By: Momodou Justice Darboe
The Gambia’s revenue mobilization chief Yankuba Darboe has recognized that the inking of an MoU between the Gambia Revenue Authority (GRA) and the Financial Reporting Oversight Board (FROB) heralds a new beginning of enhanced revenue collection.
The GRA and FROB signed an MoU on Monday to promote tax compliance and domestic revenue mobilization.
The MoU seeks to protect the economic interest of The Gambia through the sharing of information, relating to taxpayers and end users of services in the realization that tax fraud and other forms of tax evasion are detrimental to the country’s economic, fiscal, and social well-being.
The GRA boss acknowledged during the signing ceremony of the MoU that the document will augment the transparency and reliability of financial statements and reports and by extension, GRA’s ability to generate more revenue.
“By the time it is signed, this MoU is going to help and enhance our work. And you have seen our 2024 target and the signing [of the MoU] is a good beginning so that everybody over there will understand that any financial statement that we come across is authentic,” he added.
According to CG Darboe, the GRA has been signing MoUs with different institutions, leading to lots of improvements in the Authority’s operations. He elaborated: “It is really an honor for us to witness today in the sense that since the establishment of GRA up to date, we’ve been signing MoUs with different institutions with the understanding that it will make our work easier. Since we started signing MoUs with different institutions, we have seen a lot of improvements and I think that is why my legal department wanted us to have this MoU with FROB. And my understanding is that you are a regulatory body that sits and looks at the way financial institutions are reporting. If you know the work of GRA, most of the time, we rely on financial statements that are prepared by other accounting bodies. They are given to us and the way we operate at the level of GRA, we give opportunity to institutions to prepare their own accounts and submit them to us. Therefore, we rely on what they provide us. So, to have a body like FROB, to be looking at what they’re doing and to make sure that reports are authenticated, is very important for us.”
The Commissioner General assured FROB of a smooth working relationship.
“We are looking forward to having a very good working relationship with FROB. At the same time, we believe that we will also open up and be available for any information that you want. Once we sign the MoU, it will help us in terms of information-sharing and we will assure you that there will be confidentiality in whatever is shared with the GRA. The GRA is here for all of us. Anything that makes our work better, it’s good for the country because we are collecting revenue for the betterment of everybody in the country. So, I am happy we are going to sign this MoU today,” he stated.
“On behalf of the Board and Management of GRA, I want to say a very big thank you to all those who were involved in preparing this MoU. I want to say thank you very much for the effort. It [MoU] will pay dividends at the end of the day because I can see that a lot of effort has been put into preparing the MoU,” CG Darboe acknowledged.
Speaking earlier, the Chairman of the Board of Directors of FROB, Abdoulie Jallow, said: “It is a great pleasure and privilege for us to be part of this historic event in the signing of the MoU between FROB and the GRA. I would like to convey our sincere gratitude and appreciation to the CG and his team for their cooperation and support since our initial meeting a few months ago in which Director Tambedou led a team from FROB to initiate this mutually beneficial relationship.”
Board chair Jallow explained that FROB is a regulatory body established under Section 44 of the Financial Reporting Act (2013).
“It is mandated to oversee the financial reporting and corporate governance practices of Public Interest Entities(PIEs) and the profession in The Gambia to ensure transparency, accountability, and good governance in Public Interest Entities (PIEs) in The Gambia. It also has oversight responsibility over the Gambia Institute of Chartered Accountants and in May 2022, the Board recruited the senior management of the institution,” he further explained.
Mr. Jallow said the goal of FROB is to establish a framework of strong partnership and collaboration with GRA to help it enhance the reliability of the financial statements of PIEs.
“With our shared interest in credible and reliable financial reports, the MoU will ensure tax compliance and financial reporting oversight of PIEs. We also hope to deepen our collaboration with the GRA by ensuring the tax laws and regulations are understood by us as a regulatory body and most importantly, by PIE professionals involved in the financial reporting process in meeting their reporting obligations,” he underscored. The FROB Board chair added: “We aim to share insights, exchange information and resources to better serve the public interest pursuant to our respective visions and core values. The Gambia is undoubtedly emerging as a dynamic and resilient economy, attracting international investors and businesses alike. It is, therefore, important to have a robust regulatory framework that ensures accurate and reliable financial reporting, corporate disclosures, and good corporate governance practices underpinned by enhanced quality and standard of auditing in The Gambia. This, we hope, will give confidence to investors, especially foreign investors, particularly with the establishment of a stock market in the country. The world is witnessing a paradigm shift in the way organizations operate, emphasizing the importance of environmental, social, and governance factors. The progressive strides taken by the government of The Gambia in this regard will undoubtedly provide valuable insights that can shape our future policies and regulations.”
The FROB’s board chair concluded: “In conclusion, I would like to reiterate that our objective is to leverage this opportunity to enhance our regulatory oversight capabilities and contribute to the collective growth of the Gambia’s economy. It is through such collaborative efforts that we can collectively address the challenges that lie ahead and pave the way for a more transparent, resilient, and sustainable financial ecosystem in The Gambia thus inspiring investor confidence. Once again, I would like to thank the GRA Management, especially the legal team for working hand in glove with the FROB technical department to deliver this important strategy document that reflects our commitment and our joint effort to work together as two vital institutions in the country to foster trust and improve confidence in financial reporting.”
