Section 2: Outcomes and outputs information

Outcomes and output groups

The map below shows the relationship between government outcomes and the contributing outputs for the Australian Office of Financial Management (AOFM). Financial detail for Outcome 1 appears in Table 2.1 while non-financial information for Outcome 1 appears in Table 2.2.

Output cost attribution

The AOFM’s single output is debt management. All departmental appropriations are attributed to this output.

Map 2: Outcomes and output groups

Changes to outcomes and outputs

There are no proposed changes to the outcome or outputs structure.

Outcome 1 — Description

To enhance the Commonwealth’s capacity to manage its net debt portfolio, offering the prospect of savings in debt servicing costs and an improvement in the net worth of the Commonwealth over time.

Measures affecting Outcome 1

There are no measures for the AOFM in the 2004-05 Budget.

Outcome 1 — Resourcing

Table 2.1 shows how the 2004-05 appropriations translate to total resourcing for Outcome 1, including administered and agency appropriations, revenue from other sources, and the total price of outputs. Cell references C1, E1 and I1 show the links back to Table 1.1 (the Appropriations and other revenue table for the agency).

Table 2.1: Total resources for Outcome 1

1. C1, E1 and I1 show the links back to Table 1.1.
2. This special account is governed by the Financial Agreement Act 1994. Further details on special accounts appear in Table 1.6.

Outcome 1 — Contribution of outputs

The AOFM delivers a single output — debt management. Debt management encompasses the execution of instruments including Treasury Fixed Coupon Bonds, Treasury Indexed Bonds, Treasury Notes and associated derivatives. It also encompasses risk management activities, compliance activities, financial reporting, debt administration and the monitoring of conditions in Treasury bond and futures markets.

The debt portfolio is managed in line with the risk preferences and requirements of key stakeholders. Debt management activities comply with applicable accounting standards and legislative requirements.

Performance information for Outcome 1

Table 2.2: Performance information for Outcome 1

Evaluations

Feedback will be sought on a regular basis from financial markets and key clients on the effectiveness of debt issuance and the efficiency of the CGS bond and futures markets. The appropriateness of the benchmark portfolio will also be reviewed. Results of evaluations will be presented, as appropriate, in the AOFM’s Annual Report.

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