SPECIAL PURPOSE FINANCIAL STATEMENTS AND INDEPENDENT AUDITOR'S REPORT

Transcription

1 Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized STATISTICAL CAPACITY BUILDING PROJECT Piloting and Preparatory Work for 2011 Armenia Population Census IBRD Grant No. TF SPECIAL PURPOSE FINANCIAL STATEMENTS AND INDEPENDENT AUDITOR'S REPORT For the period from 29 October 2010 to 10 February 2012 YEREVAN April 2012

2 CONTENT Page THE PROJECT IMPLEMENTATION COORDINATING GROUP INDEPENDENT AUDITOR'S REPORT... 4 STATEMENT OF CASH RECEIPTS AND PAYMENTS... 6 STATEMENT OF FINANCIAL POSITION STATEMENT OF USES OF FUNDS BY PROJECT ACTIVITy SUMMARY OF SUMMARY REPORTS AND SOEs STATEMENT OF DESIGNATED ACCOUNT NOTES TO THE PROJECT SPECIAL PURPOSE FINANCIAL STATEMENTS ANNEX 1. RECONCILIATION BETWEEN THE AMOUNTS SUBMITTED BY THE PROJECT AND DISBURSED BY THE WORLD BANK Statistical CapaciZv Bui/ding Project.'l/Ncia! Purpose Financial Statelllents For the period/i'om 29 October 20 I n 10 In Febmary

3 THE PROJECT IMPLEMENTATION COORDINATING GROUP Chairman of the Coordinating Group Stepan Mnatsakanyan National Statistical Service of the Republic of Armenia Members of the Coordinating Group Gagik Gevorgyan Araik Hayrapetyan Ara Martikyan Anahit Safyan Karine Kuyumjyan Edgar A vetyan Member of State Council on Statistics of the Republic of Armenia Chief of Staff of National Statistical Service of the Republic of Armenia Head of Population Census Department of National Statistical Service of the Republic of Armenia Head ofinternational Statistical Cooperation Division of National Statistical Service of the Republic of Armenia Head of Population Census and Demography Division of National Statistical Service of the Republic of Armenia Executive Director of the Foreign Financing Projects Management Center of the Ministry of Finance of the Republic of Armenia Statistical Capacilv Buildillg Project SJ)ecla! Purpose Financial Statements For the period.froln 29 October If) February

4 "UOUUfil'L}.pS" utile "SOSAUDIT" LTD INDEPENDENT AUDITOR'S REPORT N 17 On the special purpose financial statements of for the periodfrom 29 October 2010 to 10 February 2012 To the Management of the Foreign Financing Projects Management Center (FFPMC) We have audited the accompanying special purpose financial statements of the Statistical Capacity Building Project (the Project) financed by IBRD Grant No. TF097400, which comprise the statements of financial position as at February 10, 2012, the statement of cash receipts and payments, the statement of uses of funds by project activity, the summary of summary reports and SOEs, the statement of designated account for the period from 29 October 2010 to 10 February 2012 and a summary of significant accounting policies and other explanatory notes. Management's Responsibility for the Financial Statements The FFPMC's management is responsible for the preparation and fair presentation of these special purpose financial statements in accordance with International Public Sector Accounting Standards (lpsas): Financial Reporting Under the Cash Basis of Accounting, developed by the International Federation of Accountants (IF AC), and for such internal control as management determines is necessary to enable the preparation of special purpose financial statements that are free from material misstatements, whether due to fraud or error. Auditor's Responsibility Our responsibility is to express an opinion on these special purpose financial statements based on our audit. We conducted our audit in accordance with International Standards on Auditing. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance whether the special purpose financial statements are free from material misstatement. An audit involves performing procedures to obtain reasonable audit evidence about the amounts and disclosures in the special purpose financial statements. The procedures selected depend on the auditor's judgment including the assessment of the risk of material misstatement of the special purpose financial statements, whether due to fraud or error. In making those assessments, the auditor considers internal control relevant to the entity's preparation and fair presentation of the special purpose financial statement in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. An audit also includes the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the special purpose financial statements. :1"1; tl1t..wli U. S~q.l1wliJwli 38; =ibl2.1!j>wl1u (+37410) ; tll/mulo' sosaudit@web.am. sosaudit@yandex.ru {(3nLIi~pwli~» <I>~(!; h/h A. l1granyan. Yerevan 0037; RA; Tel./fax: ( ) ; sosaudit@web.am. sosaudit@yandex.ru "Unibank" CJSC; CA

5 "UOUUfll'L1Jl.S" utile "SOSAUDIT" LTD We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Opinion In our opinion, 1. the special purpose financial statements present fairly in all material respects the financial position of the as at February 10,2012, as well as cash receipts and payments, designated accounts movements and its balances for the period from 29 October 2010 to 10 February 2012 in accordance with International Public Sector Accounting Standards (IPSAS): Financial Reporting Under the Cash Basis of Accounting; 2. funds have been used in accordance with the conditions of the Letter Agreement for the (IBRD Grant No. TF097400) signed between the International Bank of Reconstruction and Development and the Republic of Armenia on October 29,2010, with due attention to economy and efficiency, and only for the purpose for which the financing was provided; 3. supporting documents, records and accounts have been maintained to support claims for reimbursement of expenditures incurred. Expenditures included in the withdrawal applications and reimbursed against are eligible for financing under the Letter Agreement for the (IBRD Grant No. TF097400). ~ Nazik Chitchyan Auditor,,;!:;puw(j 0037, U. S~qpw(jJw(j 38; 'bl2.1~wpu (+37410) ; tll/muul' sosaudit@web.am, sosaudit@yandex.ru «3m(j~pw(j~» <J>J:!Q; h/h A. ligranyan, Yerevan 0037; RA; Tel.lfax: ( ) ; sosaudit@web.am, sosaudit@yandex.ru "Unibank" CJSC; CA

6 c: STATEMENT OF CASH RECEIPTS AND PAYMENTS IBRD Grant No, TF for the periodfrom 29 October 2010 to 10 February 2012 InUSD ~pening Cash Balance!Designated Account (IBRD Grant No. TF097400)!Current account (GoA) Irotal ~ources of Funds IBRD Grant No. TF poa [rota I!Foreign Exchange gain/(loss) Uses of Funds poods, consultants' services including audit, and training [otal Closing Cash Balance!Designated Account (IBRD Grant No. TF )!Current account (GoA) IEscrow account (Note 3) [otal actual Reporting Cumulative to period Date 95, , , , , , (164.63) (164.63) 107, , , , , , , , Planned Variance Reporting Cumulative to Reporting Cumulative to period Date period Date 100, , (4,841.69) (4,841.69) 20, , (3,716.47) (3,716.47) 120, , (8,558.16) (8,558.16) 120, , (12,252.84) (12,252.84) 120, , (12,252.84) (12,252.84) ~ 4JJ~'::\" 1!::",t!i:1' ", ~,\ 1\\ \~'\I'd J 1) I '(If, Th' P"1'",,,,dal P"'pill' fl,,,,,,al "a"",,~ w,,' app'a~d by,he rna"""", aj Fa"ig' Fi""i"" P'"J"" Maoag,m," C,,'u ao I I Ap,ll ami 'i7j/!!''4if;i }jdj~ :1~P;' notes form an Integral part of these project specw/ purpose jinancw/ statements, Edgar A vetyan Executive Director Simislicai Ca{'aci~v BlIilding Pro/en Sj.'t'cia/ Purpose Fii/allcial S'talements For {he period li'om ::9 October ::0 j(} 10 j(} {','[JrllClry 2012 ~ Armen Shahnazaryan Financial Manager ",'::'~~,>"::Y ~ "~'D '1' ~.;.,; ~', '.,.., ~ '~ll h t,11,;! ~ ""i. gol;l f"i'~''''';'' i~ ~,".~, i'i! ~ft~t:f,~i~:t\ ~:.8~ ;. ~~';i 1!j,~'; :',;?;;f~! o2 c " ~ / IJ'" ~,.. I " _,r:_ :=.~:::,(i. i" ''J':""~) ~::;:.:r= ~t::.'.;;.(tl:iii'''''i;;)\\li1..,.'3::::', ::.l?'i> V J)JJp.l!'<: ".'1' 'A ;::,01,,,:,, ". t~.,~,:. ng

7 STATEMENT OF FINANCIAL POSITION IBRD Grant No. TF As at 10 February 2012 In USD ASSETS Cash and cash equivalents Designated Account (IBRD Grant No. TF097400) Current Account (GoA) Escrow Account (Note 3) Cumulative Project Expenditures Expenditures from IBRD Grant No. TF Expenditures from GoA fund TOTAL FUNDS Project financing IBRD Grant No. TF GoA fund Foreign Exchange gain/(loss) TOTAL As at , , , , , , , , , (164.63) 111, SjJeciai Purpose Financial Statements I;'or the periodji"oll/29 October 2010 to If).February

8 STATEMENT OF USES OF FUNDS BY PROJECT ACTIVITY IBRD Grant No. TF for the periodfrom 29 October 2010 to 10 February 2012 In USD Project activities Reporting period Actual Cumulative to Date Planned Reporting Cumulative period to Date Variance Reporting Cumulative period to Date 1. Provision of technical assistance in methodological improvement 77, , , , (11,391.87) (11,391.87) 2. Provision of training of field staff 30, , , , (860.9TI (860.97) 107, , , , ,252.8'!} (12,252.84) SiJecial Purpose Financial Statements For the period./i"om29 October 20IO 10 If) February 2012 l<//4

9 SUMMARY OF SUMMARY REPORTS AND SOEs IBRD Grant No. TF for the periodfrom 29 October 2010 to 10 February 2012 InUSD App.N Total 2DA 39, DA 48, DA 7, , Special Purpose Financial Statements For/he per;od./i"om29 October 2010 to 10 Febrllary //4

10 STATEMENT OF DESIGNATED ACCOUNT fbrd Grant No. TF for the periodfrom 29 October 2010 to 10 February 2012 fnusd Designated Account Currency Account number Bank Location IBRD Grant TF USD Treasury 1 Meliq Adamyan Street Republic of Armenia, 0010 # Opening Balance as at Add: 2 Opening discrepancy 3 IBRD Fund advance/replenishment 4 Less: Refund to IBRD from DA 5 Outstanding amount advanced to DA 6 Closing balance as at Add: Amount of eligible expenditures gaid 8 Add:Service charges (if debited into DA) 9 Less: Interest earned (if credited into DA) 10 Total advance accounted for 11 Closing discrepancy( 5)( 10)* 100, (4,841.69) 95, , , , * Discrepancy represents amount transferred into escrow account on 31 January 2012 (Note 3). Statislical C'apaciZ"ll Building Project SJJecial Purpose Financial S{(Jtelllcnls For tile periodjiol/l 29 October 20I() to I()Februm)' /4

11 NOTES TO THE PROJECT SPECIAL PURPOSE FINANCIAL STATEMENTS fbrd Grant No. TF for the periodfrom 29 October 2010 to 10 February General information 1.1 The Projectjinancing According to the Agreement signed on 29 October 2010 between the Republic of Armenia and the International Bank of Reconstruction and Development (the World Bank), acting as administrator of the grant funds provided by multiple donors under the MultiDonor Trust Fund for Statistical Capacity Building, IBRD provided Grant No. TF in the amount of 100,000 United States Dollars (USD) to the Republic of Armenia. The grant was provided for implementation (hereinafter Project). The Grant Agreement for TF became effective on 29 December The closing date of the Project is 31 December 2011 with the application submission deadline grace period until 30 April Project objectives The objective of the Project is to support the Republic of Armenia in the preparation for the successful implementation of the 2011 national population census and to make further progress in the strengthening of it statistical capacity to meet growing information demand of its society. The Project consists of the following components: Part A: provision of technical assistance in methodological improvement, including mapping, design of questionnaire and its content, listing building and houses, developing of organizational plans and their distribution by communities and settlements throughout the country. Part B: provision of training of Field staff (registrars, territorial coordinators census unit managers and assistants, supervisors and enumerators) on coders keying and processing and analysis. 1.3 Budget One category of expenditure "Goods, Consultant's Services, including Audit, and Training" is determined with 100% Grant coverage exclusive of taxes. Taxes are covered through the Government of Armenia (GoA) cofinancing. IBRD Grant TF GoA Category 100% exclusive of taxes 100% only taxes Total USD USD USD Goods, Consultant's Services, including Audit, and Training 100, , , Total 100, , , Project Implementation The Project is implemented by Foreign Financing Projects Management Center (FFPMC). The address of the FFPMC is: Melik Adamyan Street 1, Yerevan, the Republic of Armenia. SJ}ecia/ Purpose Financial Statements For the period./i olll 29 October 20IfJ to 10.Fehrllary / 14

12 2. Summary of significant accounting policies 2.1 Preparation and presentation o/financial statements The special purpose financial statements of the Project are prepared in accordance with the International Public Sector Accounting Standard (lpsas): Financial Reporting Under the Cash Basis of Accounting, issued by the International Federation of Accountants (IF AC) and presented in accordance with Financial Management Manual for World Bank Financed Investment Operations (March 2010): RM 3 Financial Reporting and Auditing. The special purpose project financial statements consist of: Statement of cash receipts and payments, Statement of financial position, Statement of uses of funds by project activity, Summary of Summary Reports and SOEs, Statement of Designated Account, Summary of significant accounting policies and other explanatory notes. The summary of significant accounting policies applied in the preparation of these special purposes financial statements are set out below. These policies have been consistently applied to all the periods presented. 2.2 Reporting period These special purpose financial statements cover period from 29 October 2010 to 10 February As at 10 February 2012, the Project is closed and reimbursement applications are submitted and approved. 2.3 Cash basis 0/ accounting The special purpose financial statements are prepared and presented using the cash basis of accounting. Cash basis means a basis of accounting under which transactions and other events are recognized only when cash or its equivalent is received or paid. Financial statements prepared under the cash basis provide information about the sources of cash raised during the period, the purpose for which cash was used and the cash balances at the reporting date. 2.4 Reporting currency The Project financial statements are presented in United States Dollars (USD). 2.5 Foreign currency transactions Foreign currency is a currency other than the reporting currency of the Project. Project accounts are maintained and transactions are made in USD and Armenian Drams (AMO). Transactions denominated in AMD are translated into USD as follows: Statistical Capacity Buildillg Project SIJecia/ Purpose Financial Statements For the periodji'om29 October 20In to In Fi::b/"llCII)' 2012 /Y /4

13 Contributions of the Republic of Armenia expressed in AMD are translated into USD at the average exchange rates issued on the date of contribution by the Central Bank of the Republic of Armenia (CBA). Payments expressed in AMD are translated into USD at the average exchange rates issued on the date of payment by the Central Bank of the Republic of Armenia (CBA). The exchange rate defined by the CBA as at 10 February 2012 is USD 1 = AMD. 2.6 Taxes All applicable taxes are paid in accordance with tax regulations of the Republic of Armenia. 2.7 Cash and cash equivalents Cash and cash equivalents comprise bank accounts balances and cash at escrow account. 3. Escrow account Escrow account is opened at HSBC Bank Armenia to pay for the audit service contracted. As at 11 April 2012 the amount was not paid. 4. Funds Financing under IBRD Grant No. TF was provided through the following disbursement methods: Method SOE 95, Total 95, Project budget management Cumulative Expenditure as at Budget Variance Execution Category USD USD USD 0/0 Goods, consultants' services including audit, and training 107, , (12,252.84) 90% Total 107, , (12,252.84) 90% 6. Liabilities and receivables As at 10 February 2012, the Project has no liabilities and receivables under concluded contracts, except the audit service for which the escrow account is created (Note 3). 7. Nonreimbursed expenditures As at 10 February 2012, the Project has no uncovered reimbursement application or expenditures that were due to be reimbursed by the relevant funding sources. Statistical Capacity Bllilding Project Special Purpose Financial SwtellIents For/he period/rolll 29 October 2nJf) to In February

14 ANNEX 1. RECONCILIATION BETWEEN THE AMOUNTS SUBMITTED BY THE PROJECT AND DISBURSED BY THE WORLD BANK IBRD Grant No. TF for the periodfrom 29 October 2010 to 10 February 2012 InUSD Advance Category 1.Goods, consultant's services, including audit, and training Total Application N 1A 3DA 4DA Refund 2DA 3DA 4DA FFPMC WB Difference 50, , (37,243.83) (7,914.48) (4,841.69) 50, , , , , , , , , , , Statistical Capacity Bllilding Project SjJeciai Purpose Financial StCltelllents For tile period/i'oll/ 29 October 20I() to If) Febl"ll{}/J' /4