M

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ME SUPPORT TO PLANNING BUDGET IN GHANA

• Presentation by CAPT. P.I DONKOR (rtd)
• National Development Planning Commission, Ghana

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The National Development Document (GPRS)

• The Ghana Poverty Reduction Strategy GPRS I
  (2003-2005), reflected a policy framework that
  was directed primarily towards the attainment of
  the anti-poverty objectives including that of the
  UNs Millennium Development Goals (MDGs).
• Growth and Poverty Reduction Strategy GPRS II
  (2006-2009), is intended to introduce a shift of
  strategic focus, with an emphasis on the
  implementation of growth-inducing policies and
  programmes, which has the potential to support
  wealth creation and sustainable poverty
  reduction.

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POLICY INTERVENTIONS
GOAL OF THE GPRS
PRIORITIES FOR PRIVATE SECTOR COMPETIVENESS
HUMAN RESORUCE DEVELOPMENT
GOOD GOVERNANCE AND CIVIC RESPONSIBILITY
CROSS CUTTINGISSUES VULNERABILITY EXCLUSION,
SOCIAL PROTECTION ENVIRONMENT,
GENDER,EMPLOYMENT, HIV AIDS,MDGS, NEPAD ETC
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INDICATORS

• In all 120 priority indicators have been
  identified for monitoring and evaluation of the
  GPRS II
• 43 for private sector competitiveness,
• 35 for human resource development and
• 42 for good governance and civic responsibility
• 20 5 District indicators

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The National ME System

• The Legal mandate
• In Ghana, the RBME System focuses on observing
  the results directly from program/ project
  outputs.
• The system recognizes the entire results chain
  from inputs-outputs-outcomes and impacts
  indicators.
• Implementing this type of ME System allows the
  sectors/ key stakeholders to modify and make
  adjustments to the implementation processes in
  order to more directly support the achievement of
  desired outcomes and objectives.

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INSTITUTIONAL FRAMEWORK
GPRS M E
Technical Committee
Parliament Sub
-
com
Office of the
on Poverty
President
Development
Ghana Statistical
Partners
Service
NDPC
RPCU
RPCU
RPCU
M E
RPCU
RPCU
DIVISION
RPCU
from the 10 regions
RPCU
RPCU
2
3
1
RPCU
RPCU
RPCU
National Inter
-
agency
Poverty Monitoring
)
Groups (NIPMG) (5
RPCU
Research
4
5
Institutions
DPCU
DPCU
CSO / NGOs
Private
DPCU
NIPMG
Sector
KEY
MDA
Regional Planning coordinating Unit
MDA
RPCU
-
MDA
DPCU
-
District Planning Coordinating Unit
NDPC
-
National development Planning Commission
CSO
-
Civil Society Organization
NGO
-
-
Non
Governmental Organization
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ME AND POLITICAL DEMAND

• Political Commitment and leadership
• Office of the President
• Sector Ministers
• Performance Audit of Government Institutions

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THE ROLE OF ME IN GPRS II

• Provide information on whether a policy, program,
  or development strategy is being implemented as
  planned, and achieving its objectives
• Improve development effectiveness
• growth poverty reduction goals, targets,
  and indicators
• Strengthen performance orientation in public
  sector management
• focus on results, (outputs and outcomes)
• build demand for accountable and effective
  utilization of public funds based on the
  indicators
• Strengthen the impact of policies programmes on
  poverty levels

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ROLE OF ME IN THE BUDGET

• Use of policy recommendations from APRs to
  support policy advise and planning
• Use of performance review in the preparation of
  supplementary budget and budget decision making
• Reports Government output indicators and sector
  performance targets in budget statement

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OBJECTIVE OF MTEF

• The main objective of the MTEF is to improve the
  planning and budgeting of public expenditures and
  thus contribute to strengthened fiscal policy
  formulation and implementation.
• Thus the purpose of MTEF is to ensure that scarce
  resources are deployed to achieve Government
  objectives in the most effective manner.

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The MTEF process follows the Public Finance
Management Cycle illustrated below
1. POLICY ANALYSIS AND REVIEW - Review macroeconomic and sectoral policies Identify and estimate the expenditure implications of agreed policies. 2. RESOURCE PROJECTIONS AND ALLOCATION - Total resources are projected - Three year ceilings (abroad based and integrated) are updated 3. STRATEGIC PLAN AND BUDGET - Strategic plans are reviewed through stakeholder and SWOT analysis. - MDA budgets are prepared based on the strategic plans
6. EVALUATION - Perform variance analysis between planned and actual revenues and expenditures (activities, results and objectives) to evaluate budget 5. MONITORING AND ACCOUNTING Ensure funds are spent and results produced within plans and budget Ensure revenues are collected as planned Identify budget implementation problems, develop and implement solutions to address subsequent problems 4. BUDGET IMPLEMENTATION AND CONTROL Work plans and Cash flow forecasts (recsource requirements schedule) are prepared - MDAs begin spending
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Relationship Between The Medium-Term Expenditure
Framework and The GPRS II

• MDAs objectives are properly aligned to the
  strategic objectives of the GPRS II in the MTEF
• Outcomes in GPRS II are reflected in MDAs MTEF
  Budget with funds allocated to the outcomes
• Uses GPRS core national indicators and targets
• Assesses fund disbursement and utilization on
  programs and projects
• Reports on implementation progress

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LINK BETWEEN GPRS THE BUDGET
Sector GPRS 2003 TARGET () 2003 BUDGET() GPRS 2004 TARGET () 2004 BUDGET () GPRS 2005 TARGET() 2005 BUDGET ()
Administration 14.2 14.84 13.3 17.15 13.3 13.4
Economic 9.7 9.06 10.3 8.92 10.3 10.33
Infrastructure 17.2 15.53 19.1 10.93 19.1 16.8
Social 38.1 38.67 34.3 38.82 34.3 37.4
Public safety 11.1 11.52 9.0 11.67 9.0 6.9
Contingency Others 9.6 10.39 14.1 12.51 14.1 5.12
Totals 100 100 100 100.00 100 100
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DATA COLLECTION INSTRUMENTS

• Data collection instruments focus on three main
  issues. These are
• Indicator and Target achievements
• Resource Disbursement and Utilization
• Progress on implementation achievements and
  constraints

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The Annual Progress Report (APR)

• The key platform for reporting on progress
  towards the achievements of GPRS targets, as well
  as the outcomes and impact of government policies
• The impact of fiscal policy on sector and
  district performance
• The status of triggers and targets of the Poverty
  Reduction Support Credit (PRSC-4)/ Multi Donor
  budget Support (MDBS) initiatives
• The assessment of performance towards the
  attainment of the Millennium Development Goals
  (MDGs), APRM

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Database Management GhanaInfo

• National Development Planning Commission (NDPC)
  in collaboration with the Ghana Statistical
  Service (GSS) launched the GhanaInfo Database
  system in 2005.
• Management tool for ME

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GPRS Communication Strategy

• Disseminating the content of GPRS and APRs
  country-wide to inform and educate all
  stakeholders
• Soliciting stakeholders support and sense of
  ownership
• Collecting data for the preparation of next
  Annual Progress Report.

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EVALUATION

• Participatory Monitoring and Evaluation
• -Citizens Report Card
• PSIAs
• -Structured interview
• -Focus Group Discussions
• Evaluation of the GPRS I

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THE ROLE OF ME AT SECTOR DISTRICT LEVELS

• Guidelines for
• ME Plans
• Sector Annual Progress Reports
• District Annual Progress Reports
• Roles responsibilities for Managers

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CHALLENGES

• Assistance from DPs in building capacities at all
  levels
• Links with Civil Society Organizations
• Increased resources
• Improved incentives at all levels
• Evidence based ME

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CONCLUSION

• In conclusion, although the ME processes ensures
  cost-effectiveness. Institutional capacities
  should be strengthened in order to continue to
  measure results, promote good governance and
  accountability to the people of Ghana as well as
  credibility to our Partners and the Government.

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• THANK YOU