Behind the Scenes of Public Finance: My Summer Internship at Chiro Town’s Economic Office
By Abdi Adem
Introduction
As an accounting and finance student at Haramaya University, I embarked on a 30-day practical attachment at the Chiro Town Finance and Economic Development Office in West Hararge, Ethiopia. This immersive experience revealed the intricate workings of public financial management—from payroll processing to budget reconciliation—and taught me how theory translates into real-world governance.
About the Organization
Established in 1989, the office oversees revenue collection, budget allocation, and economic planning for Chiro Town. With agriculture (chat, coffee, and onions) driving the local economy, the office ensures transparent resource management to foster community development.
Core Mission & Values
- Mission: Administer town wealth, modernize systems, and ensure equitable economic growth.
- Vision: Become a leading force in Ethiopia’s sustainable development.
- Values: Transparency, accountability, and participatory governance.
Key Functions
- Fund accounting and payroll management.
- Budget reconciliation using IBEX software (a digital PFM tool).
- Monitoring public expenditures and property administration.
My Role: A Deep Dive into Fund Accounting
Assigned to the Fund Department, I engaged in critical tasks:
- IBEX Software Mastery
- Learned to navigate this integrated budget system, which merges budgeting, disbursement, and reporting in real-time.
- Generated reports in multiple languages (English, Amharic, Afaan Oromo) and calendars (Ethiopian & Gregorian).
- Payroll Processing
- Prepared monthly payroll for 20 employees, factoring in allowances (fuel, medical) and deductions (taxes, pensions).
- Journal entry example:
Dr. Gross Salary XXX Cr. Govt Pension XXX Cr. Income Tax XXX
- Bank Reconciliation
- Matched transaction records with bank statements to ensure accuracy.
- Identified discrepancies in check payments and deposits.
- Double-Entry Bookkeeping
- Practiced this error-detecting method, where every debit has a corresponding credit.
Challenges Observed
Despite its strengths, the office faced hurdles:
- Resource Gaps: Limited computers and paper supplies slowed workflows.
- Documentation Issues: Historical records were poorly archived, mostly in local languages.
- Employee Shortages: Staff were overburdened, leaving little time to mentor interns.
SWOT Analysis
| Strengths | Weaknesses |
|---|---|
| Skilled, motivated team | Outdated office infrastructure |
| Transparent fund management | Lack of employee training |
| Opportunities | Threats |
| Stable political climate | High staff turnover |
| Community trust in systems | Inflationary pressures |
Key Takeaways
- Tech is Transformative: Tools like IBEX streamline complex processes but require consistent training.
- Teamwork is Everything: Collaboration between departments ensured seamless operations.
- Adaptability Wins: Working with limited resources honed my problem-solving skills.
Recommendations for Improvement
✅ Digitize Archives: Convert paper records to digital formats for easier access.
✅ Expand Training: Regular workshops on IBEX and modern accounting practices.
✅ Intern Integration: Assign mentors to guide students through key tasks.
Final Thoughts
This internship wasn’t just about crunching numbers—it was a lesson in how public finance fuels community growth. To fellow students: seek hands-on experience early. It’s the best way to bridge classroom knowledge and real-world impact!
Questions about my journey? Drop a comment below!
#PublicFinance #EthiopiaDevelopment #InternshipDiaries #AccountingInAction
(Based on my original internship report. Details shared with permission.)
Blog Adaptation Tips:
- Storytelling: Use personal anecdotes (e.g., “My first payroll error taught me…”).
- Visuals: Mock-ups of IBEX screens or payroll tables could enhance engagement.
- Call-to-Action: Encourage readers to share their internship stories.
Let me know if you’d like a version tailored for policymakers or university audiences! 😊
Discover more from Book Store
Subscribe to get the latest posts sent to your email.