BTN News: The Ministry of Finance in the Dominican Republic has recently encouraged constitutional powers and bodies to integrate their institutions into the State Financial Administration System (Siafe), a significant move aimed at enhancing transparency in the management of public funds. This initiative is part of a broader effort to improve the efficiency of tax administration and public expenditure management in the country, supported by the Inter-American Development Bank (IDB). By adopting Siafe, these institutions can achieve higher levels of transparency and operational efficiency, which are critical for building public trust and ensuring the responsible use of state resources.
At a recent event designed to showcase the benefits of Siafe, Derby de los Santos, the Vice Minister of the Treasury, highlighted the system’s potential to significantly improve the operational management of state policies and facilitate reliable and timely financial reporting. De los Santos emphasized that Siafe is not just a financial tool; it also plays a crucial role in the oversight and implementation of government policies by enabling the generation of accurate financial statements and fiscal statistics. These capabilities are essential for maintaining fiscal discipline and transparency, key elements in any successful public administration.
One of the core advantages of integrating into Siafe, as outlined by De los Santos, is the increased transparency and efficiency in public expenditure. The system allows for streamlined administrative and financial processes, reducing the need for costly internal technology departments and database maintenance. Moreover, it provides savings on human resources and licensing, which can be substantial for institutions operating independently. This not only leads to more efficient use of resources but also ensures that these institutions can focus on their primary missions without being bogged down by administrative overhead.
Importantly, the Ministry of Finance has made it clear that the adoption of Siafe respects the constitutional autonomy of the powers and bodies involved. The system is intended as a supportive tool to assist in financial management rather than a means of central control. This distinction is crucial in maintaining the independence of these institutions while still promoting a more unified and transparent approach to public financial management across the Dominican Republic.
Milagros Ortiz Bosch, the Director-General of Ethics and Government Integrity, underscored the importance of transparency as an ongoing commitment within public administration. She stressed that transparency is not an isolated act but a continuous process that must be integrated into every aspect of administrative functioning. Bosch pointed out that technological advancements, such as Siafe, have been instrumental in increasing the visibility of government actions and making information more accessible to the public. This increased visibility is a critical factor in fostering public trust and accountability.
Pablo Ulloa, the Ombudsman, shared insights from his institution’s experience with Siafe, noting that since they began executing their budget online in late 2021, their operations have become significantly more transparent. Ulloa highlighted that the ability to keep traceable records through Siafe has strengthened their institution, turning transparency from a mere buzzword into a tangible reality. He added that this system allows his institution to focus more on its core mission, which is the protection of rights and ensuring good governance, without being distracted by financial management issues.
Ariel Zaltsman, a leading specialist in Fiscal Management at the IDB, reiterated the bank’s commitment to supporting the integration of Siafe across various constitutional powers and bodies. He assured that the technical assistance provided under the IDB-funded program would respect the administrative and financial autonomy of these institutions. This support is designed to ensure that the integration process accommodates the unique needs and requirements of each institution, thereby facilitating a smooth and effective transition.
The event saw participation from a wide range of government representatives, including members of the Judiciary, the National Public Defense Office, the Chamber of Accounts, the House of Representatives, the Superior Electoral Court, the Central Electoral Board, and the Senate, among others. Their involvement underscores the broad consensus on the importance of adopting Siafe as a tool for enhancing transparency and efficiency in the Dominican Republic’s public financial management.
As the Dominican Republic continues to strive for greater transparency and efficiency in its public administration, the integration of institutions into Siafe represents a significant step forward. By adopting this system, these bodies not only enhance their operational capabilities but also contribute to a broader culture of accountability and good governance that is essential for sustainable development and public trust in government institutions.
