The Ministry of Finance is responsible for the correctness of the Consolidated Annual Report of the State and its timely submission. The report covers all state agencies and provides a comprehensive overview of their financial status and performance in the previous year.
The consolidated report describes the financial situation of the government sector and the performance of the state’s action plans and evaluates internal control.
The consolidated report of the state consists of two parts:
- the management report, which describes the state’s economic development, including the development of the public sector and the government sector, achievement of the goals set in the state’s action plans, and performance. The report gives an opinion of the state’s internal control systems and the organisation of internal auditing;
- the consolidated and unconsolidated annual accounts of the state, which describe the state’s financial performance and financial status, incl. the financial data of state budget execution;
- A summary of the financial performance and financial status of local authorities, the government sector and the public sector are also presented.
The Ministry of Finance submits the consolidated report to the government and the Riigikogu by 31 August every year. The correctness of the report and its compliance with law is assessed by the National Audit Office, which submits its positions and proposals, and the report is then approved by the Riigikogu.
The State Shared Service Centre, which is administered by the Ministry of Finance, has provided the state accountancy and financial reporting service since 1 January 2013. Including services like:
- makes proposals to the Minister of Finance about the general rules of state accountancy and their amendment;
- instructs state accounting entities, local government entities and other public sector entities in accounting issues;
- gathers financial reports from the public sector and checks that they are correct;
- prepares and submits financial reports of the state, local authorities, the government sector and the public sector.
The Accounting Standards Board is an independent committee that prepares the accounting guidelines that explain the Accounting Act and develops activities in the area. Further information can be found on the website of the State Shared Service Centre.