FUFA Chief Executive Officer Edgar Watson and Finance Director Julian Namuganga have completed a four-day FIFA Financial Governance Workshop in Kigali Rwanda that ended on Thursday 30th November 2023.
FUFA and 13 other Member Associations were taken through the newly created Financial Governance Guide as a framework for executing guidelines and ensure the FIFA funds are spent on intended projects for the reason funds are requisitioned and approved.
The workshop was attended by General Secretaries and Finance Directors from 14 CAF member associations and aimed at further developing their capacity in financial governance and management.
The FUFA CEO is delighted about the opportunity to attend the workshop.
‘We have learnt a lot from the workshop. It is a requirement for us and others to spend the funds properly. Such workshops give us the opportunity to learn new trends and also share our successful stories and hear from other Member Associations. In the end, we pick a leaf for further improvement in handling financial operations at FUFA’ said Edgar Watson.
FIFA has placed the focus on football development in the last seven years, reinvesting the lion’s share of its revenues to grow and develop the game around the world. Since 2016, more than 1,600 projects, representing a total investment of USD 2.8 billion, have been completed in member associations, confederations and zonal/regional associations through the FIFA Forward Development programme. The projects have included national technical centres, youth academies, stadium renovation and the organisation of competitions.
“The newly created Financial Governance Guide is a key instrument to support member associations to improve on different topics where weaknesses were highlighted in previous central audit reviews,” explained Christoph Suppiger, FIFA Head of MA Finance Services. “The Financial Governance Guide contains templates on different topics that the member associations can adapt for their own use and implementation.”
FUFA Finance Director Julian Namuganga believes that the timing of the workshop was perfect.
‘The workshop highlighted general FIFA central review findings and guided the MAs in attendance on how to achieve 100% audit rating. We learnt on how to execute and implement a robust procurement system to achieve value for money’
Gelson Fernandes, FIFA Director Member Associations Africa, added: “Good Financial governance is key for the development of football. Our job is to follow and develop our member associations, and capacity building is one of our pillars. As well as having a close and open working relationship, they can also exchange knowledge among themselves with best practice cases.”
The amount spent has far outstripped FIFA’s increase in revenues in the same period, illustrating the importance of spending every penny wisely, and in the current four-year cycle, FIFA Forward 3.0 will see a 30% increase in the amount made available to member associations and confederations. To help ensure the funds go where they are intended and that member associations get the best value for money, FIFA regularly holds Financial Governance Workshops around the world.
Transformation FUFA Finance Department since 2013
From a volunteering part time Vice President-Finance to a fully-fledged Finance Department, results were bound to be registered. The professionals recruited have helped to record, analyse, advise management and the Executive, forecast and report on the increasing Financial transactions.
• The FUFA Finance Department has five full time professional staff; three holding ACCA/CPA Certification.
• Change of the Financial year from 30th June to January to allow proper and timely auditing
• FUFA now aligns its Financial Year to end from 30th June to 31st December to align with the FIFA Financial Year an enable proper and timely reporting and auditing.
• Growth of Annual turn-over from 4bn shillings to 41 shillings in 2023
• Computerisation of the financial systems integrated through the SunSystems accounting software
• Efficient management system has also resulted into better performance by other functions of FUFA.
• Improved financial reporting processes coupled with period reports to the top Management and Executive
• FUFA undergoes various levels of auditing for the funds received from Government, CAF, FIFA, Sponsors and its partners. This has led to proper financial reporting and accounting.
• Budget discipline is paramount at FUFA to ensure funds are utilised according to plan.
• Since 2018, a compensation framework was passed by the Executive which entails the financial rights and privileges, for the persons and bodies working for FUFA.
• Cost sharing schemes were introduced for training to support many football people, as possible to improve on knowledge and skills.
• The Zero cash policy is mandatory at FUFA and this has bene on since 2016 when FUFA introduced payment through banks for its staff, suppliers, players, delegates, national team coaches, Executive etc
• In 2013, there we outstanding dues for NSSF, PAYE, referees, taxes, ground rate fees, creditors for foods and services. Now, FUFA pays promptly its statutory and regulatory obligations.
• FUFA is also classified by Uganda revenue Authority as a Large tax payer making significant tax contributions under VAT, PAYE and Withholding Tax.
• In 2013, FUFA had not been registered as a VAT Collection entity.
• FUFA has a registered and operational SACCO which averages a monthly collection of 25 million Uganda shillings with a membership of 120 persons and still growing. It currently has made collections worth 1bn Uganda Shillings.