The Role of Finance in Rationalizing Public Spending: An Applied Study of the Ministry of Finance in the Republic of Yemen

Abstract

The objective of this research is to explain  the role of financial control in organizing   the public spending, as an applied study on Ministry of Finance in the Republic of Yemen, as supervision is of great importance in the financial field, because of its constructive role in detecting imbalances and deviations. In addition, the study will focus on determining the causes of deviations and imbalances and ways to treat them to reduce their recurrence in future. The study relied on the descriptive approach, in addition to the analytical approach through the questionnaire and statistical analysis using the SPSS program. Results showed statistically significant role for financial control in the rationalization of public spending at the Ministry of Finance, and that financial control is not efficient nor effective to carry out its supervisory work. In addition, the study showed that Ministry of Finance does not use the latest modern financial control methods. Based on these results, the study presented important recommendations, including the need for supervisory staff with a set of qualities such as integrity and professional behavior, which would lead to activating the role of financial control. In addition, the study highlighted the importance of using the latest methods of financial control, especially in exchange operations.