Topic Guide: the Budget Process

Curbing corruption in public financial management in francophone West African countries. Martini, M., 2014. http://www.transparency.org/fi...  

The paper analyses how in francophone West Africa, a wide range of reforms and initiatives have been implemented to improve the budget process, ensure more responsible budget execution, better manage resources collected and ensure proper oversight. Results, however, are very mixed for many of these reforms, some of which are long-term endeavours so it is still to be seen whether they will have the intended impact on corruption. Positive results so far have been achieved in a few areas, such as the introduction of single treasury accounts and integrated public financial management frameworks, which have helped to enhance transparency and accountability and consequently reduce the opportunities for corruption. Other promising practices include the involvement and participation of civil society in both planning and oversight.  

Transparency in budget execution. Martini, M., 2014.http://www.transparency.org/files/content/corruptionqas/Transparency_in_budget_execution_2014.pdf  

The paper lists country case studies showing that transparency in the execution of a budget can significantly improve efficiency, prevent fraud and corruption, and help to identify potential wrongdoing and leaks. Evidence shows that the publication of budget execution data online has proven instrumental to uncovering corruption schemes and punishing those involved. This is the case in Brazil, where the Transparency Portal enables civil society organisations, the media, public officials and citizens to monitor and verify how the budget is being executed. The portal, which required relatively low investment to be developed, contains information on government revenues and expenditures, procurement processes, and federal transfers to municipalities and states, and more.    

Influence of interest groups on policy making. Martini, M., 2012.http://www.transparency.org/wh...  

While not focusing on PFM, or the budget adoption process in particular, the paper provides an insight into corruption risks related to lobbying and decision-making processes in parliament. While interest groups’ influence on policy making is not a corrupt or illegitimate activity per se, disproportionate and opaque interest group influence may lead to administrative corruption, undue influence and state-capture, favouring particular interest groups at the expense of public interest. This answer thus provides examples on measures taken by East and South-East Asian countries to increase transparency and accountability and avoid undue influence and other forms of corruption, and best examples on regulating lobbying, focusing on the United States, Canada, and the European Union.  

The implementation of integrated financial information management systems (IFMIS). Chêne, M., Helpdesk Answer, U4 Anti-Corruption Resource Centre, 2009. http://www.u4.no/publications/the-implementation-of-integrated-financial-management-systems-ifmis/downloadasset/393  

Emerging information and communication technology (ICT) can play an important role in fighting corruption in public finance systems by promoting greater comprehensiveness and transparency of information across government institutions. Yet, experience shows that IFMIS projects tend to stall in developing countries as they face major institutional, political, technical and operational challenges. Case studies of more successful countries indicate that factors supporting successful implementation include clear commitment of the relevant authorities to financial reform objectives, ICT readiness, sound project design, a phased approach to implementation, project management capability, as well as adequate resources and human resource capacity allocated to the project.