Audit Report: Public properties without inventory. It is not known how much, where and what their values ​​are

The Assembly asks BSH for legal changes to increase consumer protection against non-bank financial institutions

The General Directorate of Internal Public Financial Control at the Ministry of Finance reported that during 2023 significant weaknesses were identified in the registration and administration of assets of public entities.

"There are material deficiencies related to: completeness, existence, affiliation, as well as inaccuracies in the drafting of the asset register, which constitutes a potential risk factor in the good administration of public property", it is stated in the 2023 annual report of the Directorate of Internal Financial Control Public.

The last data on the inventory of public assets belong to the year 2014, with a total value of 353 billion ALL (see the link https://financa.gov.al/pasqyrat-financialiare/). But since that time, billions of lek have been injected for the increase and maintenance of public assets from budget financing through capital investments and operational maintenance expenses.

Explaining the progress of this process, earlier the Ministry of Finance explained that asset reporting methodologies have been approved, but public entities are not proving to be able to implement them.

The Audit Directorates in public entities have reported to the Ministry of Finance for the lack of a register of sustainable assets such as forests, pastures, plantations, constructions and constructions, roads, vehicles, water works, except for the initial accounting value, which does not contain the specific requirements defined in the relevant instruction.

The report of the Ministry of Finance points out that there is incomplete and unclear information regarding the inventory of fixed assets, which makes it difficult to physically verify them and assess whether this inventory has been carried out correctly for the territorial space of the Municipalities. The inventory sheets are not signed by the commission, but only by the employees with material responsibility.

The main findings in the accounting and financial reporting system evidence the lack of asset cards according to years of operation, initial value, accumulated depreciation and residual value. There is no assessment on stock assets, for putting them into efficiency or putting them out of use.

Public assets are not registered in the real estate register at local property registration offices, as incorrect completion of financial statements has been noticed, says the 2023 report of the Internal Public Financial Control at the Ministry of Finance.

The lack of inventory of public assets (roads, railways, water supply, public facilities, etc.) puts the government in front of unknowns regarding public assets, their value and the rate of depreciation, making it difficult at the same time to intervene through investments for maintenance Theirs.