Publication: Uganda - Public Expenditure Review 2022-23: Module I - Identifying Broad Macro-Fiscal Options for an Effective and Sustainable Fiscal Adjustment
Loading...
Date
2024-04-18
ISSN
Published
2024-04-18
Author(s)
Editor(s)
Abstract
This module of the Public Expenditure Review (PER) sought to identify options for an effective and sustainable fiscal adjustment by considering key macroeconomic variables, fiscal policy priorities, spending trends, and Uganda’s overall development needs. It has, therefore, detailed Uganda’s macro-fiscal challenges and government’s current fiscal policy stance in relation to both the short-term shocks and longer-term structural issues such as demographics and structural transformation; outlined spending problems in key sectors (e.g., infrastructure and human development) and their impact on efficiency and effectiveness of fiscal policies; and provided an assessment of the broad options for expenditure rationalization and restructuring. The report summarizes the outcome of the analysis together with options for macro-fiscal adjustment and a action plan that includes broad expenditure rationalization measures and the quantification of potential fiscal savings. This module is the first of a four-module PER and is focused on selected aspects of fiscal policy management and outcomes with a view of supporting an effective and sustainable fiscal adjustment to a more inclusive growth agenda. this report is presented in four parts. Chapter 1 gives introduction and country context. Chapter 2 discusses the macro-fiscal developments and changes to overall fiscal management; chapter 3 assesses the expenditure trends and their implication on growth and social outcomes; and chapter 4 relays the results and implications of simulations of the options for fiscal adjustment, before concluding with the final remarks and recommendations.
Link to Data Set
Citation
“World Bank. 2024. Uganda - Public Expenditure Review 2022-23: Module I - Identifying Broad Macro-Fiscal Options for an Effective and Sustainable Fiscal Adjustment. © World Bank. http://hdl.handle.net/10986/41443 License: CC BY-NC 3.0 IGO.”
Associated URLs
Associated content
Other publications in this report series
Journal
Journal Volume
Journal Issue
Collections
Related items
Showing items related by metadata.
Publication Uganda - Public Expenditure Review 2022-23(Washington, DC: World Bank, 2024-04-18)This report focuses on Module II(a) related to raising fiscal space through efficiency improvements in public investment management (PIM). The report assessed the performance of the public investment program and how it can have contributed to the evolution of fiscal policy over the last decade. It therefore analyzed the performance of the capital budget and fiscal outcomes; outlined the gaps in public investment management and makes recommendations on the priorities for the next phase of PIM reforms to improve efficiency and create fiscal space. The diagnostic is based on information and evidence gathered through desk reviews of government documents and information gathered through interviews of a wide range of stakeholders within government, nongovernment organizations and academia, conducted during December of 2021 and April 2023.Publication Uganda - Public Expenditure Review 2022-23(Washington, DC: World Bank, 2024-04-18)This report presents a review of the intergovernmental fiscal transfer reforms program (IGFTRP) and its performance since 2015, as part of a broader Public Expenditure Review (PER) that aimed to explore avenues for improving efficiency effectiveness in cross cutting areas of service delivery. The report is based on extensive documentary review, analysis of available data on local government (LG) finances, fieldwork in selected LGs and consultations with national ministries, departments, and agencies (MDAs) involved in the management of the IGFTRP. Ministry of Finance, Planning, and Economic Development (MoFPED) provided data in various forms, and some data was publicly available at its website. It also includes data analysis on aspects of LG financing outside the IGFTRP system, but with implications to its delivery. These aspects include LG Own Source Revenues (OSR), Other Government Transfers (OGT) and External Finance that are captured by LG budgets and reports (available on the MoFPED website).Publication Uganda - Public Expenditure Review 2022-23(Washington, DC: World Bank, 2024-04-18)The Government of Uganda (GoU) with support from the World Bank Group has conducted a Public Expenditure Review (PER) of the health sector as part of the broader PER which also covers macro-fiscal adjustment, education, public investment management, and intergovernmental fiscal transfers. The overall PER seeks to provide evidence on the financing and spending in the country in order to inform the GoU on areas for fiscal savings and expenditure rationalization, raising the equity and efficiency of spending, rebalancing expenditures between hard infrastructure, investments in quality service delivery and human capital development, and strengthening institutional aspects of public financial management. The health component of the PER builds on four pieces of work that have previously been undertaken by the GoU with support from the World Bank that look at public spending on health, efficiency, resource mobilization, and service delivery. These are: (i) the 2008 PER that focused on affordability of pay reform and the health sector; (ii) the 2010 fiscal space for health analysis; (iii) the 2013 service delivery indicator survey in the health and education sectors; and (iv) the 2021 study on raising taxes for improving health in Uganda. The findings from these studies have been used to inform policy and planning. However, some challenges still persist which require more evidence for the GoU to design and implement the most appropriate interventions.Publication Uganda - Public Expenditure Review 2022-23(Washington, DC: World Bank, 2024-04-18)The Uganda Public Expenditure Review (PER) 2022-23 focused on selected aspects of fiscal policy management and outcomes with a view to supporting a fiscal adjustment to a more inclusive growth agenda. This report focuses on Module III (A) which is related to identifying options for enhancing spending efficiency and raising fiscal space to sustain and improve service delivery in Uganda’s education sector. The report assesses the evolution in spending in the education sector over the last decade. It delves into the efficiency, effectiveness, and equity of spending within the education sector, with a view to find ways of improving service provision within the sector.Publication Uganda - Public Expenditure Review 2022-23(Washington, DC: World Bank, 2024-04-18)This public expenditure review (PER) 2022-2023 identifies options for an effective, sustainable, and inclusive fiscal adjustment. It therefore details Uganda’s macro-fiscal challenges and government’s current fiscal policy stance in relation to both the short-term shocks and longer-term structural issues such as demographics and structural transformation; it outlines spending problems in key sectors (e.g., infrastructure and human development) and their impact on efficiency and effectiveness of fiscal policies; and it provides an assessment of the broad options for expenditure rationalization and restructuring. The PER is organized in four modules as follows: (i) Module I identifies broad options for an effective and sustainable fiscal adjustment; (ii) Module II identifies options for enhancing effectiveness, efficiency, and equity of spending in two areas critical for service delivery: (a) public investment management; and (b) the intergovernmental fiscal transfers (IGFT) system, that includes the plans and assumptions underpinning the medium-term plan (MTP) for financing of local service delivery; (iii) Module III identifies options for enhancing spending on human development, by delving into the efficiency, effectiveness, and equity of spending within the education and health sectors; and (iv) Module IV synthesizes the findings and recommendations into a summary report. Chapter 1 presents introduction. Chapter 2 presents identifying broad macro-fiscal options for an effective and sustainable fiscal adjustment. Chapter 3 presents the options for improving effectiveness, efficiency, and equity in critical areas of service delivery, focusing on the systems for intergovernmental fiscal transfers to local governments and management of public investments. Chapter 4 elaborates on the options for enhancing spending for human capital development, focusing on education and health, chapter 5 concludes.
Users also downloaded
Showing related downloaded files
Publication World Development Report 2023: Migrants, Refugees, and Societies(Washington, DC : World Bank, 2023-04-25)Migration is a development challenge. About 184 million people—2.3 percent of the world’s population—live outside of their country of nationality. Almost half of them are in low- and middle-income countries. But what lies ahead? As the world struggles to cope with global economic imbalances, diverging demographic trends, and climate change, migration will become a necessity in the decades to come for countries at all levels of income. If managed well, migration can be a force for prosperity and can help achieve the United Nations’ Sustainable Development Goals. World Development Report 2023 proposes an innovative approach to maximize the development impacts of cross-border movements on both destination and origin countries and on migrants and refugees themselves. The framework it offers, drawn from labor economics and international law, rests on a “Match and Motive Matrix” that focuses on two factors: how closely migrants’ skills and attributes match the needs of destination countries and what motives underlie their movements. This approach enables policy makers to distinguish between different types of movements and to design migration policies for each. International cooperation will be critical to the effective management of migration.Publication World Development Report 2024(Washington, DC: World Bank, 2024-08-01)Middle-income countries are in a race against time. Many of them have done well since the 1990s to escape low-income levels and eradicate extreme poverty, leading to the perception that the last three decades have been great for development. But the ambition of the more than 100 economies with incomes per capita between US$1,100 and US$14,000 is to reach high-income status within the next generation. When assessed against this goal, their record is discouraging. Since the 1970s, income per capita in the median middle-income country has stagnated at less than a tenth of the US level. With aging populations, growing protectionism, and escalating pressures to speed up the energy transition, today’s middle-income economies face ever more daunting odds. To become advanced economies despite the growing headwinds, they will have to make miracles. Drawing on the development experience and advances in economic analysis since the 1950s, World Development Report 2024 identifies pathways for developing economies to avoid the “middle-income trap.” It points to the need for not one but two transitions for those at the middle-income level: the first from investment to infusion and the second from infusion to innovation. Governments in lower-middle-income countries must drop the habit of repeating the same investment-driven strategies and work instead to infuse modern technologies and successful business processes from around the world into their economies. This requires reshaping large swaths of those economies into globally competitive suppliers of goods and services. Upper-middle-income countries that have mastered infusion can accelerate the shift to innovation—not just borrowing ideas from the global frontiers of technology but also beginning to push the frontiers outward. This requires restructuring enterprise, work, and energy use once again, with an even greater emphasis on economic freedom, social mobility, and political contestability. Neither transition is automatic. The handful of economies that made speedy transitions from middle- to high-income status have encouraged enterprise by disciplining powerful incumbents, developed talent by rewarding merit, and capitalized on crises to alter policies and institutions that no longer suit the purposes they were once designed to serve. Today’s middle-income countries will have to do the same.Publication World Development Report 2012(World Bank, 2012)The main message of this year's World development report: gender equality and development is that these patterns of progress and persistence in gender equality matter, both for development outcomes and policy making. They matter because gender equality is a core development objective in its own right. But greater gender equality is also smart economics, enhancing productivity and improving other development outcomes, including prospects for the next generation and for the quality of societal policies and institutions. Economic development is not enough to shrink all gender disparities-corrective policies that focus on persisting gender gaps are essential. This report points to four priority areas for policy going forward. First, reducing gender gaps in human capital-specifically those that address female mortality and education. Second, closing gender gaps in access to economic opportunities, earnings, and productivity. Third, shrinking gender differences in voice and agency within society. Fourth, limiting the reproduction of gender inequality across generations. These are all areas where higher incomes by themselves do little to reduce gender gaps, but focused policies can have a real impact. Gender equality is at the heart of development. It's the right development objective, and it's smart economic policy. The World development report 2012 can help both countries and international partners think through and integrate a focus on gender equality into development policy making and programming.Publication World Bank Annual Report 2024(Washington, DC: World Bank, 2024-10-25)This annual report, which covers the period from July 1, 2023, to June 30, 2024, has been prepared by the Executive Directors of both the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA)—collectively known as the World Bank—in accordance with the respective bylaws of the two institutions. Ajay Banga, President of the World Bank Group and Chairman of the Board of Executive Directors, has submitted this report, together with the accompanying administrative budgets and audited financial statements, to the Board of Governors.Publication Western Balkans 6 Country Climate and Development Report(Washington, DC: World Bank Group, 2024-07-16)This Regional Western Balkans Countries Climate and Development Report (CCDR) stands out in several ways. In a region that often lacks cohesive regional alliances, this report emphasizes how the challenges faced across countries are often common and interconnected, and, importantly, that climate action requires coordination on multiple fronts. Simultaneously, it illustrates the differences across countries, places, and people that require targeted strategies and interventions. This report demonstrates how shocks and stressors re intensifying and how investments in adaptation could bring significant benefits in the form of avoided losses, accelerated economic potential, and amplified social and economic spillovers. Given the region’s high emission and energy intensity and the limitations of its current fossil fuel-based development model, the report articulates a path to greener and more resilient growth, a path that is more consistent with the aspiration of accession to the EU. The report finds that the net zero transition can be undertaken without compromising the economic potential of the Western Balkans and that it could lead to higher growth than under the Reference Scenario (RS) with appropriate structural reforms.