I can not say treasury is in full order

Sophico Sichinava

Dato Ramishvili has been appointed head of Chancellery Department of Finance minister. There have been many malicious gossips about this Department.

Yet, the rumors died away today. What is the reason of this silence? Does this mean that this important state institute successfully acquires modern contours and functions, under the new management conditions and in a new building? Or are they tired of criticizing one and the same just because it is difficult to find anything new in Georgia?
– What has changed from the viewpoint of monetary movement and its monitoring? Do you transfer these amounts to particular banks if you have operational departments that distribute them?
– Regional treasuries, mainly, have accounts with the National Bank excepting two or three treasuries as there is not the National Banks in these regions. These regions are Racha and Kvemo Kartli where our treasury is quite far from the National Bank. The same situation is in Mtskheta. Other regions use the services of the National Bank. Verticality of the system consists in the directive top-down downgliding of verticality.
– Do political forces interfere with the distribution process?
– The treasury has been working under this principle for half a year already. Circuit was drawn up. According to the circuit, refugees’ donations, transfers are to be covered in the first place. The structures know quite well who will take salary after whom. No structure can influence the treasury.
-Yet, some say that minister of finance interferes with the distribution of amounts. If it is really so, what can you say about his role in this process. I mean, is it positive or not?
-To begin at the beginning, I would like to stress that his role is quite great in the results achieved. The minister of finance, certainly, interferes with the distribution of amounts. I think, it should be so. The minister of finance himself has formed this policy and I take sides with him. If it would not be so, I would not have come here.
-Given the fact that treasury is in order and it has acquired a serious institutional feature, do you think it is time for the treasury to become an independent institution?
-I can not say the treasury is in complete order…
-What is in order then? What has to be done, yet?
-The treasury is, first of all, responsible for controlling expenses and liabilities. On this stage, we are forming a special mechanism that would enable the treasury to control liabilities and to perform accounting. Usually, the actual expenses exceed cash expenses…
-How are you going to control it from the treasury?
-In this case, there is only one way out – pre-request for the amounts. An organization will in advance state about its readiness to undertake this or that service. If the treasury agrees to it, the organization will meet these engagements. At present, a project is now being processed. We will be able to implement it in some three or four months.
-As far as we remember, the treasury was a poor organization. What is the situation like today?
-Foreigners presented computers to the treasury two years ago. The computers are a bit outdated now. The treasury requires reequipment. If we manage to execute the plans, the treasury will need a single network with all regional treasuries. This network must become stable as soon as we start tax accounting. We would like to say, the treasury does not have enough equipment.
-Does this program provides for single communication area with regional departments?
-It is, certainly, one of the most important things. We would not be able to achieve this result without it.
-What is the degree of transparency of treasury work without this equipment?
-Every Monday, we publish information about the amount of expenses falling to the share of each organization under this or that article. Proceeding from this, there should be no transparency problem.
-A young manager is employed in the treasury. He knows a foreign language and has a great experience of conducting fiscal policy. What about lower levels?
-Testing has been performed in regional treasuries in summer. Testing will be designed for those responsible for revenue accounts. There will be further attestation of the Central treasury. On the one hand, we tried to employ the young and on the other one, we tried to preserve the old experienced cadres. We can not say that attestation is enough for setting things in order.
-Do you think that the treasury must become independent in some three or four months’ time?
-It will, probably, become independent after some time. It will be fully dependent on the reforms of fiscal issues of the country. It is no use thinking about the independence of treasury for the nearest two or three years. Budget as well as the policy of the ministry is in direct relation with the treasury. Therefore, there must be a single structure. If we manage to settle fiscal issues and form a system, we will be able to speak about the perspectives of treasury independence. The treasury itself does not decide the policy; it only implements the decisions.