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Pursuant to a congressional request, GAO reviewed non-emergency food aid programs sponsored by private voluntary organizations (PVO) and cooperatives in Saharan Africa, focusing on whether PVO: (1) were less willing to sponsor non-emergency projects, particularly in Africa; (2) encountered implementation problems that affected their willingness to continue sponsoring projects, and whether those problems could be addressed by legislative or administrative action; and (3) financial management systems were adequate to account for food aid commodities donated by the U.S. government.

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Recommendations for Executive Action

Agency Affected Recommendation Status
United States Agency for International Development 1. To make food aid projects less vulnerable to fraud, waste, and abuse, the Administrator, AID, should consider the adequacy of food aid sponsors' financial and management systems when reviewing their requests to sell title II commodities to generate local currencies, and if such systems are inadequate, ensure that sufficient sales proceeds are set aside for improving those systems.
Closed - Implemented
In April 1991, AID issued guidance to missions requiring field personnel to evaluate the adequacy of PVO financial management systems and to take steps, when needed, to improve these systems.

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