ia-imf 4 2011 audit report imf final.docx

8/14/2019 IA-IMF 4 2011 Audit report IMF final.docx

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INDEPENDENT AUDIT REPORT ON RECONCILIATION OFTHE GOVERNMENT ACCOUNTS

Ref.no. IA-IMF 4/2011


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I. INTRODUCTION

Based on the Attachment II Technical Memorandum of Understandig Republic of KosovoDefinitions and Data Reporting Requirements Under the 2010-11 SBA Arrangement withthe IMF , point 5 of paragraph I. it is performed the independent audit on reconciliation of thegovernment accounts.

II. SCOPE

The audit on reconciliation of the government account include the second quarter 2011, from 1April 2011 until 30 Jun 2011, based on book date.It is a fourth independent audit report onreconciliation of the government accounts.

III. OBJECTIVES

The audit on reconciliation of Government accounts is performed to give the reasonableassurance that the data reported to the IMF are accurate and correct.

IV.FIELDWORK

1. We have selected 13 dates for the audit as following:

4 Apr 2011; 12 Apr 2011; 18 Apr 2011; 29 Apr 2011; 03 May 2011; 10 May 2011; 16 May2011; 23 May 2011; 31 May 2011; 06 Jun 2011; 13 Jun 2011; 20 Jun 2011; 30 Jun 2011.


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The reconciled treasury accounts were audited and double checked with the CBK accountingsystem regarding the time deposits (CBK) and the interest paid from the commercial banks, also

it was verified and double checked through the commercial banks confirmation.The audit report includes 6 tables as following:

Table 1.Matured time deposits at commercial banks treasury booking ,

Table 2: Interest earned from Matured time deposits at commercial banks treasury booking

Table 3: Transfers from commercial banks to CBK treasury account held withCBK

Table 4: Reconciliation check report(principal +interest PTK dividend)

Table 5: Reconciliation check report (time deposits, securities, current accountand outstanding deposits in the commercial banks)

Table 6:Reconciliation check report on end of day daily automatic transfersfrom sub to main account

The reconciled of the treasury data were checked and verified with the accounting system of theCBK.

2. Audited figure of the reconciled time deposits at the Commercial Banks are stated in thetable 1,as following:

Table1. Represent the principal of matured time deposits during October 2010, as the treasurysystem it is based on booking date. The first column presents the references for each transaction(principal) at commercial banks whereas the second column is principal amount, the thirdcolumn is description and the following columns are book date and source of information.

Table 1: M atur ed time deposi ts at commercial banks tr easur y bookingTreasury

referencePrincipal Description Book date Source*

13000214010074326,000,000.00

DIVIDEND of PTK-BPB 2010 25-05/11 25/05/2011 FB

TOTAL 6,000,000.00 * FB = Free Balance Treasury accounting system


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3. Audited interest paid to the Treasury by the Commercial Banks in name of the PTKdividends. The data stated in table 2: shows the interest earned from matured time deposit at

commercial bank in the treasury reconciliation module of the treasury system. The firstcolumn is CBK reference, in the second column is stated interest amount than the descriptionand the following columns are date and source of information.

Table 2: I nterest earn ed fr om Matur ed time deposit at commercial bank tr easur y booking

Treasuryreference

Interest Description Date Source*

1300021401008432 313,291.67 INT. from PTK DIVIDEND BPB-2010 25-05/11 25/05/2011 FB

TOTAL313,291.67

* FB = Free Balance Treasury accounting system

4. Audited transfer from commercial banks to the treasury account held with CBK. We checkedand verified the following data and found that the audited Treasury amount of principal +interest is reconciled with the CBK statements. The data presented in the Table 3 werechecke d and verified in the CBKs accounting system .As it is described in this table, the first

column represents the CBK reference, whereas in the second column we represented principal amount + interest from the commercial banks for the PTK dividends that areentered in the CBK accounting system as Incoming payments treasury-respective commercial

bank(BPB in this case) and the booking date. Also we checked the amounts of the principal +interest of commercial banks through the banks confirmation, as following in table 3.

Table 3: Tr ansfer f rom commerci al bank to the tr easur y account held with CBK

CBK referencePrincipal +

InterestDescription

Bookingdate

Source*

000PCIN111461246 6,313,291.67 Incoming payments Treasury-BPB 25/05/2011 CBK AS

TOTAL 6,313,291.67

* CBK AS = CBKAccounting System


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5. Reconciliation check report

The table 4.represent the audited principal of the time deposit of the treasury at the commercial bank .We performed the audit and verified that the following data including the principal and theinterest earned form the commercial bank are in full compliance and shown in the bank accountsof the Treasury. Referring to the sixth column of the table 4 indicating that the difference is 0.00(zero).

Table 4: Reconcil iati on check report (pr incipal +i nterest PTK dividend)

Principalamount

DescriptionInterestamount

DescriptionPrincipal +

Interest DifferenceTreasury FB Treasury FB CBK AS*

6,000,000.00 DIVIDEND of PTK-BPB2010 25-05/11 313,291.67

INT. from PTK DIVIDENDBPB-2010 25-05/11

6,313,291.67 0.00

6,000,000.0 0 313,291,67 6,313,291.67 0.00


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Table 5: Reconciliation check report (time deposits, securities, current account and outstandingdeposit s in the commercial banks) Confir mation of the Tr easur y(MF ).

No Date Account type Balance at CBK systemBalance at Treasurysystem

1 04-Apr-11 Time deposits (CBK) 115,000,000.00 115,000,000.00

Securities(CBK) 134,753,590.61 134,753,590.61

Current Accounts(CBK) 113,108,947.53 113,108,947.53

Time deposits (outstanding)in commercial banks 6,000,000.00 6,000,000.00

Total 368,862,538.14 368,862,538.14


Securities(CBK) 134,753,590.61 134,753,590.61



Total 349,093,283.13 349,093,283.13


Securities(CBK) 134,758,007.61 134,758,007.61



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Time deposits (outstanding)

in commercial banks 6,000,000.00 6,000,000.00

Total 355,434,606.62 355,434,606.62


Securities(CBK) 184,617,834.83 184,617,834.82



Total 350,979,281.69 350,979,281.69

5 03-May-11 Time deposits (CBK) 100,000,000.00 100,000,000.00

Securities(CBK) 184,617,834.83 184,617,834.83



Total 354,479,210.97 354,479,210.97


Securities(CBK) 184,617,834.83 184,617,834.83



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in commercial banks 6,000,000.00 6,000,000.00

Total 363,362,257.08 363,362,257.08


Securities(CBK) 184,617,834.83 184,617,834.83



Total 370,349,723.46 370,349,723.46


Securities(CBK) 184,515,041.33 184,515,041.33



Total 384,021,526.63 384,021,526.63


Securities(CBK) 184,515,041.33 184,515,041.33



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in commercial banks 0.00 0.00

Total 365,210,326.62 365,210,326.62

10 06-Jun-11 Time deposits (CBK) 112,000,000.00 112,000,000.00

Securities(CBK) 184,515,041.33 184,515,041.33


Time deposits (outstanding)in commercial banks 0.00 0.00

Total 342,083,313.49 342,083,313.49


Securities(CBK) 184,552,176.77 184,552,176.77



Total 353,493,270.60 353,493,270.60


Securities(CBK) 184,552,176.77 184,552,176.77

Current Accounts(CBK) 59,820,874.15 59,820,874,15


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in commercial banks 0.00 0.00

Total 361,373,050.92 361,373,050.92


Securities(CBK) 184,552,176.77 184,552,176.77



Total 335,674,162.73 335,674,162.73


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Table 6: Reconci l iation check report on end of day daily automatic tr ansfers fr om sub to mainaccount

Date Amount at CBK Amount at Treasury No. of transactions

04-Apr-11 4,959,040.23 4,959,040.23 52

12-Apr-11 6,671,591.23 6,671,591.23 52

18-Apr-11 12,937,009.37 12,937,009.37 51

29-Apr-11 4,387,843.95 4,387,843.95 51

03-May-11 6,061,531.84 6,061,531.84 49

10-May-11 7,872,913.27 7,872,913.27 52

16-May-11 7,179,126.75 7,179,126.75 52

23-May-11 12,192,209.58 12,192,209.58 54

31-May-11 4,246,132.37 4,246,132.37 55

06-Jun-11 6,598,260.23 6,598,260.23 53

13-Jun-11 5,859,052.91 5,850,052.91 52

20-Jun-11 4,933,204.32 4,933,204.32 51

30-Jun-11 3,106,048.73 3,106,048.73 55

87,003,964.78 87,003,964.78679


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V. FINDINGS

All the above mentioned data are reconciled by the Treasury Department of MF and agree withthe Treasury account balances held with CBK.

ia-imf 4 2011 audit report imf final.docx

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