Modernizing Financial Management in Biddu Municipality

For many years, financial management in Biddu Municipality relied on manual bookkeeping, with financial transactions first recorded by hand before being transferred to outdated accounting software that no longer met the municipality's growing operational and financial needs. This process remained in place from 1997 until 2017, creating inefficiencies and limiting the municipality's ability to produce timely and accurate financial reports.

Recognizing the need for a modern financial management system, Biddu Municipality approached the Municipal Development and Lending Fund (MDLF) in 2016 to seek support for upgrading its accounting systems. Following an assessment of the municipality's needs, MDLF selected Biddu Municipality to participate in the second phase of the implementation of the Al-Ghassan Financial Management System, following its successful deployment in larger municipalities during the first phase.

Through MDLF's support, the municipality received a grant that covered the Al-Ghassan financial management software, along with the required servers, computers, and supporting equipment.

To ensure a smooth transition, the municipality formed a dedicated financial team that underwent intensive training delivered by Al-Ghassan specialists. The program included both theoretical and hands-on training covering the accounting system, the RMIS revenue collection system, fixed assets management, payroll, and inventory management.

With technical support from Agility Financial Consulting, the municipality reviewed and verified all opening balances, outstanding receivables and liabilities before migrating its financial data to the new system. User permissions were assigned according to staff responsibilities to ensure proper financial control and accountability.

By 2020, Biddu Municipality had fully integrated the Al-Ghassan system into its daily operations, managing all financial transactions, payroll, fixed assets, warehouses, and accounting processes through a unified digital platform. Continuous oversight by the Financial Director ensured that financial records were entered accurately and updated on a daily basis.

One of the system's greatest strengths is its robust internal control mechanism. Financial transactions pass through multiple levels of review and approval, ensuring transparency, accuracy, and compliance with financial procedures before final authorization.

The new system also enabled the municipality to generate financial reports instantly, prepare annual budgets efficiently, and disclose financial information to both the Ministry of Local Government and citizens in a timely and transparent manner. The automation of financial procedures significantly reduced manual work, shortened processing times, and improved operational efficiency.

According to Mr. Khalil Badwan, Director of Finance and Administration at Biddu Municipality, the implementation of the new financial management system had a transformative impact.

"The system enabled the municipality to improve its classification from B+ to A+ by ensuring the timely preparation of financial statements, budgets, receivables, payables, payroll, and other financial reports. In 2018, Biddu Municipality was awarded first place in the West Bank Integrity and Transparency Award, reflecting its commitment to financial disclosure through the regular publication of daily, monthly, and annual financial reports."

Mr. Badwan further explained that the municipality expanded the system by integrating additional modules, including the Public Service Center, Human Resources, Payroll, Leave Management, Attendance System, Engineering Department applications, and Operation and Maintenance systems.

"Integrating these systems has significantly improved service delivery, accelerated administrative procedures, and enabled the municipality to generate comprehensive reports across all departments quickly and efficiently."

Today, Biddu Municipality's digital transformation stands as a successful model for other local governments seeking to modernize their financial management systems, strengthen institutional performance, improve transparency, and achieve higher levels of administrative excellence.