Transcript The Role of Parliament in the APRM Process Presented by

UGANDA APRM PROCESS
National Program of Action: Costing and
Funding
Harmonizing the United Republic of Tanzanian APRM - NPoA with the existing
Development Strategies and MTEF
Max Ochai
September 26, 2012
Dar es Salaam
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Presentation
Purpose:
To share Ugandan experience in costing
and funding the APRM-NPoA.
To inform recommendations, measures,
challenges and strategies for the
Tanzanian case.
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The Story
Critical path defined.
Required inputs determined.
Costs estimated and aggregated.
Costs integrated into MTEF ceilings.
Single budget executed.
Challenge: resource constraints.
Recommendations: get priorities right!
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Outline
Introduction
Concepts
Practical Experience
Costing, Funding and Implementation
Key Challenges and Lessons
Effort
Some Recommendations
Conclusion
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1. Introduction
APRM-NPoA:
A comprehensive program that guides
and mobilizes a country’s efforts in
implementing necessary changes to
improve its state of governance and
socio-economic development (vide APRM
Base Document).
Integral part of CRR:
Key input into peer review process
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1. Introduction Cont’d
Serves to present and clarify a country’s:
Priorities identified
Activities undertaken
Responsibility of stakeholders
Derived from APRM-CSAR
Prepared in a participatory manner
Financed largely thru’ National Budget
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1. Introduction Cont’d
MTEF:
a whole of government framework for
supporting a strategic and policybased approach to budget preparation:
a medium-term fiscal framework;
future costs of existing policy; and
sector strategies.
an integral part of the Budget Cycle
1. Introduction Cont’d
Consists of:
a top-down resource envelope;
a bottom-up estimation of current and
medium-term costs of existing policies;
and, ultimately,
matching of these costs with available
resources – budgeting!
1. Introduction Cont’d
Development Strategies (DS):
Inclusive of NPoA, provides the roadmap for policy
priorities
MTEF is where DS confronts budget
realities
MTEF is, therefore, critical to effective
implementation of DS
2. Uganda: Practical Experience
NPoA: Methodology
Desk research
Expert panel interviews – 200 units
Focus group discussions – 96 units
National sample survey – 1,588 HHs
Country-wide consultations
Public hearings
Submission of memoranda by interest
groups
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2. …Experience Cont’d
NPoA: Results
463 recommendations were made
o/w 307 recommendations in CRR
o/w 156 recommendations added by APR
Panel of Eminent Persons
200 recommendations prioritized
And, costed in NPoA over three years
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2. …Experience Cont’d
Costing: Institutional Arrangement
APRM-NC
Costing Team:
Professional Cost Accountants
Technical Experts from:
– Central Government MDAs
– Bank of Uganda
Costing Team mandated to cost NPoA
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2. Cost of... Cont’d
Costing: Methodology
Participatory approach
Stakeholders
–
–
–
–
–
Head of Public Service
MDAs
LGs
NDP Preparation Core Technical Team
APRM-NC
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2. Cost of... Cont’d
Costing: Mechanics
Step 1: Selected a specific objective
Step 2: Selected a required action
Step 3: Determined critical tasks
Step 4: Ascertained required inputs
Step 5: Determined associated costs
Step 6: Adjusted costs upwards, for:
» Inflation, by 10% p.a.
» Contingency, by 10% p.a.
Step 6: Validated costs
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2. …Experience Cont’d
Total cost estimated at US$ 4.9 billion, 2008/09 to
2010/11 FYs
NPoA was NOT resource-constrained
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2. Cost of... Cont’d
Costing: Basic References
BFP, 2008/09 – 2010/11 FYs
Inputs
PPDA Budget Guidelines, 2008/09 FY
Unit costs
www.michaelpageinternational.com
Consultancy rates
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2. …Experience Cont’d
NPoA
NDP
Thematic Paper on Governance
NDP
MTEF
Sector Budget Framework Papers
MTEF
Budget
Annual Budget Call Circulars
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2. …Experience Cont’d
Sources of Funds
Domestic:
National Treasury – tax and non-tax
MDAs - own receipts
LGs - own collections
External:
Development Partners
– Multi-lateral
– Bilateral
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2. …Experience Cont’d
Uses of Funds
Budgetary:
Subjected NPoA to national, sectoral and
sub-national prioritization
Provided for implementation of NPoA in
National Budget, within MTEF
Extra-budgetary:
Discretionary
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2. …Experience Cont’d
7.00
6.00
5.00
4.00
3.00
2.00
1.00
0.00
2008/09 FY
2009/10 FY
Approved Budget
2010/11 FY
Actual Spending
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2. …Experience Cont’d
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2. …Experience Cont’d
Disbursements
National Budget:
Annual and Quarterly Workplans
Annual and Quarterly Releases
Annual and Quarterly Progress Reports
Extra-budget:
Annual and Quarterly Workplans
Annual and Quarterly Requisitions
Annual and Quarterly Progress Reports
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2. …Experience Cont’d
Institutional Mechanism
MFPED
APRM National Focal Point:
Political oversight
Funding
MDAs, LGs and Private Sector
Implementation
Monitoring implementation
Reporting progress
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2. …Experience Cont’d
APRM-NGC:
Monitoring, at national level
Reporting, at national level
NPA, as APRM National Secretariat:
Support services
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2. …Experience Cont’d
Capacity
Institutional:
Equipment, systems and networks
Human:
Technical officers and experts
Financial:
Own and other funds
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2. …Experience Cont’d
Risks and Mitigation
Perceived Risks
Failure to mobilize adequate funds
Inability to build requisite capacity
Mitigation Measures
Prioritization of critical tasks
Performance Contracting
3. Challenges and Lessons
Key Challenges
Constrained resource envelope
assumed full
Partners; and
support
of
Development
Limited monitoring capacity
limited influence over resource allocation
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3. … Lessons Cont’d
Effort
Single account system
Bank of Uganda
MTEF
Multi-sectoral
Institution-based
Capacity-building and -development
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3. … Lessons Cont’d
Lessons
Initial conditions matter
budget basics enhance implementation of
MTEF
Strong case for a single budget agency
and for NDP to be co-ordinated there;
Alternatively,
clear
institutional
arrangements for managing integration
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3. … Lessons Cont’d
Giving priority to strategic phase of
budget
preparation
enhances
stakeholder engagement
Strategic management of policy and
planning process at sector level is key
SWGs have proven effective, facilitated by
PEAP and NDP
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4. Some Recommendations
1. Same macro-framework for MTEF and
Plan
2. MTEF process should cover all sectors
3. Budget comprehensiveness is key
4. Opening up the budget-making process
to stakeholders as part of the
development of the MTEF
5. Improved costing and target-setting to
facilitate Parliamentary engagement in
debate about the budget and the Plan
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5. Conclusion
MTEF process is key to effective
implementation of NPoA
MTEF must cover whole Government
Apply same macro-fiscal framework for
MTEF and Plan
Cost required inputs, for critical
activities.
Execute a comprehensive budget
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END
THANK YOU
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