PDF- World Bank Mongolia Public Finance Management Performance Report 2015. This Public Financial Management Performance Report (PFM-PR) is the first assessment of Mongolia’s
PFM system using the Public Expenditure and Financial Accountability (PEFA) framework.
The report aims principally to establish an objective baseline measure of current PFM performance, highlighting areas of absolute and relative strength and weakness, thereby enabling a stock-taking of over a decade of PFM reforms in Mongolia and guiding the Government in its reform priorities.
The assessment covers public financial management at the budgetary central government level
The PEFA is an evidence-based methodology that measures the performance of a country’s PFM system at a particular
point in time using a set of standardized indicators. The assessment is done on six dimensions of an open
and orderly PFM system identified by the Framework, which are:
1. Credibility of the budget: The budget is realistic and is implemented as intended
2. Comprehensiveness and transparency: The budget and the fiscal risk oversight are comprehensive and fiscal and budget information is accessible to the public.
3. Policy-based budgeting: The budget is prepared with due regard to government policy.
4. Predictability and control in budget execution: The budget is implemented in an orderly and predictable manner and there are arrangements for the exercise of control and stewardship in the use of public funds.
5. Accounting, recording and reporting: Adequate records and information are produced, maintained and disseminated to meet decision-making control, management and reporting purposes.
6. External scrutiny and audit: Arrangements for scrutiny of public finances and follow up by the executive are operating.
Against these six core dimensions of PFM performance, the set of 28 high-level indicators measure the operational performance of the key elements of Mongolia’s PFM systems, processes and institutions of the budgetary central government. In addition, the PFM-Performance Report (PR) uses the indicator-based analysis to develop an integrated assessment of the PFM system against the six critical dimensions of PFM performance and evaluate the likely impact of PFM weaknesses on the three main budgetary outcomes of aggregate fiscal discipline, strategic resource allocation, and efficient service delivery.
