SARAWAK has once again been accorded with a ‘Clean Certificate’ for its 2015 public account making it the 14th consecutive year of clean record for the state.
Second Finance Minister Dato’ Sri Wong Soon Koh said this was a testimony of the state’s good governance practices which showed that the conduct of its financial affairs were done in a transparent and accountable manner.
“In addition, international rating houses Moody’s and Standard & Poor’s have maintained the state commendable investment-grade credit ratings of A3 and A- respectively.
“These assigned ratings reflect a sustained record of the state’s sound financial performance, underpinned by strong reserves and prudent budgetary practices,” he told the august House when winding up his ministerial speech at the 18th State Legislative Assembly (DUN) Sitting here yesterday.
Nevertheless, in moving forward, Wong emphasised that the state government must continue to put in place strategic measures aimed at strengthening the financial discipline and management at all levels in order to keep up with its good track records and to remain as a financially healthy state.
He also advised that the state must continue to maintain a sound financial position to allow the state to exercise fiscal and budgetary flexibility in managing its financial affairs; and to ensure its financial capacity as to push its development momentum even in time of economic difficulty.
“Our budgetary flexibility is reflective in our proposed 2017 Budget, where the state is still able to continue in providing more than 60 per cent of the allocation for development amidst declining revenue arising from unfavourable economic condition.
“The commendable level of state reserve which is an accumulation of budget surplus for 14 years, coupled with our continuous efforts in steadfastly uphold prudent financial management has availed us to utilise part of the reserves to meet any shortfall due to lower revenue,” he said.
Wong said in order to ensure the sustainability of the state’s healthy financial position, the state government would continue to maintain its budgetary policy guidelines of development-biased and to attain a budget surplus where feasible; continue to inculcate a culture of prudent financial management and financial discipline in managing our expenditure particularly for operating purposes; continue to strengthen its financial system and processes including leveraging on ICT and innovation for greater effectiveness and efficiency; continue to strengthen the capability of our finance workforce through knowledge enhancement and continuous training.
He added when really necessary the state government would tap funds from capital market for development and productive purposes.