The Ministry of Finance has removed the requirement for a budget or fund guarantee to open revolving fund accounts for projects.

This change comes after an amendment to the office note issued on 4 August 2022, which has now been officially announced.

According to the revised memo, the language in § 1, subsection 1, letter b), which previously required budget coverage and financing guarantee for projects, removed.

Correspondingly, the clause in subsection 1, letter j) that budget allocations in the budget estimates (BOs/NISs) and submission of relevant documents were mandatory have also been deleted.

Furthermore, a new section, 1(d), has been added, which specifies that no disbursements will be made from the revolving fund account unless the necessary amount is allocated in the project’s budget.

The Ministry of Finance stated that these changes aim to increase transparency and improve the financial management of project funds. The updated guidelines take effect immediately.