Pakistan’s federal budget summary 2014 15 (Macro-Economics,Iqra University)Mohammad Yaseen
The Report contains
What is a Budget, Importance of Budget, Federal Budget Of Pakistan 2014-15, Review Of budget 2014-15, Budget At a Glance, Budget Sectors, Budget Highlights, Positive points Of budget, Negative points of Budget and Conclusion
Arsalan Yaqoob is a a corporate finance professional by profession and also passionate about transforming organisations and lives; he is dedicated, ambitious and goal-driven trainer with 8 years’ progressive experience in professional training of Business Analysis subjects (E pillars) of CIMA, BMS of ICAP, Strategic Business Leader (SBL) of ACCA.
.........
Almighty ALLAH SWT has equipped him with professional certifications and academic qualification, in professional he is Professional Accounting Affiliate (PAA-ICAP), ACCA Member, PIPFA Member, and CIA (USA) Member and in academic he has completed post-graduation / 16 years of education from Karachi University. His accountancy career was started with big audit firm, first move to industry was with TRG (A high-tech US Based MNC conglomerate) group Companies (namely Digital Globe Services – DGS Group) listed on London Stock Exchange (AIM), at present he is working as a senior finance professional at leading organization in healthcare industry (Services & Pharma Manufacturing, both).
......
As a true transformational trainer his journey has been like a roller coaster from ICAP Inter-firm presentation skills competition to teaching ACCA Paper F4 at Hot FM105; he champed Chartered Accountants’ Students Association Conference 2012 as a lead presenter on Topic “Hope sustains life” – As a professional trainer he is loaded to connect Academia with Corporate Industry, his next big thing is to progress with his methodology and sharing the same in books and videos.
Budgeting in Kazakhstan - Vagiz KHISMATULIN, KazakhstanOECD Governance
This presentation was made by Vagiz KHISMATULIN, Ministry of National Economy of the Republic of Kazakhstan, at the 14th CESEE SBO meeting held in Zagreb, Croatia, on 24-25 May 2018.
Pakistan’s federal budget summary 2014 15 (Macro-Economics,Iqra University)Mohammad Yaseen
The Report contains
What is a Budget, Importance of Budget, Federal Budget Of Pakistan 2014-15, Review Of budget 2014-15, Budget At a Glance, Budget Sectors, Budget Highlights, Positive points Of budget, Negative points of Budget and Conclusion
Arsalan Yaqoob is a a corporate finance professional by profession and also passionate about transforming organisations and lives; he is dedicated, ambitious and goal-driven trainer with 8 years’ progressive experience in professional training of Business Analysis subjects (E pillars) of CIMA, BMS of ICAP, Strategic Business Leader (SBL) of ACCA.
.........
Almighty ALLAH SWT has equipped him with professional certifications and academic qualification, in professional he is Professional Accounting Affiliate (PAA-ICAP), ACCA Member, PIPFA Member, and CIA (USA) Member and in academic he has completed post-graduation / 16 years of education from Karachi University. His accountancy career was started with big audit firm, first move to industry was with TRG (A high-tech US Based MNC conglomerate) group Companies (namely Digital Globe Services – DGS Group) listed on London Stock Exchange (AIM), at present he is working as a senior finance professional at leading organization in healthcare industry (Services & Pharma Manufacturing, both).
......
As a true transformational trainer his journey has been like a roller coaster from ICAP Inter-firm presentation skills competition to teaching ACCA Paper F4 at Hot FM105; he champed Chartered Accountants’ Students Association Conference 2012 as a lead presenter on Topic “Hope sustains life” – As a professional trainer he is loaded to connect Academia with Corporate Industry, his next big thing is to progress with his methodology and sharing the same in books and videos.
Budgeting in Kazakhstan - Vagiz KHISMATULIN, KazakhstanOECD Governance
This presentation was made by Vagiz KHISMATULIN, Ministry of National Economy of the Republic of Kazakhstan, at the 14th CESEE SBO meeting held in Zagreb, Croatia, on 24-25 May 2018.
Ekiti State of Nigeria Report of the Auditor-General for Local Governments on the Consolidated Accounts of the Local Governments of Ekiti State, Nigeria for the year ended on the 31st of December, 2016.
State Finance Minister Haseeb Drabu presented his maiden state budget on March 22, 2015 for Jammu and Kashmir. It is also the first budget led by the BJP-PDP coalition government. The budget ensured economic self-reliance and fiscal autonomy.
The total expenditure budgeted is 46,473 crore Rupees out of which 35,227 crore Rupees are secured for current or revenue expenditure and remaining is for building assets.
The conflicting behavior of the government institutions in the arrangement of...QUESTJOURNAL
ABSTRACT : This study aims to explain the behavior of the conflict between the executive and legislative institution at the stage of preparation of Public Policy Budget (KUA), the stage of preparation of Priorities and Budget Ceiling While (PPAS) and the stage of discussion of the Draft Budget and Expenditure (budgets) Government as well as to analyze models of conflict resolution between the executive and the legislature in the arrangement of local income and budget expenditures (RAPBD) Government. Informants namely the executive, in this case the Local Government and legislature are members of the Assembly of Regency or Municipality (DPRD). The general inductive approach was used to analyze the qualitative data through data reduction, presentation and verification. The study found that there was disagreement and debate between the executive and the legislature that cause conflict behavior in determining the theme of development, development priorities, plans macroeconomic targets and strategies to achieve revenue, financing and expenditures at the stage of preparation of KUA Government. There is disagreement in the determination of the Own-Source Revenue plan (PAD), determination of financing, income and expenditure, the determination of regional government affairs, prioritization of programs and activities and the determination of employee expenses, interest, grants, social assistance and expenditure unexpected cause behavioral conflict between the executive and legislative determination PPAS Government. There is a debate that raises conflict behavior between the executive and legislature in the Plenary Session, Joint Meeting, RAPBD Evaluation Meeting, the Plenary Session of Approval and Evaluation Meeting of Governors discussed the draft budget of the Government.
OECD, 10th Meeting of CESEE Senior Budget Officials - Kanat Asangulov, Kyrgyz...OECD Governance
This presentation by Kanat Asangulov, Kyrgyz Republic, was made at the 10th Meeting of CESEE Senior Budget Officials held in Den Haag on 26-27 June 2014. Find more information at http://www.oecd.org/gov/budgeting/10thannualmeetingofseniorbudgetofficialsfromcentraleasternandsoutheasterneuropeanceseecountries.htm
Ekiti State of Nigeria Report of the Auditor-General for Local Governments on the Consolidated Accounts of the Local Governments of Ekiti State, Nigeria for the year ended on the 31st of December, 2016.
State Finance Minister Haseeb Drabu presented his maiden state budget on March 22, 2015 for Jammu and Kashmir. It is also the first budget led by the BJP-PDP coalition government. The budget ensured economic self-reliance and fiscal autonomy.
The total expenditure budgeted is 46,473 crore Rupees out of which 35,227 crore Rupees are secured for current or revenue expenditure and remaining is for building assets.
The conflicting behavior of the government institutions in the arrangement of...QUESTJOURNAL
ABSTRACT : This study aims to explain the behavior of the conflict between the executive and legislative institution at the stage of preparation of Public Policy Budget (KUA), the stage of preparation of Priorities and Budget Ceiling While (PPAS) and the stage of discussion of the Draft Budget and Expenditure (budgets) Government as well as to analyze models of conflict resolution between the executive and the legislature in the arrangement of local income and budget expenditures (RAPBD) Government. Informants namely the executive, in this case the Local Government and legislature are members of the Assembly of Regency or Municipality (DPRD). The general inductive approach was used to analyze the qualitative data through data reduction, presentation and verification. The study found that there was disagreement and debate between the executive and the legislature that cause conflict behavior in determining the theme of development, development priorities, plans macroeconomic targets and strategies to achieve revenue, financing and expenditures at the stage of preparation of KUA Government. There is disagreement in the determination of the Own-Source Revenue plan (PAD), determination of financing, income and expenditure, the determination of regional government affairs, prioritization of programs and activities and the determination of employee expenses, interest, grants, social assistance and expenditure unexpected cause behavioral conflict between the executive and legislative determination PPAS Government. There is a debate that raises conflict behavior between the executive and legislature in the Plenary Session, Joint Meeting, RAPBD Evaluation Meeting, the Plenary Session of Approval and Evaluation Meeting of Governors discussed the draft budget of the Government.
OECD, 10th Meeting of CESEE Senior Budget Officials - Kanat Asangulov, Kyrgyz...OECD Governance
This presentation by Kanat Asangulov, Kyrgyz Republic, was made at the 10th Meeting of CESEE Senior Budget Officials held in Den Haag on 26-27 June 2014. Find more information at http://www.oecd.org/gov/budgeting/10thannualmeetingofseniorbudgetofficialsfromcentraleasternandsoutheasterneuropeanceseecountries.htm
Masukan ict watch pd FGD Tayangan bermuatan SARA dan Terorisme, 21 september ...ICT Watch
Menyikapi perkembangan terkini terkait sebagaimana didiskusikan pada FGD yang diselenggarakan Kominfo tentang pembahasan tayangan video bermuatan SARA dan Terorisme, ICT Watch memberikan masukan resmi secara tertulis, sebagaimana yang bisa dibaca pada file ini.
Indonesia Netizen Facts (July - September 2016)ICT Watch
Indonesia Netizen Facts (July - September 2016). For Bahasa Indonesia, read here http://www.slideshare.net/internetsehat/netizen-indonesia-kini-juli-september2016
Carilah data-data dari penelitian (skripsi, tesis, dan lain-lain), tunjukkan hipotesisnya dan taraf ujinya. Kemudian lakukan pengujian data-data tersebut dengan analysis of variance (ANOVA) dengan software statistika dan berikan kesimpulan dari hasil pengujian yang dilakukan.
Alternative budget priorities elgeyo marakwet county, 2015-2016Timothy Kiprono
Our analysis of Elgeyo Marakwet County reveals that, allocation from highest to lowest per sector is as follows;
1. Health services sector has been allocated 27.2% (KES 895.2 million) of total budget.
2. Public administration sector has been allocated 25.4% (KES 838 million) of the total budget.
3. Agriculture, Rural Development, General Economic, commercial and labor affairs sector has been allocated 15.5% (KES 509 million) of the total budget.
4. Energy & Water, Infrastructure and ICT and E-government sector has been allocated 19% (KES 627.6 million) of the total budget.
5. Education, Social protection, Culture and recreation sector has been allocated 12.7% (KES 417.6 million) of the total budget.
Could you have prioritized differently? Read our proposed sector estimates for 2015/2016.
Profile of Bicol Sucs: Basis for Policy RecommendationIJRTEMJOURNAL
This descriptive research is all about the profile of SUCs in Bicol Region, Philippines in terms
of budget, program offerings, enrolment, and faculty and non-teaching personnel. The data were sourced from
the 2016 budget preparation for SUCs in Region V through documentary analysis. Said document was utilized
and analyzed vis-à-vis compared to each SUC operating in Bicol Region for the purpose of improving its
mandate and service delivery towards providing quality education for Bicolanos. Results of analysis revealed
that the national government increased the capital investment to Bicol SUCs. There are nine SUCs in Region
V composed of four state universities and five state colleges. These SUCs have varying amounts of budget
which offer 293 curricular programs, 89 programs in the graduate school and 204 programs in the
undergraduate and accepted a total of 75,257 enrollees for SY 2016-2017. The Bicol SUCs are embarking on
3,201 faculty and personnel to deliver the needed quality service required to answer the demand of the labor
market. With these findings, the study recommends that existing policies of the SUCs be made common so that
quality output would become a standard mantra towards improving quality and excellence.
Budget Allocation System of Regional Government Authority (Case Study at Sela...iosrjce
One important aspect of governance and development is a financial management system as a
realization of the budget policy, which providing the spirit of efficiency and effectiveness of budget,
transparency and public accountability, sense of justice, as well as the achievement optimally. However, the
budget allocation has not demonstrated a healthy balance between the central and local government budget, so
it causing vertical gap that greatly affect to the performance of the overall development. Along with regional
autonomy, the spirit of decentralization, democratization, transparency and accountability that characterizes
governance implementation process, particularly in the process of management policy of regional budget
allocation, should be a common concern in the management of the budget allocation in Selayar Regency by
considering the principle of fairness toward the priority programs and the fulfillment of a wider public
participation
Analysis of Budget Realization to Assess the Effectiveness and Efficiency of ...ijtsrd
This study aims to assess the effectiveness and efficiency of the performance of the regional government of the Gowa Regency Tourism and Culture Office in 2017 2019. The types of data used in this research are qualitative and quantitative data. The data sources used are primary and secondary data. The analytical method used is descriptive quantitative. The results showed that the level of effectiveness of the Department of Tourism and Cultures budget management during the 2017 2019 fiscal year. can be said to be very effective, because by having an average effectiveness ratio above 100 . Meanwhile, the level of efficiency of budget management for the Tourism and Culture Office during the 2017 2019 fiscal year can be said to be less efficient, because the average efficiency ratio is above 90 percent. Supardi Yanto | Nur Fatwa Basar | Sitti Muliana "Analysis of Budget Realization to Assess the Effectiveness and Efficiency of Performance in the Department of Tourism and Culture of Gowa Regency, South Sulawesi" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-5 | Issue-2 , February 2021, URL: https://www.ijtsrd.com/papers/ijtsrd38597.pdf Paper Url: https://www.ijtsrd.com/economics/accounting/38597/analysis-of-budget-realization-to-assess-the-effectiveness-and-efficiency-of-performance-in-the-department-of-tourism-and-culture-of-gowa-regency-south-sulawesi/supardi-yanto
Health Financing in Kenya - The case of Wajir, Mandera, Turkana, Meru and Bun...Omondi Otieno
A brief look into Health Financing in Kenya using 5 demographically diverse rural counties as case studies. The Budget Analysis Study was commissioned by Save the Children (Kenya program) in January 2014, and conducted by Capacities For Health. The study team was led by Omondi Otieno and Dr. Nduta Githae.
The Influence of Local Own Income and balanced Fund on HDI With Capital Expen...AJHSSR Journal
ABSTRACT: This study aims to examine the effect of Regional Original Income and Balancing Funds on the
Human Development Index with Capital Expenditure as an intervening variable. The population for this study is
regencies/cities in Central Java from 2019 to 2021. Sampling was carried out using the purposive sampling
method, based on the specified criteria a sample of 105 regencies/cities was obtained from 2019 to 2021. The data
analysis technique used the classical assumption test and descriptive statistical analysis, classical assumption
test, multiple linear regression analysis, Sobel test with SPSS 26. The results show that Local Own Income has an
effect on the Human Development Index, Balancing Funds have an effect on the Human Development Index,
Local Own Income has no effect on the Human Development Index , Balancing Funds have an effect on Capital
Expenditures, Capital Expenditures have an effect on the Human Development Index, Capital Expenditures do
not mediate Regional Original Income on the Human Development Index, Capital Expenditures do not mediate
Balancing Funds on the Human Development Index.
Keywords -regional original income, balancing funds, capital expenditures, human development index.
According to Planning commission directives, budgetary allocation for SC's/ST's should be done in proportion to their population, but till date Union and State governments are not following it.
The subject is not known to many of the activists working with Dalits and Adivasis.
Financial Statements are structured reports regarding the financial position and transactions carried
out by a reporting entity. The general objective of financial statements is to provide information about the
financial position, budget realization, cash flows, and financial performance of a reporting entity, which is
helpful for users in making and evaluating decisions regarding resource allocation
1. 1PAISA FOR PANCHAYATS, POLICY BRIEF
Union
State
Zilla
Panchayat
Gram Panchayat
Community
Line
Departments
Parastatals
LAD Funds
Taluk
Panchayat
TRACKING FISCAL DEVOLUTION TO LOCAL GOVERNMENTS
AcasestudyfromKolardistrict,Karnataka
PAISA FOR PANCHAYATS POLICY BRIEF 2016
Accountability Initiative,Centre for Policy Research,Dharam Marg,Chanakyapuri,New Delhi-110021
Tel: (011) 2611 5273-76,Fax: 2687 2746,Email: info@accountabilityindia.org,Website: www.accountabilityindia.in
2. 2 ACCOUNTABILITY INITIATIVE, NEW DELHI
Trends in financial
allocations to Panchayati
Raj Institutions (PRIs)
Mismatch between funds and
functions
The total budgetary allocation
for Karnataka in FY 2014-15 was
` 1,50,379 crore BE 1
.Based on an
analysis of functions devolved
to PRIs,as mandated by the
Karnataka Panchayati Raj Act 1993
and the Activity Mapping matrix
approved by the Government of
Karnataka,this study estimates
that approximately 33 per cent
of the total budget in FY 2014-15
ought to have been earmarked for
expenditure by PRIs.
However,the state budgeted an
allocation of only 17.5 per cent of its
total budget to be devolved to PRIs
(` 26,343 crore).As much as ` 16,239
crore or 11 per cent of Karnataka’s
total budgetary outlay that should
have been allocated to PRIs was
instead appropriated by the state
government for expenditure
through line departments.
A further sum of `6,357 crore (4
per cent) was allocated to line
departments for activities that were
also funded through PRIs resulting
in duplicate heads of expenditure 2
.
Failure to assign funds and
overlapping budgetary heads
suggests a resistance to
devolution on the part of the state
departments.
WeRecommend
The Karnataka government must
undertake a department-wise
reviews of activities assigned to
the PRIs to ensure role clarity and
avoid duplication across levels of
government.
Based on these reviews,
departments should ensure
that financial allocations to
panchayats match their functional
assignments.This will help clearly
track performance and assign
accountability across all levels of
the government.
Limited Expenditure
Discretion
Plan fund outlays (funds for
development expenditure)
devolved to PRIs have dropped
consistently since 1991.The total
budget allocation earmarked for
devolution to PRIs dropped from
approximately 35 per cent in FY
1991-92 to 16 per cent of the total
plan allocation in FY 2014-15.
The bulk of the money allocated to
PRIs in the non-plan budget is tied
to salary payments.In FY 2014-15,
this amounted to 78 per cent of the
total non-plan budget allocation
KEY FINDINGS AND RECOMMENDATIONS
This study tracks
trends in fiscal
decentralisation
in Karnataka,and
attempts to identify
the quantum of
money spent in the
jurisdiction of 30
Gram Panchayats in
Mulbagal Taluk,Kolar
district.
The principal
conclusion of
this research is
that the complex
intergovernmental
fiscal transfer system
in Karnataka has
rendered Panchayats
powerless as they
receive very little funds
to fulfill their legally
stated mandates.
Moreover,Gram
Panchayats have no
information about
the funds that are
being spent in their
jurisdiction by other
administrative and
implementation
entities and hence are
unable to plan and
monitor the quality of
service delivery in their
jurisidictions.
1. Budgetary Estimates
2. It is important to note that BE is merely a statement of government intent.In December every year,
the government prepares a Revised Estimate (RE) which is an estimate of how much it is likely to spend
within a financial year.The actual expenditure based on government audits are collated and presented
in budget statements with a lag of 2 years.Historically,there have been significant gaps between BE,
RE and Actual expenditure.Ideally,an accurate analysis should use Actual expenditure.These were not
available for FY 2014-15 at the time of our study.While RE for FY 2014-15 have been prepared and are in
the public domain,these are not available for the“district sector budget”which identifies allocations
and expenditure at the PRI level.Thus the study restricts itself to the use of BE.
3. 3PAISA FOR PANCHAYATS, POLICY BRIEF
earmarked for PRIs. In addition,23 per cent of the
plan budget allocation for PRIs for the same year was
tied to salaries.PRIs do not have any administrative
control over staff as they are hired by the State
and hence accountable to the state machinery.
Consequently,PRIs have no discretion over a large
proportion of their budget.
Apart from staff salaries,plan grants mostly consist
of specific-purpose grants tied to the implementation
of central and state schemes.The flexibility in
implementing these schemes is limited as PRIs do not
have the discretion to divert funds from one budget
line item to another.For example,in the Health
and Family Welfare department,funds given under
the devolved schemes of Provision for Ambulances
(scheme code 2210‐00‐103‐0‐44),X‐Ray Facilities
to Taluk Hospitals (scheme code 2210‐00‐103‐0‐45)
and Establishment of Blood Bank ( scheme code
2210‐00‐103‐0‐47) cannot be reallocated to other
activities within the health budget. Thus PRIs are
cast as mere pass-through agencies for the payment
of salaries and implementing agents for state and
central government schemes.
Finally,plan funds devolved under the district
sector budget are fragmented into a number of
small schemes.For instance,in FY 2014-15,of the
320 schemes allocated to PRIs through the district
sector,206 had allocations of ` 10 crore or less.
This fragmentation causes spending rigidities,
administrative inefficiency and accounting overload
at the PRIs level.
WeRecommend
Immediate,urgenttask: Scheme rationalization so that
smaller schemes are merged with larger schemes and
unfunded schemes are closed down.
Longtermpolicyreform: Devolution to PRIs needs to
move away from the current schematic framework
to a thematic framework that encourages sector
specific block grants to PRIs allowing them to plan
expenditure based on needs and priorities.
Expenditures at the PRIs level
(CasestudyofKolardistrict:Releasesand
expendituresforFY2014-15)
Poorfiscalmanagementleadingtounpredictablereleases
anddelayedexpenditure-Releases from the state
government directly to the Zilla Panchayat (ZP)
and Taluk Panchayat (TP) accounts in Kolar district
were regular throughout the fiscal year.Funds were
released in three,predictable tranches.
However,fund releases from the state line
departments to their district counterparts for State
sector schemes were erratic.For instance,in FY 2014-
15,40 per cent of the releases across four major state
line departments (Agriculture,Horticulture,Women
& Child Development,and Minor Irrigation) at the
district level were made in the last financial quarter.
In fact,the Minor Irrigation department received
no money until the end of the second quarter of the
financial year.
In spite of the regularity in releases,expenditures at
the ZP and TP levels were erratic and bunched up in
the last financial quarter.In FY 2014-15,the ZP and TP
spent 44 per cent and 40 per cent of their expenditure
respectively in the last quarter.
Expenditure across state line departments in the
district followed a similar pattern.The four major
state line departments (Agriculture,Horticulture,
Women & Child Development,and Minor Irrigation)
spent 54 per cent of their funds in the district between
January and March.
Delayed expenditure also leads to large unspent
balances at the district level.Unutilised amounts at
the ZP level was 26 per cent for Health and Family
Welfare.Similarly,71 per cent of the money remained
unutilised for the agricultural state line department.
4. 4 ACCOUNTABILITY INITIATIVE, NEW DELHI
government is appropriating funds that ought to
be devolved to them.Interestingly,even Union
government funds that are devolved to GP accounts
are being re-appropriated by the state.
One example of this is the payment of electricity
bills.The Bangalore Electricity Supply Company ltd
(BESCOM) supplies electricity to all GPs in Mulbagal
Taluk.Payments are expected to be made by the state
government.However in 2015,the Rural Development
and Panchayati Raj department (RDPR) issued an
order mandating that 25 per cent of the Central
Finance Commission grants (CFC) and 60 percent
of the RDPR statutory grants be deposited into
an ESCROW account maintained for each GP.The
BESCOM,in turn, withdraws payments directly from
these accounts.Technically,the CFC & RDPR grants
are meant to be untied funds for GPs to spend based
on their own plans.
Second,even if funds are not devolved to PRIs,
they could play an important role in planning and
GPshavelimitedcontroloverexpendituresintheir
jurisdiction(30GPstudyinMulbagalTaluka)-The
average expenditure of line departments,parastatals
and other entities including the ZP and TP
within a single GP in Mulbagal in FY 2014-15 was
approximately ` 6 crore.However,on an average only
3 per cent or ` 20 lakh of this amount was spent by
each GP through its own budget.
Bulk of the expenditure in a GP (including those
which fall within the GPs functional mandate) is
incurred by entities other than the GP.A critical failure
is that the GPs are unaware of the nature and extent
of funds spent in their own jurisdiction.Moreover,
there is no mandate for administrative units with
spending authority at the GP level to maintain details
of expenditure at the level of each GP.This makes it
impossible for the GP to hold them accountable for
expenditure.
Two consequences emerge from this analysis.
First,PRIs are being weakened because the state
30 Gram Panchayats of Mulbagal
`6
State Sector
(Line Departments/ Parastatals/
LAD in 30 GPs of Mulbagal)
` 11
` 3
` 49
` .1
` 1
` 7
` .5
`165
` 8
` 1
` 2
` 12
` 41
` 1` 13
` 3
` 7
` 1
` 2
InFY2014-15GPsspentonly3%ofthe `171crorethatwasspent in30GPsinMulbagaltaluk
Source: Primary data collected by AI for FY 2014-15.All figures are in crore and rounded to the closest decimal.
5. 5PAISA FOR PANCHAYATS, POLICY BRIEF
monitoring expenditure that is to be undertaken
within their jurisdiction.However,the combination
of poor fiscal management at the state level that
results in delayed fund releases coupled with the
fact that state administrative expenditure entities
do not collate expenditure at the GP level mean that
GPs are unaware of the amount of money that is
in fact allocated and spent in their constituencies.
Consequently,GP members can neither plan
nor monitor service delivery related activities
and remain powerless entities with unfunded
mandates.This undermines the basic rationale for
greater decentralization–enhancing local level
accountability and aligning expenditure with local
needs and priorities.
WeRecommend
A publicly accessible link document,similar to the
district and taluk link books must be created for all
GPs,state line departments and parastatals.This
will ensure that all implementing entities including
the ZP and TP disaggregate their budget allocations
down to the granularity of each GP.This information
should be published on the first day of April every
financial year.
The Treasury department’s computerized treasury
system (Khajane) should capture location details of
all expenditures through a unique location code for
each habitation.This would enable consolidation
of expenditure data across various entities within
a geographical area of a habitation.Since all GPs
are conglomerations of habitations and villages,
expenditure details consolidated for each GP
would be automatically available in real time.This
information should be made publically available.
All public expenditure by an administrative entity in
a district must take place through the Treasury.If the
district officer has to function in a dual capacity–for
example,when the district chief executive officer
(CEO) of the ZP functions as secretary to the ZP,and
also the head of State line departments that spend
non-devolved funds in the district and below –he/she
must be held accountable for all transactions in his/
her dual capacity.
A centralised monitoring unit needs to be created
at the Rural Development & Panchayat Raj (RDPR)
department.The cell should be tasked with
obtaining and publishing monthly reports of GP-wise
expenditure from the Treasury.It should also ensure
these reports are circulated by the respective ZP CEOs
across GPs in their jurisdiction.The Decentralisation
Analysis Cell of the RDPR department is well
equipped to assume this role.This will help to kick-
start a system where the ZPs and TPs see themselves
as information providers for GPs.It will also enable
GPs to share such information with gram sabhas,so
that all government expenditure at the GP level is
open to public scrutiny.
Progress reports of implementation against allocated
releases and expenditure should be published on
a quarterly basis by the district,block,state line
departments and parastatal bodies.
Implementation of the suggestions mentioned
above will ensure that any expenditure incurred by
any entity in a GP can be measured.This will enable
a better understanding of the financial flows at the
frontline.Enhanced transparency of allocations
and releases could encourage local level public
participation,regardless of how and by whom these
funds are administered.
Karnataka is considered a
trailblazer for democratic
decentralisation in India.However
we found PRI burdened with
unfunded mandates,functioning
largely as pass-through agencies for
paying salaries to state government
employees and implementing
schemes designed and imposed
from above.
6. 6 ACCOUNTABILITY INITIATIVE, NEW DELHI
In summary,it is critical for Karnataka to urgently
review the role,processes and systems of fiscal
decentralisation in the state to ensure effective,
transparent and inclusive use of scarce public
resources.It is also essential to note that our findings
about the state of decentralisation in Karnataka are
not unique to the state.We urge relevant stakeholders
in other Indian states to seriously reflect on the
results and recommendations of this research and
take relevant action to strengthen the process of
decentralisation in their own states.
Notes from the field
Line department offices at the district and the taluk
perform multiple roles.They implement programmes
devolved to the panchayats,state and union
government schemes,and on occasion take over the
functioning of the parastatals as well.Lack of single
point answerability of a departmental office diffuses
its accountability.
Each line department arranges its implementation
work in internal systems that may not align with PRI
jurisdictions.For example,the Education department
organises its administrative system around‘clusters’of
schools and the Women & Child Welfare department
around‘circles’,at the sub-taluka level.This results in a
jumble of departmental administrative mechanisms
and panchayat jurisdictions.
Karnataka ensures transparency of devolved
allocations by maintaining a separate district sector
link book.But these can only be traced up to the
district and the block,not up to the GP.
Based on the release orders issued,we surmised that
allocations made under the district sector are not
fully released to the ZP and the TP.The study did not
pursue this thread,but it will be good to know how
the differences between allocations and releases are
adjusted by the state.
Methodology
This study drew on primary and secondary sources of
data.
Secondary data included analysis of the state budget
and the specifically the district sector budget.This
analysis was used to estimate the quantum of
funds devolved to PRIs.It was also used to identify
administrative and local government entities that
implement schemes in the rural areas of Mulbagal
taluk.
Primary data was collected from the offices of state
line departments at the district,taluka and GP (30 GPs
in Mulbagal).In addition data was collected from the
ZP CEO office.
To arrive at GP level fund availability,for those state
line departments where data could not be traced,
appropriate estimations were made to assess and
map GP-wise expenditure and unspent amounts.
The estimates of fund availability for the 30 GPs
included only those expenses which the research
team was able to trace to GPs.Exclusions include
capital expenditures,expenditures of some line
departments and parastatals that could not be traced
and unutilised funds of the ZP in FY 2014-15.It may
be noted that these elements,if included,would only
increase the budget envelope of the GP and hence
most of our findings would still hold true.
Contributors
Research Advisor: T.R.Raghunandan (trraghu2014@gmail.com)
Lead Researcher & Project Manager: SwaroopIyengar (swaroopiyengar@gmail.com)
Team Members: TanviBhatikar (tbhatikar@gmail.com); UtharaNarayanan (utharanarayanan@gmail.com);
PadmapriyaJanakiraman (pjanakiraman@accountabilityindia.org)
7. 7PAISA FOR PANCHAYATS, POLICY BRIEF
PAISA
Planning,Allocations and Expenditures,Institutions Studies in Accountability is AI’s flagship project. PAISA is
an effort to understand implications of the inter-governmental transfer systems on the delivery of social sector
programmes at the front line.It does this by tracking plans,budgets,fund flows,and decision-making systems
across the administrative hierarchy.
STATE OF PANCHAYAT FINANCES
This project extends AI’s PAIsA methodology to track expenditures,and decision-making processes at the
rural local government level.Research undertaken for this project aims to promote thoughtful discussion and
action on the nature and effectiveness of decentralisation–a critical institutional mechanism through which
governments at all levels can achieve efficient,accountable and transparent service delivery to its citizens.