Ministries, divisions ordered to return surplus funds by May 15

In the run-up to the finalisation of the federal budget for 2024-25, the Ministry of Finance has asked all ministries, divisions, departments, and self-governing entities to surrender by May 15 the funds that they think cannot be utilised within the current fiscal year, ending June 30, 2024. Under the Public Finance Management Act (PFMA) of 2019, all entities established or operated with public funds are required to surrender their surplus funds each year by May 31 for the closing of fiscal year books. This surrender of funds serves as the basis for the approval and allocation of funds for the subsequent fiscal year. However, the Accounting Policies and Procedures Manual (APPM) of the federal government requires that such un-utilised funds or those anticipated to remain un-utilised should be surrendered latest by May 15 each year. Therefore, the finance secretary has instructed all counterparts in other ministries to adhere to the APPM for greater clarity.