3 0 JUN 2020 Guangdong Provincial Audit Office FLiX Y of the People's Republic of China Audit Report $W$ kFtI (2020] 134-9 GUANGDONG AUDIT REPORT C 2020 ] NO. 134 Project Name: Guangdong Social Security Integration and Rural Worker Training Project Financed by the World Bank S1)?, T:8268 - CN Loan No.: 8268 - CN 1 fkK:r* AMVt jk )T # viA* T W k tR t Project Entity: The World Bank Loan Project Management Office of Department of Human Resources and Social Security of Guangdong Province 2019 Accounting Year: 2019 目录 CO皿tents 一、审计师意见.……,二,,,.......................................................................……1- 1 .Auditor&5 OPinion.,,.........................................................................……,二3 二、财务报表及财务报表附注........……,...............……,…,.,..…,,,二,二,..……6 11 .Financial StatementS and Notes to the Financial Statements.,........……6 (一)资金平衡表...................................................................……,,二,二6 1 .Balance Sheet...............................................................……,..……,.……6 (二)项目进度表.............……,.................……,,二,..........................……8 11.Summary of Sources and Uses ofFunds by Project Component..…8 (三)贷款协定执行情况表.......................................……,……,...……n 111.Statement ofllllplementation ofLoanAgreement…,…,.,.........……11 (四)专用账户报表...……‘..........................……,…,二,,,.,…,二,,二,...……12 iv,Special Account Statemeni.…,................……,.…,......................……12 (五)财务报表附注.......……,,.,,,二,……,.,…,.................................……14 v.Notes to the Financial StatementS.,............................................……18 三、审计发现的问题及建议.........................................……,.............……22 111.Audit Findings and Recommendations......……,...……,…,,..............……25 一、审计师意见 审计师意见 幼东省人力资源和社会保障厅世界银行贷款项目办公室: 我们审计了世界银行贷款幼东城乡社保一体化和农民工培训项目 20 19年12月31日的资金平衡表及截至该日同年度的项目进度表、贷款 协定执行情况表、专用账户报表等特定目的财务报表及财务报表附注(第 6页至第21页)。 (一)项目执行单位及幼东省财政厅对财务报表的责任 簖制上述财务报表中的资金平衡表和项目进度表是你办的责任,编制 贷款协定执行情况表和专用账户报表是广东省财政厅的责任,这种责任包 括: 1.按照中国的会计准则、会计制度和本项目贷款协定的要求编制项 目财务报表,并佼其实现公允反映; 2.设计、执行和维护必要的内部控制,以使项目财务报表不存在由 于舞弊或错误而导致的重大错报。 (二)审计责任 我们的责任是在执行审计工作的基础上对财务报表发表审计意见。我 们按照中国国家审计准则和国际审计准则的规定执行了审计工作,上述准 则要求我们遵守审计职业要求,计划和执行审计工作以对项目财务报表是 否不存在重大错报获取合理保证。 为获取有关财务报表金额和披露信息的有关证据,我们实施了必要的 审计程序。我们运用职业判断选择审计程序,这些程序包括对由于舞弊或 错误导致的财务报表重大错报风险的评估。在进行风险评估时,为了设计 恰当的审计程序,我们考虑了与财务报表相关的内部控制,但目的并非对 内部控制的有效性发表意见。审计工作还包括评价所选用会计政策的恰当 性和作出会计估计的合理性,以及评价财务报表的总体列报。 我们相信,我们获取的审计证据是适当的、充分的,为发表审计意见 提供了基础。 一l一 (三)审计意见几 我们认为,第一段所列财务报表在所有重大方面按照中国的会计准 则、会计制度和本项目贷款协定的要求编制,公允反映了世界银行贷款广 东城乡社保一体化和农民工培训项目2019年12月31日的财务状况及截 至该日同年度的财务收支、项目执行和专用账户收支情况。 (四)其他事项 我们审查了本期内由幼东省财政厅报送给世界银行的第8268一n和 8268一12号的提款申请书及所附资料。我们认为,这些资料均符合贷款协 议的要求,可以作为申请提款的依据。 本审计师意见之后,共同构成审计报告的还有两项内容:财务报表及 财务报表附注和审计发现的问题及建议。 中·奋· 地址:中国幼东省幼州市天河区黄埔大道西361号 邮政簖码:510630 电话:86一20一87078157 传真:86一20一87078201 一2一 1. Auditor's Opinion Auditor's Opinion To the World Bank Loan Project Management Office of Department of Human Resources and Social Security of Guangdong Province We have audited the special purpose financial statements ( from page 6 to page 21 ) of Guangdong Social Security Integration and Rural Worker Training Project financed by the World Bank, which comprise the Balance Sheet as of December 31, 2019, the Summary of Sources and Uses of Funds by Project Component, the Statement of Implementation of Loan Agreement and the Special Account Statement for the year then ended, and Notes to the Financial Statements. Project Entity and Guangdong Provincial Finance Department's Responsibility for the Financial Statements The preparation of the Balance Sheet and the Summary of Sources and Uses of Funds by Project Component is the responsibility of your entity, while the preparation of the Statement of Implementation of Loan Agreement and the Special Account Statement is the responsibility of Guangdong Provincial Finance Department, which includes: i. Preparing and fair presenting the accompanying financial statements in accordance with Chinese accounting standards and system, and the requirements of the project loan agreement; ii. Designing, implementing and maintaining necessary internal control to ensure that the financial statements are free from material misstatement, whether due to ftaud 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 the Goverm-nent Auditing Standards of the People's Republic of China and 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 -3- 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 entities' 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 obtained is appropriate and sufficient to provide a basis for our audit opinion. Opinion In our opinion, the financial statements identified in the first paragraph present fairly, in all material respects, financial position of Guangdong Social Security Integration and Rural Worker Training Project financed by the World Bank as of December 31, 2019, its financial receipts and disbursements, the project implementation and the receipts and disbursements of the special account for the year then ended in accordance with Chinese accounting standards and system, and the requirements of the project loan agreement. Other Matter We also examined the withdrawal application of No. 8268-11 and No. 8268-12 and the attached documents submitted to the World Bank during the period. In our opinion, those documents comply with the project loan agreement and can serve as basis for loan withdrawal. The audit report consists of the Auditor's Opinion and two more parts hereinafter: Financial Statements and Notes to the Financial Statements, Audit Findings and Recommendations. Guangdong Provincigl AhditOffice ofif{e cople's Republic of China June 24, 2020 -4- Address: No. 361, West Huangpu Avenue, Tianhe District, Guangzhou City, Guangdong Province, P.R. China Postcode: 510630 Tel.: 86-20-87078157 Fax: 86-20-87078201 The English translation is for the convenience of report users; Please take the Chinese audit report as the only official version. -5- 二、财务报表及财务报表附注 11 .Financial Statements and Notes to the Financial Statements (一)资金平衡表 1.Balance Sheet 资金平衡表 BALANCE SHEET 2019年12月31日 (As ofDecelnber 31,2019) 项目名称:世界银行贷款幼东城乡社保一体化和农民工培训项目 Project Name:Guangdoog social security Int。『ation and Rural workerTrainingProjectFinancedby,heworldB。。k 簖报单位:幼东省人力资源和社会保障厅世界银行贷款项目办公室货币单位:人民币元 PrePared by:The World Bank Loan Project Management Office ofDepar汕ent CurrencyUnit:RMBYuan 行 后续(Tobecooti八ued) 一6一 ;kl 14"A)fflIffil 16 5,392,155.75 1,544,084.90 Construction Expenditures to 43 Total Prepaid and Receivable be Offset 4 rP:r11 -L I -'f rX *1 i. I - Including: World Bank Loan 17 Total Payable 44 27,416,636,03 23,634,435.59 Interest Receivable )] ' q I i ly *A World Bank Loan Commitment 18 Including: World Bank Loan 45 Fee Receivable Interest Payable Ll & Lu q III R-M-It L M4-X?TO 12 World Bank Loan Service- Fee 19 World Bank Loan 46 Receivable Commitment Fee Payable IV)IiiH I . . - - L R1 lj NX W:Q r M 0 Marketable Securities 0 World Bank Loan Service 47 Fee Payable 1 26,663,426.29 40,245,262.29 +1 z -.I ,"- i 1 48 18,56188 135,867.91 Total Fixed Assets Other Payables; 12 26,663,426.291 40,245,262.29 ± K V A 4. 49 - - Fixed Assets, Cost Appropriation ofFtmd ih : TA fl- VTJFI + 9)MV, Less: Accumulated Depreciation 2 3 Retained Earnings 50 87,703.87: 105,992.41 NZ 24 26,663,426.29 40,245,262.29 - Fixed Assets, Net WE 25 Fixed Assets Pending Disposal C!:Ag Iq z N * 16 Fixed Assets Losses in Suspense - CkAjfl** 27 628,666,146.22 768,149,930,82 Ix i" "oa -6- il- 51 629,666,146,221 768,149,93 Total Application ofFund Total Sources ofFund ii. Summary of Sources and Uses of Funds by Project Component SUMMARY OF SOURCES AND USES OF FUNDS BY PROJECT COMPONENT I 4zA!j &2019 4 12 A 31 H (For the period ended December 31, 2019) Project Name: Guangdong Social Security Integration and Rural Worker Training Project Financed by the World Bank 1k4l : ff,1bR111*,P T t A 4TtQ3T 2 K ~I PF4k-: AR TPk Prepared by: The World Bank Loan Project Management Office of Department Currency Unit: RMB Yuan of Human Resources and Social Security of Guangdong Province Current Period Cumulative 1cMitA) ttW;ZIRtH1Q i kip) F- it k Imai TIi A 1: Current Period Current Period Current Life of PAD Cumulative Cumulative Budget Actual Period % Actual % Completed Completed $##ii(TotalSources of Funds) 209,913,354.00 143,130,391.47 68.19% 941,667,520.00 744,273,634.91 79.04% IBRD Eti 137,359,404.00 81,406,278.64 59.27% 504,000,000.00 445,931,419.17 88.48% Guangdong Advanced Technical School of 12,852,000,00 4,594,554.57 35.75% 94,500,000.00 87,021,507.16 92.09% Light Industry (2) 9fl 1. -fftP# Guangzhou 11,687,634.00 11,470,926.11 98.15% 63,000,000.00 64,775,785.26 102.82% Industry & Trade Technician College (3) I'# 4t IS4Yunfu Advanced 18,305,910.00 16,024,210.03 87.54% 63,000,000.00 63,975,678.74 101.55% Technical School (4) 1-JhVK 4V P#FT tY Ti- i ff I * A* The World Bank Loan Project Management Office of Department 94,513,860.00 2,615,752.25 2.77% 283,500,000.00 183,130,295.82 64.60% of Human Resources and Social Security of Guangdong Province (5) S{!Vk P AS! Special Account of Guangdong Provincial - 46,700,835.68 - - 47,028,152.19 - Finance Department 7i. 969*1-{Counterpart Financing) 72,553,950.00 61,724,112.83 85.07% 437,667,520.00 298,342,215.74 68.17% Guangdong Advanced Technical School of 6,300,000.00 15,538,990.08 246.65% 110,567,520.00 89,102,735.28 80.59% Light Industry (2) 1' dit & - - d R TR ci Guangzhou 4,992,750.00 11,442,794.69 229.19% 63,000,000.00 72,126,600.56 114.49% industry & Trade Technician College (3) t$$4&RItLYunfu Advanced - 4,306,703.49 - 67,000,000.00 43,463,012.84 64.87% Technical School [9 $d K# The World Bank Loan Project Management Office of Department 61,261,200.00 30,435,624.57 49.68% 197,100,000.00 93,649,867.06 47.51% of Human Resources and Social Security of Guangdong Province i Ig -tt{Total Application of Funds) 209,913,354.00 82,461,619.22 39.28% 941,667,520.00 673,927,48711 71,57% AJi (To be continued) -8- Guangdong Advanced Technical School of 19,152,000.00 21,771,032.16 113.67% 205,067,520.00 192,883,252.57 94.06% Light Industry (2) )Inury MT .d# Geuangzhou 16,680,384.00 8,474,443.72 50.80% 126,000,000.00 98,248,187.06 77.97% industry & Trade Technician College (3) 1 7% R ' unfuAdvanced 18,305,910.00 20,357,386.54 111.21% 130,000,000.00 108,755,535.28 83.66% Technical School (4) t A SL *3h7fu 1' AW fr AA' F1 ## The World Bank Loan Project Management Office of Department 155,775,060.00 31,858,756.80 20.45% 480,600,000.00 274,040,51220 57,02% of Human Resources and Social Security of Guangdong Province (5) rt d t T-47 C 4nV Special Account of Guangdong Provincial - - - - - Finance Department A# Difference - 60,668,772.25 - - 70,346,147.80 1.)BktQ$ t Change in Receivables - -3,848,070.85 - - 1,544,084.90 2.TiAt#JJt Changein Payables 3,782,200.44 - - 2- ______________________________________________ _________-23,634,435.59 3.1k 1i *4*'ft Change in Cash and 47,288,400.23 - - 52,433,096.52 Bank 4.jA othes - 13,446,242.43 40,003,401.97 -9- � и о �' � � с � Е � � � ---'.� 1 � - � � :!т н С � Ь' .��J W Е"' 11ТJ. � \ � - С о i i � х � � � � . 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Special Account Statement -V A w P 4 SPECIAL ACCOUNT STATEMENT *)W 12019 * 12 A 31 9 (For the period ended December 31,2019 J)TH 9*: F P if-, 1 - ' #': ' 'V iR It I- M 3 ff V _'L p t k :L Jpo i11:91 P Depository Bank: Guangzhou Branch, Project Name: Guangdong Social Security China CITIC Bank Integration and Rural Worker Training 7443021482600007167 Project Financed by the World Bank Account No. :7443021482600007167 8268-CN 'P FP p " : _)Z G Loan No.: 8268-CN Currency: USD -%#*1k: )-,47 &*TAF Prepared by: Guangdong Provincial Finance Department A Part A-Account Activity for the Current Peri od Amount YPOA _K 60,470,39 Beginning Balance Add: * M A. 12,717,389.98 Total Amount Deposited this Period by World Bank 2,414.57 Total Interest Earned this Period if Deposited in Special Account * A T w p' _ 113 #9 X Total Amount Refunded this Period to Cover ineligible Expenditures A "': Deduct: * VA 4_1111 A NO 6,023,853.88 Total Arnount Withdrawn this Period * ltq.A f2 4 - & 44 K + 01 A K 4 _V Ulll Total Service Chargcs this Period if not Included in Above Arnount Withdrawn PAIZ Illy 6,756,421.06 Ending Balance 06, #To be continued) - 12 - Part B-Account Reconciliation Amount 1. ~8,000,000.00 Amount Advanced by World Bank Deduct: Total Amount Recovered by World Bank 3. t8,000,000.00 Outstanding Amount Advanced to the Special Account at the End of this Period 4. ti M K PfM frlt+6,756,421.06 Ending Balance of Special Account Add: Amount Claimed but not yet Credited at the End of this Period Application No. 6. EMSEMABAM 5MA$i*1liR J1 1,258,772.37 Amount Withdrawn but not yet Claimed at the End of this Period 7.Mr if (liff516 ) Cumulative Service Charges (If not Included in Item 5 or 6) Deduct: 8. IA&A (#AktflAPI½) 15,193.43 Interest Earned (If Included in Special Account) 9. 8tK Pi h#fl9 a,ooo,ooo.oo Total Advance to the Special Account Accounted for at the End of this Period - 13 - (五)财务报表附注 财务报表附注 L项目概况. 幼东城乡社保一体化和农民工培训项目贷款号为8268一cN,项目建 设内容分为城乡社保一体化和农民工培训两个子项目。城乡社保一体化子 项目由省人力资源社会保障厅负责实施;农民工培训子项目由省人力资源 社会保障厅以转贷方式选取幼东省轻工业高级技工学校(以下简称省轻工 学校)、幼州市工贸技师学院(以下简称广州工贸学院)、云浮市高级技工 学校(以下简称云浮技校)3所技工院校负责实施。项目协议于2013年7 月22日签定,于2013年9月12日生效,原关账日为2018年12月31 日。2018年10月,经世行同意,关账日调整为2020年10月31日。项 目计划总投资为人民币941,667,520.00元,其中世界银行贷款总额为 80,000,000.00粎元(省人力资源社会保障厅45,000,000.00美元、省轻工 学校15,000,000.00粎元、幼州工贸学院10,000,000.00美元、云浮技校 10,000,000.00粎元),折合人民币504,000,000.00元(以l美元兑换人民 币6,30元计算),配套资金为人民币437,667,520,00元。 2.财务报表编制范围 本财务报表的簖制范围包括幼东省人力资源和社会保障厅世界银行 贷款项目办公室(以下简称省项目办)、省轻工学校、广州工贸学院、云 浮技校和省财政厅的财务报表。 3.主要会计政策 3.1本项目财务报表按照财政部《世界银行贷款项目会计核算办法》 (财际字〔2000〕13号)的要求编$IJ。 3,2会计核算年度采用公历年制,即公历每年1月1日至12月31日。 3.3会计核算以“权责发生制”作为记账原则,采用借贷复式记账法 记账,以人民币为记账本位币。 3.4按照中国人民银行2019年12月31日汇率,即1美元二人民币 6 .9762元。 -14一 4.报表科目说明 4.1项目支出 2019年项目支出人民币82,461,6 19.22元,累计支出人民币 673,927,487.11元,占计划的71,57%。 4.2货币资金 2019年12月31日货币资金余额为人民币52,433,096.52元,比上年 增加人民币47,288,4 00&23元,其中专用账户存款余额折合人民币 47,134,144.60元。 4.3预付及应收款 20 19年12月31日余额为人民币1,544,054.90元,主要是省轻工学校 和幼州工贸学院的预付及应收款。 4.4固定资产 2019年12月31日余额为人民币4仇245,262.29元,主要是广州工贸 学院固定资产。 4.5项目拨款 20 19年12月31日余额为人民币298,342,215.74元,是项目的配套资 金。 项目计划配套资金总额人民币437,667,520.00元,截至2019年12月 31日到位配套资金人民币298,342,215.74元,占计划的68.17%。 4.6项目借款 20 19年12月31日余额为人民币445,931,419.17元,是国际复兴开发 银行贷款。项目已进入还款期,本期还款1,908,5 67.17美元,累计还款 2,706,448.21美元。 截至20 19年12月31日,累计提取世界银行贷款66,628,270.86美元, 占贷款总额的83.29%。 4刀应付款 2019年12月31日余额为人民币23,634,435.59元,主要是应付货物 -15一 款、应付咨询合同款和其他应付代垫款。其中:省项目办人民币0.03元; 省轻工学校人民币18,772,655.50元;广州工贸学院人民币3,669,45 1 .48 元;云浮技校人民币1,192,328.58元。 4.8未交款. 2019年12月31日余额为人民币135,867.91元,主要是云浮技校应 代簴未簴的个人所得税。 4.9留成收入 20 19年12月31日余额为人民币1 05,992.41元,主要是省财政厅专 用账户的银行存款利息收入。 5.专用账户使用情况 专用账户设在省财政厅,开户银行为中信银行广州分行营业部,账号 为7443021482600007167,币种为美元。专用账户首次存款8,000,000.00 粎元。20 19年年初余额60,470.39粎元,本年度回补款12,717,389.98美元, 利息收入2,414,57粎元,本年度支付6,023,853.88美元(含本期还款 l,908,567.17粎元),年末余额6,756,421,06美元(含利息收入15,193.43 粎元),折合人民币47,134,144.60元。 6.其他需要说明的事项 6.1根据省财政厅和省人力资源社会保障厅的约定,在各项目实施单 位设二级指定账户,余额合计为人民币5,298,951.92元,分别为:省人力 资源社会保障厅,开户银行为中国银行广东省分行,账号为 686062841937,币种为人民币,包括项目的世界银行贷款和配套资金,余 额为人民币2,698,876.77元;省轻工学校,开户银行为中国银行海珠支行, 账号为665262551962,币种为人民币,余额为人民币l,521,046.94元; 幼州工贸学院,开户银行为中国工商银行广州黄石路支行,账号为 3602074029200138071,币种为人民币,余额为人民币1,078,778.62元; 云浮技校,开户银行为中国建设银行云浮云硫支行,账号为 4400 1 8271 10053000952,币种为人民币,余额为人民币249.59元。 62财务报表的格式随同本项目财务管理手册获得世界银行的不反 对意见,项目进度表(一)资金运用合计中“广东省人力资源和社会保障 厅世界银行贷款项目办公室”的累计完成额包括项目进度表(二)“城乡 一16一 社保一体化子项目”和“农民工培训子项目(省级活动户的累计支出。 6.3会计报表按照《世界银行贷款项目会计核算办法))(财际字〔2000〕 13号)的要求填列,由于幼州工贸学院将项目建设中已交付资产(人民 币40,245,262.29元)结转至固定资产科目,所以项目进度表(二)的项 目支出合计(累计支出)包括资金平衡表的项目支出合计(期末数)和固 定资产合计(期末数)。 6.4贷款协定执行情况表中的累计支出数为人民币464,812,143.17元, 资金平衡表中的国外借款期末余额为人民币445,931,419.17元,两者存在 差异,差异金额为人民币18,88几724.00元,此差异金额为该项目累计归 还的贷款本金2,706,448 .21美元。 一17一 v. Notes to the Financial Statements Notes to the Financial Statements 1. Project Overview The Loan No. of Guangdong Social Security Integration and Rural Worker Training Project financed by the World Bank is 8268 - CN. The Project is divided into 2 Sub-Projects, which are Social Security Integration and Rural Worker Training. Department of Human Resources and Social Security of Guangdong Province ( DHRSSGP for short ) is responsible for the implementation of the Sub-Project of Social Security Integration; by the methods of enlending, DHRSSGP selected 3 technical schools to be the Sub-Project implementation entities of Rural Worker Training, including: Guangdong Advanced Technical School of Light Industry ( GDAYSLI for short ), Guangzhou Industry & Trade Technician College ( GZITTC for short ) and Yunfu Advanced Technical School ( YFATS for short ) . The Project Agreement was signed on July 22, 2013 and came into effect on September 12, 2013. The original expected closing date will be December 31, 2018. In October 2018, the project had been approved by the World Bank to extend its closing date to October 31, 2020. The total planned investment of the project is RMB941,667,520.00 yuan, including the World Bank loan of USD80,000,000.00 ( equivalent to RMB504,000,000.00 yuan at a rate of USDI=RMB6.30yuan) and the arrangements of the World Bank loan among the project entities would be provided as follows: USD45,000,000.00 to DHRSSGP, USD15,000,000.00 to GDATSLI, USD10,000,000.00 to GZITTC and USDIO,000,000.00 to YFATS. The counterpart fund is RMB437,667,520.00 yuan. 2. Consolidation Scope of the Financial Statements Consolidation scope of the financial statements covers the financial statements of the Project Management Office of Department of Human Resources and Social Security of Guangdong Province ( PMO for short ) , GDATSLI, GZITTC and YFATS, as well as the financial statements of the Guangdong Provincial Finance Department ( GDFD for short 3. Accounting Policies 3.1 The Financial Statements of the Project were prepared according to the requirements of Accounting- Methods for the World Bank Financed Project (Ca izi C2000 3 No. 13 _18- 3.2 In accounting practice, the Gregorian calendar year is adopted as the fiscal year from January 1 to December 31. 3.3 The accrual basis and the debit/credit double entry bookkeeping method are adopted. RMB is used as the recording currency of bookkeeping. 3.4 The exchange rate adopted in the financial statements was the exchange rate on December 31, 2019 of the People's Bank of China, which is USD1= RMB6.9762 yuan. 4. Explanation of Subjects 4.1 Project Expenditures The project expenditure in 2019 was RMB82,461,619.22 yuan, and the cumulative expenditures were RMB673,927,487. 11 yuan, which accounted for 71.57% of the total investment plan. 4.2 Cash and Bank On December 31, 2019, the balance was RMB52,433,096.52 yuan with an increase of RMB47,288,400.23 yuan compared with that of the last year. And the funds in the Special Account were converted to RMB47,134,144.60 yuan. 4.3 Prepaid and Receivables Its balance on December 31, 2019 was RMBl,544,084.90 yuan, mainly the prepaid and receivable balance of GDATSLI and GZITTC. 4.4 Fixed Assets Its balance on December 31, 2019 was RMB40,245,262.29 yuan, mainly the fixed assets of GZITTC. 4.5 Project Appropriation Funds The balance on December 31, 2019 was RMB298,342,215.74 yuan, which were the counterpart funds of this project. The total planned counterpart funds of the project were RMB437,667,520.00 yuan. By the end of December 31, 2019, RMB298,342,215.74 yuan of the counterpart funds had been allocated, which accounted for68.17% of the plan. 4.6 Project Loan The balance on December 31, 2019 was RMB445,931,419.17 yuan, which was the World Bank loan. The project has entered repayment peiord. The -19- current repayment amount was USD 1,908,567.17, and the cumulative repayment was USD 2,706,448.21. By the end of December 31, 2019, accumulated USD66,628,270.86 of the World Bank loan had been withdrawn, accounting for 83.29% of the total amount. 4.7 Payables The balance on December 31, 2019 was RMB23,634,435.59 yuan, mainly goods payable, consulting payable and the other payable of advances expense. The details were as follows: PMO was RMBO.03 yuan; GDATSLI was RMB18,772,655.50 yuan; GZITTC was RMB3,669,451.48 yuan; YFATS was RMB1,192,328.58 yuan. 4.8 Other Payables The balance on December 31, 2019 was RMB135,867.91 yuan, mainly unpaid personal income tax that should be withheld and paid by YFATS. 4.9 Retained Earnings The balance on December 31, 2019 was RMB105,992.41 yuan, mainly interest earnings in the GDFD's Special Account. 5. Special Account The Special Account of this project is set in GDFD. The depository bank is Guangzhou Branch, China CITIC Bank, with the account number of 7443021482600007167, and USD as currency Unit. The initial Deposit of the Special Account is USD8,000,000.00. The beginning balance in 2019 was USD60,470.39 and the reimbursement in this year was USD12,717,389.98. The interest earned in this year was USD2,414.57 and the disbursement was USD6,023,853.88 ( including the current repayment amount USD 1,908,567.17 ) . Thus, the ending balance was USD6,756,421.06 ( including the interest earnings of USD15,193.43 ) , equivalent to RMB47,134,144.60 yuan. 6. Other Explanation for the Financial Statements 6.1 According to the appointment between GDFD and DHRSSGP, each project implementation entity should set up a Sub-Designated Account ( Sub-DA for short ) , and the total balances were RMB5,298,951.92 yuan. The details are as follows : Firstly, the Sub-DA of DHRSSGP is set in Guangdong Branch, China Bank, with the account number of 686062841937 -20 - and RMB as currency Unit, and the balance was RMB2,698,876.77 yuan. This Sub-DA should include the World Bank loan and the counterpart funds. Secondly, the Sub-DA of GDATSLI is set in Haizhu Sub-Branch, Bank of China, with the account number of 665262551962 and RMB as currency Unit, and the balance was RMB 1,521,046.94 yuan. Thirdly, the Sub-DA of GZITTC is set in Huangshi Road, Guangzhou Sub-Branch, Industrial & Commercial Bank of China, with the account number of 3602074029200138071 and RMB as currency Unit, and the balance was RMB1,078,778.62 yuan. Fourthly, the Sub-DA of YFATS is set in Yunliu Road, Yunfu Sub-Branch, China Construction Bank, with the account number of 44001827110053000952 and RMB as currency Unit, and the balance was RMB249.59 yuan. 6.2 The format of the financial statements, which was in this project's Financial Management Manual, had received the no objection opinion from the World Bank. The accumulated application funds of PMO in the statement of Summary of Sources and Uses ofFunds by Project Component I consist of the accumulated project expenditures in the Sub-Project of Guangdong Social Security Integration and the accumulated project expenditures of Provincial Activities in the Sub-Project of Rural Worker Training in the statement of Summary of Sources and Uses of Funds by Project Component IL 6.3 The Financial Statements of the Project were prepared according to the requirements of Accounting Methods for the World Bank Financed Project (CaUizi(2000)No. 13 ). Assets of RMB40,245,262.29 yuan which put into use in GZITTC were transferred to Fixed Assets during the period of project construction, as a result, the cumulative amount of total project expenditures in the statement of Summary of Sources and Uses of Funds by Project Component II consist of the ending balance of total project expenditures and the ending balance of total fixed assets in the statement of Balance Sheet. 6.4 The cumulative withdrawals in the Statement of Implementation of Loan Agreement was RMB464,812,143.17 yuan, the ending balance of the foreign loan account in the Balance Sheet was RMB445,931,419.17 yuan, the difference was RMBl8,880,724.00 yuan, which was caused by the repayment of loan by the accumulated amount of USD2,706,448.21. -21 -