CONTENTS PAGE PREAMBLE  .......................................................................................................................................   4   PRINCIPLES  OF  SOUND  FINANCIAL  MANAGEMENT  ..........................................................................   4   CHAPTER  1  –  FINANCIAL  REGULATIONS  ...........................................................................................   6   PART  I  -­‐  PURPOSE  AND  SCOPE  .............................................................................................................  6   Regulation  1  -­‐  Purpose  and  Scope  ..................................................................................................  6   Regulation  2  -­‐  Authority  of  the  Financial  Regulations  ....................................................................  7   Regulation  3  -­‐  Definitions  ...............................................................................................................  8   PART  II  -­‐  RESPONSIBILITIES  .......................................................................................................................  14   Regulation  4  -­‐  Council  ...................................................................................................................  14   Regulation  5  -­‐  Finance  Committee  ...............................................................................................  15   Regulation  6  -­‐  Finance  Sub  Committee  .........................................................................................  16   Regulation  7  –  Audit  Committee  ..................................................................................................  17   Regulation  8  -­‐  Accounting  Officer  .................................................................................................  18   Regulation  9  -­‐  Delegation  .............................................................................................................  20   Regulation  10  –  Management  ......................................................................................................  22   Regulation  11  –  Fiduciary  duties  of  Management  and  SADC  Officials  .........................................  23   Regulation  12  –  Director  of  Budget  and  Finance  ..........................................................................  24   Regulation  13  -­‐  Controlling  Officer  ...............................................................................................  26   Regulation  14  -­‐  Internal  Auditor  ...................................................................................................  27   Regulation  15  -­‐  Project  Management  Unit  ...................................................................................  28   PART  III  -­‐  FINANCIAL  ADMINISTRATION  ......................................................................................................  29   Regulation  16  –  Establishment  and  Application  of  Financial  Procedures  .....................................  29   Regulation  17  -­‐  Access  to  Records  ................................................................................................  30   Regulation  18  -­‐  Critical  Date  List  ..................................................................................................  31   Regulation  19  -­‐  Control  of  Accountable  Documents  .....................................................................  32   Regulation  20  -­‐  Litigation  and  Other  Contingencies  .....................................................................  33   Regulation  21  –  Insurance  ............................................................................................................  34   Regulation  22  -­‐  Reserve  ................................................................................................................  35   Regulation  23  -­‐  Financial  Administration  Forms  ...........................................................................  36   Regulation  24  -­‐  Changes,  Additions  and  Modifications  ................................................................  37   Regulation  25  -­‐  Financial  Misconduct  by  SADC  Officials  ...............................................................  38   PART  IV  -­‐  BUDGET  ..............................................................................................................................  40   Regulation  26  –  Medium  Term  Strategic  Plan  ..............................................................................  40   Regulation  27  -­‐  Annual  Budget  Process  ........................................................................................  42   Regulation  28  –  Funding  of  Expenditure  .......................................................................................  43   Regulation  29  -­‐  Annual  Budget  Statement  ...................................................................................  44   Regulation  30  -­‐  Authority  of  the  Budget  Appropriations  ..............................................................  45   Regulation  31  -­‐  Virement  ..............................................................................................................  47   Regulation  32  -­‐  Extra-­‐Budgetary  Expenditure  ..............................................................................  48   Regulation  33  –  Unforeseen  and  Unavoidable  Expenditure  .........................................................  49   Regulation  34  –  Unauthorised,  irregular,  Fruitless  and  wasteful  Expenditure  .............................  50   Regulation  35  –  Adjustments  Budget  ...........................................................................................  51   PART  V  -­‐  FINANCIAL  RESOURCES  .......................................................................................................  52   Regulation  36  -­‐  Member  States  Contributions  .............................................................................  52   Regulation  37  –  Development  Partner  Funds  ...............................................................................  53   Regulation  38  –  Suspense  Account  ...............................................................................................  54   Regulation  39  -­‐  Special  Funds  .......................................................................................................  55   Regulation  40  –  Other  Income  ......................................................................................................  56   Regulation  41  -­‐  Doubtful  Receivables  ...........................................................................................  57   PART  VI  -­‐  PROCUREMENT  ..................................................................................................................  58   Regulation  42  -­‐  Authority  and  Threshold  for  Procurement  Method  .............................................  58   PART  VII  -­‐  FIXED  ASSETS  AND  INVENTORY  .........................................................................................  59