This indicator examines the service delivery performance information in the executive’s budget proposal or its supporting documentation and in year-end reports. It determines whether performance audits or evaluations are carried out. It also assesses the extent to which information on resources received by service delivery units is collected and recorded. It contains the following four dimensions and uses the M2 (AV) method for aggregating dimension scores:

  • Dimension 8.1. Performance plans for service delivery 
  • Dimension 8.2. Performance achieved for service delivery 
  • Dimension 8.3. Resources received by service delivery units 
  • Dimension 8.4. Performance evaluation for service delivery


The indicator focuses on the availability, coverage, and timeliness of performance information on the delivery of public services and on the extent to which such information is likely to promote improvements in the effectiveness and operational efficiency of those services. It is also important for the legislature, government officials, and the general public to know whether budget resources reach service delivery units as planned.

Promoting operational efficiency in public service delivery is a core objective of the PFM system. The inclusion of performance information within budgetary documentation is considered to be international good practice. It strengthens the accountability of the executive for the planned and achieved outputs and outcomes of government programs and services. Increasingly, legislatures

demand to see such performance information as part of their consideration of the executive’s budget proposal, although the legislature may not be required to approve planned performance.


8:1. Service delivery for this indicator refers to programs or services that are provided either to the general public or to specifically targeted groups of citizens, either fully or partially using government resources. This includes services such as education and training, health care, social and community support, policing, road construction and maintenance, agricultural support, water and sanitation, and other services. It excludes those services provided on a commercial basis through public corporations. It also excludes policy functions, internal administration, and purely regulatory functions undertaken by the government, although performance data for these activities may be captured for internal management purposes. It also excludes defense and national security.

8:2. Service delivery unit is defined as the unit that is delivering frontline services directly to citizens and businesses such as schools, health care clinics and hospitals, local police departments, and agricultural extension units.

8:3. Performance information refers to output and outcome indicators and planned or achieved results against those indicators. An output is the actual quantity of products or services produced or delivered by the relevant service (program or function). An outcome is the measurable effect, consequence or impact of the service (or program or function) and its outputs. Activities are specific tasks or functions of service delivery or program.

8:4. Key performance indicators are the means for measuring planned outputs and outcomes. Output indicators measure the quantity of outputs produced or services delivered or planned. Outcome indicators measure the effects, consequences, impact of the services, and their outputs. More advanced performance measurement systems may also seek to assess the gender responsiveness of budget resources through collecting and analyzing gender


| PEFA Handbook Volume 1: The PEFA Assessment Process – Planning, Managing and Using PEFA