Technology leapfrog in government transparency developing countries
Upcoming SlideShare
Loading in...5
×
 

Technology leapfrog in government transparency developing countries

on

  • 3,040 views

Describes how developing nation governments are leapfrogging developed nation governments in transparency. Example of budget transparency is given with screenshots from the beta Timor-Leste ...

Describes how developing nation governments are leapfrogging developed nation governments in transparency. Example of budget transparency is given with screenshots from the beta Timor-Leste transparency portal. Argument made for transparency to increase citizen and business confidence and kickstarting economic growth.

Statistics

Views

Total Views
3,040
Views on SlideShare
2,096
Embed Views
944

Actions

Likes
0
Downloads
27
Comments
0

4 Embeds 944

http://www.freebalance.com 938
http://translate.googleusercontent.com 3
http://paper.li 2
http://webcache.googleusercontent.com 1

Accessibility

Categories

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment
  • The digital world eliminates physical barriers and enables more efficient movement of goods. Globalization favours this efficient movement creating local and global competition. It also increases the information available to businesses, citizens and civil society. The hyper-competition thanks to globalization and digital technology means that businesses have choices. They seek out high growth but stable markets. This reality is driving government reform.
  • It doesn’t matter how well governments control the press or control the message. Technology enables citizen surveillance of government. These means millions of eyes trained on governments where mobile technology has become the game-changer. For example, texting was used in Sudan to reduce election fraud
  • The recent financial crisis has developed in what Mohamed El-Erian of PIMCO calls the “new normal”. One way that we know that the world is no longer developed country centric comes from the automobile industry – many established brands were acquired by (or had offers from) companies in BRIC countries.
  • The theory of technology leapfrog has been applied to Internet, mobile, e-business and e-government. The notion is that less developed countries often have less entrenched technology vendors and that some stages can be skipped – for example skipping wired Internet and moving rapidly to wireless. It enables countries to focus on what is important and learn from what works in other countries.
  • The Government of Thailand is attempting e-government technology leapfrog. Why would countries want to improve transparency?
  • Tim O’Reilly, who created the “Web 2.0” term, promotes the notion of “government as platform”. In addition to the benefit of transparency to improve governance, government data can lead to economic development. Governments around the world invest in infrastructure such as roads and airports as a foundation for business. This can be extended in the virtual world. Mr. O’Reilly makes a compelling argument of how technology brought into the public domain has created economic growth and innovation: global positioning and the Internet. There can be many ways in which data can generate economic growth. Resource companies can use the data to uncover opportunities. Demographic data can help companies plan stores or factories.
  • This begs an interesting question. Why would developed countries – with head starts – be ripe for leapfrogging?Monopolies and large telecommunications companies place pressure on governments to slow down the pace of change.Many government organizations receive revenue by selling data. Providing this data free reduces this revenue and there is no real connection with the downstream benefits of more tax revenue.Many countries are reluctant to use international standards.Developed country governments tend to focus on complexity – they seek best practices and rethink initiatives rather than publish data and learn.Of course, market integration in developed countries means that they are often under less perceived pressure from globalization, and are more focused on regional issues like the Euro crisis.
  • Our recent FreeBalance International Steering Committee survey demonstrated some leapfrog opportunities.
  • An example is budget transparency. Governments in developed countries have improved budget transparency,
  • With many producing reports in PDF format and a few providing interactive data. Developing country governments can leapfrog,
  • with interactive drill down into government data
  • with 10 years of budget execution data with drill down through the government chart of accounts
  • export to numerous machine readable formats, plus tracking the entire budget cycle: original budget, budget transfers, commitments, obligations and actuals
  • It’s no wonder that all FreeBalance international customers surveyed claim to be committed to public financial management and transparency and most are adopting international standards.
  • Standards enable more effective comparisons and generate confidence. There are additional opportunities for developing nation governments.
  • Developing nation governments can leapfrog by recognizing the power of social media rather than the traditional publish model – more current information, vetted by the community and enabling unexpected economic usages.
  • Which brings government from being out of network – or broadcasting
  • To in-network, or participating with citizens, civil society and businesses. This creates a network effect.
  • There are challenges. Developing nation governments need to build infrastructure. They often have to coordinate donors who require different methods of reporting, adding to “transaction costs”. Many governments are still concerned about hard ROI justifications. This is often impossible given the network effect where data from multiple sources are used to generate economic growth. And, governments need to be more collaborative in releasing data and getting feedback for improving data accessibility.

Technology leapfrog in government transparency developing countries Technology leapfrog in government transparency developing countries Presentation Transcript

  • Technology Leapfrog – Government Transparency
    FreeBalance International Steering Committee
    January 18, 2011
    Doug Hadden
    VP Products
  • Agenda
    Effects of Globalization
    Emerging Markets Growth
    Theory of Technology Leapfrog
    Government as “Platform”
    Inhibitors
    4 E-Government Transparency PFM Leapfrog Opportunities
    Challenges
  • Globalization
    Digital technology
    Efficient movement of goods
    Competition for markets, businesses
    Ever increasing information availability
    Driving reform
  • Citizens are Watching You
    21st Century – don’t worry about the *Press
    Technology in the hands of citizens
    Millions of untrained auditors
    Mobile phones game-changer
    * Lesson learned in Iran, China, Egypt, Tunisia
  • Globalization Extended
    1. Good
    Governance
    1. Good
    Governance
    Governments
    Governments
    2. ICT
    Modernization
    2. ICT
    Modernization
    External Forces
    External Forces
    Globalization
    Globalization
    Internal Forces
    Internal Forces
    Increasing Citizen Expectations
    • Transparency
    • Improve Citizen Services
    • Health, education, infrastructure, prosperity
    Improve Development Outcomes
    • Donor Funding
    • Benchmarks and Indicators
    • Stability and Sustainability
    Global Competition
    • Business Friendliness
    • Corruption Index
    • Infrastructure
  • Emerging Markets – High GrowthContribution to World Growth by Region
    2007
    2008
    80
    70
    60
    50
    40
    30
    • Canada
    • United States
    20
    10
    0
    USA
    Developed
    Developed
    Emerging
    Other
    Europe
    Asia
    Economies
    Source: Mirae Asset
  • Emerging Markets – High Growth GDP Growth, % Share of World Total*
    90
    80
    70
    60
    Developed
    50
    Economies
    Emerging
    40
    Economies
    30
    20
    Emerging Markets responsible for most of the global growth
    10
    0
    1984
    1989
    1994
    1999
    2004
    2009
    Sources: IMF, The Economist
    * At purchasing power parity
  • Emerging Markets – High GrowthShare of Global GDP*
    Emerging Markets responsible for most of the global growth
    70
    60
    50
    40
    Emerging
    Economies
    30
    Developed
    Economies
    20
    10
    0
    1913
    1950
    2005
    2025
    * At purchasing power parity
    Sources: IMF, The Economist
  • Emerging Markets – High Growth “New Normal”
  • Theory of Leapfrog
    Legacy technology entrenched in developed countries
    Bi-pass stages in development
    Focus on what is important
    Learn from other countries
  • Example: Thailand
  • 3
    AUSTRALIA
    HIGH
    2
    1
    Normalized Control of Corruption Index
    PAPUA NEW GUINEA
    0
    UGANDA
    -1
    Higher the control of corruption = higher the country GDP Per Capita
    -2
    204 Countries
    LOW
    -3
    GDP Per Capita (PPP, logs)
    Benefits of TransparencyControl of Corruption and GDP*
    Source: The World Bank
    * At purchasing power parity
  • 3
    HIGH
    2
    AUSTRALIA
    1
    PAPUA NEW GUINEA
    Normalized Voice and Accountability Index
    0
    UGANDA
    -1
    Higher the government accountability = higher the country GDP Per Capita
    -2
    207 Countries
    LOW
    Source: The World Bank
    .
    -3
    GDP Per Capita (PPP, logs)
    Benefits of Transparency Voice and Accountability and GDP*
    * At purchasing power parity
  • 3
    HIGH
    AUSTRALIA
    2
    1
    Normalized Government Effectiveness Index
    UGANDA
    0
    PAPUA NEW GUINEA
    -1
    Higher the government effectiveness = higher the country GDP Per Capita
    -2
    209 Countries
    LOW
    Source: The World Bank
    -3
    GDP Per Capita (PPP, logs)
    Benefits of Transparency Government Effectiveness and GDP*
    * At purchasing power parity
  • Government as Platform
    Data can lead to economic development
    Infrastructure
    GPS, Internet
    How?
    Resources information
    Demographics
  • Why would more developed countries get leapfrogged?
    Business Pressure
    Telecommunications and other monopolies
    Budget Pressure
    Affect revenue from selling information
    Sovereignty Pressure
    Reluctance to give up national standards
    Best Practice Pressure
    Focus on complexity
    Economic Pressure
    Less pressure from globalization
  • E-Government PFM Transparency Leapfrog Opportunities
  • Budget Transparency
    Audited books pdf
    PDF on-line
    Budget book printed
    Budget speech pre-released to press
    Budget speech in official gazette
    Budget presentation in legislature
  • Budget Transparency con’t
    ….
    Budget data in XBRL
    Participatory budgeting
    Interactive budget execution data
    Quarterly audited reports PDF
    Audit findings PDF
  • beta version of Government of Timor-Leste transparency portal
    subscribe
    drill down
    articles
  • Expenditures, Transparency Portal
    10 years of data
    drill through the chart of accounts
  • Expenditures, Transparency Portal
    export to xls, doc, pdf, html, xml
    track commitments
  • FreeBalance Survey
  • E-Government PFM Leapfrog Opportunities
    Support for international standards
    GFS/COFOG/IPSAS
    XBRL & IATI
    M-Government financial services
    Freedom of Information
  • Models of Government Data
    Publish Model
    You know what it is for and how it will be used
    Document oriented
    Vetted, edited, approved
    Old – previously owned information
    No access to underlying data
    Social Media
    You don’t know how it will be used
    Machine readable
    Community vetted
    Useful and current
    Full access to underlying data *
  • Out of Network
  • Out of Network vs. In Network
  • Challenges
    Infrastructure
    Donor coordination
    “Return on Investment”
    Collaborative culture
  • Thank You