird from 1 January 2022 to 31 December 2022 Expressed i o (nleö s olterwise steled) Statement of Sources and Uses of Funds by Cost Category curmulotive ar fumulape as In EUR 31 Decen ber C urrent period of 31 December 2022 2021 otrcos of funds W8 funds 2.022 364.62 1.34,384.62 888,000.00 Other 4625.03 136.21 4.486.82 2,027,009.65 1,134,522.83 192,485.02 Uses of funds oods 404,224.56 361 321891 42.895.65 Consultant servies 1,380,820.46 706,0 J.22 674.805>24 Training and workshops 202.402.22 156, 650.64 45,751 58 Increriental operating costs 31,794.23 13,519 95 8,274.28 2,019,24t47 1,237,514.72 781,726.75 Other expenditures 4,610.10 138.41 4471.9 Fond Moince al the ond af tfi year Desigate un126 (2890.38 503 24 Sub-accounl (Treasury 1009000 11754 1,54522 (100,239.92) 101,786514 Difference of S ources and Uses of Fond s 3,1s8.08 (103,130.30) 10602E530 Te stitement of sources and ueseof funds was approved on 30 May 2023 by: D. BatrnXn,h N Jargalmaa Financial Management Proect C ordinator Specalist The 5tatement of sources and uses of indrS to be read in copjunction wth the notes to and forming par of the financiai stiternenis set out n pagas 13 i 19. � � � � � � м ,�„ � й т � w т � [s� и� м _ �, й7 r'7 ...��.': � � � � , � 'i � i � � # �рΡ i � � � � � �' ' {�1 9 � i � � � .. i у'� I Fy .. � � М 5Уё � � � Nц R.y{ с С �уΡ.. �уΡ � у р} VJ VP а t1ь � ,. �.. м. � ы � � � � � чф� �� ; � I С 'а �, � I в ыwr i9 � ° . � ч. j ' с У � � � � � � I � � � � �а t� r- .�хv � r� I Р' ti1 �% '. "� О � fl 05 '� й �„�/ � � �V� с? �5 ! �? V'� . � цй •�_ "� ш г°i � I � � У � � �7 4 'г�'�!� 7 ~ � . йС �уΡ ��../ '� � � ыд ,7] 6 i +гf' '� � � . � � �¢ LTt i �` Q . � �, � ,� � �. R} �3 . д7 ,. � �P � в °и ; т � � гы 3 ма � �уΡ � � V j � � i � � � � � i.4� f�- � tiV ЬР: йЬ N Ll 't#' °У°7.., � {г1 "7 ц? 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' i� г'_ �' '- ��� � 6 _ � " ь- �у , � � #; , '[�. ��. ь, qз Сз ^#�' � � С [k � � � s�]} � `[�, � •�• у„ � . iц 7 ��уΡ � г� � � ц�' i � у � '�' � °ц! �¢� й� аи ( � г 03 ёу � i г] . qa � . 41 � _ <п 3 � � �.' � С � : С � � � '� � Ф 4�U �� �//��в � � С П4 С �Q -� � � '9с {"`� � p,J � Ct-ф 9� С д � � � . ы� ?_& � . � Ф . в7 ' д .� 4 Q rL' � � га �с [� ' 0.7 � С_} . w: i�� � U иа � C.b �. i� F� � � � � � - � в ,`` а� �� �у � � гч rs 'i �' �j а о'�ч� s ха � � � c7�й�LLi � , . � � GGwurrmnenl of Mn noolis The ininmationa I Developrnpni A5socialio n S[rungl.hening GoyernqMe in klilngalis Project IDA Gza.nLNlj.TF08(YJ@3-M( G Finarwlai Sta tern F nts for the period frow ! janija r 2G?? lo 31 D esq rnher 2G2.2 E xprenrad in F two (uni.,;s othe.Wq ii ,talad) Statement of Designated account In EUR 30 December 31 Decernber 2022 2021 PART A. ACCOUNT AC71iVITY 1. Stato Bank - 1049f)0092970 (FUR) nuginning 2alance of Designated account (State Bank 224,400-14 q4NPPP 2p7f)) Add- 'total amount rep[on' shed to Designated account 1, 134,384.62 259,007.62 1,134,384.62 259,007.62 Deduct: Transferred to Sub-account 200,00G.00 Dodwo.: Coniultant Services 3,779.25 Doducl: Rank charge i 125.27 Deduct: Interest incomo transfefred to MOF - Ondom Tranqforre l o (Treasury 1,134,384.62 279.503.24 202900011754 1,134,38C62 40a,407.76 J a- i c4 Desig nated aflc U t stat a k- rlg Go 0 Ill a an 104900092970) 11- TreasiAry - 20290COI 1754 tEuR 909110olng Liallance of Designated account (-Ticosury 4,593.24 202900011754) Add; Totill arpouril replen shed to Designated account 1,134,384-62 279,503.24 .......... . Deduct: lr.-frerii-ntal operating costs 275.00 DoduM: Sub -aC:,,,: j-jt 1.137,000.00 275,0M.00 1,1 37,275,10(l 275,000,1110 Endinq balance of Designated accouni(Tire"asu'ry - 1.612,86 4.%3,24 F,i r Lm m fr m 1 J. . hl: 3 31 L) . , 2-22 Governrent if minIigoi The Inlerririnal DeveIoprmeni Association Strenghening Governarnce in Mongola Prcject F An No TFOe063-MO Finaéncial Saermerits for he period fron 1 Linuary 2022 tr 31 Decernber 2022 Frf [a ierod frorn 1 JinUary 2022 tp 31 Decernbw 2122 Expr*ised in Furo (un ess otherwise ststed) PART B. ACCOLJNT RECONCILIATIONS 1. nimil advarca 400 000 0 400:000 00 2. Inerease in advance 572.991 21 175,000.00 WB advance 972,991.21 575,000.00 Bajance of Dsignated account and Sub-account ,158.08 106,23&,38 1. Designa ed accouni (State Bark 104900092970 112.86 4,503.24 Il Sub-accounc (Treasury 100900011754) 1,545.22 101.785.14 Add: Disbursed buý not claimed yet (WA 16) 39656.65 293.725 75 Add Amount tola! Docurnented (WA9 and WA11) 572,991 21 OG5000 00 Deduct: Bid inrome 14.93 1513 Total advance to Destgnatd accouint 972,991 .21 575,00[IDO The statemonn of designited accourt was approved or 30 May 2023 by D. Batmunkh N. Jargalrnaa Financial Managenent Projecl Coordinator Specialist 10 (,verrmmi1 o Morgda The Intrnatioual Deveopien1 AsOciO4n Strengrening Governance In Mongolia Preje1 1OA Grani. N..TFB 3 n-MOG Financial Statements for 1Me pialou from i January 2022 to 31 December 2022 For trie perind from i Januar? 2022 to 31 Drcemt,er 2022 Fxpressd ;n Ewo (unless omnerwise slakt"d Statement of Sub-account In EUR 3 December 31 Deemier 2022 2G21 Begmnn baanoce Sub-account (Treasury - 1009000'1754) 101,785A.14 90,028.89 Add: Transferred frGm Designaéred accouint 1,137,000.00 475,000.00 Add: Jnerest incorre Pared on Sub-accournt Add I.ome from bidding documents 136.21 75.65 1,137,138.21 475,075,65 Dedu& T otal expenditures Goods 361 32591 32,74t37 Gons ultant semes 706. 0. 2 395,379.4 Training and workshops 156,650.64 24,453 2.9 Ineremental operaI,ng costs 13,244.95 10,682.1 1237,239.72 463,258.5 Deduct: Otoe expend1ures 13841 6062 Ending Ba/ance Sub-accoum (Treaesury - 100900011754) 1,545.22 101,785.14 Thý statemnent oFsub-accoun was approved I 30 May 2023 by D? E-laImmnkh N. Jargalmaa Financjal Management Project Coordipator Specialist Governrrent of Mongoba The Injernational Development Associa1ion e;rErIg*lening Governance In Morngolia Project IDA Grant No.TFB00603-MOG Financial i/alemens for the period frorn 1 January 2022 lo 31 December 2022 For 1he perirjd from 1 January 2022 to 31 December 2022 Expread iF E-ro (unless o1ierwise staled) Summary of withdrawal applications (IDA> WA N AppIlcatiorn Clalnied Credited Amount Arnount Difference type date date cialmed crodited Beginning balance 880,00000 ,80,000.00 TF5oQ063 011 Advance 23/05/2022 24/05/2023 397,991.21 397 991.21 TF08DO63: 012 Reptenishrnen 17/08/2022 18/08/2022 2$3,226.77 283.226.77 TFOU003: 013 RepleilishrTent 3/1012022 4/10/2022 231,300.74 231,300.74 TF0B063: 014 Repleniszrment 30/11/2022 1112j2022 104,508.06 104,504.06 TF0B0063 015 Replenishrment 9122022 12/122022 117,357.84 117,357.84 Current perlod 1,134,384.62 1134,384.82 Total 2,014,384.62 2,014,38462 The surnmiry of W4Jdawal appkoations was approved on 30 May 2023 by D, Bstniufkh N. 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IX} �G ' Яi �_} � � � � � �� � � �i �, � . :� � �i � � С4 �i ' ' � � g Q �;.г'� � а ' . , .г__.... . . :_ .. .....'__ .:.......а � М �� .rt ���� '��-��� �, �r м,.� ц/ ��' 4ч I I'� �й j u�i �' 6r ч�.. �. va •- � и? м г& гs е � "� � м1УьУr1 � и �; �. ' р� � � ,,�у �,. ; � w ° гi '- � � 4/ J г.Э оэ г-- ; и а- tча � I � 4д iб �� ! г т : < . гг-� � А " н _ � I ���� � � � � �.�I I'��.�, � r` t-. ц;п л сл ; � � � � �: ' � йг �1 : г �. ;*,� .• �егэ ; ti} . � . ���у� � С`� сОг� �' � ��м� �? r.. �... . . � �. n ;Ф ° - �� [s '� м, .Ч Cs? 4L1 ь@ �.. 6zi ' r � �� .. '�р. q; гы ,� � [ 1 �1 � � : а`- �% �% � tY5 � 7ь4+ г ` л у �з � � � � � . . . � � , , � � � � С� 'с � л � � ._ _. ._.._... �. , � I т � � � � � �.: � . v � � ��� � '*� � � � � Ш 1 й�i3 ., � � � s �. д� � �.. ���. "' . {�+� С] Г3 ' �[�'�'+у Ё � �,'� � L,E�+I ` � � , � � ' �] � о � р ; +°� � � . . �, . +ц - г{�' i . `С] `' L'��:!}�Ш �.1 � HiI^'H�r�F^ 5"^iF°° L С] д � Government of ivujigoilo The lJOValUPr')Li11 AssijJatioo Strengthening Govenizifluo in Mongolia PiojeGt 10.4.Granl Finaiwial Stalemetits fiar the periGd f oni 1 Ja n uary 21)2 - Le. 31 Deoemba 1 2 022 Fxpre5sed iq Euro un!ess otherwisc- stated Notes to the finand-'141 statements I Project background and information Project narnig: 13 rant No TFO BOG63-M OG. 3 trengthe rki ng Goveren 8,1 ce in Mongolia Project Project nu-rnber: P168248 The pro'ect olb ective is to support the Gvvernmert'i efforts to improve fiscal discipline, pLibiic financia Pro;ect purpose and activ,t es: management (PFM), and lransparonc and accountability processes for strengthened gove! rinnco of public resoutce managernent gn MongoAs. Firlafleinq amount: E U R 2,500, 000. OG Project duration period- 26 Apri 12019 - 26 Feb rua ry 202 3 FinanG ng agency: World BaTik, The International Development Associatio-ri IDN) nip'emen'--ig agoncy; Ministry of Financj Project rr --ina gem erit: Project Direclor M Sanjaadorj Project Coordinator D. Batirnrinkh Add ress. Su ile 2D5, Un ited Natici ns Street 8Y2, the 4th k horoa, ChinoOei D strict, J'aanbaatar-15160, Monqo ia The proj act con siats of the followi rig par-is: C Orn ponen t 1. Stre n9theni ng Mac ro ec onom lic a n d risc ai M airiagement Condu ot rowa rc h af! d a[ I , I - s to strengr he n th, c a E. -j- t y of the F iscal Stabi li ty Cou rci I a nd improve fisow po boy. Component 2. Improving the Efficlency of Public rinanciai Managiement Ministry of Finance, National Develop budget and rmancial management reform plans and regulations of relevant agencies, budget planning and execution: budget reporting and varisparency, public inve tmcrit management and si rvico standards COMPDneht 3. Project Management and Monitoring ProvA ng techn cal and op6rational stippurt fur the project mplementation, coordination, monitoring arid evaluation, mrluding audit arrangements, reporting requiremnni* . proctirement, and financial managernert activities 2 Significant accounting polic es 2,11 Basis of accounting The si atement of financial position, statement of sources and u8es of fund8 by cost category and ptoject activity, statement ofdesignated arid sub-accounts and explanatory notes to the firianrial siatementg havebeen prepared in accordance with Gas i Basis of international NNic Sestor AGcounting Standard, f,IPSA'3) issucri by the IPSAS Board and requirements of tqe World Bank, 14 Government of Mongoli@ The Inleratmnal DevelopmentI As,ociation .51rengthening Governance in Mongolia Project IDA Grant No,TFOROO63-MO Finarrial Staterners for the period from 1 January 2022 to 31 Decernber 202 For the period from 1 Jnuary 2022 to 31 December 2022 ExwLassod iri Euro wifess otherwise stated) The casli basis of accounting recognizes transactions and event only when cash is received or paid by the Project. 2.2 Accounting period The financtal year of the Project is from 1 January 2022 to 31 December 2022. and it "s presented with cumTulative and comparative amount. 2.3 Functional and presentation currency The national currency of Mongolia is the Mongolian Tugrug (MNT), but functional currency of the Strengthening Governance in Mongolia Project is Euro "EU R"' These financial statements are presented in EUR (uniess otherwose stated), since this currency is more useful for the users of these financial saternents. 2.4 Foreign currencies Foreign currency tMansactions In preparing the financial statements. lvansactions in currencies other than the functional currency are recorded at the rates of exchange defined by the respect-ve commercial bank prevailing on the dates funding in EUR from Designated account transferred to MNT sub-accounts using first in first out basis for the period. 2.5 Recognition of funds and expenditures Project funds and expenditures are recognized on a modified cash basis, - IDA fund: Funds are recognized when drect payment from World Bank to suppIrers or! and receEpts from World Bank to Designated account. - Counterpart fund: Fund is recognized when direct payment from Treasury to suppliers. - Expenditures are recognized when incurred. 2.6 Designated and sub-accounts 2.6.1. Designated accounts In accordance with the Disbursement Letter of Grant Agreement No TFOBOO63, the project opened the Designated Account (DA) which is the segregated account for the financing at the State Bank acceptable to the Word Bank Account number of the DA is No.10490009f970 and it is maintained in EUR. In 2021, in accordance with a request of the Ministry of Finance and the approval No 017/21 on 21 January 2021 of the World Bank, a new designated account No.202900011754 in EU R was opened at Treasury Funds at State Dank by the World BanA be transferred to tle Treasury, ir which transactions should op mat3 5`} ^t'" г� Ф � �s , � � дё � иЭ � €^1 i г I о I з � g.� � � � � �' I ��3 ;? i , � ' ав . i�Ч iгй и5 1 sрΡ �". у' О � � � � � � L7� ' �,'.. N. ' д�1Р .� : 4 _ г '7i �i Ср � С�. � м r i ri `tS "� , +- 1- � с I � � I �i ' i i 'х�.� � �;� С �.; �., � s w� ; � � с Cj, �,' h�- � ;� � ф � п.. i. t,j � у.,. �+ �� e�s ,- с-� гw : сч � ца Q,i � " �, � 'ГЛ� � i{+�! _ с*3 гч � пI Fь��j. з С�,. О I ц"1 fЭб �? С �г . N :'�. Ф,.,,,,. � С.�j ,. 43 1di � r S+! s'� з, � � �р � 4tч {'7 �,! � . �` .. F- г # � � � � ц�7 �tl' L О N гд� ц'7 ц7 г ц� �. �i � 0� . {S% �+ � Q = � � , {�в1 2д`{�}�' Ф ц1 �� °� lfЭ Т' � Рё °� ti} . С1� � с� i'Э I i�$ � � [1} Nь_ ! чп йь с5+ ' {;• �' йh� � t+'� г ±f ' ' �7 � � �!M1- � � ,lf � , .� � �! � i � �+ СчI : �1 . . � {V '� У- Рл � : � г � � i i � ' _ � j ! �рΡ I гf.ё ' � N 41? ( Г,� L� � I � , � .. ' q рΡ д� У-� ttнfF � � V! �! , .� ~� �арΡ � �Li N ! L? {w1 . Пi f°} 44 � Р� �b {Ч �. fi7 М N 4*Х С+3 IX] ' iV +� CJ т I � g � з, � i i � � 0 � Ф € � Ф � i � I 1 �;�q� � �r ! t57 on.� гС . . ,. � � г,� �" С � С? � � � � ! i5i I � � д 4Я '+ У tt4 � ' Фс I ц'i` � н'�Ч �. � ;. v. ' n+ . г�д�.� ' р � �. о�, Q. rt�, £Э� . . 1�?Фт sw � � т д� � � L� I с ,, Ф °�Q. и, С•�� � � #� 4i � Ф С с5 м {°3 � � °.. � � в . � � �� �.. � � � � � �� � � £ � ТΡ�� � � : � � � 6U5 ё � � i � �г�J `°� � �� � С � � � � � '�i � � i � � Ч- 9k ' � � � � � � +� + � � r � � � С3 � �L � ' й ❑ дл �, ����.. �, +� с5 � г7 qY • „ ! � _ r! г�С 9} V � {� с ,� � �cr � .�'.. � � �� � I '�` Ш �: 7} ес � .��' Т} qp (j, � ' LL 4% Ч7 ' �' у� � �. 47 �, г � � 97 СЛ �.. r�} Ci7 �.: - С. .п� С " � ii} ,у �т �'S� ч} . W,.�y �, .L .: � ; М � , i ,� м С С .k дt ��. $у €]3Ф �F � у и Cгt,q, сп � 7J ; � G . г2 � � � Ly;i � �7 � д С �'rг � � ' � �} � Ly . i {jp ., С ti . $Ь ... � .,у. q�C �- Ci е �... 4 � � � � � �' '�.. � ` � � � ж � �s ; �: .`, � .�,� ;� � а �fl��� � й ��'�'� �;} �С гkС г�i щ � 4 �} � �у, : � н�, С+1 � а'"j � G .е ,� � С � ±; �� п � � '� ` fli �6Р ; С .� � � � Г 2 Г . • � д5' �' С] � С £• Q' �L} f�h � сг r �� � i,. � � 4:5 Ш l. 1 � � � £�. С1� СЪ ... .�°У ; �� � � � � � 4 ё � � С = � � г�э i а S2 , °d ti С} � U� i'J � � � t� и3 � �� � С� 1 f..} � ���� � � д5 � � иц � ` = Ф � � С F т n U. � ;, . N� й`7 � � � � � } � ��! 9i �+ � ,�г i '�`. С„ F^ U} 6L Ш `� - � I � . " I ; : , �,:. C,pvcrnrTiei,t of Mgngulia The lnternatiQnal DpvelQprricni: Ås59dation Strinlgthening GOYLmläince in Wingolka P riujPet l DA Grant No Tir 2 0,3063 -MOG F- rin åncia l Statern 2 nbý for the pEýfl id Irem 1 j ig nuary 202 2 lo 31 Deceni ber 2022 Expres ånej in L Lä ö ý wqlo&ý, cliiiårAvit p ý>taläd) 4-1 Goods e Lirrýulative as of Curnulativp as of In FUR 31 Decernber 31 Dece-nber 2021 Pr4jject.AcOv.fties / Componiont. C om po n Dinit 1: Stre ngth e n ing Mae roecon o mie a n d r sca l 43,831.60 23,277,51 ---------- ------- 1 Fiscaj Counci l 1... Assetö and Lieibiiity Management 6,032.25 - 1.3. Taxatiuri and Reveriuc Pjlanaga.-nc-t 23,27T51 23,2 77. b 11 1. 4. esea roll and a nal ys is capacity fo - - Du r,ý1 fi j - - a nd 14.521.844 - finioncial policy - Component 2: Improving tkie Efficiency ofPultille- Nnancial 358,042.72 17.267.90 Management 2.1, Overall PFM Refoirrn Plari and Inteý-iigeney Coo5nwýon 218,832 41 - 2 2 Budqeý Preparation and Execution 4.a93.17 4,893 17 2 1 Budget Reporting anö Transparency 134,31-1.14 12,374.73 2.4, Conliqgeni liabviiiieg - 2.5. Plibýi-- Invesiment Managernent Component 3: Project Management and Monitorýng 2,350-24 2,350-24 TIA31 404,224.56 42,.395.65 In the repo6n9 pwýod, the project nriplernentation unit ciDnelided ag-ee;rients wiffi companies inciuciiiýq the Gapiýal Econornios LLC, IT Zone ILLG, ropica ILLG, Summit Ccrnpute;- Techriölogy I-L-C, Bodi EleoLloffics ILL-C, Fe,onorriog Intelligent Unit Corporation, Finaficial Times Ltd and Sinolnsider Consullirig LLC to pr5rjur& goodis. 4.2 Consulfing services Climulati,.ýe as of CUML;IEI!ive as of In EUR 31 December 31 Decernber 20.2.2 .2021 Projerf Acliveffes / Cc3yrépdnp-nt: C-o r n pc neri t 1 Strengthaning Macroeceni>mlc and Fiseal 222,341,99 109,945ý93 IVa.Ilaqýe~ , t ~ 1.1. Fiseal Counrii 4 3.537.15 4ý,537. 15 1.2. Assetr and ljqbiýity Manageinent 29ý 74 t 68 113.1504,51 1.3, Taxation and Reverive ManagenerK 142,958.14 52,804.2r 1 4. änd a nalys is capa city (er sou rid fisca l and financial p91 ' kY Component 2ý Improving the Efficlency cif Public rinanciall 1.107,559,05 533,472,48 Management 2 1 Overall PFPÅ Reform Plan, arid Iiitigr-agerley Cootidination 254.04045 60309,71 2.2. Budget Preparation and Exiývijtipn 137,439.72 23ý 375.04 2,3. 13udgel Reporti ng a nd T ranspa rency 530,203,32 32.0,600.91 2.4. Cunýinqent Liabflities 78,047.39 49.408.84 2.5. Pub?ic IrLvestment Pela nagertieM 107,828,17 79,777.98 C Drn potient 3: P rölject Ma m agement and Nilonitofing 50,919.45 31,386.83 Total 1,380,820,46 674,fi05.24 Govirmeni of Möngolia Thei nteinxlional Developnient Assocairn Sirengtherirng Governance in MAmgolia P,cject IDA rant No. TFOROO63-MOG Financml Statemen1s for the period from 1 January 2022 to 31 December 2022 For the period frni 1 Jankuary 2022 to 31 Decenbm 2022 Fxpressed in Firo (9inless phIIerise led) Curing the reporting period. the project imprementation unit reco4ved consultirig services fron 5 companies ana 49 indiv!duals and paid the re!evant fees. 4.3 Tralning and workshops Curnuative as f Cunulative as of In EUR 31 December 31 December 2022 2021 Projct Act vd/s / ComnponenÉ: Component 1: Strengthening Macroeconornic and Fiscal 65.001305 16,307,22 Management 1.1 Fiscal Council 31,567 17 1.2. Assets and Liabiity Managernen - 1.3. Taxation and Revenuc Managernent 33,432.88 16.307.22 1.4 Resea ch and analysis capac y for souid ¯cal and financial policy Component 2: Improving the Efflclency of Public Financial 136,505.74 28,221.83 Managemnent 2 1. Oveal PFM Reforrn Plan and Inter-agency Coordination 84,246.88 11,926.86 2.2. Budget Preparation and E5ecution 4,616.03 2.786.64 2.3, Budget Reporting and Transparenj 7,723,89 3,69849 2.4. Co tingent Liabilities 3,263.97 3,263.97 2.5. Public Invesrment Man ag ement 35,654 97 6,545.88 Component 3: Project M ana gement and Moni torri g 1,896,43 1,222.53 Total 202,402.22 45,751-8 During the reporting period, the Pro et conducted 3 international vaining under Cornponent 1, 17 doiestic and international träining under Component 2 and 1 dornltic training under Camponeni 3 and paid a| ne related pay.,nents. 4.4 Incremental operating costs ln EUR Cumulative as of 31 Curmlative as of 31 December 2022 December 2021 Office rent 1,527 82 - S lationary office equipment ma inte nance and software 54,181.88 140.73 Conractal staft Cleanirig Services and Translation Cots 3,962.6 3,638.70 OTfice supply expenses 3,345.20 2,60.-1 Scoial insurance expense (PIU) 4,0t4.10 2,698.30 Communication expenses 2,089.91 1,881.32 Advertsing expenses 1,'27.90 1.00331 Honora -ee and/or PSC meeI-ings, Evauabon Team, NGD or 858.08 793 .74 PSR in E,aluation Committee Bank Charge 686.60 336 07 Total 31,794.23 18,274.28 19 Govwrnåmnt of Mong clia The nternational Developmen Association S!rerg,hening Governrnce in Mongöla Projeck IDA Grant No TFHEIO63-MOG Financial StaemenN Ibr the ptrilid Ironi 1 January 2022 ti 31 Decsmber 2G22 For the perecd fromi 1 January 2022 to 31 December 222 Expr~Bd in Euro (urnlOs otherwisa stated} 5 IDA Funding As of 31 As of 31 in EUR DeceMber 2022, December 2021, 'DA Finding 2,022,384 62 86,000.00 Total 2,022,384.62 888,000.00 6 Other revenue in LUR Mof 31 As of 31 EDecemPer 2022, December 2021, Other income from bidd'ng d ocumen rts 1493 15.13 Total 14-93 15.13 7 Project budget and actua by cost category Total Cumulative as Ort Camulative as ln EUR aflocated of 31 Deceiber Curren o,31 December % budget 2022 perid 2021 Gonds 515,052.31 404.224.56 36132691 42,89565 78% Conulting services 1,676,017 81 1.380,820.46 706,015 22 674.805.24 82% fraining and workshops 268,0895 202.402 22 156 650.64 45. 751 58 75% Inoremental operating costs 38>340.13 31,79423 13,519,95 18,274.28 a2% Contingencies - - 0% Total 2,500,00000 2,019,241,47 1,237,514.2 781,726.75 81% As of 31 Decenber 2022, the Project has vsed 61% of the budget that approved by the agreernent 8 Subsequent events No adjusting or sgnificant non-adjusting events have occurred beteen the 31 Decernber 2022 reporting date and the date of afthorization. 9 Translation The audit report has been prepared in both Mongolian and Engli5h languages. The report in Moigolian language shall prevail in case of discrepancies between the vesrson in Mongolian and English laguages,