State Institution "National Agency of Investment and Privatization" Financial Statements of the Project "Assistance to Privatization" (Grant from the Austrian Trust Fund TF098603) on receipts and disbursements of funds for the period from 1 January 2019 to 16 October 2019 State Institution "National Agency of Investment and Privatization" 2 Financial statements of the Project "Assistance to Privatization" (Grant from the Austrian Trust Fund TF098603) for the period from 1 January 2019 to 16 October 2019 Contents: Statement of Management's Responsibility 3 Independent Auditors Report 4 Statement of Sources and Use of Funds 7 Statement of Use of Funds by Types of Project's Activities 8 Statement of Withdrawal 10 Statement of Designated Account 11 Statement of Transit Account 12 State Institution "National Agency of Investment and Privatization" 3 Financial statements of the Project "Assistance to Privati zation (Grant from the Austrian Trust Fund TF098603) for the period from 1 January 2019 to 16 October 2019 The Management of State Institution "National Agency of Investment and Privatization" (hereinafter -the Company) is responsible for preparing the financial statements of the Project "Assistance to Privatization" (hereinafter - the financial statements of the Project). The financial statements on pages 7 to 12 represent fairly the information on uses of funds of the Project "Assistance to Privatization" for the period from 1 January 2019 through 16 October 2019- The Management of the Company confirms that appropriate accounting policies have been used and applied consistently. Reasonable and prudent judgments and estimates have been made in the preparation of the financial statements of the Project. The Management of the Company is responsible for keeping proper accounting records, for detecting and preventing fraud and errors, as well as for designing, implementing and maintaining effective and reliable internal controls. Signed on behalf of the Management by: Denis Meleshkin Alena Lemekh Deputy Director Leading Financial Specialist GrantThornton C (0 _JO, --_ No. Grant Thornton LLC Ref No dated 103, Pobeditelei Av. Office 507, 220020, Minsk, Republic of Belarus UNP 100024856, OKPO 37384691 To the Management of State Institution Account: BY89 ALFA 3012272388001027000 "National Agency of Investment and Privatization" at Alfabank CJSC, Code ALFABY2X Bank Address: +3-47, Surganava ul., Minsk, T +375 17 308 70 81 (82) e-mail: info@bu.gt.com www.grantthornton.by indpendent Auditor' R epor Auditor's Opinion We have audited the accompanying financial statements of the Project "Assistance to Privatization", Grant from the Austrian Trust Fund TF098603 (hereinafter - the Project) financed by International Bank for Reconstruction and Development ("IBRD") under the Agreement as of 21 December 2010 signed between the Republic of Belarus and IBRD and registered by the Ministry of Economy of the Republic of Belarus as of 28 April 2011, under the number 2/11/000466 ("the Agreement") for the period from 1 January 2019 to 16 October 2019. The financial statements of the Project comprise the following statements: * Statement of Sources and Use of Funds; " Statement of Use of Funds by Types of Project's Activities; * Statement of Withdrawal; * Statement of Designated Account; * Statement of Transit Account, In our opinion, the financial statements present fairly receipts and disbursements of the Project funds as of 16 October 2019 as well as use of the Project funds for the period from 1 January 2019 to 16 October 2019 in compliance with IPSAS and IBRD principles. The attracted funds have been used according to requirements of terms and provisions of the Agreement, financial arrangements, with due consideration to profitability and efficiency, and only for the purposes for which the financing has been provided. oo aC so ember of Grant Thornton Internatmnol netwnrk. The nember firns are nata worldwide podnership GTiL and each e rrm s a separate ]egl entity SeNices arc delivered independeriy by the member firms. TIL and its mrnerArms are not agents of. an adrt ,an ,oraoter and are not iab!e for one anothers actso rmission. grantthornton.by GSrant Thornton Recording and storage of necessary supporting documents, accounting data and accounts on all the Project transactions, including those relating to the expenses presented in the Statement of Withdrawal, are adequately implemented. There is an interrelation between the accounting data and financial statements which IBRD provide. Basis for Auditor's Opinion We have conducted our audit in compliance with the requirements of International Standards on Auditing (ISA) and the corresponding guidance from the World Bank. Our responsibility in compliance with these standards is described below in paragraph "Auditors Responsibility for the Audit of the Financial Statements" of the present report. We are independent of State Institution "National Agency of Investment and Privatization" in compliance with the requirements of the Code of Ethics for Professional Accountants of the International Ethics Standards Board for Accountants, and we have complied with our other ethical duties in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Restriction on Distribution and Use These financial statements are prepared solely for the use by State Institution "National Agency of Investment and Privatization" for presenting information on the funds received and used upon the Project to IBRD. Consequently, these financial statements are not intended for other purposes. Our opinion has been prepared solely for IBRD and shall not be distributed or used by third parties. Statement of Management's Responsibility The Management is responsible for the preparation of these financial statements in accordance with International Public Sector Accounting Standards (IPSAS) "Financial Reporting Under the Cash Basis of Accounting" prepared by the Public Sector Committee of International Federation of Accountants (IFAC) and the internal control of the Company which the Management determines as necessary to enable the preparation of the financial statements that are free from material misstatement or errors. The financial statements on pages 7 - 12 have been presented in accordance with the terms of the Agreement. Auditor's Responsibility Our goal is to obtain reasonable assurance that the financial statements are free from material misstatements, whether due to fraud or errors, and to issue auditor's report including our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that the audit conducted under International Standards on Auditing always discloses the material misstatement if any present. Misstatements may result from fraud or errors and are considered significant if it can reasonably be assumed that either individually or collectively they may affect the economic decisions of users made on the basis of the present financial statements. Within the framework of our audit conducted under International Standards on Auditing, we apply professional judgment and maintain professional scepticism throughout the audit. In addition, we perform the following: * identify and assess the risks of material misstatement of the financial statements, whether due to fraud or errors; design and perform audit procedures responsive to those risks; and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud generally may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control; * obtain understanding of the internal control system relevant to the audit in order to develop audit procedures appropriate to the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control system; S i7 3'< ',oc. U-, PJI F;qhts re w d, rant Thornton * evaluate the appropriateness of the accounting policies used and the reasonableness of accounting estimates made by the Management and related disclosures made in statements; * evaluate the overall presentation, structure and content of the financial statements, including the disclosures Valentina Silina Director Grant Thornton LI? Dmitry Lapko Engagement Manager Auditor's entity: Grant Thornton Limited Liability Company; Address: 103 Pobediteley avenue, office 507, Minsk, 220020, Republic of Belarus; Registered by the decision of Minsk Municipal Executive Committee as of 12 July 2013 UNP 100024856 Minsk, Belarus 16 October 2019 C 2C Aj;IC Mr2hts remmred State Institution "National Agency of Investment and Privatization" 7 Financial statements of the Project "Assistance to Privatization (Grant from the Austrian Trust Fund TF098603) for the period from 1 January 2019 to 16 October 2019 Statement of Sources and Use of Funds Period from 1 January 2019 to Cumulative from the 16 October 2019 Project start Cash balance as at 1 January 2019 Designated account - Grant funds in USD 245,667,42 Transit account - Grant funds in BYN 13421 Total opening cash balance 245,801.63 Sources of funds TF098603 300,000,00 4,500,000.00 Others - Total financing 300,000.00 4,500,000.00 Less: Expenditures by Components Component 1: Provision of Legal Advice and Institutional Capacity Building 225,110.97 2,358,223.64 Component 2: Privatization Transactions Delivery 51,320.00 1,874,149.93 Total expenditures 276,430.97 4,232,373.67 Interest earned 199.94 1,944.17 Closing cash balances per bank statements Designated account - IBRD loan 269,559.44 Transit account - Grant funds 11.16 Total closing cash balances 269,670.60 Signed on behalf of the Management by Denis Meleshkin Alena Lemekh Deputy Director Leading Financial Specialist т � �о .. ri с sw � И � А т � Т ца т� ;g в D F-� га ы � ,,. � ;� e�i = лС �.гло в О � � ,g у' С =у •С7 н а "6 й1 � Q � � с�'i � � у го �� � !Q С г? г а6 ол чf � еС �^- Gт сА г й'V ® лО... 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