SIGAR
2017-01-30qr
2017-01-30qr
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GOVERNANCE<br />
USAID Mission Director Herbie Smith and the Afghan Minister of Finance discuss<br />
continued U.S. civilian assistance to Afghanistan. (USAID photo)<br />
<strong>SIGAR</strong> AUDIT<br />
<strong>SIGAR</strong> has an ongoing audit of the ARTF.<br />
In July 2011, <strong>SIGAR</strong> found that the<br />
World Bank and the Afghan government<br />
had established mechanisms to monitor<br />
and account for ARTF contributions, but<br />
that several limitations and challenges<br />
should be addressed. This new audit<br />
will assess the extent to which the<br />
World Bank and the Afghan government<br />
(1) monitor and account for U.S.<br />
contributions to the ARTF, (2) evaluate<br />
whether ARTF-funded projects have<br />
achieved their stated goals and<br />
objectives, and (3) utilize and enforce<br />
any conditionality on ARTF funding.<br />
United States continue to seek funding for the ANDSF at or near current<br />
levels through 2020. 418<br />
As of mid-January, DOD had not yet finalized the agreements governing<br />
their Afghan FY 1396 (FY 1396 runs from December 22, 2016, to December 21,<br />
2017) on-budget contributions for police salaries to the Ministry of Interior<br />
(MOI) through the United Nations Development Programme’s (UNDP) Law<br />
and Order Trust Fund for Afghanistan (LOTFA), nor their direct on-budget<br />
contributions to the Ministry of Defense (MOD) or MOI. 419<br />
Civilian On-Budget Assistance<br />
USAID provides on-budget civilian assistance through (1) bilateral agreements<br />
with seven Afghan government entities and (2) contributions to two<br />
multidonor trust funds, the ARTF and the AITF. 420 According to USAID, all<br />
bilateral-assistance funds are deposited in separate bank accounts established<br />
by the Ministry of Finance for each program. 421<br />
The ARTF, administered by the World Bank, provides funds to both<br />
the Afghan government’s operating and development budgets in support<br />
of Afghan government operations, policy reforms, and national-priority<br />
programs. 422 The AITF, a multidonor trust fund administered by the Asian<br />
Development Bank, coordinates donor assistance for infrastructure projects<br />
in Afghanistan. 423 According to USAID, the majority of on-budget<br />
funding has been and will continue to be directed through the multidonor<br />
trust funds, particularly the ARTF. 424<br />
As of November, the United States remains the largest donor to the ARTF<br />
(30.2% in actual contributions) with the next largest donor being the United<br />
Kingdom (17.8% in actual contributions). 425 According to the World Bank,<br />
124<br />
SPECIAL INSPECTOR GENERAL I AFGHANISTAN RECONSTRUCTION
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