Transcript of "Budget Tracking IsodecLearningSessionICCO15okt"
THE ISODEC ECONOMIC LITERACY SERIES ISODEC EXPERIENCES ON ENGAGING ON SOCIAL ACCOUNTABILITY IN GHANA AND BEYOND OXFAM-NOVIB workshop (Bishop Akolgo-ISODEC-Ghana)
WHAT I WILL TALK ABOUT My presentation will look at: 1.Who ISODEC is, key advocacy goal 2.Our engagement on budgets in Ghana and beyond 3.How we do it 4.Results of efforts so far 5.Lessons learnt and challenges 6.Future Perspectives
KEY POLICY AND ADVOCACY GOAL <ul><li>“ SECURE POLICY SPACE FOR CITIZENS TO ENGAGE THEIR GOVERNMENTS TO CONSTRUCT AUTONOMOUS DEVELOPMENT OF THEIR COUNTRIES INCLUDING SECURING THEIR RESOURCE BASE AND CHERISED VALUES” IN THE SUB-REGION </li></ul>
WHAT IS SOCIAL ACCOUNTABILITY? <ul><li>The right to Accountability links civil and political rights to economic, social, and cultural ones. Citizens must have the right to call service providers to account. </li></ul><ul><li>Like participation and service quality, a needs-based approach sees accountability as a tool to improve efficiency, and therefore an option. </li></ul><ul><li>A rights-based approach makes accountability indispensable as the key mechanism for upholding people’s rights and the means by which they can be properly exercised. </li></ul>
FIVE MAIN PLATEFORMS/FORUMS <ul><li>PUBLIC DEBATE; </li></ul><ul><li>PUBLIC DISCUSSIONs; </li></ul><ul><li>PUBLIC ARGUMENT; </li></ul><ul><li>TRAINING WORKSHOPS, AND </li></ul><ul><li>RESEARCH/ANALYSIS/modelling </li></ul>
WHAT WE HAVE DONE SO FAR <ul><li>Popularised Policy and Budgets Advocacy in Ghana and the West African sub-region </li></ul><ul><li>Trained community activists to monitor extractives and budgets in Ghana, Nigeria and ongoing in Sierra Leone </li></ul><ul><li>Produced training modules, along with ActionAid and NCAS of India in budgets, Rights-based Advocacy and Governance </li></ul><ul><li>Production and publication of an annual budget analysis </li></ul><ul><li>Prepared series of briefing papers on fiscal policy and budgets to Parliament and executive </li></ul>
1.PROCESS <ul><li>Input into budget formulation annually </li></ul><ul><li>Pre-budget statement </li></ul><ul><li>Post budget reaction </li></ul><ul><li>Regional forums and letter to G’ment </li></ul><ul><li>Detailed budget analysis and publication </li></ul><ul><li>Policy Briefs to Parliament, media and CSOs </li></ul><ul><li>Training and support to stakeholders </li></ul><ul><li>Periodic budget tracking, esp social sector </li></ul>
TOOLS AND APPROACHES <ul><li>Annual Budget Forums (all ten regions of Ghana) </li></ul><ul><li>Annual budget Analysis and publications </li></ul><ul><li>Budget tracking (Gender and Children) </li></ul><ul><li>Budget Tracking (services </li></ul><ul><li>Budget Tacking (education, health, water) </li></ul><ul><li>Public Expenditure tracking Survey (PETS) </li></ul><ul><li>Community Score Cards </li></ul><ul><li>Tax and Expenditure Incidence Analysis </li></ul><ul><li>Briefing and position papers </li></ul>
KEY FINDINGS OF TRACKING <ul><li>Poor state of infrastructure affect transactions of the poor </li></ul><ul><li>Two-tier social system: if you have money, buy private health and education, if no money, stalk with public system </li></ul><ul><li>70-80% of health and education inputs do not reach facilities </li></ul><ul><li>The farther away a schools is from Accra, the less inputs it gets, the nearer, the more resources </li></ul><ul><li>The more “ connections ” the school has, the more resources it gets </li></ul><ul><li>Horizontal inequality of access to services and political authority:-north-south, rural-urban </li></ul><ul><li>Weak legislature given majority of ruling party </li></ul>
2.RESULTS OF OUR EFFORTS <ul><li>CSOs and public input into budget formulation </li></ul><ul><li>CSO interests in budget and policy work in Ghana and other west African countries </li></ul><ul><li>Widely consulted on budgets and policy issues </li></ul><ul><li>Participation in Radio, TV and other media appearances on fiscal policy and budgets </li></ul><ul><li>Consulted by government, bi-lateral and multi-lateral institutions </li></ul>
3.LESSONS LEARNT <ul><li>Need to combine service delivery with policy and people-centred advocacy backed by credible research/analysis </li></ul><ul><li>Policy advocacy is ineffective without the budget </li></ul><ul><li>But budget engagement is ineffective without the macroeconomic framework that sets the limits; </li></ul><ul><li>But macroeconomics is not enough without ways to increase the national purse like Tax and extractives justice </li></ul><ul><li>No tax justice without tracking extractive resources from companies and government to service delivery </li></ul><ul><li>Need to mobilise and organise critical mass to build and sustain pressure on policy makers for change </li></ul><ul><li>Need to make specific demands for change on the system </li></ul>
4.CHALLENGES-BUDGETS <ul><li>How to facilitate the accountability of government officials to elected reps and elected reps to their constituencies </li></ul><ul><li>How to build and retain research and analysis capacity for evidence-based advocacy </li></ul><ul><li>Linking research/analysis with human rights, academia and grassroots for critical mass </li></ul><ul><li>Attracting and retaining qualified staff </li></ul><ul><li>How to empower the legesilature </li></ul>
7.FUTURE PERSPECTIVES <ul><li>Build a critical mass of activists in W.Africa </li></ul><ul><li>Extend work in Ghana, Sierra Leone, Nigeria and Burkina Faso to Mali, Senegal and Niger </li></ul><ul><li>Conduct a Trainer of trainer for budget, Tax and extractives activists in all the seven countries </li></ul><ul><li>Complete the DEEP macroeconomic model project </li></ul><ul><li>Build simple to use macroeconomic models on and for monitoring revenues from extractives Project for each country/local authority </li></ul><ul><li>Expand/consolidate these efforts into a formal Fiscal Policy, Research and Training institute </li></ul>
The Budget Process The process begins in May and ends in November each year. Step I- Macro-Economic Framework This involves the development of a macroeconomic framework which forecasts aggregates like GDP, Domestic Revenue and the availability of donor resources. It involves the Minister of State for Planning, the two Deputy Ministers of Finance, the Chief Director, the Director of Budget, the Research Division, Aid & Debt Management Unit (ADMU) (all of MFEP) Ghana Statistical Services, BoG, NDPC and the Revenue Agencies. Step II - Policy Review At the same time as the macro framework is being prepared, MDAs undertake a review of their policies, objectives, outputs and outcomes in order to estimate their broad expenditure requirements. MDA policy review reports are submitted to MFEP and constitute the information base for the next step which is the cross-sectoral meetings. Step III - Cross-Sectoral Meetings Here, clusters of related MDAs are brought together to discuss their policy review reports and identify areas of overlap and coordination among themselves. For each cluster, the Chief Director of an identified lead ministry or his representative chairs the meetings and is responsible for the production and presentation of the report to MFEP. This step takes place early in July. MFEP is represented the by unit responsible for MTEF. Step IV - Policy Hearings In the latter part of July, policy hearings are held with MDA sector groups with a Deputy Minister of MFEP in the chair. The MDA policies and broad expenditure requirements are discussed in the light of the reports from the cross-sectoral meetings. Our information revealed that this stage is currently not being adhered to, having been squeezed out recently by time pressures and resulting in a loss of inter-MDA co-ordination. It may be restored in future. Step V - Ceilings The policy hearing reports feed into the determination of the draft MDA expenditure ceilings allocation in terms of GoG resources, IGF and donor inflow. The approved ceilings are conveyed to MDAs as part of the guidelines for the preparation of the budget. The first year ceiling is firm while the two outer years are indicative only. This activity takes place in July/August. Step VI - Review of MDA Strategic Plans and Budget At this stage, MDAs review their strategic plans including outcomes and objectives and cost including critical activities. Step VII - Prioritization and Presentation of MDA Budget to MFEP MDAs prioritize their activities and prepare their estimates to fit into the ceilings for presentation to MFEP in September. Step VIII - Budget Hearings In October, MFEP conducts budget hearings with each MDA to ensure that their estimates are within the ceilings and are consistent with their strategic plans. Step IX - Finalization and Approval of Estimates MFEP submits MDA estimates to Cabinet and Parliament for approval. The deadline for submission to Parliament is 30 th November. Any consultations with non-government parties occurs outside the above formal processes. Consultation could occur at the Step IV stage but this is currently in abeyance. it is likely to become an established practice.
Constitutional Role of Parliament <ul><li>Determine the strategic direction of policy (passes legislation) </li></ul><ul><li>Oversight over the executive in the implementation of that policy (holds the executive accountable for delivery on policy) </li></ul><ul><li>Parliament approves the budget </li></ul><ul><li>Parliament holds the executive accountable for the use of resources </li></ul>
LEGISLATIVE POWERS REPORTING POWERS <ul><li>EXPENDITURE BILLS </li></ul><ul><li>REVENUE BILLS </li></ul><ul><li>Parliament can pose questions to departments </li></ul><ul><li>Report of the Auditor General </li></ul><ul><li>LEGISLATION THAT CONTROLS BUDGET FORMATS AND PROCESSES </li></ul><ul><li>LEGISLATION THAT CONTROLS BUDGET EXECUTION through the assignment of accountability </li></ul><ul><li>Parliament can ask questions about the purpose of allocations </li></ul>Drafting Legislative Stage Budget Execution Audit Stage Strategic direction of policy Oversight and accountability
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