By NNN-PTI,
United Nations : The UN representative on the international body monitoring the handling of more than USD 100 billion in proceeds from Iraqi oil sales said the financial control system remains “deficient” and financial management reforms need to be pursued further.
Warren Sach, the UN Secretary-General’s representative on the International Advisory and Monitoring Board (IAMB) for Iraq, reported to the Security Council Friday on independent audits that were carried out on the Development Fund for Iraq (DFI) in 2007.
Under a Security Council resolution, USD 106 billion was deposited with DFI from petroleum sales between 2003 and 2007. A further USD 10.4 billion from the balance of the UN oil-for-food programme was deposited with DFI as well as USD 1.5 billion from Iraq’s frozen assets.
“The results of the audits in 2007 indicate that, while many efforts are being made, sometimes at great personal sacrifice, the overall financial system of controls in place in the (Iraqi) spending ministries, the US agencies handling of outstanding commitments using DFI resources and the Iraqi administration of DFI resources remain deficient and financial management reforms need to be pursued further,” Sach said in his report.
He said that the IAMB aims to ensure that the DFI is used in a transparent manner for the benefit of the Iraqi people and that export sales of petroleum were consistent with international market best practices.