JOINT PROJECTTowards the more effective implementation of

reforms: improving planning, budgeting, monitoring & reporting

Creating preconditions for improving programming of EU assistance

Government of SerbiaNemanjina 11/ room 4511000 Beograd, SerbiaSerbia & Montenegro

November 2005 Phone: +381 11 3617 588

Ms. Dejana Razic–Ilic, Project managerdejana.razic@sr.gov.yu

The Purpose of the Joint Project

The establishment of:

“efficient and integrated planning, budgeting, monitoring and reporting systems across Government of Serbia”

Three phases: Pilot – 2005 Future testing – 2006 Roll out – 2007

The objectives of the Joint Project♦ Building capacity and systems in the line

ministries to develop yearly operational plans of action (YOPA) – implementation of MTDF

♦ Improving resource allocation – budget and programming of international assistance – to meet national policy priorities

♦ Creating preconditions for better monitoring and reporting on ministerial and governmental level

♦ Providing preconditions for more accountability in policy implementation

PARTICIPATING

CENTRAL INSTITUTIONS

Serbian European Integration Office (SEIO) PRS Implementation Focal Point (PRS) Ministry of Finance (MFIN) Ministry of International Economic Relation

(MIER) General Secretariat (GS) Ministry of Public Administration and Local

Self Government (MPALSG)

PARTICIPATING LINE MINISTRIES

Ministry of Labour, Employment and Social Policy (MoLESP)

Ministry of Economy (MoEco) Ministry of Trade, Tourism and Services

(MTTS) Ministry of Health (MoH)

Integrated planning: common platform

TheThe CIRCULAR process…CIRCULAR process…

Joint Project – towards more effective Joint Project – towards more effective implementation of reformsimplementation of reforms

EIp (EP, EIS, Progress Report…)

PRS implementation(Progress Report)

Relevant sectorstrategies

GoS yearlywork plan(Co-ordination/prioritisation)

GoS yearlywork plan(Co-ordination/prioritisation)

ResourceAllocation:- internal- external

ResourceAllocation:- internal- external

ImplementationImplementationReporting: Monitoring/Evaluation

Reporting: Monitoring/Evaluation

Integrated System

Policy

YOPA

Budget

Int’l Assistance

Implementation

Reporting/ monitoring/evaluation

GoS Plan of Action

JOINT APPROACH (1)LINE MINISTRIES

Improving capacities by developing Yearly Operational Plans of Actions (YOPA) which will:

Serve as a managerial reform tool—reduce burden and improve efficiency:– Include PRSp, EIp and other cross-cutting policy priorities and respective

sector strategies– Improve resource allocation and create preconditions to shift towards

programmatic budgets – Serve as a basis for developing better information and monitoring systems and

better access to information– Provide better coordination within and between departments– Enable defining better internal organization

Reflect legal obligations and current reform results

Serve as a basis for improved service delivery

JOINT APPROACH (2)“CENTRAL” INSTITUTION

Coherent policy input from SEIO and PRS leading to improved cooperation with LMs and strengthening capacity to monitor and coordinate policy implementation

MoFin by introducing: a) programmatic budgeting to focus on outputs and outcomes in resource allocation, b) mid-term macro and fiscal framework, and c) improved reporting on budget execution

MIER by improving systems for programming of international assistance, including EU financial assistance

GS by improving capacities to undertake future central level planning, coordination and reporting

MoPALSG by integrating reform initiatives and PAR in general and providing legal framework for their implementation

All of them by improving cross-government operational coordination

Results of the pilot phase

A new objectives-based planning methodology designed

4 LMs developed their YOPAs for 2006 testing the new methodology

Lessons learned and input available for:– Development of program budget guidelines

– Development of EU assistance programming guidelines and its link to other int’l assistance

– Development of integrated monitoring and information system

LM’s overview – Positive aspects

Enables overall insight into all LM’s activities (including int’l projects)

Provides better insight in stakeholders needs

Prevents overlapping of projects and activities

Provides a practical tool for intersectoral cooperation and communication within LM

Enables better resource allocation

Focus of the next phase of the JP

Further capacity building in LM and central government institutions:– More LMs involved– Process aligned with budget cycle

Support to: – The phased introduction of program budgeting– The introduction of the new system for programming of EU

assistance– The establishment of better monitoring and information system– The process of the central Government office reform

Ensure that all relevant legislation reflects the concept of the new planning, budgeting, monitoring and reporting systems

Phased roll-out of the new planning system (MPALSG)

Importance

Ownership Participatory bottom-up approach (tailor-

made for Serbian Public administration) Demand driven process – led by the

network JP processes are aimed at improving the

way the GoS works

AbbreviationsSEIO: Serbian European Integration OfficePRS: Poverty Reduction StrategyPRS IFP: PRS Implementation Focal PointMFIN: Ministry of FinanceMIER: Ministry of Int’l Economic RelationsGS: General SecretariatMPALSG: Ministry of Public Administration

and Local Self-GovernmentMTDF: Mid-term Development

Framework LMs: Line MinistriesYOPA: Yearly Operational Plans of Action

JOINT PROJECT

Towards the more effective implementation of reforms: improving planning, budgeting,

monitoring & reporting

Government of SerbiaNemanjina 11/ room 4511000 Beograd, SerbiaSerbia & Montenegro

November 2005 Phone: +381 11 3617 588

Ms. Dejana Razic–Ilic, Project managerdejana.razic@sr.gov.yu