Public Sector Budget Management

Budget management is becoming an increasingly important fiscal tool in the public sector. The introduction of modern fiscal management techniques at all levels of government is needed to ensure that the three objectives of expenditure management (aggregate fiscal discipline, expenditure prioritization, and operational efficiency) are achieved.

At the central or federal government level, three global trends are emerging in fiscal management: placement of the budget process in the context of a medium term budget strategy, devolution of budget responsibilities, and the introduction of performance-based budget techniques. The International Studies Program has been at the forefront of supporting budgetary reforms in transitional and developing economies, providing guidance on the introduction of multi-year budgeting techniques in transitional and developing economies.

At the subnational level, concerns related to the budget process are often of a different nature. Recent fiscal decentralization policies in many countries have increased the fiscal importance of regional and local governments within the public sector. Therefore, an important public policy concern in many transitional and developing economies is the enhancement of the capacity of subnational governments to manage their budgets. The International Studies Program provides comprehensive training programs in budget techniques and accounting principles for regional and local government budget officials from transitional and developing economies.