World Bank2016-08-022016-08-022016-03https://hdl.handle.net/10986/24757Since the Constitution (2005) provided for decentralizing powers and functions for the Governorates, the government of Iraq has enacted several legal, policy, and institutional reform initiatives, the intent of which is to shift political and administrative powers and responsibilities from the Central Government to the Governorates. The legal and policy framework for decentralization is yet to be followed through with efficient implementation. The Government of Iraq and the World Bank will like to assess the current status of decentralization and its implications for improving service delivery at the Governorate level. The objective of the assessment is to take stock of the current state of decentralization in Iraq with a view to identifying factors that contribute to weak service delivery performance at the governorate level. The assessment will also make recommendations for policy and process reforms that are deemed necessary to moving forward the decentralization process, thereby helping to improve service delivery performance by the Governorates. The assessment was carried out through a combination of desk reviews and field level consultations. This assessment provides a snapshot of the current status of the decentralization process. It identifies policy and process reform measures that are necessary to strengthen service delivery by the 15 Governorates of Iraq. Strengthening local accountability should be the key to strengthening the service delivery performance of the Governorates.en-USCC BY 3.0 IGOPOLICY GOALSREVENUE SHARINGREVENUE SHORTFALLSBUDGET CYCLEGOVERNMENT EXPENDITURESGOVERNORCENTRAL GOVERNMENT AGENCIESPOLICY REFORMSREVENUE MOBILIZATIONCITYPOLICY FRAMEWORKADMINISTRATIVE DECENTRALIZATIONMEDIUM-TERM EXPENDITUREREVENUE ALLOCATIONPROVINCIAL BUDGETFISCAL TRANSFERSLOCAL GOVERNMENTSCURRENT EXPENDITURESFINANCIAL RESOURCESLOCAL REVENUERESOURCE ALLOCATIONTAX COLLECTIONTAX BASESCENTRAL BUDGETREVENUESPOLITICAL DECENTRALIZATIONREVENUE ALLOCATIONSPROVINCESTAX AUTHORITYPROVINCIAL FINANCIAL MANAGEMENTPUBLIC ASSETSPROVINCIAL UNITSTAXCITIESTAX PAYMENTFEDERAL REVENUESBUDGET FORMULATIONCENTRAL GOVERNMENT REVENUESEFFICIENT USECITY CENTERSREVENUE SOURCESPUBLIC FINANCIAL MANAGEMENTMUNICIPALITIESFISCAL CONSTRAINTSREVENUE ASSIGNMENTMEDIUM-TERM EXPENDITURE FRAMEWORKCENTRAL AUTHORITIESSUBNATIONALBUDGET ALLOCATIONSMINISTRYCOMMUNITY DEVELOPMENTMINISTRY OF HEALTHREVENUE CAPACITYDISTRICT LEVELSREVENUE BASECENTRAL GOVERNMENT BUDGETMINISTRY OF INTERIORFEDERAL BUDGET ALLOCATIONSREVENUE SOURCEDISTRICTPROVINCIAL GOVERNMENTBUDGET EXECUTIONTRANSFERSPROVINCIAL FINANCEMINISTRIESPROVINCIAL PAYROLLCENTRALIZATIONEXPENDITURE MANAGEMENTCENTRAL GOVERNMENTSPOLICY PRIORITYSUBNATIONAL GOVERNMENTPROVINCIAL LEVELPUBLIC EXPENDITURE REVIEWDISTRICT LEVELMEDIUM-TERM ACTIONSPROVINCIAL BANKREVENUE AUTHORITYALLOCATION OF RESOURCESCENTRAL MINISTRIESEXPENDITURE ADJUSTMENTSPUBLIC INVESTMENTFEDERAL POWERSINFRASTRUCTURETAXESPROVINCIAL BUDGETSEXPENDITUREPROVINCIAL COUNCILSEQUITYSUBNATIONAL EXPENDITUREFEDERAL INVESTMENTFEDERAL LEGISLATIONCENTRAL CONTROLCENTRAL GOVERNMENT MINISTRIESPUBLIC EXPENDITUREBUDGET PROCESSPROVINCEPOLICY MAKERSPROVINCIAL DEVELOPMENTDISTRICT COUNCILSFEDERAL BUDGETMEDIUM-TERM BUDGETINGMINISTRY OF EDUCATIONPUBLIC BUDGETCENTRAL GOVERNMENTMINISTRY OF LABORCENTRAL GOVERNMENT OFFICIALSPROVINCIAL COUNCILFEDERAL MINISTRYREVENUE CONTRIBUTIONSPROVINCIAL ADMINISTRATIONSEXPENDITURESTAX RATESINTERGOVERNMENTAL FISCAL TRANSFERSFEDERAL MINISTRIESPUBLIC DEBTREVENUE COLLECTIONSSECTOR MINISTRIESREVENUE COLLECTIONPROVINCIAL PAYROLLSREVENUE ASSIGNMENTSPOLITICAL ACCOUNTABILITYMUNICIPALITYFEDERAL LAWPUBLIC FINANCIAL RESOURCESCENTRAL MANAGEMENTPUBLIC EXPENDITURE MANAGEMENTFISCAL PROJECTIONSFISCAL STABILITYMINISTRY OF FINANCEFISCAL MANAGEMENTPOVERTYCONSTITUTIONAL MANDATESUBNATIONAL GOVERNMENTSCENTRAL GOVERNMENT MINISTRYPROVINCIAL GOVERNMENTSDECENTRALIZATIONFEDERALISMREVENUE ESTIMATESPROVINCIAL GOVERNORLOCAL EXPENDITUREREVENUEPOLICY OBJECTIVESINEFFICIENCIESCENTRAL TREASURYCAPITAL EXPENDITURESGOVERNORSPROVINCIAL TREASURYCOMMUNITYSUBNATIONAL AUTHORITYGOVERNMENT MINISTRIESPUBLIC SPENDINGFEDERAL INVESTMENT BUDGETFEDERAL FUNDSSUBNATIONAL FINANCEFISCAL DECENTRALIZATIONFEDERAL LAWSDISTRICTSPOLICY CHANGESCENTRAL MINISTRYINTERGOVERNMENTAL FISCAL RELATIONSFISCAL TRANSFERSUBNATIONAL ENTITIESREVENUE FLUCTUATIONSPROVINCIAL INVESTMENTReportWorld Bank10.1596/24757