This 3-sentence summary provides the key details about an EU-funded project to strengthen public finance management systems for local governments in Ukraine:
The project aims to improve budgeting, accounting, and financial oversight at the regional and local levels through 4 components over 32 months with a budget of 3.1 million euros; it seeks to build capacity for budget planning, debt management, financial reporting, and internal auditing among various government agencies and local authorities; and the consortium of international organizations will provide technical assistance to address challenges like growing demand for guidance from local governments and reforms to information technology systems.
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2024: The FAR - Federal Acquisition Regulations, Part 36
EU for Stronger Public Finance Systems of Local Governments
1. “EU for Stronger Public Finance Systems
of Local Governments”
Dr. Boris Petkov, Team Leader
Kyiv, 12th July 2018
This project is funded by
The European Union
2. Objectives
• “A capable, efficient, transparent and accountable
local finance management system focused on
attaining sustainable economic and development
goals, in line with government commitment under the
EU-Ukraine Association Agreement and in line with
the Ukraine’s Public Finance Management Strategy
of 2017-21.”
2
3. Project Tasks
Public Finance Management System
Strengthening at the regional and local level
The Project includes 4 components:
3
4. Project’s Design
• Component 1 – Improving local governments'
budgeting and accounting process
1.1 Modernisation of budget planning and
budget execution systems
1.2 Modernization of the accounting system in
the public sector
4
5. Project’s Design
• Component 2: Development of a comprehensive
information and analytical system for planning and
implementation of local budgets (based on results and
in coordination with the World Bank and EU program
“WB-EU Trust Fund”)
• Component 3: Stronger supervision of local debt
management
• Component 4: Effective financial control and external
audit at the local level
5
6. The Project
• PROJECT DURATION: 32 months from December 2017 to July
2020
• PROJECT BUDGET: Approximately 3.1 million euros (smallest
among related projects)
• Total number of working days 10680
• For project implementation, emphasis is placed on hiring
Ukrainian experts, to build ongoing capacity and to provide for
continuity during and between KE missions
6
7. THE CONSORTIUM: Hulla & Co. Human Dynamics,
BDO Stoy Hayward LLP, and UniSystems SA
Hulla & Co. Human Dynamics (Human Dynamics):
is a leading provider of premium public sector consulting
services;
specialises in managing and implementing EuropeAid technical
assistance in various sectors, including in the field of PFM and
the broader context of decentralisation;
is a specialised public accounting, audit, tax and advisory
firm with over 68,000 staff operating from 1,400 offices
across 158 countries;
has managed the implementation of numerous complex
EuropeAid technical assistance projects in Ukraine in the recent
years.
7
8. Addressing Institutional and
Technical Challenges (1)
• Issue 1:Ukraine’s local governments have growing
demand for advice from MOF
• Issue 2: Planned IT system reforms and improvements
must be feasible, implementable, and sustainable
• Issue 3: The MOF must have greater capacity to provide
guidance and advise to local governments as well as
exercise fiscal surveillance, and local government must
have greater capacity to manage their borrowing
8
9. Addressing Institutional and Technical
Challenges (2)
• Issue 4: Building capacity for local internal control
and audit, and establishing methods for effective
oversight of local budget preparation
• Issue 5: Building the capacities of central and local
finance department staff
• Issue 6: Improving the quality of investment
budgeting by local governments
9
10. Target groups
• Ministry of Finance
• Ministry of Regional Development, Construction,
Housing and Communal Services
• The State Audit Service of Ukraine
• Accounting Chamber of Ukraine
• Local governments
• All-Ukrainian Associations of local self-government
bodies
10