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PFM

Political economy drivers of PFM reforms: a systematic look at what we all know somehow

Verena Fritz's picture

Globally, tremendous progress has been made in reducing extreme poverty in the last 25 years. However, the number of poor remains unacceptably high, at just over 1 billion in 2011 compared with 1.2 billion in 2008, creating a widening gap between the living standards of those in the bottom 40 percent and the top 60 percent of the population. According to the recently released Global Monitoring Report, the well-being of low income households still remains below that of households in the top 60 percent directly impacting young children who are 2-3 times more likely to be malnourished than those in the highest wealth quintiles.

How to manage revenues from extractives? There’s a book for that!

Rolando Ossowski's picture
 
Offshore oil and rig platform. Photo: © curraheeshutter / Shutterstock.


Countries with large nonrenewable resources can benefit significantly from them, but reliance on revenues from these sources poses major challenges for policy makers. If you are a senior ministry of finance official in a resource-rich country, what are the challenges that you would face and how can you strengthen the fiscal management of your country’s oil and mineral revenues? Consider some of the issues that you would likely encounter:

For many resource abundant countries, large and unpredictable fluctuations in fiscal revenues are a fact of life. Resource revenues are highly volatile and subject to uncertainty. Fiscal policies will need to be framed to support macroeconomic stability and sustainable growth, while sensibly managing fiscal risks. Also, there is a question of how to decouple public spending (which should be relatively stable) from the short-run volatility of resource prices.

Enhancing government accountability can improve service delivery in Buenos Aires

Daniel Nogueira-Budny's picture

Also available in: Español

Young students in rural areas of Argentina. Photo: Nahuel Berger / World Bank


Public schools in the Province of Buenos Aires generally provide school books and other learning materials to students free of charge. This is important, as the poorest 40 percent of Argentina’s population relies disproportionately upon public services such as education. But, what happens when schools cannot purchase books for students?
 
Fixed expenditures, including personnel costs, generally leave limited space for other quality-enhancing education expenditures, such as school books and training materials. Faced with an unexpected pressure on such fixed expenditures in 2013, some schools were suddenly forced to cut down significantly on teacher training materials and other educational resources generally provided free of charge. As a result, a number of parents were suddenly forced to decide between purchasing learning materials for their children’s education, or paying bills.

Invitation to apply for SAFE grants

Soukeyna Kane's picture
We're thrilled to share the news about our brand new Online Quarterly Bulletin, which features debt statistics news, trends, and events. Laid out in the format of an e-newsletter, this quarter's issue focuses on:
  • Debt statistics products, coverage, and methodologies
  • External debt trends of 2015
  • International debt statistics-related activities and summaries
One area we'd like to highlight is the interconnection of the many types of debt statistics that the World Bank collects, manages, and disseminates.
 
The World Bank collects annual external debt statistics through the World Bank Debt Reporting System (DRS) and publishes it annually in the International Debt Statistics (IDS) publication. This annual data is complemented by our quarterly external and public debt statistics captured through the Quarterly External Debt Statistics (QEDS) database and the Public Sector Debt (PSD) database.  To help illustrate this interconnection, we've created the below graphic.
 


 

Public Financial Management reforms - signals or real change?

Renaud Seligmann's picture
Also available in: Français

Results of the west African country’s presidential election were openly available in real time, fostering confidence in the fairness of the result

 
 A street vendor sells newspapers in Ouagadougou on 3 December following the election of Roch Marc Kabore to the presidency. Photograph: Issouf Sanogo/AFP/Getty Images 
 

Democratic elections in transitional states are never straightforward. With limited experience to draw on, finite resources and a lack of transparency, it’s not uncommon for rumours, tensions and civil unrest to overshadow the process and undermine faith in the results.

But by midday on Monday 30 November – the day after Burkina Faso’s presidential election – citizens had a reliable early indication of who would be their first elected head of state since the overthrow of strongman Blaise Compaoré last year.

The difference was clear. For the first time, the results of the count were made openly available in real time. The official election website showed live results by district for each presidential candidate, and which candidate was leading in each province.

Trust is vital at all times during an election process. But one of the most sensitive time periods, especially in transition states, is between the time of polls closing and the time the final results are announced. In other recent elections on the continent, there have been delays of up to four days, creating an environment ripe for the spread of rumours and suspicion.

Public financial management reforms: determined by conditions or resulting from the right approach?

Verena Fritz's picture


Photo: Burst | Pexels Creative Commons

Australia’s involvement in the Global Infrastructure Facility (GIF)—as a founding member, and co-chair of the advisory council over the past year—underscores our commitment to lift investment in global infrastructure, which is a critical component to ensuring economic growth and poverty alleviation.
 
Strong economic infrastructure underpins human development, enables movement of people and goods, provides access to and expands markets and services, facilitates innovation, and enhances competitiveness.

Apply for SAFE Trust Fund grants

Soukeyna Kane's picture



The SAFE Trust Fund application (Word document) is now open until 27 February 2015.
 
What is SAFE?
 
SAFE means Strengthening Accountability and the Fiduciary Environment. It is a Trust Fund group administered by the World Bank and established by the Swiss State Secretariat for Economic Affairs (SECO) and the European Commission with the aim of improving public financial management in the Europe and Central Asia region. This Trust Fund group provides support for activities to assess public financial management (PFM) performance, identify and implement actions to achieve improvements and share knowledge and good practices across countries in the region.

New Fiscal Transparency Initiatives Are Key to Good Governance

Mario Marcel's picture


British Columbia Premier Christy Clark spoke at the World Bank Group about the effectiveness of her Canadian province's carbon tax and the role of subnational governments in setting policies that can address climate change.


"We’ve had a pure carbon tax for seven years in BC. It covers 72 percent of emissions in the province, so it is very broad. It is now at about 30 dollars a tonne. So we have seen it operating for a long time.

I don't know if we are unique in the world, but we are proud of the fact that we have taken 100 percent of the revenues that we have collected through the carbon tax, which is over 6 billion dollars, and we have invested that plus some in tax cuts.