…urges sector heads to redouble efforts on budget implementation

FINANCE Minister, Winston Jordan on Thursday opened a sensitisation training programme for Budget 2019, telling heads of agencies that spending money calls for diligence even as he urged them to redouble their efforts to deliver goods and services of a sufficient quantity, quality and timeliness.

The training programme is being held at the Arthur Chung Convention Centre. Jordan told the participants that the start of the National Budget Cycle is an important milestone in the financial calendar of the country, noting that Budget 2019 represents the fifth and penultimate budget of the coalition administration’s first term in office and the third consecutive year that it will be presented to the National Assembly ahead of the start of the financial year.

“It is therefore an opportune time for us to take stock of the results that we have achieved or not achieved and to redouble our efforts to deliver goods and services of a sufficient quantity, quality and timeliness,” Jordan stressed. Previous budgets had been bogged down by slow implementation.

Jordan reminded the participants that many of them have been at the helm of their sectors for several years and, therefore, are in a good position to critically and searchingly examine “from whence you came, where you are, and where you are going.”

“As you pause to reflect, let me remind everyone that a national budget is the single most important planning tool in the armoury of the Government. It is a living and dynamic document that gives life to the national and sectoral visions and policies. Most importantly, it is the vehicle through which we implement programmes and achieve national results.”

He said when the resource envelope of any national budget is allocated in an environment of stable macroeconomic fundamentals and sound public financial management and, is supported by: robust institutional structures; effective management systems; functional monitoring and evaluations systems and diligent, committed and competent leadership, then the chances of successful budget implementation are quite high.

“However, when any one of, or a combination of, those elements breaks down or goes missing, success becomes evasive, even though expenditure may have occurred. As heads of budget agencies, you must pay keen attention to ensuring that these elements are all in place in your respective sectors, regions and agencies,” Jordan asserted.

Making resources available
The finance minister assured the sector heads that government will make resources available, subject to the fiscal space, for them to pursue workable solutions. “Please bear in mind, that expenditure pressures such as those demanded by, for example, our commitment to improving wages and salaries and national security; bridging the divide between the hinterland and the coastland; and narrowing the infrastructure gap, on one hand, and revenue pressures to lower taxes and tariffs will continue to impose premiums on planning, programming and pro-active performance.”

Jordan outlined that since 2015, government has proven that it is up to the task and that it is prepared to implement measures that will benefit a broad cross section of our population. “In this regard, we have consistently improved wages and salaries; undertaken sweeping tax reforms to improve tax administration and bring greater equity to the tax system.

We have delivered early National Budgets for 2017 and 2018, to ensure that heads of budget agencies had the entire financial year to implement work programmes–a stark departure from what was obtained previously, when budgets were presented as late as end-March and approved in mid-April, thereby implying a 2-month turnaround before the next budget cycle began in early July.”

Public-private partnership
Minister Jordan added that procurement of public goods and services has undergone changes: thresholds have been increased; several training courses in monitoring and evaluation, and supply procurement have been executed -all with the aim of ensuring an environment that contributes to improved performance in the public service.

He noted that recently the administration developed a public-private partnership framework to enable more creative financing approaches, to overcome loss of concessional financing occasioned by our elevated status of upper middle income country, as classified by the World Bank.

Spending money
Touching on the issues of expenditure, Jordan told those gathered that spending money is easy, but spending it wisely and prudently to effect results takes skill and effort. He said it means understanding the problem and finding the solution that gives you the result, then designing a plan and costing it in a way that delivers value for money, then spending the money.

“Many times, we do the process the other wayaround: we spend money without understanding what the problem to be addressed is. The predictable result is the wastage of public resources that we are entrusted to spend. It is worth the time and effort–please ensure you secure the skills to understand the problems in your sector, devise solutions, plan for and cost of the implementation of these solutions.”