TERMS OF REFERENCE (TOR)

FOR PROVISION OF TRAINING FOR BUDGETARY MANAGEMENT AND

CONTROLS FOR THE BANK OF TANZANIA STAFF

1. Background

The Bank budget is implemented using Integrated Financial Management System

(IFMS) through purchasing, inventory, payable, fixed assets and general ledger
modules. The IFMS general ledger module accommodate all account details, budget
and reports. Further IFMS interface with other systems like Memo Automation System
(MAS) and Human Resource Management System (HRMS) for linking requisition
memos for payment to suppliers and staff data. In addition, the Bank has Budget
Management System (BMS) which is used for budget preparation and budget reports.
BMS also interface with Corporate Plan Information System (CPIS).

IFMS has embedded budgetary controls for various accounts types. Budgetary
controls work in conjunction with the budget to determine funds availability when the
funds checking process is run aiming at controlling expenditure to be within the
approved budget. Since IFMS interface with various systems which initiate
transactions with budgetary relationship, the budgetary controls are required to be
followed into each stage. Likewise, transactions passing from each module of the
IFMS should follow the budgetary control rules.

Currently the Bank Budget has three types of controls. Absolute (transactions process
up to the total budget), Advisory (transactions will process even when no funds or
insufficient funds are available with alert) and None (all transactions will process
without any alert when no funds are available).

Although the IFMS has those controls which are used to regulate the budget, the Bank
has experienced in some cases the transactions are processed up to the final stage
even though the control set in that type of account is Absolute. In that regard, the Bank
recognise the need to review budgetary controls settings and come up with better
solutions to those challenges.
Owing to that, the Bank has planned to engage knowledgeable institution to provide
capacity on budget management and controls.

2. Purpose
The purpose of this Terms of Reference (TOR) is to outline the requirements to engage
a trainer to provide capacity on budget management and controls.
 3. Objective
The main objective of the course is to equip staff of Directorate of Finance with
knowledge to manage budget using suitable features with the current settings of
Integrated Financial Management System (IFMS) which interfaces with various
systems that indirectly impact the budgeting process.

4. Scope of work
In order to achieve the above objectives training will be based on Oracle Standard
Instance, but also using the issues from the Bank live instance for some discussions
during class sessions.
Main topics to be covered will include:
 General Ledger Module
 In GL will include all other integration related issues (i.e. how other modules
like Payables, purchasing, inventory and other legacy systems)
 Focus on how the Sub Ledger Accounting (SLA) work
 Focus in Budget Configuration
 Full utilization of all the budget control features available in IFMS
 Period closure setup and handling of issues related to period closure
 Opening and closure of Encumbrance year/Financial year in relation to budget
issues (Proper handling of budget issues during year end closure and opening
of New budget year)
 Using available Oracle Budget/GL Interfaces, to interface with other legacy
systems.

5. Deliverables
The engaged trainer is expected to deliver a ten (10) days training while
observing the following deliverables:
• Course outline that covers items in the scope of work;
• Study materials;
• Lab availability for hands-on during training;
• Training report.

6. Proposed Dates and Venue

The training to be conducted from 25th October to 5th November 2021 at Bank of
Tanzania Mwanza branch for a group of 15 participants.

7. Trainer qualifications and experience

The trainer to be selected must satisfy the following requirements:
i. Have mastery knowledge and practical experiences in oracle budgetary
management;
ii. Leadership, communication, and presentation abilities demonstrated by past
assignments.
 8. Local taxes
According to the United Republic of Tanzania, Income tax act 2019 in section 83 (1)
(c),
and First Schedule 4(c)(iii) an income tax from the payment at the rate of 5% for
resident
and 15% for non-resident will be held as with-holding tax.