Support to Public Finance Management Reforms

The Government of Lesotho received General Budget Support (GBS) and Sector Budget Support (Water Sector), from the European Union, African Development Bank and the World Bank. A joint Performance Assessment Framework (PAF) focusing on public financial management and service delivery, human development and macroeconomic policy was in place. GOL also benefited from the Extended Credit Facility of the IMF. The Improvement and Reform Steering Committee’s overarching role was to provide an effective high-level management and coordination body to develop, manage and monitor the technical implementation of a comprehensive PFM reform process, including a PFM Action Plan and a PEFA Response Plan. This approach built upon, and entrenches, the high level of ownership of PFM reform already demonstrated by senior government stakeholders. Progress on PFM reforms were monitored through a common framework which integrates performance indicators as agreed with Development Partners providing budget support and with IMF. IRSC also provided an effective high-level management and coordination body to develop and monitor the technical implementation of activities against the PAF, progress on PFM reforms, progress in implementing the national development policy, etc. This approach sought to ensure and entrench a high level of ownership of the PFM reforms within the Ministry of Finance and development Planning (MFDP) and across Government. Two PEFA Assessments had been conducted in Lesotho (2006 and 2009) and it was foreseen that a third assessment would be done during the second half of 2012. The IRSC had developed and adopted a PFM Action Plan/PEFA Response Plan as a means of ensuring progress towards improved PEFA rating in 2012. The overall objective was to facilitate the successful implementation of the Government of Lesotho's development strategy through the support of sound development programmes financed by the 10th EDF and other donors. The specific objective of this assignment was to provide support to the coordination and monitoring of public finance management-related reforms within the Ministry of Finance and Development Planning.


Project Details
Country LESOTHO
Start date 2012.02.13
End date 2013.02.19
Client EC Delegation
Sector MACRO/PUBLIC FINANCE MANAGMENT
Sub-sector PFM system
Ref. ADE A422-204