This document outlines a policy framework for implementing a budget norm system and system of intergovernmental transfers in Vietnam. It discusses (1) developing budget norms to rationally distribute resources across provinces in an equitable manner aligned with development priorities, (2) establishing unconditional transfers based on needs to reduce spending disparities, and (3) providing conditional grants for additional needs. A multi-phase implementation strategy is proposed to gradually introduce the new system and avoid reductions to any province's budget.
This morning CBO released the latest in its series of reports on the long-term budget outlook. (Addendum: I presented the key findings of the report to the National Commission on Fiscal Responsibility and Reform.) The report examines the pressures on the federal budget by presenting our projections of federal spending and revenues over the coming decades.
Budgeting in Bulgaria - Emil NURGALIEV, BulgariaOECD Governance
This presentation was made by Emil NURGALIEV, Ministry of Finance, Bulgaria, at the 15th Annual Meeting of OECD-CESEE Senior Budget Officials held in Minsk, Belarus, on 4-5 July 2019
This presentation by Nikolay Begchin, Russian Federation, 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
This morning CBO released the latest in its series of reports on the long-term budget outlook. (Addendum: I presented the key findings of the report to the National Commission on Fiscal Responsibility and Reform.) The report examines the pressures on the federal budget by presenting our projections of federal spending and revenues over the coming decades.
Budgeting in Bulgaria - Emil NURGALIEV, BulgariaOECD Governance
This presentation was made by Emil NURGALIEV, Ministry of Finance, Bulgaria, at the 15th Annual Meeting of OECD-CESEE Senior Budget Officials held in Minsk, Belarus, on 4-5 July 2019
This presentation by Nikolay Begchin, Russian Federation, 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
Tunisia: Letter of Intent, Memorandum of Economic and Financial Policies, and...Afif Bejaoui
The following item is a Letter of Intent of the government of Tunisia, which
describes the policies that Tunisia intends to implement in the context of its
request for financial support from the IMF. The document, which is the
property of Tunisia, is being made available on the IMF website by agreement
with the member as a service to users of the IMF website
Budget Preparation and Monitoring Information Systemicgfmconference
The delegation from the Republic of Serbia will provide an overview of the changes that are being introduced in the budgeting process in the Republic of Serbia, specifically the major shift from a line budget to program budgeting. Presenters include:
Mr. Ivan Maričić, Treasurer, Republic of Serbia
Mr. Milorad Ivšan, Senior Advisor, Division Head, Republic of Serbia
Ms. Danka Božić, Junior Advisor in the Public Debt Management Department, Republic of Serbia
Implementation of APRM programme of action on Benin interim reportDr Lendy Spires
The present report assesses the achievements of 2009 in relation to actions
earmarked for the establishment of Good Governance in the country. The report, which relates to the 2009 APRM Report, deals with, apart from
the Codes and Standards, the objectives defined in the NPOA. Consequently, it begins with a general review of the implementation of the latter and, where necessary, identifies relevant factors specific to the country and other factors that have resulted from the mainstreaming of the NPOA in the national development process.
Methodology for developping expenditure ceilings (aggregated and disaggregated), including integration of sector strategies, baase-line expenditure, no-policy-change basis, design, scope, time horizon, comprehensiveness, policy costing, inflation adjustment, etc.
Program-based instruments for long term budgeting development in the Russian ...OECD Governance
This presentation was made by Nikolay Begchin, Russian Federation, at the 12th Annual Meeting of OECD-CESEE Senior Budget Officials held in Ljubljana, Slovenia, on 28-29 June 2016
The French LoLF - Guy Cazenave-Lacroutz, FranceOECD Governance
This presentation was made by Guy Cazenave-Lacroutz, Ministère des Forces armées et des Anciens combattants, France, at the 12th Annual Meeting on Performance and Results held at the OECD on 24-25 November 2016
This presentation was made by Ratanak Hav, Cambodia, at the 14th OECD-Asian Senior Budget Officials Meeting held in Bangkok, Thailand, on 13-14 December 2018
Tunisia: Letter of Intent, Memorandum of Economic and Financial Policies, and...Afif Bejaoui
The following item is a Letter of Intent of the government of Tunisia, which
describes the policies that Tunisia intends to implement in the context of its
request for financial support from the IMF. The document, which is the
property of Tunisia, is being made available on the IMF website by agreement
with the member as a service to users of the IMF website
Budget Preparation and Monitoring Information Systemicgfmconference
The delegation from the Republic of Serbia will provide an overview of the changes that are being introduced in the budgeting process in the Republic of Serbia, specifically the major shift from a line budget to program budgeting. Presenters include:
Mr. Ivan Maričić, Treasurer, Republic of Serbia
Mr. Milorad Ivšan, Senior Advisor, Division Head, Republic of Serbia
Ms. Danka Božić, Junior Advisor in the Public Debt Management Department, Republic of Serbia
Implementation of APRM programme of action on Benin interim reportDr Lendy Spires
The present report assesses the achievements of 2009 in relation to actions
earmarked for the establishment of Good Governance in the country. The report, which relates to the 2009 APRM Report, deals with, apart from
the Codes and Standards, the objectives defined in the NPOA. Consequently, it begins with a general review of the implementation of the latter and, where necessary, identifies relevant factors specific to the country and other factors that have resulted from the mainstreaming of the NPOA in the national development process.
Methodology for developping expenditure ceilings (aggregated and disaggregated), including integration of sector strategies, baase-line expenditure, no-policy-change basis, design, scope, time horizon, comprehensiveness, policy costing, inflation adjustment, etc.
Program-based instruments for long term budgeting development in the Russian ...OECD Governance
This presentation was made by Nikolay Begchin, Russian Federation, at the 12th Annual Meeting of OECD-CESEE Senior Budget Officials held in Ljubljana, Slovenia, on 28-29 June 2016
The French LoLF - Guy Cazenave-Lacroutz, FranceOECD Governance
This presentation was made by Guy Cazenave-Lacroutz, Ministère des Forces armées et des Anciens combattants, France, at the 12th Annual Meeting on Performance and Results held at the OECD on 24-25 November 2016
This presentation was made by Ratanak Hav, Cambodia, at the 14th OECD-Asian Senior Budget Officials Meeting held in Bangkok, Thailand, on 13-14 December 2018
2. Number, street, and room, suite number or PO box
Huettenstrasse 3
Common Consolidated Corporate Tax Base (CCCTB) HDB AG DATA BASE
Empirical Foundations of Information and Software Science III
The Harmonised Database is the world's largest goods and services database and is embedded in all EUIPO online filings and in classification tools such as TMClass or Similarity. The HDB contains terms that are agreed by all the regional and national IP offices of the EU together with EUIPO.
3. City or town
Duesseldorf
4. State/Province/Region
North Rhine - Westphalia
5. Country (including postal code)
Germany 40215
6. GIIN
G11998.GRPCH.SL.276
7. TIN
GR094504379
8. Filer contact (name)
Evangelos Goutos
9. Filer contact (title)
Mister
10. Filer contact (phone number)
+49 15222811272
AC321 PNG Government Accounting Test Recording.pptxkapobrenden
Government accounting is a specialized branch of accounting that focuses on the financial management and reporting of government entities. It involves tracking and documenting public funds, ensuring transparency, and adhering to specific accounting standards applicable to the public sector. Government accountants play a crucial role in managing budgets, monitoring expenditures, and producing financial statements for public scrutiny. The complexity arises from the unique nature of government operations, such as multiple funds, regulations, and the need to balance social objectives with fiscal responsibility. The integration of accrual accounting, fund accounting, and compliance requirements distinguishes government accounting from traditional corporate accounting practices.
The National Treasury, PPP Unit Health Infrastructure Development and Servi...Emmanuel Mosoti Machani
The National Treasury's PPP Unit's Mr. Wycliffe Ondieki presented on health infrastructure financing gaps, crowding-in finance for health sector PPPs and support for both private and public sector actors in PPPs.
CBO provides additional information about its most recent projections of remittances from the Federal Reserve, which have decreased largely because of higher projected short-term interest rates in 2023 and 2024.
Acc 574 Enthusiastic Study / snaptutorial.comGeorgeDixon37
1) Recognizing revenues when measurable and available for paying current obligations and expenditures when incurred describes which basis of accounting?
1. Budgetary
2. Modified cash
) Recognizing revenues when measurable and available for paying current obligations and expenditures when incurred describes which basis of accounting?
1. Budgetary
2. Modified cash
3. Modified accrual
4. Accrual
For more classes visit
www.snaptutorial.com
1) Recognizing revenues when measurable and available for paying current obligations and expenditures when incurred describes which basis of accounting?
1. Budgetary
2. Modified cash
3. Modified accrual
For more classes visit
www.snaptutorial.com
1) Recognizing revenues when measurable and available for paying current obligations and expenditures when incurred describes which basis of accounting?
1. Budgetary
2. Modified cash
3. Modified accrual
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
For more classes visit
www.snaptutorial.com
1) Recognizing revenues when measurable and available for paying current obligations and expenditures when incurred describes which basis of accounting?
1. Budgetary
2. Modified cash
3. Modified accrual
4. Accrual
2) Which of the following uses the flow of economic resources measurement focus?
From the medium term fiscal frameworkto ministries' ceilingsJean-Marc Lepain
This presentation lay out the methodology for constructing sector expenditure ceiling starting from a Medium-Term Fiscal Framework and allocating expenditures by expenditure categories.
Investment planning and public investment plans: Inssues and Best PracticesJean-Marc Lepain
This presentation goes through the issues in investment appraisal that result in poor outcomes. It introduces Public Investment Plans as a systematic methodology to address these issues.
Les pre-reqis de la gestion budgetaire par programmeJean-Marc Lepain
L'introduction de la gestion budgetaire par programme necessite un certain niveau de developpement du systeme de finance publique. La credibilite du budget doit etre etablie au prealable et des systemes robustes de gestion, de reporting et de comptabilite doivent etre mis en place.
La mise en oeuvre de la gestion budgetaire par programme require une reforme de l'Etat et de ses services ainsi que l'application de nouvelles regles de gestion qui implique la mise en place de differents outils de suivi.
Financial Assets: Debit vs Equity Securities.pptxWrito-Finance
financial assets represent claim for future benefit or cash. Financial assets are formed by establishing contracts between participants. These financial assets are used for collection of huge amounts of money for business purposes.
Two major Types: Debt Securities and Equity Securities.
Debt Securities are Also known as fixed-income securities or instruments. The type of assets is formed by establishing contracts between investor and issuer of the asset.
• The first type of Debit securities is BONDS. Bonds are issued by corporations and government (both local and national government).
• The second important type of Debit security is NOTES. Apart from similarities associated with notes and bonds, notes have shorter term maturity.
• The 3rd important type of Debit security is TRESURY BILLS. These securities have short-term ranging from three months, six months, and one year. Issuer of such securities are governments.
• Above discussed debit securities are mostly issued by governments and corporations. CERTIFICATE OF DEPOSITS CDs are issued by Banks and Financial Institutions. Risk factor associated with CDs gets reduced when issued by reputable institutions or Banks.
Following are the risk attached with debt securities: Credit risk, interest rate risk and currency risk
There are no fixed maturity dates in such securities, and asset’s value is determined by company’s performance. There are two major types of equity securities: common stock and preferred stock.
Common Stock: These are simple equity securities and bear no complexities which the preferred stock bears. Holders of such securities or instrument have the voting rights when it comes to select the company’s board of director or the business decisions to be made.
Preferred Stock: Preferred stocks are sometime referred to as hybrid securities, because it contains elements of both debit security and equity security. Preferred stock confers ownership rights to security holder that is why it is equity instrument
<a href="https://www.writofinance.com/equity-securities-features-types-risk/" >Equity securities </a> as a whole is used for capital funding for companies. Companies have multiple expenses to cover. Potential growth of company is required in competitive market. So, these securities are used for capital generation, and then uses it for company’s growth.
Concluding remarks
Both are employed in business. Businesses are often established through debit securities, then what is the need for equity securities. Companies have to cover multiple expenses and expansion of business. They can also use equity instruments for repayment of debits. So, there are multiple uses for securities. As an investor, you need tools for analysis. Investment decisions are made by carefully analyzing the market. For better analysis of the stock market, investors often employ financial analysis of companies.
If you are looking for a pi coin investor. Then look no further because I have the right one he is a pi vendor (he buy and resell to whales in China). I met him on a crypto conference and ever since I and my friends have sold more than 10k pi coins to him And he bought all and still want more. I will drop his telegram handle below just send him a message.
@Pi_vendor_247
The Evolution of Non-Banking Financial Companies (NBFCs) in India: Challenges...beulahfernandes8
Role in Financial System
NBFCs are critical in bridging the financial inclusion gap.
They provide specialized financial services that cater to segments often neglected by traditional banks.
Economic Impact
NBFCs contribute significantly to India's GDP.
They support sectors like micro, small, and medium enterprises (MSMEs), housing finance, and personal loans.
Introduction to Indian Financial System ()Avanish Goel
The financial system of a country is an important tool for economic development of the country, as it helps in creation of wealth by linking savings with investments.
It facilitates the flow of funds form the households (savers) to business firms (investors) to aid in wealth creation and development of both the parties
when will pi network coin be available on crypto exchange.DOT TECH
There is no set date for when Pi coins will enter the market.
However, the developers are working hard to get them released as soon as possible.
Once they are available, users will be able to exchange other cryptocurrencies for Pi coins on designated exchanges.
But for now the only way to sell your pi coins is through verified pi vendor.
Here is the telegram contact of my personal pi vendor
@Pi_vendor_247
how to swap pi coins to foreign currency withdrawable.DOT TECH
As of my last update, Pi is still in the testing phase and is not tradable on any exchanges.
However, Pi Network has announced plans to launch its Testnet and Mainnet in the future, which may include listing Pi on exchanges.
The current method for selling pi coins involves exchanging them with a pi vendor who purchases pi coins for investment reasons.
If you want to sell your pi coins, reach out to a pi vendor and sell them to anyone looking to sell pi coins from any country around the globe.
Below is the contact information for my personal pi vendor.
Telegram: @Pi_vendor_247
What price will pi network be listed on exchangesDOT TECH
The rate at which pi will be listed is practically unknown. But due to speculations surrounding it the predicted rate is tends to be from 30$ — 50$.
So if you are interested in selling your pi network coins at a high rate tho. Or you can't wait till the mainnet launch in 2026. You can easily trade your pi coins with a merchant.
A merchant is someone who buys pi coins from miners and resell them to Investors looking forward to hold massive quantities till mainnet launch.
I will leave the telegram contact of my personal pi vendor to trade with.
@Pi_vendor_247
The European Unemployment Puzzle: implications from population agingGRAPE
We study the link between the evolving age structure of the working population and unemployment. We build a large new Keynesian OLG model with a realistic age structure, labor market frictions, sticky prices, and aggregate shocks. Once calibrated to the European economy, we quantify the extent to which demographic changes over the last three decades have contributed to the decline of the unemployment rate. Our findings yield important implications for the future evolution of unemployment given the anticipated further aging of the working population in Europe. We also quantify the implications for optimal monetary policy: lowering inflation volatility becomes less costly in terms of GDP and unemployment volatility, which hints that optimal monetary policy may be more hawkish in an aging society. Finally, our results also propose a partial reversal of the European-US unemployment puzzle due to the fact that the share of young workers is expected to remain robust in the US.
US Economic Outlook - Being Decided - M Capital Group August 2021.pdfpchutichetpong
The U.S. economy is continuing its impressive recovery from the COVID-19 pandemic and not slowing down despite re-occurring bumps. The U.S. savings rate reached its highest ever recorded level at 34% in April 2020 and Americans seem ready to spend. The sectors that had been hurt the most by the pandemic specifically reduced consumer spending, like retail, leisure, hospitality, and travel, are now experiencing massive growth in revenue and job openings.
Could this growth lead to a “Roaring Twenties”? As quickly as the U.S. economy contracted, experiencing a 9.1% drop in economic output relative to the business cycle in Q2 2020, the largest in recorded history, it has rebounded beyond expectations. This surprising growth seems to be fueled by the U.S. government’s aggressive fiscal and monetary policies, and an increase in consumer spending as mobility restrictions are lifted. Unemployment rates between June 2020 and June 2021 decreased by 5.2%, while the demand for labor is increasing, coupled with increasing wages to incentivize Americans to rejoin the labor force. Schools and businesses are expected to fully reopen soon. In parallel, vaccination rates across the country and the world continue to rise, with full vaccination rates of 50% and 14.8% respectively.
However, it is not completely smooth sailing from here. According to M Capital Group, the main risks that threaten the continued growth of the U.S. economy are inflation, unsettled trade relations, and another wave of Covid-19 mutations that could shut down the world again. Have we learned from the past year of COVID-19 and adapted our economy accordingly?
“In order for the U.S. economy to continue growing, whether there is another wave or not, the U.S. needs to focus on diversifying supply chains, supporting business investment, and maintaining consumer spending,” says Grace Feeley, a research analyst at M Capital Group.
While the economic indicators are positive, the risks are coming closer to manifesting and threatening such growth. The new variants spreading throughout the world, Delta, Lambda, and Gamma, are vaccine-resistant and muddy the predictions made about the economy and health of the country. These variants bring back the feeling of uncertainty that has wreaked havoc not only on the stock market but the mindset of people around the world. MCG provides unique insight on how to mitigate these risks to possibly ensure a bright economic future.
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
how can i use my minded pi coins I need some funds.DOT TECH
If you are interested in selling your pi coins, i have a verified pi merchant, who buys pi coins and resell them to exchanges looking forward to hold till mainnet launch.
Because the core team has announced that pi network will not be doing any pre-sale. The only way exchanges like huobi, bitmart and hotbit can get pi is by buying from miners.
Now a merchant stands in between these exchanges and the miners. As a link to make transactions smooth. Because right now in the enclosed mainnet you can't sell pi coins your self. You need the help of a merchant,
i will leave the telegram contact of my personal pi merchant below. 👇 I and my friends has traded more than 3000pi coins with him successfully.
@Pi_vendor_247
what is the future of Pi Network currency.DOT TECH
The future of the Pi cryptocurrency is uncertain, and its success will depend on several factors. Pi is a relatively new cryptocurrency that aims to be user-friendly and accessible to a wide audience. Here are a few key considerations for its future:
Message: @Pi_vendor_247 on telegram if u want to sell PI COINS.
1. Mainnet Launch: As of my last knowledge update in January 2022, Pi was still in the testnet phase. Its success will depend on a successful transition to a mainnet, where actual transactions can take place.
2. User Adoption: Pi's success will be closely tied to user adoption. The more users who join the network and actively participate, the stronger the ecosystem can become.
3. Utility and Use Cases: For a cryptocurrency to thrive, it must offer utility and practical use cases. The Pi team has talked about various applications, including peer-to-peer transactions, smart contracts, and more. The development and implementation of these features will be essential.
4. Regulatory Environment: The regulatory environment for cryptocurrencies is evolving globally. How Pi navigates and complies with regulations in various jurisdictions will significantly impact its future.
5. Technology Development: The Pi network must continue to develop and improve its technology, security, and scalability to compete with established cryptocurrencies.
6. Community Engagement: The Pi community plays a critical role in its future. Engaged users can help build trust and grow the network.
7. Monetization and Sustainability: The Pi team's monetization strategy, such as fees, partnerships, or other revenue sources, will affect its long-term sustainability.
It's essential to approach Pi or any new cryptocurrency with caution and conduct due diligence. Cryptocurrency investments involve risks, and potential rewards can be uncertain. The success and future of Pi will depend on the collective efforts of its team, community, and the broader cryptocurrency market dynamics. It's advisable to stay updated on Pi's development and follow any updates from the official Pi Network website or announcements from the team.
How to get verified on Coinbase Account?_.docxBuy bitget
t's important to note that buying verified Coinbase accounts is not recommended and may violate Coinbase's terms of service. Instead of searching to "buy verified Coinbase accounts," follow the proper steps to verify your own account to ensure compliance and security.
What website can I sell pi coins securely.DOT TECH
Currently there are no website or exchange that allow buying or selling of pi coins..
But you can still easily sell pi coins, by reselling it to exchanges/crypto whales interested in holding thousands of pi coins before the mainnet launch.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and resell to these crypto whales and holders of pi..
This is because pi network is not doing any pre-sale. The only way exchanges can get pi is by buying from miners and pi merchants stands in between the miners and the exchanges.
How can I sell my pi coins?
Selling pi coins is really easy, but first you need to migrate to mainnet wallet before you can do that. I will leave the telegram contact of my personal pi merchant to trade with.
Tele-gram.
@Pi_vendor_247
how to sell pi coins at high rate quickly.DOT TECH
Where can I sell my pi coins at a high rate.
Pi is not launched yet on any exchange. But one can easily sell his or her pi coins to investors who want to hold pi till mainnet launch.
This means crypto whales want to hold pi. And you can get a good rate for selling pi to them. I will leave the telegram contact of my personal pi vendor below.
A vendor is someone who buys from a miner and resell it to a holder or crypto whale.
Here is the telegram contact of my vendor:
@Pi_vendor_247
Policy framework for budget norms implementation (Laos: June 2009)
1. POLICY FRAMEWORK FOR THE IMPLEMENTATION OF A BUDGET NORM SYSTEM AND A SYSTEM OF
UNCONDITIONAL AND CONDITIONAL INTERGOVENMENTAL TRANSFERS
(Draft version to be approved by the Steering Committee)
Version modified on June 18th 2009
I. Objectives of the Budget Norm System
Based on the new Budget Law promulgated by the National Assembly on December 26th 2006 and
the Implementation Decree issued by the Prime Minister’s Office on February 14th 2008, the Ministry
of Finance has undertaken the design of a Budget Norm System. This Budget Norm System is an
important component of the reform of the Central-Local fiscal system which has four broad
objectives:
(1) Ensuring the rational distribution of fiscal resources across sub-national jurisdictions in an
equitable manner;
(2) Ensuring that fiscal resources allocated to sub-national jurisdictions are used in line with the
Government development objectives with the purpose of improving Government’s service
delivery;
(3) Improving financial management at the local level, including planning, budget formulation,
budget execution and reporting;
(4) Strengthening incentives for improved service delivery performance of local administration.
In order to reach these broad objectives, the Ministry of Finance has recognized that work must be
undertaken in four areas:
(1) The development of Budgetary Norms
(2) The development of a system of unconditional transfers for provincial administration
(3) The development of additional conditional grants for the provinces
(4) The improvement of budget formulation at the sub-national level through a set of
instructions and guide-lines
The Ministry of Finance also has recognised that work on budget norms must go in parallel with the
development of the unconditional transfer system to reach the maximum level of integration.
1
2. Within that context, objectives of the Budget Norms system have been identified as follows:
(1) To depart from the existing de facto provincial expenditure assignment mostly based on
historical trends and to move to a system based on transparent and objective principles;
(2) To base unconditional transfers to provinces on principles of equity that will reduce existing
disparities in spending per capita in key sectors;
(3) To base unconditional transfers to provinces on identified needs as a departure from the
existing input driven system based on revenue assignments;
(4) To align provincial expenditures with Government’s priorities as they have been expressed in
the National Growth and Poverty Eradication Strategy (NGPES) and the sixth National
Socioeconomic Development Plan (NSEDP);
(5) To ensure that local recurrent budgets have sufficient funding for daily operations in key
sectors such as education, health and agriculture and that the required expenditures are
properly identified in local budget in accordance with the new budget classification adopted
by the Ministry of Finance;
(6) To ensure that local budget have sufficient funding for the maintenance of infrastructures
and investments;
(7) To ensure a better integration between the recurrent budget and the investment budget by
taking into account the impact of new investments on the recurrent budget and by ensuring
that the level of investment remains sustainable, and that such investments can be properly
maintained in the future.
II. General principles of the budget norm system
In relation with the objectives identified above, the Ministry of Finance has decided that Budget
Norms and the Intergovernmental Transfer System (covering conditional and unconditional grants)
will be based on the following principles:
1. Budget norms will be developed as a component of the futur intergovernmental fund
transfer system of unconditional grants with the objective of moving away from the present
excessively ad hoc and discretionary system of fund allocations. The budget norms system
should result in rationalizing budget decisions, strengthening principles of equity in fund
2
3. allocation between provinces, and gradually correcting disparities in fund allocation among
provinces.
2. Budget norms will apply to six sectors that have been defined as followed:
(1) Education
(2) Health
(3) Agriculture
(4) Communication, Transport, Post & Construction (CTPC)
(5) General Administration
(6) Provincial Administration
3. Energy and Mining will be covered by targeted grants.
4. Budget norms will apply only partially to CTPC. The Post Office and large projects in
telecommunication will probably be excluded from budget norms. The Sector Review and
the Expenditure Need Assessment to be conducted at a later stage will identified CTPC’s sub-
sectors to which budget norms will apply.
5. The General Administration Sector is defined as the aggregation of provincial expenditures of
the following ministries: (1) Industry & Commerce, (2) Information & Culture, (3) Justice, (4)
Finance, and (5) Planning.
6. Ministries and Government agencies other than those mentioned here will not be covered by
the budget norm system. Another mechanism will have to found for determining the size of
the intergovernmental transfer necessary to cover sectors outside of the budget norm
system (Security, Social Organizations, Army) through specific grants.
7. The system wil be developped into different phases. The first phase will cover only non-wage
expenditure. Including other economic categories (wages and investment) will depend on
progress made in putting consultative mechanism between all institutions involved; namely
MoF, MPI and PACSA.
8. The system will use three types of norms:
(a) Sector budget norm(s) used for the calculation of each sector budget for each
province and determining the size of the equalization grant to meet the expenditure
need of a given province as part of the Intergovernmental Transfer System of
unconditional grants,
(b) Economic norms that provinces will use for allocating funds by economic categories
based on the current budget classification.
(c) Economic norms that will apply to line-ministries at the central level and that will not
be part of the Intergovernmental Transfer System.
3
4. 9. In order to avoid any drastic restructuring of provincial budgets, budget norms will be
introduced gradually according to a multi-year implementation plan. This plan would reduce
disparities in provincial allocation by increasing the allocation for the previously under-
allocated provinces at a faster rate than the others provinces and would avoid the case that
any province would see its allocation reduced.
10. No province will have its budget reduced as a consequence of the introduction of norms.
III. Implementation Strategy of the budget norm system
1. During the first phase of development of the system MoF will put in place two types of
budgets norms: a non-wage aggregated expenditure norm for the local recurrent
butgets, and non-wage expenditure norms by sector to be applied by provinces.
2. During the first year of implementation, MoF will conduct consultations with other
stakeholders such as MPI, PACSA , line-ministries and provinces to determine the best
approach for expending the budget norm system to cover all economic categories and all
key sectors.
3. Discussion on the budget norm system will consider needs for each sector and projects
of line-ministries such as block-grant for schools and health financing formulae. Specific
implementation strategies might have to be developed for each sector.
4. As a result of those consultations, and in a second phase, either the aggregated non-
wage norm will be integrated into an intergovernmental transfer formula for general
purpose unconditional grant or the intergovernmental transfer formula will result from
the addition of all sectoral norms.
IV. Transfer System General Outlook
1. The Transfer System will be made of the following components:
(a) One single unconditional transfer (unconditional general purpose grant) that
will cover the recurrent budget;
(b) Conditional grants for covering additional recurrent expenditure for a limited
number of provinces such as:
(i)Provinces having sector with structural expenditure needs above the
level of funding provided by the unconditional grant;
(ii) Provinces facing temporary revenue shortfall;
4
5. (iii) Provinces having unexpected expenditure needs due for example to
natural calamities
(c) Conditional grants for financing large investments
2. The calculation of the unconditional grant will be based on budget norms reflecting
general expenditure needs.
3. Conditional transfers for investments will be based on a list of projects by sector
prepared by the Ministry of Planning.
4. Unconditional transfers for investments will either cover very small investments that can
be decided only at the local level, or an investment envelope based on budget norms
prepared by the Ministry of Planning. These last two points will need further discussions
with the ministry of planning.
V. Unconditional Transfer
1. The Unconditional transfer will be made of two components: (i) the shared revenue
transfer and (ii) the General Purpose Grant.
2. The General Purpose Grant will be given by the following formula:
Equalization Grant = Provincial Fiscal Envelope – Targeted Local Revenues – Shared
Revenue Transfer
VI. The Provincial Fiscal Envelope
1. The Provincial Fiscal Envelope will be calculated on the basis of expenditures needs
measured by sectoral budget norms or by predefined expenditure norm per capita
modified to take into account cost factors (mountainous regions, accessibility, and
special and ordinary needs such as specific project, coverage of Government service,
poverty, presence of ethnic minorities, etc. .
2. Size of the Provincial Envelope will be based on f a minimum spending per capita with
some adjustments for taking into account the poverty level of the province or other
factors relevant to a sector such population density, number of students, urbanization
rate, kilometres of roads to be maintained, etc.
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6. 3. Each year the minimum level of investment will be adjusted to take into account
inflation, changes in policy and other fiscal considerations.
4. During a transition period of a minimum of five years, the local fiscal envelope will be
adjusted to reflect different factors such the absorption capacity of the province and
internal fiscal and administrative constrains. Major adjustments will be spread over a
period of several years.
VII. Fiscal Sustainability of the System
1. The system design and its implementation plan will be prepared in consideration of the
overall fiscal sustainability of the system.
2. The implementation plan will be prepared in a way that will avoid any drastic change in
the budget structure.
3. Based on a macro-fiscal model developed by the Fiscal Policy Department, the total
adjustment of any given year required for fiscal equalization will not result in any
increase of more than 1.5% of the general budget of the state with an average of 0.8%
per year.
4. The Department of Fiscal Policy with consult with the Department of Taxes and Revenue
and the Department of Budget to introduce incentives for increasing collection of local
revenue such as the possibility to keep in reserve a portion of local revenue collected in
excess of the revenue target.
5. In case in a shortfall in local revenue collection compared to targeted revenue, the
Ministry of Finance will have the discretion to cover or not the local revenue shortfall or
to make his assistance conditional on an improvement of the local tax collection system.
VIII. Fiscal Implementation strategy
1. The system will be implemented in three phases:
Phase 1: Health + Education
Phase 2: Agriculture + CTPC + Provincial Administration
Phase 3: General Administration
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7. Phase 1 will start with the preparation of FY 2010/11 budget. It will last four years for
the recurrent budget and three years for the investment budget.
Phase 2 will start with the preparation of FY 2011/12 budget.
Phase 3 will start with the preparation of FY 2012/13 budget.
2. Each implementation phase will last three to four years. These four years will constitute
a transition period to which specific rule will apply in order to avoid large budget
adjustment.
3. Although all phases have maximum implementation duration of four years, the majority
of provinces are expected to make the transition in two years, except for provincial
administration which is facing deep structural problems.
4. In the event that due to equalizations needs some provinces experience important
budget gap, budget adjustments will be made over several years.
5. In the event that some provinces have structural sectoral expenditures well above the
theoretical notional budget determined by budget norm, the provinces will incur no
budget reduction. The shortfall in resources will be covered by a conditional grant.
IX. Transition Period
1. The preparatory survey has identified several administrative, economic and fiscal
constraints that will affect implementation of budget norms and of the
Intergovernmental Transfer System of conditional and unconditional grants. Among
those constraints are the practice of dual budgeting (separation between recurrent and
investment budget), the lack of clarity of the expenditure assignment that will need
important revision, the absence of programme budgeting, ceiling on the number of civil
servants employed in the provinces, absence of multi year budgeting at the provincial
level, limited capacity absorption of the poorest provinces which might not be able to
use additional funding necessary to bring them to the same level of service delivery than
other provinces. The necessity to accommodate those constraints explains the length of
the transition period.
2. The implementation of the budget norm system is expected to represent a budget
adjustment equal to 5% of the general budget for equalization needs. Spread over a
period of six years the required adjustments remain sustainable. However, some
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8. provinces will have adjustment to make that might represent up to 30% or more of the
budget of a specific sector. Budget increase above inflation and the general average will
have to be limited by specific rules, such as no budget in such sector will increase more
than 15% of the national average.
3. Other budget increase will be linked to revision of the expenditure assignment,
introduction of block grants, improvements in service delivery.
4. Effective use of increased recurrent budget might not be possible without additional
investments. In such case, provinces will have to present a multi-year plan approved by
the Ministry of Planning to justify an increase in the recurrent and investments budgets.
5. All arrangements for the transition period will be presented with the implementation
plan for each of the three implementation phases.
X. Cooperation with the Ministry of Planning
A joint committee with the Ministry of Planning, or any other consultative mechanism, will
be put in place with the objective of defining common objectives for the implementation of
budget norms. The committee will be responsible for:
-ensuring that the level of investment is sustainable and compatible with the level
of spending in the recurrent budget;
- ensuring a better prioritization of investments between sectors at the provincial
level
-developing common budget norms for investment
XI. Integration with macro-economic policy and multi-year fiscal planning
Integration of the budget norm system with multi-year budgeting is essential for the
management of the transition period and for long term sustainability. The equalization model
used to determine the minimum level of spending per capita and per sector will be fully
integrated with the MTFF/MTEF model under development.
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