–gives detailed account on its use, purpose, management

THE Ministry of Finance has registered its concern over inaccuracies in media reports about the purpose and use of the Contingencies Fund, and in an effort to set the record straight, has issued a statement to that effect.
The following is the full text of that statement:

“The Ministry of Finance notes with concern the misinformation circulating in the media regarding the purpose and use of the Contingencies Fund which is a sub-fund of the Consolidated Fund.
“The Ministry wishes to set the record straight by providing the necessary information related to the use and purpose of the Contingencies Fund.
“The Fiscal Management and Accountability Act (FMAA) of 2003, outlines the legally binding requirements governing the use of the Contingencies Fund.
Part VI, Section 41, subsections (1) through (7), of the FMAA 2003 addresses the issue with explicit clarity.
“The following excerpts explain the control and management of the Contingencies Fund and under which circumstances the Fund can be used:
(2) The Minister shall have sole authority for the release of moneys from the Contingencies Fund, which authority shall not be delegated.
(3) The Minister, when satisfied that an urgent, unavoidable and unforeseen need for expenditure has arisen:
(a) for which no moneys have been appropriated or for which the sum appropriated is insufficient;
(b) for which moneys cannot be reallocated as provided for under this Act; or
(c) which cannot be deferred without injury to the public interest,
may approve a Contingencies Fund advance as an expenditure out of the Consolidated Fund by the issuance of a drawing right.
Further,
(5) The Minister shall report at the next sitting of the National Assembly on all advances made out of the Contingencies Fund….which report shall specify
(a) the amounts advanced
(b) to whom the amounts were paid; and
(c ) the purpose of the advances.
It is clear that the Minister of Finance is required to report to the Parliament on what has been spent from the Contingencies Fund.
To date, the current, 10th Parliament of the National Assembly has considered six Financial Papers related to the use of the Contingencies Fund collectively valued at approximately $9.358B. The Assembly, comprised of the Opposition, has approved 92.6% of those Financial Papers valued at approximately $8.7B clearly demonstrating agreement with the use of the Contingencies Fund in most cases.
“A seventh Financial Paper, No 1/2014 was tabled in the National Assembly last Thursday and will be considered by the House at the following sitting.”