Anni DASHO MOF Treasury Presentation

1
ALBANIA MINISTRY OF FINANCE TREASURY SYSTEM
2
Public Financial Management Cycle
Budget Preparation
0
Audit and Evaluation
Mgmt of Budget Authorizations
7
1
Commitment of Funds
Budget Review Fiscal Reporting
2
6
Payments and Receipts Mgmt
Debt and Aid Management
3
5
Cash Management
4
3
AMoFTS Business Flows

• The AMoFTS functional processes are classified
  as
• Budgeting
• Preparation of Estimates, Consolidation and
  Approval
• Appropriation, Budget Breakdown and Budget
  Releases
• Procurement and Payment Management
• Commitments and Purchase Orders, Expenditure
  Requests
• Payment Execution
• Revenue and Cash Management
• Revenue Accruals, Revenue Reconciliation and
  Distribution
• Bank Statement Reconciliation, Cash Forecasting
• Fixed Asset Management
• Off-line FA management, FA journaling
• On-line FA management, Asset Additions, Asset
  Transactions and Depreciation
• Accounting and Financial Reporting
• General Ledger Accounting and Reconciliation,
  Period Closing
• Fiscal Reporting

4
System Functionality
   Functionality                            
  Common Implementation Options   1-
 Macroeconomic forecasting         LDS    2-
 Budget Preparation               LDS / COTS  
 3-  Core Treasury System             COTS      
                      General Ledger        
                                       
Accounts Payable           Interface with
banking system (TSA)         Purchasing /
Commitment     Interface with procurement
agency         Accounts Receivable Interface
with revenue collection         Cash / Fund
Management Interface with banking system (TSA)
        Financial reports   Org.
Structure / Workflow Mgmt. Asset /
Inventory Management     4- Operational support
for SUs Interface for spending units (LDS)   5-
 Internal debt management     LDS   6-
 External debt and aid mgmt.     Interface with
DMFAS   7-  Personnel database (HR mgmt) LDS /
COTS 8- Payroll calculations   LDS  9-
Support for Auditing                    
  Locally developed reports 10- Management
Information System COTS                
LDS Locally Developed Software COTS
Commercial Off-The-Shelf Software
5
Oracle Financials Aapplications modules

• Budgeting
• General Ledger
• Purchasing
• Payables
• Fixed Asset Management
• Receivables
• Cash Management
• Financial Statement Generator
• Spreadsheet tools (PSB Spreadhseet Integration,
  ADI Spreadsheet Integrator)

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Commitments
Bank Statements Tax and Custom Revenues,
PO Invoice matching
Fixed Asset Journals Inventory Journals, PIU
Reports Health and Social Institute reports
Expenditures,Payments
Bank Reconciliation
Asset Addition
Capitalization, Transfers, Depreciation, Retireme
nts
Appropriation
Bank Reconciliation
(Non-Tax) Receivables,Receipts
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Design and Implementation of Information Systems

• Secure countrywide Network infrastructure
• Development of Application Software
• Central Servers and field Hardware
• System and network management
• Technical support systems
• System safety / security and business continuity
  solutions
• Web publishing (web portal)

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Design and Implementation

• Treasury System Project Lifecycle 2000-2006
• Design phase
• (2000-2002 Sema Shlumberger Consulting Comany)
• High Level Functional Design Legal and
  institutional framework
• Detailed Functional Design Coverage,
  functionality, scope, budget execution, budget
  classification, chart of accounts, reporting
• Technical System Design Technical architecture,
  software, hardware and networking requirements,
  implementation plan
• Component sizing and preparation of procurement
  specifications
• Procurement phase (2003-2004)
• International Competitive Bidding (ICB) for
  development of application software (two-stage)
• ICB for installation of hardware and network
  equipment
• System integration and implementation (April
  2005-2006)

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Information and Communication Technology
Technology Architecture 3-Tier Web-Based
Central Hardware
Wide Area Network
MoF Albania
1
2
2 DB Server
Internet
2 Application Servers
Web Server
Firewall
Collection Point (city center) Dedicated line
Treasury/MoF District Offices
TDO Hardware
3
MoF Virtual Private Network
Dedicated lines
Encryption (3DES)
Tunnelling (IPsec)
District Offices
Local Server
PCs
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Treasury/MTBP Operations
User Terminals
Application Servers
Database Server
Web Server
System Center
Users
PFMS
COTS
Internal Access
Budget Preparation

• Core Treasury System
• General Ledger
• Purch./Commit.
• Accts Pay/Rec
• Cash/Fund Mgmt
• Fin. Reports

DB
MoF, TDOs, Line Ministries, Central Gov Agencies
Asset/Invent Mgmt
Org/Workflow Mgm
External Access
LDS
Oper sup for locals
HR Mgmt/Pers DB
Payroll Calcs.
Web Portal
Local finance directorates, local public
authorities, primarias, public institutions
Internal Audit
Interfaces IntExt
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Albania Treasury System gt Public Financial
Management System (PFMS)
Treasury gt Integrated PFMS
GovNet
External Users
Ministry of Finance
Line Ministries Departments
P, R
I
MoF IT Dept
General Tax Administration
T, P
I
Reports
FMIS Business Continuity Center
Treasury / PFMS System Center
Council of Ministers
General Customs Service
T, P
I
Internet Intranet
Treasury / PFMS
FMIS BCC
ISSH ISKSH and Other Revenue Org.
T, P
I
Reports

• Core Treasury System
• General Ledger
• Purch./Commit.
• Accts Pay/Rec
• Cash/Fund Mgmt
• Fin. Reports
• SU interface

Macro Econ Forec
Commercial Banks
PFMS Web Portal
Public Procurement Agency
R
Budget Formul.
I
Debt Mgmt
Bank of Albania
TSA
Inventory Mgmt
I
Reports
P, R
Statistics Institute
Internal Audit
I
36 Treasury District Offices
Spending Units
Other Related Gov Agencies/Depts
R
T,P,C,A
I
I
Local budget institutions, public authorities,
municipalities, public institutions 3,000
T Transactions P Plans C Contracts A Accounts R Re
ports I Interface TSA Treasury Single Acct
I
R
DoPA gt HRMIS
HR Mgmt/Pers DB
Payroll Calcs.
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Proposed Integrated PFMS Network Topology
FMIS BCC
Treasury / PFMS
PFMS System Center
Line Ministries Departments
Budget Process
BCC
MoF/Treasury
FMIS Business Continuity Center
State Tax Administration
GovNet Tirana
State Customs Service
Revenues
F/O conn.
Other Revenue Org.
Internet
Internet access
Bank of Albania
Audit
Backup ISDN
F/O conn.
F/O conn.
Backup
Treasury Single Account
DoPA - HRMIS
HRMIS
Procure-Payroll-IA
PoP
Public Procurement
PoP
Albtelecom IP Network Countrywide VPN
Line Ministries and Gov Agencies in Tirana
PoP
Statistics Institute
Internet
Data Exc
Other Related Gov Agencies
F/O conn
PoP
PoP
PoP
Dedicated lines (online connections)
Backup line
District 1
District 1
TC
PSTN
District 2
District 2
TC
TC
On demand lines (online/offline) e.g. Dial-Up or
ADSL
All regional / local offices
District n
Regional Treasury Office
TC
Regional / District Treasury Offices Local
Governments
District n
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MOF and BCC Servers DescriptionInstallation and
Configuration
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• Database Servers Hardware Configuration
• Servers Model PW650
• CPU 4 x SPARC64TM V CPU with 4 GB Memory
• I/O capability up to 3,2GB/sec.
• Application Servers Hardware Configuration
• Server Model PW650
• CPU 8 x SPARC64TM V CPU with 8 GB Memory
• Software Installation
• Operating System Solaris 9
• Revision Solaris9 09/04

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IT Department Structure
Director Anni Dasho
Sector for Processing, Retrieval and Integration
of Financial Information Arta Kolnikaj
Sector for Maintenance and Technical
Support Daniel Maranga
Sector for Help-desk and Monitoring Rajmonda
Collaku
IT Specialist (III-b) Disara Muca
IT Specialist (III-b) Adriola Faqolli (MSs
2009)
IT Specialist (III-b) Krisela Kotonika
IT Specialist (III-b) Odeta Kromici
IT Specialist (III-b) Olger Thomaj
IT Specialist (III-b) Ardit Sferdelli
IT Specialist (IV-a) Astrit Sinani
IT Specialist (IV-a) Nikola Turlla
IT Specialist (IV-a) Isida Vasjari