1. KYRGYZ REPUBLIC Programmatic Public Expenditure Review Monitoring and Evaluation The MOF/Donor Workshop on PPER Bishkek, September 26, 2005

2. 2 Why Monitoring & Evaluation In order to improve publics satisfaction the government needs to improve service delivery In order to improve publics satisfaction the government needs to improve service delivery Improved service delivery needs strategic planning of public intervention (it is understood that expenditure execution is a must) Improved service delivery needs strategic planning of public intervention (it is understood that expenditure execution is a must) Good planning is based on feedback on service provision through monitoring and evaluation of outcomes to incorporate results into decision making practices Good planning is based on feedback on service provision through monitoring and evaluation of outcomes to incorporate results into decision making practices

3. 3 What is Evaluation? Assessment of progress toward achievement of policy objectives using proxi indicators Assessment of progress toward achievement of policy objectives using proxi indicators Start with a limited number of key indicators (e.g. student achievement in math, condition of local roads) Start with a limited number of key indicators (e.g. student achievement in math, condition of local roads) Methodology includes extensive data collection, evaluations techniques Methodology includes extensive data collection, evaluations techniques Can be selectively outsourced to consulting firms, universities Can be selectively outsourced to consulting firms, universities

4. 4 PREPARATION APPROVAL EXECUTION EVALUATION Integration into Budget cycle

5. 5 What is already done: Functional reviews undertaken in the key line ministries with donor support Functional reviews undertaken in the key line ministries with donor support They consistently point to the need of strong policy units in the line ministries They consistently point to the need of strong policy units in the line ministries Background information for the policy framework: Background information for the policy framework: - CDF, NPRS, working documents, etc. - DFID study – general on the current system - WB PPER CASE analysis of Education, Transport and Agriculture - Multi-donor analysis in Health sector Other Other Information databases initiated in a number of line ministries e.g. MOE and MOT with donor support Information databases initiated in a number of line ministries e.g. MOE and MOT with donor support

6. 6 Findings: PPER CASE M&E Study There exists good basis for monitoring quantitative and qualitative activities in the key sectors, which could become the basis for the effective operative work There exists good basis for monitoring quantitative and qualitative activities in the key sectors, which could become the basis for the effective operative work This information is not demanded, collected and aggregated at the higher level. Use of rich data is inefficient. This information is not demanded, collected and aggregated at the higher level. Use of rich data is inefficient. No sectors examined have a system of indicators to evaluate outcomes/results (e.g. student performance in math) No sectors examined have a system of indicators to evaluate outcomes/results (e.g. student performance in math) Multiple efforts on M&E systems do not receive adequate support from the Government. Multiple efforts on M&E systems do not receive adequate support from the Government. Monitoring system for school conditions financed from the ADB project is under the threat of failure. Monitoring system for school conditions financed from the ADB project is under the threat of failure. A unique road database on road conditions in three cities supported by the WB is not used. A unique road database on road conditions in three cities supported by the WB is not used. The ministries do not have organizational function and personnel capacity (e.g. high turnover of the administrative staff) and resources to perform continuous monitoring and analytical work. The ministries do not have organizational function and personnel capacity (e.g. high turnover of the administrative staff) and resources to perform continuous monitoring and analytical work. Parallel flows of identical information have been revealed (departmental and statistical in ME). Parallel flows of identical information have been revealed (departmental and statistical in ME). Many policy decisions are made on political grounds, rather than on the current needs. Many policy decisions are made on political grounds, rather than on the current needs.

7. 7 Progress on M&E has been slow for a number of reasons, e.g. M&E process is driven not by demand and understanding but by consistent request from the donors and upper levels in the Government to produce immediate outcomes Lack of coherent and shared strategy on M&E and lack of clear guidance form the Government Lack of coherent and shared strategy on M&E and lack of clear guidance form the Government Soviet legacy – central planning Soviet legacy – central planning Absence or weak policy unites in the line ministries Absence or weak policy unites in the line ministries M&E task is loaded as an additional responsibility on budget departments M&E task is loaded as an additional responsibility on budget departments Lot of data on inputs but lack of adequate data/no collection of data on outcome indicators Lot of data on inputs but lack of adequate data/no collection of data on outcome indicators

8. 8 Pre-requisites for Success Strategic leadership – not micro-management from the government Strategic leadership – not micro-management from the government Involvement of all stakeholders: President, Prime-minister, Parliament, Government, Civil Society Involvement of all stakeholders: President, Prime-minister, Parliament, Government, Civil Society Cooperation from the part of the MOF and the line ministries Cooperation from the part of the MOF and the line ministries Clear and simple policy framework: streamline on-going fragmented actions into one policy framework owned by all involved parties with clear implementation arrangements Clear and simple policy framework: streamline on-going fragmented actions into one policy framework owned by all involved parties with clear implementation arrangements Develop selected baseline indicators for sector strategies Develop selected baseline indicators for sector strategies Recognition of gradual change (long history of attempts to introduce results orientation in other more advanced countries (e.g. 1947-2003 in the US) Recognition of gradual change (long history of attempts to introduce results orientation in other more advanced countries (e.g. 1947-2003 in the US)

9. 9 Next steps Develop strategy based on the existing analytical background Develop strategy based on the existing analytical background Review and implement results of functional reviews i.e. establish/strengthen strategic planning units in the MOF and the line ministries charged with the role of M&E (e.g. Policy unit in the MOE under the Rural Education Project, IDF) Review and implement results of functional reviews i.e. establish/strengthen strategic planning units in the MOF and the line ministries charged with the role of M&E (e.g. Policy unit in the MOE under the Rural Education Project, IDF) Provide training to the MOF budget analysts and line ministries for developing evaluation capacity (e.g. IDF) Provide training to the MOF budget analysts and line ministries for developing evaluation capacity (e.g. IDF) Make an inventory of all donor activity in M&E area at central, sectoral level and at level of statistical office Make an inventory of all donor activity in M&E area at central, sectoral level and at level of statistical office

10. 10 Governements Evaluation Road-Map January Budget 2006 NPRSIIMTBF 2006-2008 Prepare diagnostic of the current situation based on the background studies Government to validate the work (broad discussion, including with donors) and finalize report Set of options/suggestions presented to the Government Government selects options, sets work plan for the committee: prepares roles and responsibilities, calendar, resources, Jan-FebFeb-March March-June 2006 March-June