FINANCIAL STATEMENTS OF FED GOVT 2022 ADEQUATELY MAINTAINED, UPDATED – AUDIT REPORT

The accounting records of the Financial Statements of the Federal Government for the year ended Dec 31, 2022 are adequately maintained and updated, according to a statement issued by the Auditor-General.

In summary, the Financial Statements of the Federal Government give a true and fair view of the financial position of the federal government as at Dec 31, 2022.

Accordingly, the Auditor-General's Certificates Without Reprimand with Other Matter paragraphs have been issued.

The total revenue of federal government in 2022 was at RM294.357 billion, which showed an increase of RM60.605 billion or 25.9 per cent compared to 2021 (RM233.752 billion).

“The final budget approved for operating expenditures was RM236.966 billion, while the operating expenditures incurred was RM292.693 billion. The surplus amount of RM1.664 billion was transferred to the Development Fund, which made the actual operating expenditures amounted to RM294.357 billion.

“Grants and fixed charges were recorded as the highest expenditure amounted to RM170.243 billion or 57.8 per cent of the total operating expenditures,” according to the statement issued following the tabling of the Auditor General's Report (LKAN) in the Dewan Rakyat today.

The LKAN was presented in Parliament after receiving approval from the Yang di-Pertuan Agong on Sept 26 and it contains 15 reports involving two at the federal level, namely the Federal Government's Financial Statements 2022 and the Financial Statements and Compliance Auditing of Federal Agencies 2021.

Others are state-level LKAN involving State Governments and State Agency Financial Statements as well as Compliance Auditing of State Ministries/Departments/Agencies 2022.

The statement also stated that the total development expenditures of ministries and federal departments was RM71.574 billion or 104.5 per cent as compared to the approved allocation, including development expenditure of RM6.068 billion imposed during the Accounts Payable period.

For the the COVID-19 Fund expenditures in 2022 amounting to RM30.979 billion, the highest expenditure consisted of the Social Assistance Support Programme for Vulnerable Groups (RM9.043 billion), and the Bantuan Prihatin Nasional programme (RM7.910 billion).

"Electricity Bill Discount Programme (RM5.876 billion), Wage Subsidy Programme, Job Retention and Workers' Hiring Incentive, and Training Assistance (RM2.323 billion) and allocation programme for COVID-19 Related Expenses (RM1.848 billion)," according to the statement.

In addition, the federal government’s deficit in 2022 was recorded at RM99.482 billion or 5.6 per cent to GDP, while the Federal Debt at the end of 2022 was RM1,079.591 billion, an increase of RM99.777 billion (10.2 per cent).

The Federal Liabilities amounted to RM1.399 trillion, an increase of RM94.116 billion or 7.2 per cent (2021: RM1.305 trillion) which saw the the Federal Liability ratio to GDP was 78.1 per cent as compared to 84.3 per cent in 2021.

Meanwhile, the LKAN for Financial Statements and Compliance Auditing of Federal Agencies 2021 which should have been presented last March has been brought to the current Dewan Rakyat meeting.

The statement stated that, as of Dec 31, 2022, a total of 141 financial statements have been audited and the Auditor-General's Certificates have been issued, while four financial statements are still in the auditing process.

“Of the 141 financial statements, 102 financial statements were issued Auditor-General's Certificate Without Reprimand, 21 Certificate Without Reprimand with Emphasis of Matter Paragraphs and 18 Certificate With Reprimand.

"A compliance audit was also carried out against eight federal agencies involving a total of 13 issues that were raised and as of yesterday (Oct 9), four issues or 31 per cent have been completed while nine issues (69 per cent) are being acted upon by the federal agencies concerned.

The issues include irregular payments, loss of revenue and significant management issues.

Source: BERNAMA News Agency