26 Aug 2021

Minister of Finance and Economic Development, Ms Peggy Serame has stated government’s intention to amend and rename the Public Finance Management Act. 

Presenting the Public Finance Management (Amendment) Bill in Parliament recently, Ms Serame said the object of the Bill was to amend the Act and consequently repeal the Public Procurement and Asset Disposal Act. 

The Public Procurement and Asset Disposal Act has been re-enacted under a new name and will now be known as the Public Procurement Act. 

The re-enactment, she said resulted in the transfer of the asset disposal function previously provided for under PPADB Act to the Public Financial Management Act. 

She said clauses two, four and five of the Bill extend application of the Act to the disposal of public assets. The minister added that clause eight of the Bill,  made provision for the disposal of public supplies and the manner in which they shall be disposed off. Further, she noted  that the clause also gave the accounting officer the responsibility for such disposal under his portfolio. 

Minister Serame said clause nine of the Bill amended section 59 of the Act to provide for the disposal of any assets which commenced under the PPADP Act to be dealt with by the accounting officer in accordance with the Act. Contributing to the debate, MP’s applauded the proposed amendments, saying they would further strengthen transparency during the disposal of public assets. 

Legislators however pleaded with the minister to guard against a developing trend whereby foreigners procured government’s disposed assets through public auctions, only to resell them to locals at high prices after overhaul of such assets. ENDS