Report No: FIN-2022-49(E) 28 June 2022 SUSTAINABLE FISHERIES RESOURCES DEVELOPMENT PROJECT MINISTRY OF FISHERIES, MARINE RESOURCES AND AGRICULTURE FINANCIAL YEAR 2021 TABLE OF CONTENTS Auditor General’s Report ................................................................................................................. 1 Financial Statement Statement of Receipts and Payments .................................................................................. 12 Notes to the Financial Statements ...................................................................................... 13 c AUDITOR GENERAL’S REPORT TO THE MINISTRY OF FISHERIES, MARINE RESOURCES AND AGRICULTURE ON THE FINANCIAL STATEMENT OF SUSTAINABLE FISHERIES RESOURCES DEVELOPMENT PROJECT Opinion We have audited the Project’s financial statement of the Sustainable Fisheries Resources Development Project financed by the World Bank/International Development Association (IDA). This financial statement comprises of the Statement of Receipts and Payments for the financial year ended 31 December 2021 and notes to the financial statement, which includes a summary of significant accounting policies and other explanatory information set out in pages 12 to 16. In our opinion, the accompanying financial statement presents fairly, in all material respects, the cash receipts and cash payments for the financial year ended 31st December 2021 and cash balances as at the year then ended, in accordance with International Public Sector Accounting Standard: Financial Reporting under the Cash Basis of Accounting. In addition, we can provide assurance that: (a) The funds provided under the Grant have been utilised for the purposes for which they were provided; (b) The Special Account transactions and its balance as at 31st December 2021 have been presented truly and fairly on the financial statement, in accordance with International Public Sector Accounting Standard: Financial Reporting under the Cash-Basis of Accounting, and the cash balance as at 31st December 2021 shown on the Statement of Receipts and Payments reflects the cash balance which is reconciled to that of the Special Account; (c) The Financial Monitoring Reports furnished to the World Bank could be fairly relied upon to support the applications for withdrawals in accordance with the requirements specified in the Grant Agreement; and adequate supporting documentation have been maintained to support claims made to the IDA, for reimbursement of expenditures incurred and which expenditures are eligible for financing under the Grant Agreement, and (d) The Procurement guidelines of the World Bank have been complied with in the procurement of goods and services under the project. Basis for Opinion We conducted our audit in accordance with International Standards on Auditing (ISAs). Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the Management in accordance with the International Ethics Standards Board for Accountants’ International Code of Ethics for Auditor General’s Office | Ghaazee Building | Ameer Ahmed Magu | Male’, Republic of Maldives +960 332 3939 | info@audit.gov.mv | www.audit.gov.mv -1- Professional Accountants (IESBA Code). We have fulfilled our other ethical responsibilities in accordance with the IESBA Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Responsibilities of the Management and those Charged with Governance for the Financial Statements The Management is responsible for the preparation and fair presentation of this financial statement in accordance with the International Public Sector Accounting Standard (IPSAS): Financial Reporting under the Cash Basis of Accounting. This responsibility includes designing, implementing and maintaining internal controls relevant to the preparation and fair presentation of financial statement that are free from material misstatement, whether due to fraud or error; selecting and applying appropriate accounting policies; and making accounting estimates that are reasonable in the circumstances. Those charged with governance of the project is responsible for overseeing the project’s financial reporting process. Auditor’s Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s 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 will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. As part of an audit in accordance with ISAs, we exercise professional judgment and maintain professional scepticism throughout the audit. We also:  Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.  Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Project’s internal control.  Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.  Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance of the project regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit . Auditor General’s Office | Ghaazee Building | Ameer2Ahmed Magu | Male’, Republic of Maldives +960 332 3939 | info@audit.gov.mv | www.audit.gov.mv -2- Review of the Project’s Progress Without qualifying our opinion, we draw attention to the following management issues observed from our review of the project’s progress. From our review of the project’s progress, we have observed that some of the activities were not delivered by the target date agreed with the World Bank. The table under Management response shows the actions agreed and the current status. Implication Failure to act upon the recommendations by World Bank will result in delay in achieving the objectives of the project in due time and will have a negative impact on the performance of the project. Recommendation We recommend PMU to follow the recommendations given by World Bank’s missions in a timely manner to ensure that various components of the project are implemented within the set time and budget. Management Response Follow-up on progress against the June 2020 targets agreed during the Fifth Implementation Support Missions – Previous Audit Report Status (June Additional Due date as Revised due Status (June 2021) – 2022) – actions needed per 2020 Audit dates (as per Targets by June # Management Management Report June 2022 2020 response response Management Response) Component A - Improvement of Institutional Capacity in Marine Fisheries Management 1 At least 215 (of Installation was 348 devices 342 is to be The entire fleet By August the target 732) delayed due to installed as of installed of 672 VLDs 2022 vessels fitted COVID-19. now. would be with operational Installation ongoing. expected to be VLD and EO, 103 VLDs installed commissioned commissioned till April by December and tested. 2021commissioned in 2021 April 2020. Component B - Support to Mari culture and Diversification of Fisheries Sector 2 At least USD 0.5 Not achieved, the Project A Marketing December 2022 December million (of the grouper pilot project Development consultant was 2022 target USD9 was delayed due to Objectives hired in May million) COVID-19.-19. revised in 2022 to assist achieved in sale March 2022 with the values from The groupers cultured and shared with marketing of export of farmed by the beneficiaries of the World the groupers sea cucumber A.Dh Mahibadhoo Bank. produced in and grouper. were sold and grouper pilot beneficiaries received project. MVR 366,537. Production capacity of Auditor General’s Office | Ghaazee Building | Ameer3Ahmed Magu | Male’, Republic of Maldives +960 332 3939 | info@audit.gov.mv | www.audit.gov.mv -3- Maniyafushi is being increased Follow-up on actions agreed during 6th implementation support mission (June14-25 2020) – Previous Audit Report Status (June Status (June Revised Timeline 2021) – 2022) – due # Description Action Responsible (June Management Management dates 2020) response Response (June 2022) Environmental safeguards 1 Environmental Complete PMU September ToR for A June screening and selection of 15, 2020 environmental Consultancy 2022 preparation of consultants and screening and firm was site specific share the monitoring hired to carry operational Inception Report separated to out the EMPs for (including two ToRs. environment grouper consultants’ Editing and assessment mariculture work plan) with finalization of on 15th March sites. the World Bank. both ToRs in 2022 to carry progress. out the environment Revised assessment deadline : of the August 2021 grouper grow-out sites. The draft report shared with the World Bank for their comments and the Consultancy firm is revising the report according to the World Bank’s comments. 2 Guidelines for Finalise the PMU and July 10, Currently Not achieved. Good Guidelines Good World Bank 2020 working on Draft script Environmental Environmental the final prepared Practices in Practices in editing of the need major Grouper Grouper script and revisions. Mariculture Mariculture. content. Mariculture has been Finalise script component initiated. and content for Revised had to Needed for Sea communication deadline: prioritize the Cucumber materials. activities for Auditor General’s Office | Ghaazee Building | Ameer4Ahmed Magu | Male’, Republic of Maldives +960 332 3939 | info@audit.gov.mv | www.audit.gov.mv -4- Mariculture 30 November the also. 2021 remaining project Finalize the PMU and July 15, TOR drafted period and Terms of World Bank 2020 GAP will not Reference for a Revised be finalized Graphic Design deadline: this year. Consultant. 30 November 2021 Contracting a PMU and July 30, Graphic graphic 2020 World Bank Designer to be designer to complete the hired after first set of finalizing the communication GAP. materials. Revised deadline: 30 November 2021 Initiate PMU and September GAP for sea Sea preparation of World Bank 1, 2020 cucumber will Cucumber similar prepared after farming Guidelines and finalizing the removed communication GAP of from the materials for sea grouper. project in the cucumber restructuring mariculture Revised of the project. deadline: November 2021 Follow-up on actions agreed during 6th implementation support mission (June14-25 2020), 7th implementation support mission (April 1- June 21, 2021) and 8th implementation support mission (December 11-22, 2021) Initial Revised Status (June Revised deadline deadline 2022) – deadline # Description Action Responsible (June Management (June 2021) Response 2022) Procurement 1 Immediate Revise the PMU July 15, August 15, DBFOT tender August rebidding of qualification 2020 2021 was announced 2022 DBFOT contract criteria, two times with for Multispecies reinsert no successful Hatchery provision for parties selected remained (7Th “buy-back” in the both implementation guarantee, times. support revise forms of mission) financial MoFMRA has proposal, and decided to share with proceed with Auditor General’s Office | Ghaazee Building | Ameer5Ahmed Magu | Male’, Republic of Maldives +960 332 3939 | info@audit.gov.mv | www.audit.gov.mv -5- Bank along the project as with a separate justification of components to (reduced) cost be handled by estimate as to SFRDP. why this would TOR for likely be designing the successful as hatchery was NCB. finalized and preparation of detailed design documentation for a Multispecies Hatchery Development was announced on 26th May 2022. Award letter was shared with the selected party on 11th June 2022. 2 Procurement of Restart the PMU. July 31, August 15, Bidding process September fish feed (200 framework 2020 2021 ongoing under 2022 tons to start procurement framework with) (7th process procurement implementation process to support supply and mission) (6th, Delivery 7th, 8th) of Hatchery/fry feed, Milkfish Dry Pellet Feed, Grouper (other marine carnivorous fish) Dry Pellet Feed, Milkfish Dry Pellet Feed. Announced 3 times and 3 bids received for the 3rd announcement on 13th June 2022. 3 Procurement of Place orders PMU July 31, March 31, On hold. September grouper with past 2020 2022 MOFMRA has 2022 fingerlings selected advised not to (600,000 supplier(with import fingerlings in lower cost) fingerlings and total; 10,000 with a regular advised to start every 10 days) schedule of the production Auditor General’s Office | Ghaazee Building | Ameer6Ahmed Magu | Male’, Republic of Maldives +960 332 3939 | info@audit.gov.mv | www.audit.gov.mv -6- (7th delivery so that of fingerlings at implementation supplies arrive K. Maniyafushi support aery 10 days. mission) 4 Procurement of Draft bid PMU and August 15, August 15, Tender process Grouper document Mariculture 2021 2021 completed in mariculture already shared. Component May 2022 and it cages (6th and After Coordinator was considered 7th incorporation unresponsive by implementation of Bank review Ministry of support comments, Finance. World mission) submit the Bank ahs asked framework for a report procurement from Ministry of document in Finance. STEP, and advertise. Immediately PMU and February August 15, 25 fish cages place purchase Mariculture 29, 2020 2021 procured in orders for 50 Component October 2020 sets of sea Coordinator cages for grouper mariculture farms. Plan and PMU and February March 30, Tender process schedule of Mariculture 29, 2020 2022 was completed purchase of the Component in May 2022 remaining 150 Coordinator was considered of the 200 sets unresponsive. of cages in appropriate batches to be installed during 2020, based on the schedule of receiving supplies of fingerlings and fish feed. Plan and PMU and September September Tender process schedule of Mariculture 30, 2021 30, 2021 was completed purchase of the Component in May 2022 was remaining 280 Coordinator considered of the 350 sets unresponsive. of cages in appropriate batches to be installed during 2021- 22, based on the schedule of receiving Auditor General’s Office | Ghaazee Building | Ameer7Ahmed Magu | Male’, Republic of Maldives +960 332 3939 | info@audit.gov.mv | www.audit.gov.mv -7- supplies of fingerlings and fish feed 5 Sundry items Initiate bidding PMU January 7, January 7, Bidding on ongoing for Maniyafushi (including 2022 2022 sundry items MRDF (8th shopping ongoing implementation where support appropriate) mission) 6 Procurement of Prepare bid PMU January January Sea cucumber pens, nets and document 31, 2022 31, 2022 farming other items (possibly NCB), removed during required for sea share with the cucumber World Bank; restructuring of mariculture and advertise the project. bid. SFRDP to provide technical assistance to the private sector engaging in sea cucumber farming. 7 Operation of Submit PMU January January Not going to be a July 2022 the Quarantine justification for 31, 2022 31, 2022 direct contract. Facility and the Direct Bid document to Laboratories at be finalized. Selection for MMRDF and Tender process Non- MMRI Consulting will begin upon Services. the completion of bid document. 8 Shore Include PMU May 15, May 15, Temporary August protection at planned land 2022 2022 shore protection 2022 Maniyafushi reclamation / was completed in October 2021. sand nourishment Announcement was published and initiate on 4th January bidding 2022 to select a consultancy firm to undertake the preparation of Detailed Design and ESIA for Reclamation and Shore Protection of K.Maniyafushi. Contract was signed with Epoc Associates Pvt. Ltd on 20th February 2022. The duration of the contract is 2 months 7 days. Auditor General’s Office | Ghaazee Building | Ameer8Ahmed Magu | Male’, Republic of Maldives +960 332 3939 | info@audit.gov.mv | www.audit.gov.mv -8- 9 Variation Order Award the PMU and August January Communications August for 5-10 Variation 15, 2021 31, 2022 Mariculture ongoing with 2022 numbers of EOS Order Component Ooredoo (7th and 8th Coordinator Maldives PLC mission) regarding the variation order 10 Low-cost vessel Prepare bid PMU and September January Bid document monitoring document Mariculture 30, 2021 31, 2022 prepared, system for up to (possibly NCB), Component shared with the 1,400 vessels share with Coordinator World Bank and (7th and 8th World Bank; did announce on mission) and advertise 13th June 2022. bid Environmental Safeguards 1 EHS Compliance The routine set PMU August 15, January Completed upon monitoring at of ESHS 2021 15, 2022 completion of Maniyafushi and reports should the construction implementation be submitted works. of all remedial for World measures. (7th Bank’s review. and 8th mission) Share the PMU August 15, January Completed photographic 2021 15, 2022 monitoring library with the World Bank. 2 With respect to Final disposal PMU August 31, January Completed upon the two should be 2021 15, 2022 completion of construction certified by the construction contracts, Supervision works. complete and Consultants final disposal of and any construction deviation to be and demolition noted as work wastes, up to requiring final disposal rectification sites. (7th and and added to 8th mission) the list of defects and additional payment withhold until satisfactory completion. 3 Environmental Complete PMU September January A Consultancy screening and selection of 15, 2020 15, 2022 firm was hired preparation of consultants Auditor General’s Office | Ghaazee Building | Ameer9Ahmed Magu | Male’, Republic of Maldives +960 332 3939 | info@audit.gov.mv | www.audit.gov.mv -9- site specific and share the to carry out the operational Inception environment EMPs for Report assessment on grouper (including 15th March mariculture consultants’ 2022 to carry sites. (6th, 7th work plan) out the and 8th mission) with the World environment Bank. assessment of the grouper grow-out sites. The draft report shared with the World Bank for their comments and the Consultancy firm is revising the report according to the World Bank’s comments. 4 Guidelines for Finalize the PMU and July 10, September Not completed Good Guidelines World Bank 2020 30, 2021 Environmental Good Practices in Environmental Grouper Practices in Mariculture has Grouper been initiated. Mariculture. Needed for Sea Finalize script Cucumber and content for Mariculture communication also. (6th, 7th and materials. 8th mission) Share with World Bank Implementation Arrangements 1 Additional As needed, MoFMRA September January Recruitment of support to the additional staff 30, 2021 31, 2022 staff ongoing as Component will be hired in needed. Coordinators; the MoFMRA Recruitment of (fisheries Component management, Coordinator compliance (Fisheries and Management), mariculture and Manager for verticals), the the MMRDF (7th MMRI, and a and 8th mission) Project manager at MMRDF (for details, see Annex 3) 2 Revision of Agree on the MoFMRA and August 15, January Completed contract revised PMU 2021 15, 2022 documents for contract document (reflecting the Auditor General’s Office | Ghaazee Building | Ameer 10Ahmed Magu | Male’, Republic of Maldives +960 332 3939 | info@audit.gov.mv | www.audit.gov.mv -10- grow-out responsibilities mariculture. of HH partners and specifying ownership of women). Use of revised contract documents. 3 Finalizing Share with MoFMRA and September January Modes of modes of World Bank PMU 30, 2021 15, 2022 engagement engagement the exact discussed with with private modalities to the world bank sector partner with during the companies for private sector restructuring of expanding companie the project. mariculture. 28 June 2022 Hussain Niyazy Auditor General Auditor General’s Office | Ghaazee Building | Ameer 11Ahmed Magu | Male’, Republic of Maldives +960 332 3939 | info@audit.gov.mv | www.audit.gov.mv -11- MINISTRY OF FISHERIES, MARINE RESOURCES AND AGRICULTURE SUSTAINABLE FISHERIES RESOURCES DEVELOPMENT PROJECT STATEMENT OF RECEIPTS AND PAYMENTS FOR THE PERIOD 1 JANUARY 2021 TO 31 DECEMBER 2021 Note For the period For the period 1 January 2021 1 January 2020 to 31 Dec 2021 to 31 Dec 2020 USD USD Receipts Disbursements/Receipts 3 4,000,000 2,500,000 Receipts – Retroactive financing - - Total Receipts 4,000,000 2,500,000 Payments Improvement of Institutional Capacity in Marine 4 (1,266,017) (609,863) Fisheries Management Support to Mariculture and Diversification of 5 (1,860,056) (2,828,917) Fisheries sector Project Management, Monitoring and Evaluation 6 (257,193) (164,148) Total Payments (3,383,266) (3,602,928) Increase/(Decrease) in Cash 616,734 (1,102,928) Cash at beginning of the period 2,667,815 3,770,743 Increase/(Decrease) in Cash 616,734 (1,102,928) Cash at bank 3,284,549 2,667,815 Cash in hand 15,135 14,676 Cash at end of the period 3,299,684 2,682,491 Management of the Project is responsible for the preparation and presentation of the financial statement. The Statement of Receipts and Payments was approved by PMU on 28th June 2022. Signed for and on behalf of the Project: Ms. Eenas Naseer Ms. Fathimath Azma Director Finance Manager The accounting policies and notes on pages 13 through 16 form an integral part of the Statement of Receipts and Payments. 12 MINISTRY OF FISHERIES, MARINE RESOURCES AND AGRICULTURE SUSTAINABLE FISHERIES RESOURCES DEVELOPMENT PROJECT NOTES TO THE FINANCIAL STATEMENTS 1. PROJECT INFORMATION 1.1 PROJECT TITLE: Sustainable Fisheries Resources Development Project 1.2 STARTED DATE: 17-04-2017 1.3 CLOSING DATE: 31-12-2022 1.4 PROJECT DURATION: 60 Months 1.5 APPROVED BUDGET: US$ 18,000,000 (Eighteen Million U.S. Dollars) 1.6 FUNDED BY: Regional International Development Association Grant & International Development Association Grant 1.7 TRUST FUND MANAGER: World Bank 1.8 Objective The objective of the project is to improve management of fisheries at regional and national levels including support to establish mariculture in targeted atolls in Maldives The project comprises of three main components; Component A: Augmentation of Institutional Capacity for Marine Fisheries Management (US$ 3.77 million) The objective of this component is to enhance the Government’s capacity to implement a more effective monitoring of the fisheries sector and internal control system of key marine fisheries value chains and will focus on delivery of the Indian Ocean Regional Agenda. This includes four sub-components. (A1) Development of key fisheries management and planning instruments; To update the fisheries policy and legislative framework, zoning the entire Maldivian EEZ, and supporting grouper fish management, coral reef and reef fishery management plans which are essential for regional conservation and improved compliance with IOTC recommended conservation and management measures. (A2) Development and Implementation of fisheries management activities; To ensure compliance with IOTC and EU requirements, including expanded MCS, vessel registration and monitoring systems, electronic observer systems and augmentation of related reporting systems for commercial marine fisheries; collaboration with the SWIO Sub-Regional Fisheries Monitoring Centers; and, support and facilitation to regional agencies and international actors on the common agenda of conservation and management measures. 13 MINISTRY OF FISHERIES, MARINE RESOURCES AND AGRICULTURE SUSTAINABLE FISHERIES RESOURCES DEVELOPMENT PROJECT (A3) Support to long-term program for fisheries management; It includes sampling programs for tuna and recreational fish species, stock assessments and conservation zone surveys which will contribute to regional assessments and subsequent actions; the preparation of protocols for disease surveillance and quality control of brood stocks and fish feed. (A4) Fisheries sector capacity building Including short and medium-term training, development of curriculum and teaching aids, collaboration with National Geographic Information System (GIS), and development and operation of a fisheries management information system- all focusing on strengthening local and national skills that will contribute to the national and SWIO Region agenda related to fishery management and consequent diversification into mariculture. Component B: Support to Mariculture and Diversification of Fisheries (US$12.44 million) Potential economic growth from diversification of capture fishery and from mariculture are pre-requisites for sustenance of the capture fishery resources in the Maldivian EEZ. However, mariculture is nascent in Maldives; to be able to develop this sector, research, demonstration and provision of extension services will play key roles in addition to the three primary inputs: seeds, feed and access to finance. The four sub-components include: (B1) Development and demonstration of mariculture production and technology package; Including completion and operationalization of the infrastructure, and preparation of medium-term operations plans and service standards for the Maniyafushi research and development facility (MRDF) as a centre for the excellence for the entire SWIO region; development and demonstration of technology packages for mariculture species; and market studies in support of mariculture choices. (B2) Promotion of mariculture out-grower schemes and seafood growth clusters; Including assessments of carrying capacity and of supporting community custodianship of the coral reef resources, start-up investments including training, advisory support and compliance monitoring in outgrower farms, technical support to small enterprises for establishing out-grower contractual arrangements between small producers and larger private sector aggregators, and studies to help develop gender actions in mariculture. (B3) Supporting design, construction and operation of a multi-species hatchery; Including breeder stock development programs and professional training plans (B4) Scoping of long-term marine fisheries diversification studies; Including planning and scoping of studies related to technology packages and conservation plans for new marine species to be explored in future. Component C: Project Management, Monitoring and Evaluation (US$1.79 million) The objective of this component is to provide equipment, technical assistance, training, and incremental operating cost to strengthen the overall administrative capacity and capability of the Ministry of Fisheries and Agriculture and its Project Management Unit(PMU) to manage, implement, and monitor and evaluate project 14 MINISTRY OF FISHERIES, MARINE RESOURCES AND AGRICULTURE SUSTAINABLE FISHERIES RESOURCES DEVELOPMENT PROJECT activities. Specifically, support will include staffing and operation of the PMU, establishment of adequate financial management and procurement management systems, implementation of the communication plan and grievance redress activities, monitoring and evaluation (M&E) and third party audits; preparation and implementation of specific environment impact assessments as per the national laws; coordination with other ministries such as the Ministry of Environment and Energy and the private sector,; special evaluation studies; and sharing of monitoring protocols, evaluation studies and specific experience of implementation of various aspects of fisheries management that are of interest to SWIO Region countries. 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 2.1 2.1 Basis of preparation The Statement of Receipts and Payments are prepared in accordance with International Public Sector Accounting Standard: Financial Reporting under the Cash-Basis of Accounting. 2.2 Recognition of Receipts and Payments Receipts and payments are accounted for on cash basis. Receipts are recognised when the Government of Maldives (GOM) receives the funds from World Bank. Payments are recognised at the time of outflow of cash from the bank account. 2.3 Presentation Currency The Statement of Receipts and Payments has been presented using the United States Dollars (USD). All figures have been rounded to the nearest Dollar. 2.4 Foreign Currency Translation Receipts and payments in currencies other than the reporting currency (USD) are conve rted at the MMA’s exchange rate existing between the transaction currency and USD at the time of the receipt/payment. Cash balances in currencies other than USD as at the end of the reporting period are shown in the financial statement at the exchange rate that was prevailing at the last day of the reporting period. 2.5 Reporting Period Financial statement is generally prepared for one year (Calendar year) with the exception of commencement and/or closure of the project. Depending on the date of commencement or closure, a period shorter or longer than one year may be covered. Period for which financial statement is prepared is disclosed on the face of financial statement. 2.6 Comparatives In addition to the figures for the year ending 31 December 2021, the Financial Statement shows the figures for the period 31 December 2020 as well. 15 MINISTRY OF FISHERIES, MARINE RESOURCES AND AGRICULTURE SUSTAINABLE FISHERIES RESOURCES DEVELOPMENT PROJECT 3. Disbursements/Receipts 2021 2020 USD USD Receipts from World Bank 4,000,000 2,500,000 4,000,000 2,500,000 4. Component A: Improvement of Institutional Capacity in Marine Fisheries Management 2021 2020 USD USD A1 Development of Key Fisheries Management and Planning 25,219.25 30,487.06 Instruments A2 Development and Implementation of Fisheries Management 1,100,470.77 456,791.13 Activities (including MCS) at Regional and National Level A3 Support to Long Term National Fisheries Management 130,752.68 122,584.36 A4 Fisheries Sector Capacity Building 9,574.59 - Total Expenditure from Component A 1,266,017.29 609,862.55 5. Component B: Support to Mariculture and Diversification of Fisheries Sector 2021 2020 USD USD B1 Develop and Demonstrate Mariculture Production and 1,200,855.79 1,053,173.38 Technology Packages B2 Promotion of Mariculture Out-grower Schemes and Seafood 222,661.57 542,524.19 Growth Poles/Clusters B3 Support Value-chain Enhacemenr 436,538.57 1,233,219.79 B4 Develop and Demonstrate Fishery Production and - - Technology Packages Total Expenditure from Component B 1,860,055.93 2,828,917.36 6. Component C: Project Management, monitoring and evaluation 2021 2020 USD USD C1 PMU HR (Staff and consultants) 180,039.69 135,514.7 C2 Equipment 3,263.03 3,018.88 C3 Fiduciary and Technical Capacity Building - 2,615.17 C4 Monitoring & Evaluation 9,650.81 6,752.02 C5 Training and Capacity Building on Project/Program Management 35,900.48 4,464.94 C6 Incremental Operating Cost (including Expenditure to Strengthen 28,347.83 11,782.71 Technical and Managerial Capacities of MoFA) Total Expenditure from Component C 257,192.84 164,148.42 16