Successful completion of a 10 years budget support programme in Central America

Conclusion of the institutional strengthening Programme in support of the government of Nicaragua for the establishment of a Mid-term Expenditure Framework (MTEF) funded by the State Secretariat for Economic Affairs Economic Cooperation and Development (SECO)

June 21, 2017

TheInstitutional Strengthening Programme in support of the Government of Nicaragua for the Establishment of a Mid-Term Expenditure Framework (MTEF)is a technical assistance whose main goal is to support the Nicaraguan government to reach an allocation and execution of budget resources more predictable, efficient and effective through a tool allowing a strategic planning and a multi-annual budget formulation, and focusing on results.

SECO funded and accompanied three consecutive phases of the Project in Nicaragua between 2005 and 2016. Additionally, the last phase added a Regional Component to give support to the Council of Central American, Panama and Dominican Republic Finance Ministers (COSEFIN) and to their six other Member States. The agency implementing the three phases of the project has been the consortium led by the consulting firm Eptisa, from Spain, in partnership with Oxford Policy Management from United Kingdom for the first phase and with the British firm Fiscus, Ltd for the second and third phases.

In Nicaragua, the whole coverage of the Mid-term Expenditure Framework has been reached in 2010, with 58 institutions formulating their Institutional Expenditure Framework. Thus, remarkable progresses have been achieved in the articulation of the Budget-Plan through the expression of the priorities in the National Plan of Human Development and a coherent budget allocation. Other important achievement was the design and launch of the Early Warning System for the physical financial follow up. Finally, we could progress in the implementation of a Budgetary Programmes Monitoring.

On its side, the Regional Component worked in a meaningful way in the following countries. In Guatemala, the Programme contributed to the strengthening of Results Based methodologies in two pilot ministries, mainly the Institutional Strategic Plan, the Multi-Annual Operative Plan and the Annual Operative Plan and their respective guidelines. In El Salvador, the Public Investment System has been supported as well as the Medium Term Fiscal Framework. Finally, a support was provided to Costa Rica for the elaboration of a Conceptual Guide of Results Based Management and a Methodology Guide for the elaboration of Budgetary Programmes, as well as a Mid-term Macroeconomic and Fiscal Framework.

To have more details on the project: https://www.youtube.com/watch?v=6cNUozMQA2g


 
 Successful completion of a 10 years budget support programme in Central America