Maintain Unqualified Audit Opinion, the Ministry of Social Affairs' Financial Statements Must be Accountable

JAKARTA (February 4th 2020) - Minister of Social Affairs, Juliari P. Batubara instructed all levels of the Ministry of Social Affairs (Kemensos) financial management to maintain the title of Unqualified Audit Opinion (WTP). The message from the Minister of Social Affairs was conveyed by the Director General of Social Protection and Security, Harry Hikmat when opening the financial report preparation activity at the Directorate General of Social Security which took place in Jakarta, Tuesday (4/2).

Harry said a financial report should, ideally, not present misinformation. Information in financial statements must be presented in full as needed.

"The numbers in the financial statements must be accountable. Apart from being accountable, they must also be able to be traced when needed. If there are things that are doubtful, they can be compared with existing standards," said Harry in front of the officers who compiled the financial statements.

A total of 96 people consisting of officers from the Accrual-Based Information Accounting System (SAIBA) and the central State Property Management Information System (SIMAK), to representatives of SAIBA officers and regional expenditure treasurers from each Provincial Social Service in Indonesia attended as participants who receive debriefing in order to build mutual commitment between the two parties in realizing accurate and accountable financial reports.

When talking about financial reports, Harry continued, our target will definitely aim at WTP. Harry described the ups and downs in the achievement of financial reports that the Ministry of Social has made in the last decade, "until the WTP in 2016-2018 and hopefully this 2019 we can maintain the WTP," he said.

Based on this experience, Harry hopes that there will be efforts to improve management or financial governance in the future so that things that go in a negative direction do not need to happen again. "This is in accordance with the spirit of the Ministry of Social Affairs to carry out bureaucratic reform. This is inline with the 2020 Ministry of Social resolution," he said.

For information, last week, the Minister of Social Affairs declared that the resolution of the Ministry of Social Affairs in 2020 is #KemensosHadir. Thus, it is hoped that in every presentation, document or anything that becomes a symbol of the government through the Ministry of Social Affairs, the tagline must always be included.

Financial Report Preparation Strategy

On this occasion, Harry also conveyed tips to be able to produce accountable financial reports. In essence, in management there must be professional control.

"Do not misplace account when reporting, so it will make it difficult for SIMAK-BMN officers themselves," said Harry.

On the one hand, when compiling financial reports, there must be collaboration between the central government and the regions because of the function of preparing financial reports related to deconcentrated funds so there is a common understanding and ability in the preparation of accrual-based financial statements.

"We also make accrual based reports because finances that are already in progress and in the process of being used, both must be reported, without exception," said Harry.

According to Harry, an understanding of things like this often requires increased competence from financial managers. So, they need to make sure they really understand the accrual base in reporting.

In addition, Harry suggested that financial reports should be designed to be as attractive as possible so that they are easy to read and understand.

"I want financial reports not only in content, but also in terms of physical reports, try to design them more attractively. Even though there is a standard format for making financial reports, that doesn't mean we can't design reports attractively so that they are readable, easy to read and understand," he advised. .

Harry said that some of these strategies must be carried out in order to produce accountable financial reports so that the Ministry of Social Affairs can continue to maintain WTP.

"Let us commit to creating the Ministry of Social Affairs' financial reports, including the deconcentration budget which is reported appropriately so that when audited, we can maintain the WTP," he concluded.