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Surveys and polls from the 27th Annual International Consortium on Governmental Financial Management on PFM reform, donor support, and financial management systems in use in development countries. Includes: analysis of Exploring the Limits of Institutional Reform by Matt Andrews and other observations.
Citation preview
Version 7 section
• brief discussion State of Public Financial Management
Reform in Developing Countries
FreeBalance 2013
Survey
Version 7 section
• brief discussion
Version 7 section • FreeBalance conducted surveys at the 27th Annual
International Consortium on Governmental Financial Management (ICGFM) in Miami, the 3rd Week of May
• Majority of participants were from developing countries
• Some questions were asked at our booth using SurveyMonkey while others used polling technologies
• Main purpose of the poll was to identify patterns and improve survey questions
Overview
Version 7 section
• brief discussion
Version 7 section • FreeBalance is a global provider of Government Resource
Planning (GRP) software and services based in Ottawa
• There is significant anecdotal and academic evidence suggesting that some conventional thinking about Public Financial Management (PFM) reform needs adjustment
• An important impetus for the survey was: The Limits of Institutional Reform in Development by Professor Matt Andrews
Context
Version 7 section
• brief discussion
Version 7 section
4 4
1. Exploring the Limits of Institutional Reform Thesis
0%
25%
50%
75%
100%
Transparency Not Signaling
OGP Improves Governance
Best Practices Speeds Reform
Objectively PFM Best Practices
PFM Practice to Law Gap
Better Laws Primary Need
scores were rationalized as %
inconsistent views on notion of PFM “best practices”
informal practices & leadership seen as more
critical than legal reform, gaps between legal reform
& practice observed
general view that transparency initiatives improve governance
Version 7 section
• brief discussion
5 5
23%
45%
32%
What is the gap between PFM laws and practice in your country?
Wide, procedures operatemuch differently thanstated by the law
Some gaps between lawsand practice
Gaps are limited
Version 7 section
• brief discussion
6 6
9%
63%
28%
What is the biggest issue inhibiting improved PFM in your country?
Better laws
Better leadership
Focus on informalprocesses
Version 7 section
• brief discussion
7 7
5%
49%
46%
Poll The Open Government Partnership (OGP)…
Is designed to makegovernments look like theyhave better governancethan they do
Is designed to improvegovernance throughtransparency
Improves transparency butmore is needed to improveaccountability
Version 7 section
• brief discussion
8 8
36%
64%
Are government transparency initiatives in your country designed to
Promote your country bysignaling reform butdoesn't change much
Designed to improvegovernance
Version 7 section
• brief discussion
9 9
24%
76%
Do you believe there are PFM best practices…
Best practices that shouldbe adopted by allgovernments
Good practices wheresome are better based onthe country context
Version 7 section
• brief discussion
10 10
0%
25%
50%
75%
100%
Sustainable PFM Reform
PFM Practice to Law Gap
PFM MomentumRealistic PFM Bluprint
Understand PFM Priorities
2. Exploring the State of PFM Reform in Developing Countries scores were rationalized as %
inconsistency between PFM momentum, understanding priorities, realistic blueprint
and sustainable reform
Version 7 section
• brief discussion
11 11
26%
60%
14%
Does your country have a realistic PFM reform roadmap?
Yes
Somewhat
No
Version 7 section
• brief discussion
12 12
55% 42%
3%
Do you have a good sense of what your country should be doing in PFM reform?
Yes
Somewhat
No
Version 7 section
• brief discussion
13 13
7%
33%
51%
9%
Is PFM reform momentum in your country moving?
Too fast
Right speed
Too slow
There is no PFMmomentum
Version 7 section
• brief discussion
14 14
59% 24%
18%
Is PFM Reform momentum sustainable in your country?
Yes
No
No Opinion
Version 7 section
• brief discussion
15 15
23%
45%
32%
What is the gap between PFM laws and practice in your country?
Wide, procedures operatemuch differently thanstated by the law
Some gaps between lawsand practice
Gaps are limited
Version 7 section
• brief discussion
16 16
0%
25%
50%
75%
100%
Consistency of PFM Advice Across Donors
PFM Advice Consistent with Donor Reps
Consistency of PFM Advice Among Experts
Donor ICT Advice Satisfaction
Realistic Donor PFM Advice
Donors Best Technical Assistance
3. Exploring the Quality & Consistency of PFM Technical Assistance
satisfaction of PFM & ICT advice from donors differs
depending on the question asked
general lack of consistency of donor advice, but higher from “experts”
scores were rationalized as %
Version 7 section
• brief discussion
17 17
33%
33%
15%
18%
Does your country get consistent advice from different donors?
Yes
Mostly the Same
Mostly Different
Completely Different
Version 7 section
• brief discussion
18 18
25%
62%
13% 0%
Donor technical assistance for ICT technology
Is very effective
Is somewhat effective
Is somewhat ineffective
Is very ineffective
Version 7 section
• brief discussion
19 19
36%
15%
32%
17%
Does PFM advice from donors change when donor representatives change?
Yes
Mostly inconsistent advice
Mostly consistent advice
No
Version 7 section
• brief discussion
20 20
66%
12%
22%
I get better advice on PFM reform…
At ICGFM and similarconferences andpresentations
From technical assistancesponsored by donors
From research and reading
Version 7 section
• brief discussion
21 21
60% 27%
8% 5%
Does your country get consistent PFM advice from experts?
Yes
Mostly the Same
Mostly Different
Completely Different
Version 7 section
• brief discussion
22 22
41%
59%
Have you found that donors request PFM processes that are
Better than in manydeveloped countries
Realistic given the countrycontex
Version 7 section
• brief discussion
23 23
4. Exploring the Satisfaction with FMIS Systems
0%
25%
50%
75%
100%
Would Select the Same FMIS
Self-Sustaining FMIS
Controlling FMIS Costs
FMIS Automation
Financially Sustainable FMIS
FMIS Helps Reform
scores were rationalized as %
inconsistent views on FMIS sustainability, where costs considered high but systems are financially sustainable yet only partly self-sustaining
relatively low FMIS satisfaction yet optimistic
about impact of FMIS despite low levels of
automation
Version 7 section
• brief discussion
24 24
33%
26%
16%
23%
If you had it to do over again, would you select the same information systems in your country?
Yes
Mostly the Same
Mostly Different
Completely Different
Version 7 section
• brief discussion
25 25
24%
51%
31%
Our government FMIS systems…
Are fully managed andsupported by governmentstaff
Are managed andsupported by governmentstaff for normal situations
Require a significantnumber of outsideconsultants to manage
Version 7 section
• brief discussion
26 26
51%
13%
29%
7%
The costs to manage our government FMIS system are…
Far more than they shouldbe
Are a bit more than theyshould be
Are about as expensive asthey should be
Are less than expected
Version 7 section
• brief discussion
27 27
11%
57%
33%
The PFM processes in my country …
Are mostly automated
Somewhat automated
Mostly manual
Version 7 section
• brief discussion
28 28
58% 30%
12%
Is the FMIS system in use in your country financially sustainable?
Yes
No
No Opinion
Version 7 section
• brief discussion
29 29
82%
5%
13%
In your experience do FMIS systems
help accelerate PFM reform
have no impact on PFM reformmomentum after implementatio
slow PFM reform
Version 7 section
• brief discussion
Version 7 section • Very little consistency in views of whether PFM reform sequencing is or should be a science
• General agreement that direct budgetary support reduces corruption
• Diagnostic tools like PEFA help set some PFM reform actions
• Sense that PFM reform could be accelerated
30 30
5. Exploring Other PFM Elements
Version 7 section
• brief discussion
31 31
88%
12%
Will increasing Open Budgets Index
Improve the perception ofgovernance in yourcountry
Have no effect onperception
Version 7 section
• brief discussion
32 32
36%
49%
2%
13%
Is PEFA sufficient to help you map out PFM reform?
Yes
Helps somewhat
Doesn't Help
What is PEFA
Version 7 section
• brief discussion
33 33
39%
51%
10%
Do you believe that your country can leapfrog other countries in PFM reform?
Yes
In some areas
No
Version 7 section
• brief discussion
34 34
52%
29%
19%
Direct budgetary support to your country will…
Reduce corruption,improve capacity andresults
Have no significantgovernance impact
Increase corruption andmake developmentoutcomes poorer
Version 7 section
• brief discussion
35 35
51% 49%
IS PFM reform sequencing
a science
an art form
Version 7 section
• brief discussion
36 36
18%
34%
12%
12%
24%
How accurate is PFM perception of the PFM quality in your country?
Very accurate
Somewhat accurate
Somewhat inaccurate
Quite inaccurate
55%
45%
Should PFM reform sequencing be…
A science
An art form