GROUP 1: PEFA at the subnational level

09:15 - 11:00

A sound PFM system is essential for the effective implementation of public policies and the achievement of intended budgetary outcomes. This is true not only at the national but also at the subnational level, given the increasing importance of provincial and local government structures in resource allocation and the provision of services to communities.

While initially most of the PEFA assessments were carried out at the central government level, the number of assessments at the subnational level has been growing. As at the end of 2015, almost 40 percent of all the assessments have been undertaken at the subnational level.

The session will take stock of PEFA assessments at the subnational level and discuss the strengths and potential limitations of applying the PEFA framework at that level. It will touch upon the experience of a variety of subnational governments, including federated states inside a federal state, provinces, regions, districts, departments, and municipalities. These entities can have varying degrees of autonomy, and, depending on the particular features of the intergovernmental arrangements in place, have a significant influence on PFM systems and the three budgetary outcomes at both the subnational and national level.

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