1. Financial Management Harmonization and Alignment: It’s All About Results
''Financial management in the health sector is a sacred responsibility because it ensures the health of the people“, Minister of Finance, Sierra Leone
"You cannot have a reform of public health without reform in finance management”, Permanent Secretary, Ministry of Finance, Rwanda
08/12/2018

2. Joint capacity building also strengthen efficiency and accountability
FM Harmonization Results
Funders use the same budget and accounting system -> managers have the budget overview needed -> resources allocated against key priorities
One common budgeting and reporting system -> transaction cost reduced -> time freed up to deliver services
Single audit of all donor and government funds -> more efficient audit -> inefficiencies and misuse identified
Joint capacity building also strengthen efficiency and accountability
Matrix with JFA
08/12/2018

3. 08/12/2018

4. IHP+ Step-wise approach towards
FM Alignment
Align with country systems whenever they meet the minimum acceptable level.
Harmonize among development partners, when all or part of the national Public Financial Management (PFM) system is not sufficiently developed.
Agree and support implementation of a joint action plan that strengthens the national systems so as to bring about the necessary changes to make the alignment feasible.
Not wait until all problems have been solved, but use elements of country systems as soon as possible as part of the process of improving systems and developing capacity.
Matrix with JFA
08/12/2018

5. Two Important Tools
Joint FM Assessment: IHP+ has designed a process for doing this. This is not a technical guide, it builds like other FM assessments on existing internationally recognized principles for doing FM assessment, but a gide to the process. This has been developed, and used.
In order to specify the agreements on common FM systems – called Joint Fiduciary Arrangements, partners enter into an MoU for the JFA. It will greatly facilitate establishing such agreements in a country, if standard language for the MoU – or in some areas options for standard language – has been developed and all partners have generally agreed to it. This needs to be developed.
Matrix with JFA
08/12/2018

7. Proposed Role of IHP+ in FM Harmonization & Alignment
Seek endorsement from development partners and countries for Joint Financial Management Assessment as the preferred option for partners when doing FM assessments.
Facilitate countries that wish to develop Joint Fiduciary Arrangements (JFA), by developing and seeking partners’ endorsement of agreed language of the Memorandum of Understanding (MoU) that governs a JFA.
Facilitate direct support for financial management harmonization and alignment.
Matrix with JFA
08/12/2018