Budgeting systems : Monitoring and Evaluation SWAZILAND Budgeting systems : Monitoring and Evaluation

Policy Decided upon by the Executive Parliament approves Depicted in a three year plan Smart Programme on Empowerment and Economic Development(SPEED) Reviewed annually by several stratas each playing a well defined role

Cont Within ministries who develop the policies Central Ministries DPMs Office – Pubic Policy Coordination Unit

Thematic Areas in the medium term Poverty Alleviation Fight against the HIV/AIDS pandemic Employment Creation Economic Growth Food Security

Cont SPEED is a government tool or framework set to inform governments’ planning and monitoring processes in the medium term The vision of SPEED is to ensure economic growth; good governance and better coordination of government policies and programmes

Cont The framework is supported by the recently adopted constitution. Legislation some of which is under enactment and some being revised. It is monitoring tool reviewed monthly by the PPCU and the line ministries.

Cont its outcome feeds into the budgeting processes and policy making.

Integration of performance information …. Cont. Its enhanced through the setting of performance targets by the line ministries on their programmes. Presenting cash flows Proper costing of these programmes

Cont Provision of accurate statistics to inform policy and structure of the budget and their implementation. Shaping or determining resource envelope

Cont. Improved coordination of the programmes within ministries. Establishing linkages to avoid duplication and ensure maximum utilization of human capacity.

Cont. Decentralization of the budgeting exercise which is currently heavily centralized.

How MoF includes performance information in the budget Cont. Consultations with line ministries and other government stakeholders. This is done in close collaboration with the Ministries of Economic Planning and Development and that of Public Service and Information (Central ministries).

Cont Information is captured using the MTEF introduced in 2002 and still being refined.

MTEF The MTEF allows for unit costing of programmes Bottom up budgeting Consultations with the civic society Consultations with Parliament

MTEF It allows for accountability and transparency in the allocation and utilization of public funds

Internal Monitoring The MoF does this monthly through reports submitted by line ministries. There’s room for improvement here in terms of content and ownership of the exercise and appreciation of its relevance to the budgeting exercise.

Internal Monitoring Plan is to commence quarterly budget reviews. This requires extensive institutional reform and capacity building.

Openness of the budget Thru’ the MTEF we want t engage more civic society. Fundamental principle is the timing of the whole process and their structure such that they make a meaningful contribution into the budgeting process and the shaping of government policy. Consideration will also be given to the resource constraints as such reform requires extensive funding.

Incentives to Central Agencies towards improved performance They are minimal but underway are a number of incentives for implementation. Strengthening of the Public Expenditure Management and Monitoring with the assistance of the World Bank. Possible Direct Support under EDF Programme Computerization of the commitment systems

Cont. Strengthening of the pre and post audit institutions of government. Parliament started undertaking quarterly budget performance reviews from April 2006. Public Accounts Committee by Parliament which works closely with the Audit Department (autonomous institution).

How monitoring relates to MDGs GoS is still behind in meeting the MDGs other than on HIV/AIDS. re-orienting expenditures towards the social sector remains a challenge. FDI flows have been on the declines High unemployment levels at about 29% and this is coupled with issues on the quality of the education.

Monitoring mesures cont. As remedial measures we are undertaking a Labor Market survey in close collaboration with the African Development Bank. Investment Climate Assessment Survey with World Bank. Industrial Strategy – internally.

Challenges Scarcity of resources Re-definition and packaging of strategic objectives Implementation and monitoring of these strategies i.e. civil service reform agenda Political willingness and commitment to reform

Challenges cont. Striking a balance between pro-growth expenditures and the social sector spending. Updating and strengthening of institutions involved in planning and budgeting. Improved statistics (integrity and timeliness) Dissemination of government policy

Cont. Appropriate and well structured monitoring and evaluation systems on budgeting. Aligning performance to certain verifiable indicators and to international declarations such as the MDGs etc.

Conclusion Its important to have appropriate monitoring systems to complement policy and planning which in turn informs the budget. These have to be in place within central government and within MoF and MEPD. Have the necessary checks and balances to monitor influence. Improve on information flow within all sectors of the economy.

Conclusion cont. Implement Performance Management Systems as part of the reform of the civil service. All this is possible through increase donor assistance and collaboration with institutions like CABRI where we share experiences and knowledge.

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