The road to reform .. Improving the management of public funds

2/11/2018

Adnan al-Kinani
The management of public funds is the fundamental objective of the desired economic reform, as it has a significant impact on the promotion of development in all economies of the States.


In this context, the state budget is defined as one of the main economic instruments for allocating a large part of the nation's GDP and policy priorities through allocation of funds. In light of this, the basic operations of ministries and government bodies are determined in the context of the general budget.

In general, the state budget is the structure on which government decision-making and accountability are based. It is an important instrument for promoting the growth of a market-based economy and long
-term financial sustainability .

There are major challenges that need to be addressed:

1. Improving transparency:
how to deal with inadequate state budget transparency and lack of inclusiveness in planning more complex financial management, including the performance-based budget, Introduce reforms in the general budget in an institutional manner.

2 - Improving the transparency and comprehensiveness of the state budget in relation to the legal framework of the general budget system, accounting systems, classification and reporting, as well as spending outside the public budget, and coordinating the mechanisms of foreign and international aid spending with
tax expenditure .

3. Improving the capacity in the areas of oversight of the House of Representatives to spend and use the budget planning for the purposes of program development and development beyond the task of accounting as well as planning the budget and economic planning to improve implementation and use of modern cash management systems for the management and inventory of assets and the management of government procurement.

The proper use of previous and subsequent controls and the conversion of the state budget process into an electronic system to facilitate the delegation of funds management.

The management of activities that have been assigned to others, and the administration of a public budget that will last for several years.

4 - Emphasize the need to link the state budget to national development goals and mechanisms of implementation, including tax expenditures, foreign aid and handling mechanisms asset inventories, and management of public resources forecasting and decision - making systems, which requires greater transparency in procurement systems, and improve parliamentary oversight of the
budget process .

Improving accountability requires combating corruption in terms of public budget resources and increasing the system's ability to self-control to build internal credibility in the mechanisms of public budget oversight and implementation, including tax and
foreign aid expenditures.

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