I AUDIT SERVICE I In case of reply the number and date of the I letter should be quoted Mp Ref. No:................................... . I You~ R~~.~!.~?!.f~~.1?,/2018/02 Good Governance and Accountability M96 P. 0. Box ........................................................... . Tel: 233 (0) 302 664920/28/29 ......................................~Ct.M ...................... . Fax,: 233 (0) 302 6751495 I Website: www.ghaudit.org 27th JUNE ........................................................... 19 . 20 ............. I SUSTAINABLE RURAL WATER & SANITATION PROJECT I Ministry of Sanitation and Water Resources IDA CREDIT No. 61280 I .. I Auditor's Report on the Financial Statement I We have audited the accompanying financial statements on pages 3 to 7 of the I Sustainable Rural Water and Sanitation Project financed under IDA Credit Number 61280-GH for the year ended December 31, 2018. The statements I comprise the statement of financial position as at 31st December 2018, the statement of sources and uses of funds, statement of expenditures (SOEs) and, I and a summary of significant accounting policies and other explanatory I information. Management's responsibility for the financial statements I 2. The Community Water and Sanitation Agency, which is the implementing agency for SRWSP is responsible for the preparation and fair presentation of I these financial statements in accordance with International Financial Reporting I Standards, and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material I · misstatement, whether due to fraud or error. I I I I I Auditor's responsibility I 3. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with International I Standards of Supreme Auditing Institutions (ISSA). I 4. Those standards require that we comply with ethical requirements, and I plan and perform the audit to obtain reasonable assurance that the financial statements are free from material misstatement. I I 5. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected I depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. I In making those risk assessments, the auditor considers internal control relevant I to the entity's preparation and fair presentation of the financial statements in , order to design audit procedures that are appropriate in the circumstances, but I not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. An audit also includes evaluating the appropriateness of I accounting policies used and the reasonableness of accounting estimates made I by Management, as well as evaluating the overall presentation of the financial statements. I 6. We believe that the audit evidence that we have obtained is sufficient and I appropriate to provide a basis for our audit opinion. I I . : I l I Opinion I 7. In my opinion, the financial statements present fairly, in all material respects, the financial position of SRWSP as at 31st December 2018 and in I accordance with International Financial Reporting Standards and the Project I Agreement Guidelines I I ASSISTANT AUDITOR-GENERAL I FOR: AUDITOR GENERAL I .. I I I I I I I ... , I I I I I I Community Water & Sanitation Agency Sustainable Rural Water& Sanitation Project-Additional Financing I (IDA Credit No. 61280-GH) I I Receipts and Payments for the year ended 31 December, 2018 I 2018 Cummulative I Receipts Advance into Special Ale NOTE 2 USD 6,952,985 USD 6,952,985 Bank Interest Received 3 2,427 2,427 I 6,955,412 6,955,412 I Less: Payments Rural & Small Town Water Supply 1,730,015 1,730,015 I Rural & Small Town Sanitation & HES Institutional Strenthening & Project Mgt. 2,055,746 1,155,559 2,055,746 1,155,559 I Total disbursements 4&5 4,941,321 4,941,321 I Excess of receipts over payments 2,014,092 2,014,092 I Balance as of 1st January I Balance as of 31st December 6 2,014,092 2,014,092 I I .~~/~<:_- ..................... ~~~·-~·-··························· Director of Finance I I I I I I Community Water & Sanitation Agency Sustainable Rural Water& Sanitation Project-Additional Financing I (IDA Credit No. 61280-GH) I Notes to the financial statements I for the year ended 31 December, 2018 1. Basis of Accounting The Project financial statements are presented in accordance with the cash basis of accounting. I This implies that all cash payments are expensed, whether of revenue or capital nature and only income received is recognised. I 2. Advance into Special Account I This represents the amount deposited in the special account as renewable advance for the implementation of the SRWSP-AF IDA Credit No: 61280 GH Description 2018 Cumulative I Application Number I USD 6,952,985 USD 6,952,985 I 6,952,985 6,952,985 I 3. Bank Interest Received Date 2018 Cumulative I Month USD USD April, 2018 215 215 I May,2018 June,2018 339 317 339 317 Sub-total 871 871 I Jul-18 Aug-18 313 311 313 311 I Sep-18 Sub-total 308 931 308 931 Oct-18 299 299 I Nov-18 Dec-18 221 105 221 105 I Sub-total Grand-total 625 2,427 625 2,427 I I I I I Community Water & Sanitation Agency I Sustainable Rural Water& Sanitation Project-Additional Financing I (IDA Credit No. 61280-GH) Notes to the financial statements I for the year ended 31 December, 2018 I 4. Disbursement by Component I Description 2018 Cumulative I USD USD A. Rural & Small Town Water Supply $ $ I Small Towns - Civil Works Connection to GWCL transmission line 349,344 1,263,008 349,344 1,263,008 I Engineering (Design & Supervision) - Consultancy for Water Facilities 117,664 117,664 Subtotal 1,730,015 1,730,015 I B. Rural & Small Town Sanitation & HES I Subtotal Support for Household Latrines 2,055,746 2,055,746 2,055,746 2,055,746 I C. Institutional Strenthening & Project Management I Meetings, Stakeholder Consultations, IEC etc. 65,053 102,683 65,053 Environmental and social safeguards 102,683 I Support to Ministry of Sanitation and Water Resouces 659,574 659,574 c. Project Coordination & Management 328,248 328,248 I Subtotal 1,155,559 4,941,321 1,155,559 4,941,321 Total Disbursement I I I t 'I Community Water & Sanitation Agency I Sustainable Rural Water& Sanitation Project-Additional Financing (IDA Credit No. 61280-GH) I Notes to the financial statements I for the year ended 31 December, 2018 5. Disbursement by Category 2018 Cumulative I USD USD Category I 4,941,321 4,941,321 1 6. Bank Balance USD USD I National Investment Bank 2,014,092 2,014,092 I I I I I I I I I I