Muhakwa to focus on value for money after re-election as PAC Chair
Friday, August 23, 2024
MP Valens Muhakwa, 41, was re-elected Chairperson of the Public Accounts Committee (PAC). Photo by Craish Bahizi

Valens Muhakwa has said he, along with his colleagues, will prioritise ensuring value for money so that financial resources are put to good use for improvement of welfare of Rwandans and the country’s development.

Muhakwa, who hails from the Social Democratic Party (PSD), made the promise while speaking to The New Times, after being re-elected Chairperson of the Public Accounts Committee (PAC), on Wednesday, August 21.

As he campaigned for re-election before his fellow MPs in the Lower House’s plenary hall, Muhakwa said that his capacity to head the entity is reflected by the contribution he made while at the helm of the entity in the previous legislature that concluded its term in June.

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Referring to the findings of the Auditor General’s report for the financial year ended June 30, 2023, Muhakwa said that remarkable progress was achieved in terms of preparation and presentation of public financial statements, whereby 92 per cent of [208] audited public entities, had unqualified opinions (clean audits) – in the financial year ended June 30, 2023 up from 68 per cent in the previous year.

Concerning compliance with laws and regulations for controlling public spending, he said, 69 per cent of the audited public entities got clean audits, up from 61 per cent in the previous year.

For the realisation of value for money in utilisation of public funds, 59 per cent of the public entities had clean audits, compared to 53 per cent in the previous year, according to AG’s report.

ALSO READ: Key findings in 2022-2023 Auditor General’s report

"I and my colleagues are going to put more effort in value for money or the principle that money must be used for the intended purpose, as we have realised that there are still weaknesses in this regard,” Muhakwa told The New Times.

"Progress was made but we cannot say that 59 per cent [clean audit performance among audited public entities] is a satisfactory rate while we see that there are [public] entities that buy services at high costs yet they should, indeed, carry out market surveys to ascertain whether the service to be paid corresponds to the money [to be spent] because the money comes from residents, taxpayers, loans to be paid back, or grants,” he said.

"So, efforts should be invested in that [realising value for money], and we promise that there will be remarkable change through the collaboration with those with whom we share that responsibility,” he said.

Parliamentary Powers and Responsibilities

Muhakwa stressed that Rwandans should understand that "when we indicate malpractices committed by each entity in question and provide relevant resolutions that must be implemented; we [Parliament] submit them to the Prime Minister who forwards them to concerned ministries.”

He pointed out that there are even resolutions under which PAC requests that people responsible [for state finance mismanagement] be judicially prosecuted, adding that there are cases where it urges implicated leaders or public staff to recover mismanaged funds, "and that is done.”

"For instance, at the closure of the fourth parliamentary term, we evaluated the implementation of resolutions that were made by the Chamber of Deputies on PAC’s analysis of the Auditor General’s report. We found that at least 79 per cent of the resolutions made by the Chamber of Deputies were implemented,” he said.

Overall, he said, the resolutions in question are about public finance management, including human resource management, wasteful expenditures and delays in execution of set programmes or projects, and public procurement.

"That’s not a bad performance, but we cannot stop there. We should put in more effort and support entities to implement the resolutions,” he said, adding that they will summon concerned entities for unimplemented resolutions to know the underlying reasons.

On unrealised resolutions or recommendations, Muhakwa said that there are understandable reasons that can hinder their implementation, such as budget constraints, but pointed out that others are not valid, which necessitates further action or in-depth oversight.

On concerns among the public that the impact of PAC hearings or work is inadequate, he said that there is a need for people to understand what he called separation of powers.

"There are boundaries of Parliament in terms of the powers it is granted by the constitution, organic law determining the functioning of the Chamber of Deputies, as well as oversight of government activities.

"After parliament carries out the assessment, makes resolutions, and takes them to the government, there are actions that the government should take, within its powers. That speaks to complementarity without interference in responsibilities,” he said.

"Then, as parliament, we make a follow-up to ensure that what we requested was implemented,” he said.