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05
October
2011

Ministry of Finance and Economic Management

The Ministry of Finance and Economic Management continued to deliver the services mandated to it by the Government of Vanuatu in 2010. This was achieved despite 2010 being a particularly challenging year.
Economically, the effects of the global financial crisis meant a slower rate of economic growth than anticipated. This resulted in lower revenue collections and financial shortfalls.


At the same time key parts of the MFEM structure remained non permanent or unfilled including most of the Department of Finance and Treasury who spent the whole year transitioning to the new structure and the Department of Customs and Inland Revenue who faced similar challenges particularly in terms of the VAT structure.


Despite these human resource challenges which were beginning to affect staff morale the Ministry continued to operate in a professional manner and continued to develop and improve its services.


There were improvements in all aspects of the Ministry including the use of new updated HS codes in Customs and the implementation of the new excise tariff structures. The National Statistics Office continued to produce a range of social and economic data. The Department of Finance and Treasury made significant technical improvements in terms of the macroeconomic and fiscal framework, it also began the process of opening offices in two new provinces (Tafea and Malampa) as well as provided a range of support to various line Ministries and State Owned Enterprises.
Therefore, despite the range of human, financial, environmental and social challenges we faced the Ministry continued to improve on its performance in most regards, we continue to reform and to invest in our people. We believe this is the basis of our ongoing success and we present this report to allow others to better understand the work of this Ministry.
Finance and Economic Management.


The Ministry of Finance and Economic Management consists of the Office of the Director-General and three departments, namely:

  • Department of Finance and Economic Management, later changed to the Department of Finance and Treasury
  • Department of Customs and Inland Revenue
  • Department of National Statistics Office.

The corporate structure of the ministry is summarised in the organisation chart on the following page.

MINISTRY’S VISION AND MISSION
The Ministry’s Vision is;

  • To become the leading Ministry of Finance and Economic Ministry in the Pacific Region.

The Ministry’s Mission is

  • The mission of the Ministry of Finance and Economic Management (MFEM) is to maximise government’s contribution to improving economic growth and development for the economic and social betterment of all the people of Vanuatu.


MINISTRY’S VALUES
The Ministry’s values are:

  • The Ministry of Finance and Economic Management (MFEM) aims to promote honesty, fairness and integrity. It values working cooperatively as a team for the broader benefit of MFEM and the nation, with the understanding at all times of the need to operate within its legal jurisdiction. Finally, MFEM places the utmost importance on being politically neutral providing the best possible service to the government of the day, irrespective of political composition.

The work of the Ministry is aimed at achieving:
Stable macroeconomic and social environment:

  • Economic growth that promotes the economic and social welfare of the people of Vanuatu.
  • A growing private sector that provides increased employment opportunities for the people of Vanuatu.

Sustainable Government finances:

  • Sufficient revenues to fund planned levels of public expenditure.
  • Public expenditure does not exceed budgeted expenditures.
  • Sound systems and controls over public finances.

Effective border protection:

  • Borders protected from prohibited and restricted items.

A well-informed community:

  • Adequate, timely and reliable statistical, financial and economic information.

 

The ministry’s Corporate Plan for 2008 identified the following Corporate Objectives:

We would like to be an organization where:

We provide good advice and support to our Minister.

We ensure that the Minister is given accurate and timely briefing on matters for which he is responsible, including legislative matters.

We work together as one ministry and not three separate departments to best achieve our outcomes.
We have good corporate decision-making processes.
There is good networking and sharing of information between staff in the four departments.
We actively work together as a team.
We encourage trust among staff and delegate responsibility to them.

We set and strive to meet high standards of performance.
We have high standards of customer service, including meeting required timeframes and targets set by the Government (such as revenue collection targets).
We clearly define core deliverables, strategies and performance measures.

We effectively and efficiently plan and manage change.
We plan what needs to be done and have good processes to ensure that change is managed well.
We have business plans for each department.

We adopt processes and systems that reflect good governance.
Mechanisms for managing public funds are transparent and accountable.
Processes are efficient and effective.

We make the best use of our resources, including available technology.
Our resources are allocated to best achieve our outcomes and objectives.
We have up-to-date technology to support our work.\

People want to come and work here.
Our staff enjoy the work they do and believe that what they do is worthwhile.

There are good opportunities for our staff to develop their skills and to have meaningful career paths.
Our Human Resources Development Plan addresses the development needs of staff.
Staff feel they have good opportunities for career advancement.
Hard work is rewarded.




Author: Administrator