Publication: Subnational Budget Process and Practices in Nepal : Findings and Observations from an Assessment in Three Pilot Districts
Loading...
Date
2014-01
ISSN
Published
2014-01
Author(s)
Editor(s)
Abstract
Nepal embarked on a process of decentralization, first through the 1999 Local Self Governance Act, which introduced major policy reforms to devolve decision-making power to local bodies, and later through its 2007 interim constitution, which abol¬ished a feudal state structure and established a federal system of governance that prioritized local government. These reforms presented an important opportunity to not only improve efficiency but also engage citizens at the subnational level. However, they have not yet translated into a more efficient use of budget resources at the subnational level or enhanced citizen under¬standing of budget processes. It was in this context that the Budget Transparency Initiative (BTI) piloted an innovative approach in 2011 to simplify, analyze, and disclose budgets at the subnational level and to build awareness and capacity among government officials and citizens that could promote a public dialogue around public expenditures through social accountability approaches. In this context, under the aegis of the BTI, a study was conducted in 2011 to assess the gaps between policies and actual implementation of the budget at the subnational level in three pilot districts in Nepal Kaski, Dolakha, and Nawalparasi. nalysis from the study, in-depth interviews, and focus group discussions revealed several gaps between policy and prac¬tice in subnational budget formulation and execution processes, such as the predominance of top-down processes, lack of cost-benefit analyses in budget allocation decisions, delays in communication of budget ceilings and release of allocations, and capture of user committees. This note describes the institutional framework underlying this context, outlines the methodology used, and presents key findings and observations from the study.
Link to Data Set
Citation
“World Bank. 2014. Subnational Budget Process and Practices in Nepal : Findings and Observations from an Assessment in Three Pilot Districts. © http://hdl.handle.net/10986/20086 License: CC BY 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 A Review of World Bank Support for Accountability Institutions in the Context of Governance and Anticorruption(World Bank, Washington, DC, 2011-12)The focus of this paper is on the institutions outside the executive branch that include supreme audit institutions, legislative oversight bodies (such as parliamentary public accounts and budget committees, and ombudsmen), related independent bodies, and civil society organizations. Through their support for accountability, donor countries and international financial institutions seek to help countries: promote voice and accountability as an intrinsic human right, and improve development outcomes in terms of poverty reduction, sustainable development. The report is organized as: first, provide a brief literature review of research on accountability, and how donors and other actors can work to improve it, including a review of the experience of other bilateral and multilateral donors in supporting domestic accountability through their policies, strategies, and behaviors as well as through direct support to accountability actors and systems. Second, briefly review the guidance prepared for Bank staff toward enhancing accountability. Third, review some examples of the Bank's experience in supporting domestic accountability. Finally, we present some conclusions and accountability-related questions for further analysis.Publication Mongolia : The Political Economy of the Resource Paradox, Synthesis Note(Washington, DC, 2009-09)This report discusses Mongolia's increasing dependence on mining revenues and the associated vulnerability to boom and bust economic cycles, and calls for special attention to governance in mining resource management. It seeks to identify can be learned from the experiences of other mineral dependent countries that have succeeded in converting their mineral endowment into broadly shared growth, as well as from those that have not. A challenge for the Bank is to be able to formulate good reform solutions which fit the country's' implementation capacity, and are flexible enough to respond to changing country dynamics. The Bank could modify its support better correspond to Mongolia's realities, such as taking into account concerns that by entering into an investment agreement, the government will lose the ability to influence or veto decisions that negatively impact national security. The report looks at the Public Investment Program, focusing on the principles of development oriented investments, and what this would imply across sectors, by taking into account the policymaker's concern that public procurement of public investment projects must disburse quickly, so that procurement efficiency is improved.Publication The Political Economy of Social Accountability in Nepal(World Bank, Washington, DC, 2011)The World Bank has introduced a new Program for Accountability in Nepal (PRAN) to enhance the capacities of civil society and government actors to utilize social accountability approaches and tools. This political economy study seeks to inform the PRAN by identifying the strengths and opportunities as well as risks and obstacles for social accountability initiatives in Nepal. It includes recommendations for managing and addressing these issues. The study is based on primary and secondary research conducted from September 2010 to February 2011. The research methodology utilized for this study was three-fold. First, a literature review was undertaken including in-country laws, policies and regulations, as well as a range of studies and articles on issues of relevance to social accountability in Nepal. A bibliography of these materials is attached as annex one. Second, semi-structured interviews were conducted with key civil society leaders, non-governmental organization (NGO) staff, journalists, academics, government officials, and citizens. A list of people interviewed and guiding questions are attached as annex two. Third, the research team made field visits to the eastern and western regions of the country to observe social accountability initiatives and interview local stakeholders. In total 75 people were interviewed, including 12 civil society leaders. Focus group discussions with citizens were also conducted in Ilam, Dhankuta, Itahari, and Palpa. The first section of the paper provides a brief historical overview of political development in Nepal, and highlights how these historical legacies influence current day citizen-state relations and accountability relationships. Section two analyzes the legislative and institutional framework for social accountability in Nepal. The third section of the paper analyzes a range of contextual factors influencing social accountability in Nepal. Section four identifies citizen information, citizen voice, and collective action as three key elements of social accountability in Nepal, and discusses current strengths and weaknesses with regard to each of them. Section five of the paper looks at each one of the PRAN's three focal areas - public financial management, municipal governance, and community-based monitoring and evaluation of public services. Finally, section six outlines conclusions and recommendations for promoting social accountability in Nepal.Publication Romania - Functional Review : Center of government(Washington, DC, 2010-10)The medium-term objective of this review of the Center of Government (CoG) is to improve the Government's policy performance by strengthening Romania's policy process and policy institutions. The objective of the review will be accomplished by identifying short- and medium-term measures to strengthen central capacity to deliver high quality policy management to the Prime Minister and government and effectively coordinate policy with other central institutions and line ministries. Four critical success factors will signal effective implementation: 1. Decision makers will focus increasingly on strategic rather than legal or administrative issues; 2. Sound policy formulation will precede and guide legal drafting; 3. GSG will be empowered by the Prime Minister to enforce the rules and assure the quality of ministry proposals; and 4. The central institutions responsible for public policy and public finance management will work collaboratively to provide coherent, high quality support to the GoR. 2. The CoG review seeks to engage Romania's decision makers in these deliberations and, ultimately, in a concerted effort to improve Romania's policy performance.Publication OED Review of the Poverty Reduction Strategy Process : Albania Case Study(World Bank, Washington, DC, 2004-07-06)This report analyzes the experience of Albania with the Poverty Reduction Strategy Paper (PRSP) process. The focus of the report is on evaluating the performance of the World Bank in supporting the PRSP initiative, not on appraising the authorities policies. The main emphasis of the report is on the formulation and implementation of the PRSP until March 2003, but it does cover elements of the PRSP Progress Report which was completed following the evaluation team s mission to Albania. The report is structured as follows: Section B describes the country context including, political and economic background, the poverty profile, and key constraints for development. Section C addresses the PRS Process in its entirety and includes an assessment of the relevance of the PRSP for Albania and its consistency with the underlying principles of the initiative. Section D assesses the World Bank s support to the process. Finally, section E summarizes the main points of the assessment and attempts to draw lessons of more general applicability.
Users also downloaded
Showing related downloaded files
Publication Remarks at the United Nations Biodiversity Conference(World Bank, Washington, DC, 2021-10-12)World Bank Group President David Malpass discussed biodiversity and climate change being closely interlinked, with terrestrial and marine ecosystems serving as critically important carbon sinks. At the same time climate change acts as a direct driver of biodiversity and ecosystem services loss. The World Bank has financed biodiversity conservation around the world, including over 116 million hectares of Marine and Coastal Protected Areas, 10 million hectares of Terrestrial Protected Areas, and over 300 protected habitats, biological buffer zones and reserves. The COVID pandemic, biodiversity loss, climate change are all reminders of how connected we are. The recovery from this pandemic is an opportunity to put in place more effective policies, institutions, and resources to address biodiversity loss.Publication Global Economic Prospects, January 2025(Washington, DC: World Bank, 2025-01-16)Global growth is expected to hold steady at 2.7 percent in 2025-26. However, the global economy appears to be settling at a low growth rate that will be insufficient to foster sustained economic development—with the possibility of further headwinds from heightened policy uncertainty and adverse trade policy shifts, geopolitical tensions, persistent inflation, and climate-related natural disasters. Against this backdrop, emerging market and developing economies are set to enter the second quarter of the twenty-first century with per capita incomes on a trajectory that implies substantially slower catch-up toward advanced-economy living standards than they previously experienced. Without course corrections, most low-income countries are unlikely to graduate to middle-income status by the middle of the century. Policy action at both global and national levels is needed to foster a more favorable external environment, enhance macroeconomic stability, reduce structural constraints, address the effects of climate change, and thus accelerate long-term growth and development.Publication Digital Progress and Trends Report 2023(Washington, DC: World Bank, 2024-03-05)Digitalization is the transformational opportunity of our time. The digital sector has become a powerhouse of innovation, economic growth, and job creation. Value added in the IT services sector grew at 8 percent annually during 2000–22, nearly twice as fast as the global economy. Employment growth in IT services reached 7 percent annually, six times higher than total employment growth. The diffusion and adoption of digital technologies are just as critical as their invention. Digital uptake has accelerated since the COVID-19 pandemic, with 1.5 billion new internet users added from 2018 to 2022. The share of firms investing in digital solutions around the world has more than doubled from 2020 to 2022. Low-income countries, vulnerable populations, and small firms, however, have been falling behind, while transformative digital innovations such as artificial intelligence (AI) have been accelerating in higher-income countries. Although more than 90 percent of the population in high-income countries was online in 2022, only one in four people in low-income countries used the internet, and the speed of their connection was typically only a small fraction of that in wealthier countries. As businesses in technologically advanced countries integrate generative AI into their products and services, less than half of the businesses in many low- and middle-income countries have an internet connection. The growing digital divide is exacerbating the poverty and productivity gaps between richer and poorer economies. The Digital Progress and Trends Report series will track global digitalization progress and highlight policy trends, debates, and implications for low- and middle-income countries. The series adds to the global efforts to study the progress and trends of digitalization in two main ways: · By compiling, curating, and analyzing data from diverse sources to present a comprehensive picture of digitalization in low- and middle-income countries, including in-depth analyses on understudied topics. · By developing insights on policy opportunities, challenges, and debates and reflecting the perspectives of various stakeholders and the World Bank’s operational experiences. This report, the first in the series, aims to inform evidence-based policy making and motivate action among internal and external audiences and stakeholders. The report will bring global attention to high-performing countries that have valuable experience to share as well as to areas where efforts will need to be redoubled.Publication Economic Recovery(World Bank, Washington, DC, 2021-04-06)World Bank Group President David Malpass spoke about the world facing major challenges, including COVID, climate change, rising poverty and inequality and growing fragility and violence in many countries. He highlighted vaccines, working closely with Gavi, WHO, and UNICEF, the World Bank has conducted over one hundred capacity assessments, many even more before vaccines were available. The World Bank Group worked to achieve a debt service suspension initiative and increased transparency in debt contracts at developing countries. The World Bank Group is finalizing a new climate change action plan, which includes a big step up in financing, building on their record climate financing over the past two years. He noted big challenges to bring all together to achieve GRID: green, resilient, and inclusive development. Janet Yellen, U.S. Secretary of the Treasury, mentioned focusing on vulnerable people during the pandemic. Kristalina Georgieva, Managing Director of the International Monetary Fund, focused on giving everyone a fair shot during a sustainable recovery. All three commented on the importance of tackling climate change.Publication Media and Messages for Nutrition and Health(World Bank, Washington, DC, 2020-06)The Lao People’s Democratic Republic (Lao PDR) has experienced rapid and significant economic growth over the past decade. However, poor nutritional outcomes remain a concern. Rates of childhood undernutrition are particularly high in remote, rural, and upland areas. Media have the potential to play an important role in shaping health and nutrition–related behaviors and practices as well as in promoting sociocultural and economic development that might contribute to improved nutritional outcomes. This report presents the results of a media audit (MA) that was conducted to inform the development and production of mass media advocacy and communication strategies and materials with a focus on maternal and child health and nutrition that would reach the most people from the poorest communities in northern Lao PDR. Making more people aware of useful information, essential services and products and influencing them to use these effectively is the ultimate goal of mass media campaigns, and the MA measures the potential effectiveness of media efforts to reach this goal. The effectiveness of communication channels to deliver health and nutrition messages to target beneficiaries to ensure maximum reach and uptake can be viewed in terms of preferences, satisfaction, and trust. Overall, the four most accessed media channels for receiving information among communities in the study areas were village announcements, mobile phones, television, and out-of-home (OOH) media. Of the accessed media channels, the top three most preferred channels were village announcements (40 percent), television (26 percent), and mobile phones (19 percent). In terms of trust, village announcements were the most trusted source of information (64 percent), followed by mobile phones (14 percent) and television (11 percent). Hence of all the media channels, village announcements are the most preferred, have the most satisfied users, and are the most trusted source of information in study communities from four provinces in Lao PDR with some of the highest burden of childhood undernutrition.