Summary of Court of Accounts reports, first half of 2016: problems in managing the Forest Fund, healthcare and the financial management of state-owned enterprises
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Automatically translated summary. The full text is available in Romanian.
Independent Think Tank “Expert-Grup” has analysed the Court of Accounts reports from the first half of 2016 on three topics: management of the Forest Fund, healthcare, and the financial management of majority state-owned enterprises. The synthesis finds poor performance in all three areas, with no clear performance objectives or indicators.
Poor management by Moldsilva, caused largely by the lack of a register of lease contracts, led to the loss of over 300 ha of forest, illegal logging worth almost MDL 6 million and illegal clearing of over 13 ha. The state could lose a further 220 ha unless boundary errors are corrected urgently.
Three medical institutions lacked budget crisis management plans and accumulated debts of almost MDL 140 million to suppliers, while 40% of medicine requests from hospital wards were rejected. Patients also cannot freely choose their provider. The Ministry of Finance can produce data on state enterprises only annually, and the legal provisions are contradictory. The Government should set objectives for managers, link their pay to results and review its delegates' role on boards, in effect reforming corporate governance.
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