Beruflich Dokumente
Kultur Dokumente
June 2005
CONTENTS
Introduction
Chapters
1. Budgeting
2. Financial Controls
5. Asset Management
Annexes
Introduction
The ASEAN Secretariat Financial Rules and Procedures (AFRP) Manual is an integrated document
containing all applicable financial rules and procedures necessary for an efficient and transparent
financial management system at the ASEAN Secretariat (ASEC), with the appropriate internal
controls. The AFRP also covers regulations and practices not addressed in other ASEC documents.
The AFRP has been approved by the ASEAN Ministerial Meeting (AMM) and ASEAN Standing
Committee (ASC). The AFRP should be used by ASEAN officials and the staff of ASEC and other
ASEAN entities in the conduct of their activities. Where activities are not covered by the AFRP, the
Secretary-General (SG) of ASEAN may determine specific rules and procedures to cover such
activities; such rules and procedures shall be ratified by AMM upon the recommendation of ASC
and become an integral part of the AFRP.
The manual consists of a number of chapters, each covering a specific topic. Sub-headings and
titles have been included on the left of each section to facilitate easy reference.
CHAPTER 1: BUDGETING
Rule 2: The annual budget of the ASEAN Secretariat (ASEC) shall cover a
Budget Coverage period known as the financial/fiscal year (FY) as defined in Rule
7, Chapter 6.
Rule 3:
Budget Bureau/unit heads shall prepare their respective bureau/unit
Preparation and budget estimates, providing the rationale for programmes and
Submission projects and justifications for financial, personnel and other
(Continued) requirements. Key deliverables for each programme or project in
terms of quality, quantity, costs and benefits shall also be
presented.
Rule 5: The estimated expenditures shall be broken down into four (4)
Expenditure separate headings:
Categories
a. Salaries and Allowances of Openly Recruited Staff (ORS).
b. Salaries and Allowances of Locally Recruited Staff (LRS).
c. Other Operating Expenditures (OOE).
d. Capital Expenditures (CE).
Rule 3: The ASECs expenditures shall not exceed the provisions of the
Expenditure budget as approved by the AMM. However, the SG is authorised
Control to approve virements of up to 15% in respect of each item of
and Virements recurrent expenditure from savings obtained from other
provisions, provided that the total approved budget is not
exceeded. Virements above 15% shall be made with the written
approval of the ASEAN Standing Committee (ASC).
Rule 5: The Head of Finance Unit (FIN) shall certify the validity of all
Certification and payment vouchers and the availability of funds before payment is
Fund Availability made. The SG may delegate this authority to another officer in
the absence of the above.
Rule 8: The Head of FIN shall keep the SG informed of the results of the
Reporting operations and financial position of the ASEC at all times.
Rule 11: Where criminal intent is suspected, the SG shall report the matter
Criminal Offences to the police and, if necessary, file the appropriate charges in a
court of justice.
2. Purchases
3. Bank Accounts
Authorised Signatories for Two authorised signatories are required, one (1) each from
Cheques Categories A and B.
and Other Financial
Instruments The category A signatories are the SG, the two (2) DSGs
and two (2) most senior Bureau Directors.
Approval of Salary Payments Head of FIN and SG or one (1) of the DSGs.
4. Petty Cash
Rule 3: The FIN shall establish and maintain a Payments Register that
Payments records all relevant details of cash, cheques, transfer payments
and payment vouchers.
The Finance Officer shall keep all blank cheques safely and
maintain a cash book for each bank account.
The petty cash in IDR and USD shall be kept in a safe in the FIN.
A duplicate key of the safe shall be enclosed in a sealed
envelope, together with the combination of the safe written on
an index card, and deposited with the SG for safekeeping. The
combination of the safe shall be changed annually.
Two (2) petty cash books (one (1) each for USD and IDR) shall
be maintained to record all petty cash transactions.
Periodic spot checks on the petty cash balances and other funds
on hand shall be performed by an Assistant Director (ADR) or
higher level officer outside of the FIN. The checks shall be
performed at least once every quarter.
New LRS and LRS who leave the ASEC before the Annual Bonus
payment shall be paid a pro-rated Annual Bonus based on the
proportion of the FY that the staff member has been in the
service of the ASEC.
a. name of meeting/event;
b. purpose/justification for travel;
c. venue;
d. duration of meeting/event;
e. personnel attending meeting/event (including the duties
they are expected to perform);
f. source of funding (with supporting documents attached, if
not by the ASEC budget); and
g. other relevant information.
The approved travel memo shall be the basis for approval of the
Travel Authorisation (TA).
All air ticket requests and routing for travel shall be booked by
the ASECs Travel Coordinator through designated travel agencies
on a rotation basis. Permission to use other than designated
travel agencies shall be allowed if it results in lower cost for the
ASEC and is approved by the Head of FIN.
All invoices for air tickets booked for official missions shall be
addressed to the Head of FIN.
If the ASEC or any other entity pays the hotel charges, only one
half (1/2) of the applicable DSA shall be paid to the attending
staff member.
Rule 8: The number of days for which DSA is paid shall be based on days
Daily Subsistence of mission plus up to two (2) additional travelling days. The
Allowance or Per number of qualifying travelling days may be adjusted on a case-
Diem/Advance by-case basis.
Payment
(Continued) Where a mission is sponsored by an external party and no DSA
has been paid, ASEC shall pay:
Where DSA is paid by an external party, the ASEC shall not pay
additional DSA to the attending staff member. Where DSA
provided by the external party is less than the ASECs rate, the
difference will not be paid by the ASEC.
Advances for DSA and other charges shall be prepared in the
prescribed form, supported by the approved TA.
Where the dates of the mission differ from those stated in the
TA, the staff member shall provide the necessary justification for
the variation.
Upon settlement, the FIN shall update the staff members record
accordingly.
a. Official Receipts (ORs)/cheque books received and their respective serial numbers.
b. ORs/cheque books issued and their respective serial numbers.
c. Date of issue and the person/organisation to whom/which an/a OR/cheque has been
issued.
2. All ORs/cheque books not in use shall be kept in a safe and the key and combination held
by the Finance Officer responsible for this function.
3. The Finance Officer shall verify and reconcile all receipts issued with the general ledger and
other accounting documents periodically.
4. All cheque books received from the ASEAN Secretariat (ASEC)s agent bank(s) shall be
checked upon receipt to ensure that no cheques are missing and that the cheque numbers
are in order.
5. Spot checks shall be performed periodically (at least once a year) by officers of Assistant
Director (ADR) level or higher from outside the Finance Unit (FIN) to ensure that the
receipts and cheque books are properly maintained.
Annex C: Terms and Conditions for ASEAN Secretariat Staff Attending External
Training/Courses
The following shall apply to all staff of the ASEAN Secretariat (ASEC) attending external
training/courses:
1. Eligible staff members shall have completed at least one (1) year of service.
2. Proposals for training/courses shall be made through the Bureau Director/Head of Unit,
endorsed by the appropriate Deputy Secretary-General (DSG), and approved by the
Secretary-General (SG).
3. For training/courses of up to one (1) months duration the staff member shall undertake to
serve the ASEC for a minimum of one (1) year after the completion of the training/course.
For training/courses of up to two (2) months duration, the service period upon completion
shall be for a minimum of two (2) years.
4. Where the training is fully funded by an external party, the ASEC shall provide no additional
allowance during the training period.
5. Where course fees, lodging, and meals are provided by an external party, the ASEC shall
provide an allowance equivalent to 20% of the daily subsistence allowance (DSA) for the
city where the training/course is conducted and return economy airfare.
6. Where an external party pays only for the course fees, the ASEC shall provide
accommodation (dormitory/hostel), 50% of the applicable DSA and return economy airfare.
8. The staff member shall, as far as possible, conduct the relevant training/course for other
members of the ASEC so that the knowledge and experience gained can be shared among
his/her colleagues.
9. Where the staff member is unsuccessful in completing the training/course, he/she shall
provide SG with a written explanation of the reason(s) for his failure. SG shall have the
discretion to require the staff member to reimburse the ASEC for all costs incurred.
10. No provisions shall be made for the spouse, children or any family member of a staff
member enrolled in a training programme/course.
Rule 2: The Head of FIN shall certify the validity of the MSR prior to its
Certification and approval, making sure that it has the appropriate endorsement
Approval and that the costs of goods/services requested have been
budgeted.
a. title of tender;
b. specifications of goods/services required;
c. criteria for vendor qualification;
d. closing date of tender; and
e. other information deemed necessary.
At least one (1) week's notice shall be given for potential vendors
to submit their quotations to ensure fair opportunity for
participation.
a. title of quotation;
b. specifications of goods/services required;
c. criteria for vendor qualification;
d. closing date for quotation; and
e. other information deemed necessary.
a. invitation to quote;
b. specifications of goods/services to be purchased;
c. list of quotations received; and
Rule 8: The ADMIN shall keep an updated list of vendors that details the
Master List of characteristics of each vendor (e.g., company profile, tax
Vendors registration number, reliability, reputation, distinction between
each vendor and the ASECs experience with the vendor).
Rule 9: A periodic review (at least once a year) shall be performed for
Pricing Review every vendor, including vendors providing travel services, to
obtain the best quality services/materials at the lowest prices.
Rule 1: A fixed asset consists of an item costing USD 500 and above that
Definition of a has an economic life of more than one (1) year or a material
Fixed Asset repair of the same amount that extends the economic life of a
fixed asset by at least one (1) year.
Rule 2: A separate account shall be set up for each type of fixed assets.
Recording and
Classification Staff members shall be responsible for the safeguarding the
office equipment and other assets assigned to them in the course
of their work, and ensuring that they are kept in good working
condition. They shall be held accountable for any loss of or
damage to the equipment or assets assigned to them.
The ADMIN, assisted by the FIN, shall take stock of the ASECs
fixed assets at the end of each financial year (FY) to verify the
existence and condition of fixed assets on the ASEC premises.
The result of the stocktaking shall be used to update the FAR and
respective inventory lists.
Upon disposal of the fixed asset(s), the FAR and inventory lists
shall be updated accordingly. The gains/losses arising from the
disposal shall be properly recorded by the FIN.
Rule 7: The ADMIN shall ensure all fixed assets are adequately insured,
Insurance where necessary and appropriate.
Rule 3: The Head of Finance Unit (FIN) is responsible for ensuring that
Responsibility an efficient and effective accounting system (including all the
documents and records) is established and maintained for the
management and control of the ASEC Regular Budget (ARB).
This is to ensure:
Rule 4: The ASEC accounting system shall use the accrual basis of
Accounting Basis accounting and be in accordance with Generally Accepted
Accounting Principles (GAAP).
Rule 7: The ASECs financial year (FY) is from 1 June of each calendar
Financial Year year to 31 May of the following year.
Rule 8: The monthly financial statements (FS) of ARB and TFs shall
Financial include:
Statements
a. Statement of Financial Position;
b. Statement of Revenue and Expenditure;
c. Statement of Cash Flow;
d. Summary of Transactions, including an analysis of the
year-to-date actual and budgeted expenditures;
e. Notes to the FS and Summary of Transactions; and
f. Other financial reports as deemed necessary by the SG.
Rule 9: The accounts of the ARB and TFs shall be audited by the ASEAN
Audit Audit Committee (AAC) within six (6) months after submission of
the annual FS to the Chair of the ASC.
Rule 10: The annual FS and their supporting schedules as required by the
Audit Documents AAC shall be submitted to the Chair of the AAC. The FIN and
FUND shall ensure that the accounting records are made
available for the AAC.
Rule 11: The SG is responsible for ensuring that all audit queries by the
Audit Query AAC are answered not later than one (1) month from the date of
query.
Rule 12: The report of the AAC, together with the audited FS, shall be
Audit Report submitted to the ASC, which shall, in turn, submit its report to
the next ASEAN Ministerial Meeting (AMM).
The SG shall be responsible for the proper use and control of the
SIA, ensuring that the following guidelines are followed:
2.2 The SIA shall not be used for any of the following purposes,
unless specifically and duly approved by the ASC:
Rule 2: The authority for the use of the ASCEF is vested in the Secretary-
Authority and General (SG), who shall draw on it when necessary.
Responsibility
The ASCEF shall not be used for expenditures under the
approved ARB.
Rule 4: Where the balance of the ASCEF exceeds 20% of the current FYs
Application of the ARB at the end of that FY, the excess may be applied to
Excess in the financing the next FYs ARB. Such application shall be
Balance of the recommended by the ASEAN Budget Committee (ABC) and
ASCEF to the endorsed by the ASEAN Standing Committee (ASC).
ASEC Regular
Budget
Rule 1: Trust Funds (TFs) are established for specific purposes and
Background and objectives. They include bilateral and multilateral funds that are
Disbursement provided by donor countries, organisations or institutions to
Authority finance specific ASEAN programmes and projects.
Each TF shall have its own bank account, which shall be distinct
from the accounts of the ASEAN Secretariat (ASEC) Regular
Budget (ARB).
Rule 2: Separate ledgers shall be kept and monthly and annual financial
Accounting and statements (FS) shall be prepared for each TF, according to the
Auditing rules laid down in Chapter 6. The transactions of each TF shall
be also recorded properly in compliance with its specific
guidelines. In addition, reports on progress and financial position
of each bilateral and multilateral fund shall be prepared
periodically or as frequently as requested by their respective fund
management committees.
Rule 3: The designated desk officers of the projects financed by the TFs
Project Reporting shall be responsible for monitoring all projects funded by the TFs