EU Financial Control and related matters for Moldova

Sound management and control of public finances– Promote the development of appropriate administrative capacity to prevent andfight effectively against fraud and other irregularities affecting national andinternational funds, including the establishment of well-functioning co-operationstructures involving all relevant national entities;– Ensure effective cooperation with the relevant EU Institutions and bodies in thecase of on-the-spot checks and inspections related to the management and controlof EU funds.– Improve public finance management and transparency, through upgrading of theexisting Treasury Accounts Systems, appropriate audit of budget revenue andexpenditures, in line with suggestions World Bank’s Public economicmanagement review. Extension of the Treasury system by including in the statebudget the social insurance budget, compulsory medical insurance funds, specialresources, extra-budgetary funds. Creation and implementation of an integratedinformational system for public finance management.Public Internal Financial Control– Development of a strategy and policy paper for the public internal financialcontrol system (managerial accountability and internal audit).– Establish legislative framework for public internal financial control.– Gradual harmonization with the internationally agreed standards (IFAC, IIA,INTOSAI) and methodologies, as well as with EU best practices for the controland audit of public income, expenditure, assets and liabilities.External Audit– Ensure the establishment and adequate functioning of an independent SupremeAudit Institution in line with the internationally accepted and EU best practiceexternal audit standards (INTOSAI standards – International Organisation ofSupreme Audit Institutions).Enterprise policy(43) Develop a dialogue on enterprise policy aiming at the improvement of theadministrative and regulatory environment for companies, at promoting industrial cooperationand tackling the impact of industrial restructuring, and develop theMoldovan legislative and administrative framework for SME promotion - in line witharticles 52, 69 and 70 of the PCA– Develop a legislative framework and appropriate infrastructure for SMEs, asprovided for in Article 70(2) of the PCA– Endorse and implement the European Charter for Small Enterprises andparticipate in the monitoring cycles from 2004 (includes participation in coordinationmeetings, writing an annual national report and organising an annualbilateral meeting with the European Commission and Moldovan enterprise policystakeholders).– Preparation of companies for progressive opening of internal market elements toMoldovan participation, focusing on information and training. The opening of oneEuro-Info-Correspondence Centre (EICC) is envisaged.