One- hundred and fifty- three Foreign Funded Projects remained in the Implementation Stage by the end of the year 2017 and the Annual Financial Statements of 123 Foreign Funded Projects out of them had been furnished to government audit.
As such, loans amounting to USD1,638.2 million and Grants amounting to USD30.5 million received from Development Projects and Programmes by Foreign Development Parties and by Lending Implementation Agencies had been utilized in the year under review.
The financial statements of those projects had not been furnished to audit due to not being stated that the conditions stated that the Annual Financial Statements in the Indian Loan Scheme, assistance of the Chinese Government and other Bilateral Agreements should be subjected to the examination of the Auditor General should be a mandatory requirement, Auditor General’s Department observed.
Not following uniform accounting policies relating to their financial statements by the Foreign Assistance Project Management Unit had been a main deficiency observed in audit.
Even though it had been a necessity to follow Sri Lanka Public Sector Accounting Standards relating to the financial statements of the Foreign Funded Projects, it had been stated that the Generally Accepted Accounting Principles had been followed for the financial statements of many Foreign Funded Projects.
(LI)