Sequencing PFM Reform Good Practices class=

Sequencing PFM Reform Good Practices

And Government Resource Planning (GRP)

Doug Hadden, VP Products

There has been some recent questioning of the wisdom of reform sequencing.  Yet this approach is considered a good practice, if not best practice, by most in the PFM community.

The “platform” approach to PFM sequencing is designed to suit unique country conditions.

What is the implication of PFM sequencing to GRP?

Countries with higher HDI tend to have higher PEFA scores. PFM reform progress results in improved government effectiveness. Capacity building is considered a pre-requisite for PFM reform.

How can sequencing be more of a science?

FreeBalance government customers that have undergone PEFA assessment enjoy better scores than countries with higher HDI who do not use FreeBalance software. FreeBalance customers have been recognized for achievements of substantial reform.

How does technology enable modernization?

Is technology leapfrog possible?

Increasing mobile global penetration is changing the accountability gap dynamic in developing countries.

What are the incentives for government reform?

What are the incentives for implementing GRP?

How does the technology supply chain impact reform?

What are good practices for PFM and GRP sequencing?

  1. There is growing evidence that PFM sequencing is becoming more of a science than an art form. Open data and governance assessments provide material for sequencing roadmaps.
  2. Government human capacity determines reform momentum and reform sustainability.
  3. The modernization rate is much faster in developing countries than experienced in developed countries. This means that the technology approach and implementation practices need to be aligned to PFM needs to ensure effectiveness.