MOD&ug-f h?a6~WA'7A+ 11C;r67 The Federal Democratic Republic of Ethiopia Audit Services Corporation INDEPENDENT AUDITOR'S REPORT ON THE FINANCIAL STATEMENTS OF THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 We have audited the accompanying financial statements of Urban Productive Safety Net Project- P151712 of the Federal Democratic Republic of Ethiopia, Ministry of Finance financed by IDA Credit No.57560-ET, which comprise the balance sheet as at 7 July 2018, and the statement of sources and uses of funds and a Designated Account statement for the year then ended and a summary of significant accounting policies and other explanatory information. Responsibility for the Financial Statements The Ministry of Finance is responsible for the preparation and fair presentation of these financial statements in accordance with the Ethiopian Government's Manual of the Federal Accounting System based on a modified cash basis of accounting described in note 2 to the financial statements and for such internal control as it determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor's Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with International Standards on Auditing. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected 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. In making those risk assessments, the auditor considers internal control relevant 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 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 accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtaine is sufficient and appropriate to provide a hnig fnr our audit pinion, 8 251-011-5515222 Fax 251-011-55130S3 -mail: ASC@ethionet.com 2 5720 251-011-5535012 251-011-5535015 INDEPENDENT AUDITOR'S REPORT ON THE FINANCIAL STATEMENTS OF THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 (continued) Opinion In our opinion, the financial statements give a true and fair view of the financial position of the Urban Productive Safety Net Project of the Federal Democratic Republic of Ethiopia, Ministry of Finance, financed under IDA Credit No.57560-ET as at 7 July 2018 and its sources and uses of funds for the year then ended in accordance with the Ethiopian Government's Manual of the Federal Accounting System based on a modified cash basis of accounting described in note 2 to the financial statements. Reports on other requirements As required by the terms of reference and World Bank guidelines we must report, in addition to our opinion, that - during the period all external financing has been used in accordance with the conditions of the relevant financing agreements, with due attention to economy and efficiency, and only for the purposes for which the financing was provided; - goods, works and services financed have been provided in accordance with the relevant financing agreement and disbursement letters; - all necessary supporting documents, records and accounts have been maintained in respect of all Project activities; - Designated Account has been maintained in accordance with the provisions of the financing agreement and funds disbursed out of the Account were used only for the purposes intended in the financing agreements; - National laws and regulations have been complied with and that the financing and accounting procedures approved for the Project; - financial performance of the Project is satisfactory; - non-expendable equipment procured from Project funds exist and there is a verifiable ownership by the Project implementing beneficiaries in line with the financing agreement; - we did not come across with any ineligible expenditures included in withdrawal applications; and - our examination reveals no major weaknesses or irregularities in the system of internal control over financial expenditures other than that mentioned in the management letter. 2 INDEPENDENT AUDITOR'S REPORT ON THE FINANCIAL STATEMENTS OF THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 (continued) Furthermore, with respect to the statements of expenditures submitted during the year and listed on page 12, in our opinion, i) the statements, together with the procedures and internal controls involved in their preparation, can be relied upon to support the relevant withdrawals; ii) adequate supporting documentation has been maintained to support claims to IDA for reimbursements of expenditures incurred; and iii) which expenditures are eligible for financing under IDA Credit No.57560-ET. 3 January 2019 1il3 THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT - P151712 BALANCE SHEET AS AT 7 JULY 2018 2017 Notes Ethiopian Birr Ethiopian Birr ASSETS CURRENT ASSETS Cash and bank balances 2b,3 847,839,452 573,152,968 Accounts receivable 4 11,367,999 252,118 859,207,451 573,405,086 CURRENT LIABILITIES Accounts payable 5 32,169,113 19,230,076 NET CURRENT ASSETS 827,0383 554,175,010 REPRESENTED BY ACCUMULATED FUND 6 827,0383 554,175,010 I4 THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT - P151712 STATEMENT OF SOURCES AND USES OF FUNDS FOR THE YEAR ENDED 7 JULY 2018 Cumulative from 12 Year ended January 2016 Year ended 7 July 2018 to 7 July 2018 7 July 2017 Ethiopian Birr Ethiopian Birr Ethiopian Birr FINANCING Credit from IDA 57560-ET 1,004,781,641 1,698,210,328 622,177,243 Government contribution 171,316,420 - 171,316,420 Gain on foreign exchange 8,072,027 14,857,416 4,803,076 TOTAL FINANCING 1,184,170,088 1,884,384,164 626,980,319 PROJECT EXPENDITURES Public works 602,074,785 638,970,049 36,895,264 Support transfer 68,981,018 73,318,374 4,337,356 Capital expenditure for public work 121,829,993 139,366,844 17,536,851 Livelihood skill training monitoring and coaching 28,985,451 28,985,451 - Targeting and MIS development 1,096,627 9,998,311 8,901,684 Evaluation and audit 9,969,033 9,969,033 - Citizen engagement and social accountability 3,608,361 3,608,361 - Capacity building 18,205,312 73,586,936 38,582,535 City administration 30,706,837 35,987,785 5,280,948 Regional and Federal management 25,849,343 43,554,682 17,643,551 TOTAL EXPENDITURES 911,306,760 1,057,345,826 129,178,189 EXCESS OF FINANCING OVER EXPENDITURES 272,863,328 827,0838 497,8021 5 THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT - P151712 DESIGNATED ACCOUNT STATEMENT For year ended 7 July 2018 Account number 0100101300506 Depository bank National Bank of Ethiopia Address Addis Ababa, Ethiopia Related Credit IDA Credit 57560-ET Currency USD Equivalent in USD Ethiopian Birr Balance at 7 July 2017 1,888,202.82 43,672,054.20 IDA Deposit 36,899,992.66 1,004,781,640.43 38,788,195.48 1,048,453,694.63 I Deduct: Transfer to pool Birr account 31,598,000.00 860,329,734.00 7,190,195.48 188,123,960.63 Gain on foreign exchange - 8,072,027.35 Ending balance 7 July 2018 7,190,195.48 27.2866 196,195,987. * 6 THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT - P151712 DESIGNATED ACCOUNT STATEMENT For year ended 7 July 2018 Account number 0100101040674 Depository bank National Bank of Ethiopia Address Addis Ababa, Ethiopia Related loan IDA Credit 57560-ET Currency ETB Balance at 7 July 2017 304,294,764 Transfer from IDA-57560-ET 860,329,734 Government contribution 171,316,420 1,031,646,154 1,335,940,918 Deduct; Transfer to Implementers 1,279,770,492 Bank service charge 2,150,824 1,281,921,316 Ending balance - 7 July 2018 7 THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 NOTES TO THE FINANCIAL STATEMENTS 7 JULY 2018 1. BACKGROUND The Project was established to support the Recipient to improve income of the targeted poor households and establish urban safety net mechanisms. These financial statements reflect the receipts and disbursements of credit given by International Development Association (IDA) Credit No.57560-ET, to finance safety net activities, including public works program sub- projects and support to labor-poor households, and institutional support. This Project will phase out in July 2021. 2. SIGNIFICANT ACCOUNTING POLICIES The principal accounting policies adopted by the Project, are stated below. a) Basis of preparation These financial statements have been prepared in accordance with the Government's accounting system outlined in the Manual of the Federal Accounting System based on a modified cash basis of accounting. b) Currency These financial statements are presented in Birr. Transactions in foreign currency are translated into Birr at the approximate rate of exchange prevailing at the date of the transaction. Assets and liabilities denominated in foreign currencies are translated into Birr at the exchange rate ruling at the date of the balance sheet. c) Recognition of financial assets and financial liabilities The Project recognizes a financial asset or a financial liability on its balance sheet IL when, and only when, it becomes a party to the contractual provisions of the instrument. A financial asset is derecognized when, and only when, the control over the contractual rights is lost. A financial liability is derecognized when, and only when, it is extinguished. * 8 THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 NOTES TO THE FINANCIAL STATEMENTS (continued) 7 JULY 2018 3. CASH AND BANK BALANCE MINISTRY OF FINANCE (MoF) 2017 Ethiopian Birr Ethiopian Birr IDA Credit No. 57560-ET 196,195,988 43,672,054 Balance in Pool Birr account 54,019,602 304,294,764 Tigray National Regional State 9,769,244 6,491,621 Amhara National Regional State 22,140,830 8,752,715 Oromia National Regional State 24,967,138 16,071,603 Southern Nations, Nationalities and Peoples Regional State 43,657,112 20,050,261 Harari National Regional State 5,165,569 7,738,738 Afar National Regional State 3,008,336 19,251 Somali National Regional State 16,866,655 7,036,616 Dire Dawa City Administration 86,680,128 27,039,086 Benishangul Gumuz National Regional State 9,877,077 1,844,212 Gambela National Regional State 19,111,730 3,831,924 Addis Ababa City Administration 326,703,130 94,707,463 Balance at Federal Job Creation and Food Security Agency 26,858,543 28,100,658 MOLSA 2,545,543 3,357,458 MOFEC-Finance 141,214 121,938 Cash on hand 131,613 22,606 847,839,452 573,1 THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 NOTES TO THE FINANCIAL STATEMENTS (continued) 7 JULY 2018 4. ACCOUNTS RECEIVABLE 2017 Ethiopian Birr Ethiopian Birr Advance to contractors 173,610 - Advance to staff 15,782 37,662 Receivable with in Government 5,885,238 165,414 Others 5,293,369 49 5. ACCOUNTS PAYABLE 2017 Ethiopian Birr Ethiopian Birr Pension payable 92,781 93,960 Salary payable 939,285 70,975 Income tax payable 113,524 3,845 Withholding tax payable 539,698 89,574 Payable to beneficiaries 23,241,180 16,550,730 VAT payable 323,716 76,348 Sundry creditors 6,642,050 2,333,530 Other payroll deductions 19,738 11,114 Payable with in Government 257,141 - 10 THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 NOTES TO THE FINANCIAL STATEMENTS (continued) 7 JULY 2018 6. ACCUMULATED FUND Ethiopian Birr Balance at 7 July 2017 554,175,010 Excess of financing over expenditures of the current year 272,863,328 Balance at 7 July 2018 827,038,338 7. DATE OF AUTHORIZATION The Channel I Project Coordinating Unit Head of the Federal Democratic Republic of Ethiopia, Ministry of Finance authorized the issue of these financial statements on 3 January 2019. THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 IFR WITHDRAWAL SCHEDULE for applications submitted during the year 7 July 2018 8. Amount Amount Equivalents in Application Reference No. reuested disbursed Ethipin No. USD USD Birr 08 IDA Credit 57560-ET 21,710,743 21,710,743 590,873,065 09 15,189,250 15,189,250 413.908,575 36,899,993 36M89m9 1,004,781,64-0 I ~~ ~ 2~2~~22 The Federal Democratic Republic of EtWopia Audit Services Corporation o 4 JAN 2019 INDEPENDENT AUDITOR'S REPORT ON THE FINANCIAL STATEMENTS OF THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 We have audited the accompanying financial statements of Urban Productive Safety Net Project- P151712 of the Federal Democratic Republic of Ethiopia, Ministry of Finance financed by IDA Credit No.57560-ET, which comprise the balance sheet as at 7 July 2018, and the statement of sources and uses of funds and a Designated Account statement for the year then ended and a summary of significant accounting policies and other explanatory information. Responsibility for the Financial Statements The Ministry of Finance is responsible for the preparation and fair presentation of these financial statements in accordance with the Ethiopian Government's Manual of the Federal Accounting System based on a modified cash basis of accounting described in note 2 to the financial statements and for such internal control as it determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor's Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with International Standards on Auditing. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected 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. In making those risk assessments, the auditor considers internal control relevant 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 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 accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtaine is sufficient and appropriate to provide a h,,i for nor audit ppinion. T 251-011-5515222 Fax 251-011-5513083 yf-mail: ASC@ethionet.com 9 5720 251-011-5535012 251-011-5535015 INDEPENDENT AUDITOR'S REPORT ON THE FINANCIAL STATEMENTS OF THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 (continued) Opinion In our opinion, the financial statements give a true and fair view of the financial position of the Urban Productive Safety Net Project of the Federal Democratic Republic of Ethiopia, Ministry of Finance, financed under IDA Credit No.57560-ET as at 7 July 2018 and its sources and uses of funds for the year then ended in accordance with the Ethiopian Government's Manual of the Federal Accounting System based on a modified cash basis of accounting described in note 2 to the financial statements. Reports on other requirements As required by the terms of reference and World Bank guidelines we must report, in addition to our opinion, that - during the period all external financing has been used in accordance with the conditions of the relevant financing agreements, with due attention to economy and efficiency, and only for the purposes for which the financing was provided; - goods, works and services financed have been provided in accordance with the relevant financing agreement and disbursement letters; - all necessary supporting documents, records and accounts have been maintained in respect of all Project activities; - Designated Account has been maintained in accordance with the provisions of the financing agreement and funds disbursed out of the Account were used only for the purposes intended in the financing agreements; - National laws and regulations have been complied with and that the financing and accounting procedures approved for the Project; - financial performance of the Project is satisfactory; - non-expendable equipment procured from Project funds exist and there is a verifiable ownership by the Project implementing beneficiaries in line with the financing agreement; - we did not come across with any ineligible expenditures included in withdrawal applications; and - our examination reveals no major weaknesses or irregularities in the system of internal control over financial expenditures other than that mentioned in the management letter. 2 INDEPENDENT AUDITOR'S REPORT ON THE FINANCIAL STATEMENTS OF THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 (continued) Furthermore, with respect to the statements of expenditures submitted during the year and listed on page 12, in our opinion, i) the statements, together with the procedures and internal controls involved in their preparation, can be relied upon to support the relevant withdrawals; A ii) adequate supporting documentation has been maintained to support claims to IDA for reimbursements of expenditures incurred; and iii) which expenditures are eligible for financing under IDA Credit No.57560-ET. 3 January 2019 I 3 THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT - P151712 BALANCE SHEET AS AT 7 JULY 2018 2017 Notes Ethiopian Birr Ethiopian Birr ASSETS CURRENT ASSETS Cash and bank balances 2b,3 847,839,452 573,152,968 Accounts receivable 4 11,367,999 252,118 859,207,451 573,405,086 CURRENT LIABILITIES Accounts payable 5 32,169,113 19,230,076 NET CURRENT ASSETS 827,038,338 REPRESENTED BY ACCUMULATED FUND 6 827,038,338 5541750 4 THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT - P151712 STATEMENT OF SOURCES AND USES OF FUNDS FOR THE YEAR ENDED 7 JULY 2018 Cumulative from 12 Year ended January 2016 Year ended 7 July 2018 to 7 July 2018 7 July 2017 Ethiopian Birr Ethiopian Birr Ethiopian Birr FINANCING Credit from IDA 57560-ET 1,004,781,641 1,698,210,328 622,177,243 Government contribution 171,316,420 - 171,316,420 Gain on foreign exchange 8,072,027 14,857,416 4,803,076 TOTAL FINANCING 1,184,170,088 1,884,384,164 626,980,319 PROJECT EXPENDITURES Public works 602,074,785 638,970,049 36,895,264 Support transfer 68,981,018 73,318,374 4,337,356 Capital expenditure for public work 121,829,993 139,366,844 17,536,851 Livelihood skill training monitoring and coaching 28,985,451 28,985,451 - Targeting and MIS development 1,096,627 9,998,311 8,901,684 Evaluation and audit 9,969,033 9,969,033 - Citizen engagement and social accountability 3,608,361 3,608,361 - Capacity building 18,205,312 73,586,936 38,582,535 City administration 30,706,837 35,987,785 5,280,948 Regional and Federal management 25,849,343 43,554,682 17,643,551 TOTAL EXPENDITURES 911306,760 1,057,345,826 129,178,189 EXCESS OF FINANCING OVER EXPENDITURES 272,863,328 827083 497,8021 5 THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT - P151712 DESIGNATED ACCOUNT STATEMENT For year ended 7 July 2018 Account number 0100101300506 Depository bank National Bank of Ethiopia Address Addis Ababa, Ethiopia Related Credit IDA Credit 57560-ET Currency USD Equivalent in USD Ethiopian Birr Balance at 7 July 2017 1,888,202.82 43,672,054.20 IDA Deposit 36,899,992.66 1,004,781,640.43 38,788,195.48 1,048,453,694.63 I Deduct: Transfer to pool Birr account 31,598,000.00 860,329,734.00 7,190,195.48 188,123,960.63 Gain on foreign exchange - 8.072.027.35 Ending balance 7 July 2018 7 27.2866 196,195,987. * 6 I THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT - P151712 DESIGNATED ACCOUNT STATEMENT For year ended 7 July 2018 Account number 0100101040674 Depository bank National Bank of Ethiopia Address Addis Ababa, Ethiopia Related loan IDA Credit 57560-ET Currency ETB Balance at 7 July 2017 304,294,764 Transfer from IDA-57560-ET 860,329,734 Government contribution 171,316,420 3 1,031,646,154 1,335,940,918 Deduct; Transfer to Implementers 1,279,770,492 Bank service charge 2,150,824 1,281,921,316 Ending balance - 7 July 2018 II I 7 THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 NOTES TO THE FINANCIAL STATEMENTS 7 JULY 2018 1. BACKGROUND The Project was established to support the Recipient to improve income of the targeted poor households and establish urban safety net mechanisms. These financial statements reflect the receipts and disbursements of credit given by International Development Association (IDA) I Credit No.57560-ET, to finance safety net activities, including public works program sub- projects and support to labor-poor households, and institutional support. This Project will phase out in July 2021. 2. SIGNIFICANT ACCOUNTING POLICIES The principal accounting policies adopted by the Project, are stated below. a) Basis of preparation These financial statements have been prepared in accordance with the Government's accounting system outlined in the Manual of the Federal Accounting System based on a modified cash basis of accounting. b) Currency These financial statements are presented in Birr. Transactions in foreign currency are translated into Birr at the approximate rate of exchange prevailing at the date of the transaction. Assets and liabilities denominated in foreign currencies are translated into Birr at the exchange rate ruling at the date of the balance sheet. c) Recognition of financial assets and financial liabilities The Project recognizes a financial asset or a financial liability on its balance sheet when, and only when, it becomes a party to the contractual provisions of the instrument. A financial asset is derecognized when, and only when, the control over the contractual rights is lost. A financial liability is derecognized when, and only when, it is extinguished. 3 8 THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 NOTES TO THE FINANCIAL STATEMENTS (continued) 7 JULY 2018 3. CASH AND BANK BALANCE MINISTRY OF FINANCE (MoF) 2017 Ethiopian Birr Ethiopian Birr IDA Credit No. 57560-ET 196,195,988 43,672,054 Balance in Pool Birr account 54,019,602 304,294,764 Tigray National Regional State 9,769,244 6,491,621 Amhara National Regional State 22,140,830 8,752,715 Oromia National Regional State 24,967,138 16,071,603 Southern Nations, Nationalities and Peoples Regional State 43,657,112 20,050,261 Harari National Regional State 5,165,569 7,738,738 Afar National Regional State 3,008,336 19,251 Somali National Regional State 16,866,655 7,036,616 Dire Dawa City Administration 86,680,128 27,039,086 Benishangul Gumuz National Regional State 9,877,077 1,844,212 Gambela National Regional State 19,111,730 3,831,924 Addis Ababa City Administration 326,703,130 94,707,463 Balance at Federal Job Creation and Food Security Agency 26,858,543 28,100,658 MOLSA 2,545,543 3,357,458 MOFEC-Finance 141,214 121,938 Cash on hand 131,613 22,606 847,839,452 571296 II THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 NOTES TO THE FINANCIAL STATEMENTS (continued) 7 JULY 2018 4. ACCOUNTS RECEIVABLE 2017 Ethiopian Birr Ethiopian Birr Advance to contractors 173,610 - Advance to staff 15,782 37,662 Receivable with in Government 5,885,238 165,414 Others 5,293,369 49,42 5. ACCOUNTS PAYABLE 2017 Ethiopian Birr Ethiopian Birr Pension payable 92,781 93,960 Salary payable 939,285 70,975 Income tax payable 113,524 3,845 Withholding tax payable 539,698 89,574 Payable to beneficiaries 23,241,180 16,550,730 VAT payable 323,716 76,348 Sundry creditors 6,642,050 2,333,530 Other payroll deductions 19,738 11,114 Payable with in Government 257,141 - 10 THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 NOTES TO THE FINANCIAL STATEMENTS (continued) 7 JULY 2018 6. ACCUMULATED FUND Ethiopian Birr Balance at 7 July 2017 554,175,010 Excess of financing over expenditures of the current year 272,863,328 Balance at 7 July 2018 827,038,338 7. DATE OF AUTHORIZATION The Channel I Project Coordinating Unit Head of the Federal Democratic Republic of Ethiopia, Ministry of Finance authorized the issue of these financial statements on 3 January 2019. I1 THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA MINISTRY OF FINANCE URBAN PRODUCTIVE SAFETY NET PROJECT- P151712 IFR WITHDRAWAL SCHEDULE for applications submitted during the year 7 July 2018 8. Amount Amount Equivalents in Application Reference No. requested disbursed Ethiopian No. USD USD Birr 08 IDA Credit 57560-ET 21,710,743 21,710,743 590,873,065 09 15,189,250 15,189,250 413,908,575 36.899,993 36.899,993 1,004,781,640 12