Finance Secretary Samuel Penias has reaffirmed the Department of Finance’s commitment to modernising Papua New Guinea’s public financial management system by driving the transition from paper cheque payments to Electronic Funds Transfer (EFT) across all government agencies.
The initiative forms part of broader reforms under the Public Finance Management Act (PFMA) aimed at improving efficiency, transparency, accountability and financial governance throughout the public sector.
As part of the reform agenda, the Department of Finance is conducting training and capacity-building programs to equip national government departments and agencies with the knowledge and systems required to adopt electronic payment methods.
Secretary Penias said moving to EFT will reduce delays in processing government payments, minimise the risks associated with manual cheque handling, strengthen financial controls, and improve accountability in the management of public funds.
“The transition to Electronic Funds Transfer represents a significant step towards a modern, efficient and transparent public financial management system. By reducing reliance on paper cheques, Government agencies will be able to process payments more securely, accurately and efficiently,” Mr Penias said.
The reform is expected to streamline financial operations across the public service while supporting the Government’s broader digital transformation agenda and strengthening compliance with the Public Finance Management Act.
The Department of Finance remains committed to working closely with all government agencies to ensure a smooth transition to a cheque-free payment system that delivers better financial services, enhances accountability, and promotes sound management of public resources.