Single Nodal Agency (SNA) Dashboard of PFMS

Why in News?

Recently, the Union Minister for Finance & Corporate Affairs launched the Single Nodal Agency (SNA) Dashboard of PFMS (Public Financial Management System).

  • The Ministry of Finance launched it as a part of the Azadi ka Amrit Mahotsav (AKAM) celebrations.
  • The Ministry of Finance has observed the ‘Iconic Week’ celebrations from 6th to 12th June 2022 to commemorate AKAM.
  • Furthermore, the training modules for the Department of Expenditure were launched under the Mission Karmayogi.

What is SNA Dashboard?

  • It is a major reform started in 2021 with regards to the manner in which funds for Centrally Sponsored Schemes (CSS) are released, disbursed and monitored.
  • This revised procedure, now referred to as the SNA model, needs each State to identify and designate a SNA for every scheme.
  • All funds for that State in a particular scheme are now credited in this bank account and all expenses by all other Implementing Agencies involved are affected from this account.
  • Significance-
  • Ensure Allocation of Funds- The SNA model ensures that allocation of funds to States for the Centrally Sponsored Schemes are made in a timely manner and after meeting several stipulations.
  • Brought Greater Efficiency- Effective implementation of this Model has brought greater efficiency in CSS fund utilization, tracking of funds, pragmatic and timely release of funds to the States, eventually all contributing to better Cash Management of the Government.
  • Need- In order to provide the stakeholders of the SNA model the essential feedback and monitoring tools in the operation of the schemes.
  • The Dashboard illustrates releases made to different States by Ministries, further releases made by State Treasuries to the SNA accounts, expenditure reported by the agencies, interest paid by banks to SNA accounts etc. in intelligible, informative and visually appealing graphics.

What is Public Financial Management System (PFMS)?

  • Public Financial Management System, earlier known as Central Plan Schemes Monitoring System (CPSMS).
  • It is a web-based online software application developed and implemented by the Office of Controller General of Accounts (CGA) under Ministry of Finance.
  • Initially it was started during 2009 as a Central Sector Scheme of Planning Commission with the aim of tracking funds released under all Plan schemes of the Government of India, and real time reporting of expenditure at all levels of Programme implementation.
  • Afterwards in the year 2013, the scope was expanded to cover direct payment to beneficiaries under both Plan and non-Plan Schemes.
  • In 2017, the Government abolished the distinction between plan and non-plan expenditure.
  • The Objective of the PFMS was to facilitate a sound Public Financial Management System for the Government of India (GoI) by setting up an efficient fund flow system and a payment cum accounting network.
  • Coverage- Presently, the ambit of PFMS coverage involves Central Sector and Centrally Sponsored Schemes along with other expenditures including the Finance Commission Grants.
  • PFMS provides several stakeholders with a real time, reliable and meaningful management information system and an effective decision support system, as part of the Digital India initiative of GoI.
  • PFMS is integrated with the core banking system in the country.

Mission Karmayogi- The aim of the mission to prepare Indian civil servants for the future by making them more creative, constructive, imaginative, proactive, transparent, innovative, progressive, professional, energetic, and technology-enabled.

  • Comprehensive reform of the capacity building apparatus at the individual, institutional and process levels for efficient public service delivery.

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