The document discusses Citizens' Guides to the Budget (CGB) which aim to increase fiscal transparency and public participation in budgeting. CGBs typically explain annual budget proposals and the economic context in a clear, non-technical way. They can strengthen accountability, buy-in for policies, and accessibility of fiscal information. The document outlines recommended contents of a CGB, including discussions of the economic outlook, spending and revenue plans, fiscal risks, and how the budget supports government objectives. It emphasizes presenting information in an engaging format with charts and making CGBs widely available.
The four dimensions of public financial managementicgfmconference
In two relatively short articles, Michael Parry first proposes a definition of the modified cash basis of accounting and then describes the four dimensions of public financial management. We welcome this approach of relatively short articles addressing key issues in governmental financial management and would encourage other authors to follow Michael’s example in future issues.
This presentation was made by Mutita Somana, Thailand, at the 14th OECD-Asian Senior Budget Officials Meeting held in Bangkok, Thailand, on 13-14 December 2018
The four dimensions of public financial managementicgfmconference
In two relatively short articles, Michael Parry first proposes a definition of the modified cash basis of accounting and then describes the four dimensions of public financial management. We welcome this approach of relatively short articles addressing key issues in governmental financial management and would encourage other authors to follow Michael’s example in future issues.
This presentation was made by Mutita Somana, Thailand, at the 14th OECD-Asian Senior Budget Officials Meeting held in Bangkok, Thailand, on 13-14 December 2018
In modern industrial economies, the budget is the key instrument for the execution of government economic policies. A government budget is often passed by the legislature, & approved by the chief executive-or president. For example, only certain types of revenue may be imposed & collected. Property tax is frequently the basis for municipal & county revenues, while sales tax &/or income tax are the basis for state revenues, & income tax & corporate tax are the basis for national revenues.
Fiscal transparency code and fiscal transparency assessment - Johann Seiwald,...OECD Governance
This presentation was made by Johann Seiwald, IMF, at the 12th Annual Meeting of OECD-CESEE Senior Budget Officials held in Ljubljana, Slovenia, on 28-29 June 2016
Etude PwC sur les pratiques comptables des Etats (2013)PwC France
http://pwc.to/13zcNvl
Face au contexte de crise économique dans les pays industrialisés et à la nécessité d’accompagner le développement économique des pays émergents, la maîtrise des dépenses et des recettes publiques devient un enjeu majeur pour les Etats partout dans le monde. L’accès au financement (et la compétition entre pays) est au cœur de l’actualité. Pour répondre à ces évolutions, les gouvernements prennent de plus en plus de mesures pour améliorer la comptabilité de l’Etat et renforcer son niveau de transparence.
UK government is in the middle of a decade-long recalibration as the public sector aligns to a lower level of public spending. While the first half of this decade has been characterised by austerity and cost reduction, the next half should focus on aspiration and redesign as public sector leaders across the UK shape a more focused state.
The objective of these Principles is to draw together the lessons of a decade and more of work by the OECD Working Party of Senior Budget Officials (SBO) and its associated Networks, along with the contributions and insights from other areas of the OECD and of the international budgeting community more generally. The Principles provide a concise overview of good practices across the full spectrum of budget activity, taking account in particular of the lessons of the recent economic crisis, and aim to give practical guidance for designing, implementing and improving budget systems to meet the challenges of the future. The principles are being considered as a draft Recommendation of the OECD Council, underpinning their importance to good public governance and inclusive growth.
For further information, please visit: www.oecd.org/governance/principles-budgetary-governance.htm
1. “How a ‘Citizens’ Guide to the Budget’ can strengthen fiscal transparency and increase public participation” Jon Shields International Monetary Fund ICGFM Conference Florida May 18, 2011
19. IMF Code of Good Practices in Fiscal Transparency – Four Pillars Clarity of roles and responsibilities: Structure and functions of government, responsibilities within government, relations between government and the rest of the economy Open budget processes: Budget preparation, execution, and monitoring; timetable for legislature; realism of estimates and medium-term framework; fiscal sustainability. Public availability of information:Specification of the coverage, detail, and timing of fiscal information to be provided to the public. Assurance of integrity: Quality of fiscal data, internal oversight, and external scrutiny.
20. FT Code: (1) Clarity of Roles and Responsibilities: 1.1Scope of government. The government sector should be distinguished from the rest of the public sector and from the rest of the economy, and policy and management roles within the public sector should be clear and publicly disclosed. Show all ramifications of central government; QFAs, EBFs, local government relations 1.2 Framework for fiscal management. There should be a clear and open legal, regulatory, and administrative framework for fiscal management.
21. FT Code: (2) Open Budget Preparation, Execution, Monitoring and Reporting 2.1 Predictable and technically sound budget preparation. Budget preparation should follow an established timetable and be guided by well-defined macroeconomic and fiscal policy objectives. Realistic annual budget set in comprehensive economic policy framework, with measures and sensitivities assessed. 2.2 Clear procedures. There should be clear procedures for budget execution, monitoring, and reporting.
22. FT Code: (3) Public Availability of Information 3.1 Comprehensive information. The public should be provided with comprehensive information on past, current, and projected fiscal activity and on major fiscal risks. Full disclosure, as for legislature, coverage, comparability, significance, long-term outlook. 3.2 Relevance. Fiscal information should be presented in a way that facilitates policy analysis and promotes accountability. Citizens’ Guide, minimum aggregate data requirements, results 3.3. Timeliness. A commitment should be made to the timely publication of fiscal information.
23. FT Code: (4) Assurances of Integrity 4.1 Quality. Fiscal data should meet accepted data quality standards. 4.2 Oversight. Fiscal activities should be subject to effective internal oversight and safeguards. 4.3 Auditing. Fiscal information should be externally scrutinized.
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25. Relative emphasis of the topics, and the level of detail, should reflect country circumstances and capacity,particularly:
28. Describe the budget process, including the roles of the executive branch, in preparing the budget and of the legislature in authorising government taxation, borrowing, and expenditure.
39. A Citizen’s Guide – Where the money will come from Breakdown of the main revenue sources, separately identifying domestic revenues (by tax) and external grants. Intended financing sources in the event of a projected deficit (use of domestic assets, domestic markets, international markets, or concessional assistance) Any implications for economic stability or fiscal sustainability.
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41. Evaluate expected out-turn for the current year in comparison to its forecast in the previous budget.
52. Describe service delivery objectives and social impacts of spending programmes, including available information on performance and evaluations.
53. Suggested chapter outline of a citizens’ guide to the budget Introduction: Place of the annual budget in public finance legislation; description of the coverage of the budget and the budget process, including opportunities for public participation. The Economic Outlook and Government Objectives: Macroeconomic forecasts, assumptions and sensitivity analysis; national development strategy; medium-term fiscal policy objectives. The Government’s Accounts and Budget Prospects: Aggregate revenues, expenditures, and the fiscal balance over medium-term; broad allocation of spending and sources of revenue, comparative figures for previous year; public debt, fiscal risks, and the sustainability of current policies and trends. New Measures: Summary of the main budget initiatives; estimates of their fiscal effect and impacts on key policy groups; contributions to meeting the government’s stated policy objectives. Improving Delivery of Services: A brief indication of what the government is doing to improve service delivery
71. How easily can the general public find out objective information about the government’s annual budget – objectives and data? Easily Through selected media Only if they are already well informed With great difficulty
72. Have you ever seen a ‘Citizen’s Guide to the Budget’? Yes, for my country Yes, for any country No