The Impacts of Fiscal Openness: A Review of the Evidence Paolo de Renzio and Joachim Wehner GIFT...

The Impacts of Fiscal Openness: A Review of the Evidence

Paolo de Renzio and Joachim WehnerGIFT Stewards meeting

2 Dec 2015

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The initial model

www.internationalbudget.org

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Summary of findings


Directions for future research

1) Use more disaggregated transparency measures to understand the impact of specific disclosures

2) Exploring the relationship and trade-offs between components of fiscal openness

3) How do transparency and participation affect each other?

4) Investigate multiple impacts and longer impact chains

5) Compare similar interventions across different contexts

www.internationalbudget.org 4

Incentives for Fiscal Openness

Paolo de RenzioGIFT Stewards meeting

2 Dec 2015

Research components

1) Think-pieces by academics and practitioners (completed)

2) Interviews with senior policy-makers (ongoing)a. Jorge Hage (Brazil)b. Mustafa Mastoor (Afghanistan)c. Trevor Manuel (South Africa)d. Florencio Abad (Philippines)e. 2-3 more planned (Liberia, Uganda, Mexico)

3) Reflections on WB/IMF experience (delayed)


Interviews (very preliminary findings)

• Political transitions and changes in government created strong political mandates for transparency reforms

• Reforms were sustained by a combination of intrinsic and instrumental motivations

• Pressure came from various sides• No great resistances, but constant need to show benefits to

maintain support and win over resistors• Role of external actors (incl. GIFT)

- Lend legitimacy, provide impact evidence, ensure political support, constant follow-up


Mapping Civil Society Uses and Needs around Budget Information

in Developing Countries

Joint project by WB, GIFT and IBPGIFT Stewards meeting

2 Dec 2015

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Respondents• 163 respondents in total

– Majority of respondents are medium/large orgs (>10 staff) and have been active for more than 5 years

– Most respondents are either policy research institutes or advocacy groups

– but some responses incomplete …


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Respondents’ activities


23%

17%

22%

9%

17%

12%

Sectors of interestMacroeconomic and general budget policy

Health

Education

Agriculture

Social protection

Other (specify)

25%

23%31%

21%

Budget Phase of interest

Budget formulation

Legislative discussion and approval

Budget execution/implementation

Budget evaluation and Audit

10. In which of the phases of the budget cycle is your organization particularly active?

9. Main sectors of operation

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Use of budget information

NOTE: There are important regional discrepancies


52%

48%

38%

28%

33%

18%

26%

18%

0%

10%

20%

30%

40%

50%

60%

What data is most used?

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Accessing budget information (1)


0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

Budget allocation dataBudget execution data Revenue data Debt/deficit/financingdata

Sub-national leveldata

Facility level data(schools, hospitals)

Data on performanceindicators

Data on extrabudgetary funds

Sources of fiscal information

Ministry of Finance website Government budget portal Sector ministry website Other govt website (specify) Budget document (hard copy)

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0%5%

10%15%20%25%30%35%40%45%50%

Budgetinformation is

scattered amongmany different

sources

The governmentdoes not provideany guidance on

where to findbudget

information

Governmentwebsites do not

work

Governmentwebsites are

difficult tonavigate

Slow internetconnection

Budgetdocuments areonly available in

pdf format

Budgetdocuments are

only available inhard copy

Budgetinformation is

notuseful/relevant

Key obstacles in accessing budget information

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Needs for additional budget info


What type of additional budget information would help to improve your work if it were available?

1. More detailed local-level budget information

2. More detailed sector budget information (incl. facility-level data)

3. More detailed revenue information4. Inter-operable financial and non-

financial information5. Information on projects and

contracts

How do you think that availability of this additional budget information could help your work and its impact?

1. Produce more disaggregated and better targeted analysis

2. Use financial data in combination with service delivery information

3. Better track public resource flows4. Fight tax fraud5. Monitor implementation of specific

projects

The Impacts of Fiscal Openness: A Review of the Evidence Paolo de Renzio and Joachim Wehner GIFT...

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