World Bank2013-08-292013-08-292001-06-28https://hdl.handle.net/10986/15506As a highly indebted poor country, Honduras faces a dual challenge of reducing poverty while ensuring medium-term sustainability of its public spending to avoid recurrence of over indebtedness. This Public Expenditure Review (PER) is intended to contribute to the government's overall poverty reduction efforts through efficient use of public resources and fiscally sustainable improvement in public services. It provides an assessment of Honduras' institutional capacity for good expenditure management and identifies key policy priorities in selected sector (health, education, and infrastructure). A good institutional arrangement of effective public expenditure management requires achieving the three inter-related objectives of aggregate fiscal discipline, allocation of resources to strategic priorities, and operational efficiency. One of the problems in Honduras' public expenditure management that can be tackled immediately is the need for improvement in the budget classification system for better fiscal transparency. Besides, a medium-term expenditure framework (MTEF) is useful to guide budgetary decision-making that balances medium-term fiscal affordability/sustainability and strategic priorities of policies and expenditure programs. This report presents an illustration that emphasizes developing a MTEF for personnel expenditures, whose control is critical for fiscal sustainability and the government's ability to fund other critical spending item for poverty reduction.en-USCC BY 3.0 IGOACCOUNTABILITYADMINISTRATIVE FUNCTIONSADMINISTRATIVE OFFICESAGGREGATE FISCAL DISCIPLINEAGGREGATE SPENDINGAIRPORTSAVERAGE LEVELBUDGET PROCESSBUDGET SYSTEMBUDGETARY INSTITUTIONSBUDGETARY RESOURCESBUREAUCRACYCENTRAL GOVERNMENTCENTRAL GOVERNMENT SPENDINGCLINICSCOST RECOVERYCURRENCY UNITDEBTDEBT SERVICEDECENTRALIZATIONDECISION-MAKINGDEFICITSECONOMIC COOPERATIONECONOMIC GROWTHEDUCATIONEDUCATIONAL ATTAINMENTELECTRICITYEXCHANGE RATEEXECUTIONEXERCISESEXPENDITURE DATAEXPENDITURE GROUPFINANCIAL MANAGEMENTFISCALFISCAL CONTROLFISCAL COSTSFISCAL DISCIPLINEFISCAL MANAGEMENTFISCAL POLICYFISCAL SUSTAINABILITYGOVERNMENT AGENCYGOVERNMENT REVENUEHEALTHHEALTH CAREHEALTH INSURANCEHEALTH OUTCOMESHEALTH SERVICEHEALTH SPENDINGHEALTH STATUSHOSPITALIZATIONHOUSEHOLD INCOMEHOUSEHOLD SURVEYHUMAN RESOURCESILLITERACYINSTITUTIONAL ARRANGEMENTSINSTITUTIONAL CAPACITYINSTITUTIONAL CONSTRAINTSINSTITUTIONAL MECHANISMINSTITUTIONAL MECHANISMSINSTITUTIONAL OBSTACLESINSTITUTIONAL REFORMSINSTITUTIONAL WEAKNESSESINSURANCELABOR UNIONSLEGAL FRAMEWORKLIFE EXPECTANCYMACROECONOMIC STABILITYMANAGERSMIGRATIONMINISTRY OF FINANCEMORTALITYPOLITICAL PARTIESPOOR COUNTRIESPOVERTY REDUCTIONPOVERTY REDUCTION GOALSPOVERTY REDUCTION STRATEGYPRIMARY EDUCATIONPRIMARY SCHOOLPRIMARY SCHOOLSPRIVATE SECTORPRIVATE SECTOR PARTICIPATIONPUBLIC ADMINISTRATIONPUBLIC EDUCATIONPUBLIC EXPENDITUREPUBLIC EXPENDITURE MANAGEMENTPUBLIC EXPENDITURE REVIEWPUBLIC EXPENDITURESPUBLIC HEALTHPUBLIC INVESTMENTPUBLIC INVESTMENT IN INFRASTRUCTUREPUBLIC OPINIONPUBLIC RESOURCESPUBLIC SECTORPUBLIC SECTOR DEFICITPUBLIC SECTOR EMPLOYMENTPUBLIC SECTOR WAGESPUBLIC SERVICESPUBLIC SPENDINGREDUCING POVERTYREGULATORY BODYRESOURCE ALLOCATIONROADSRURAL POORRURAL POPULATIONSCHOOLSSECTOR STRUCTURESSERVICE DELIVERYSERVICE PROVISIONSERVICE QUALITYSHORT TERMSOCIAL EXPENDITURESOCIAL PROGRAMSSOCIAL SECTORSOCIAL SECTORSSOCIAL SECURITYSOCIAL SERVICESSUSTAINABILITY ANALYSISTARGETING PERFORMANCETAXTRANSPARENCYVACCINATIONWORKERSWORKPLACE PUBLIC EXPENDITURESFISCAL SUSTAINABILITYPUBLIC SECTORPUBLIC EXPENDITURES FOR HEALTHPUBLIC EXPENDITURES FOR EDUCATIONINFRASTRUCTUREINSTITUTIONAL CAPACITYBUDGETARY PROCESSEQUITABLE ACCESSACCESS TO HEALTH CAREACCESS TO HEALTH SERVICESPOVERTY REDUCTIONPERSONNEL EXPENDITURESALLOCATION OF RESOURCESMEDIUM TERM PLANSHEAVILY INDEBTED POOR COUNTRIESBUDGET IMPLEMENTATIONGOVERNANCEPRIVATE SECTOR DEVELOPMENTQUALITY OF EDUCATIONSTRATEGIC PLANNINGWorld Bank10.1596/15506