BAHRAIN’S Unemployment Fund could be scrutinised by Parliament and the Shura Council under new proposed financial governance measures.
The proposed amendment to the 2006 Insurance Against Unemployment Law has been presented by five Shura Council members – led by human rights committee vice-chairman Darwish Al Mannai – who believe that the fund’s administrative and financial affairs are public matter.
Under the proposal, the annual closing financial statements would be considered valid only if it is voted on and approved by both National Assembly chambers. Rejection by both chambers would mean an automatic vote of no-confidence against responsible officials.
The Social Insurance Organisation (SIO) said in writing that the Unemployment Fund was being monitored by the Finance and National Economy Minister and the National Audit Office (NAO).
“All books are being scrutinised and carefully assessed by internal and external auditors,” the SIO said.
“Findings are published regularly and nothing has ever been hidden from the public.
“The fund is being handled with utmost transparency.”
The Shura financial and economic affairs committee, chaired by Khalid Al Maskati, has given the go-ahead for the proposal despite the government calling for a rethink.
The fund has already seen BD230 million used for the Early Voluntary Retirement Scheme in 2019. Last year, to mitigate the economic impact of Covid-19, BD215m was taken out to cover wages in the private sector from April to June, and BD140m for salaries from July to December.
The fund has also covered wages from June to August this year following a spike in the number of coronavirus cases.
The fund currently has around BD500m.
The closing 2019 budget statement is also set for review during the weekly session on Sunday.
Meanwhile, Shura will also debate proposed amendments to a law that would see citizens being exempted from paying a one-time registration fee on their property.
Amendments to the 2013 Real Estate Registration Law have been approved twice by Parliament and rejected once by the Shura Council in 2019.
Under the amendments, citizens registering their property for the first time at the Survey and Land Registration Bureau (SLRB) would be exempted from paying two per cent of the property’s worth as registration fee.
The public utilities and environment affairs committee has rejected it.
The Housing Ministry has asked legislators to reconsider the move citing that it would create confusion, especially with families buying properties through the social homes financing scheme Mazaya.
The SLRB said in writing that the move would mean additional expenses with a new unit being necessary to assess exemption applications and grievances.
mohammed@gdn.com.bh
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