Dimension 18.2. Timing, coverage and data requirements
|Time period||Coverage||Data requirements/calculation||Data sources|
|Last completed fiscal year||BCG||
Dimension 18.3. Timing of budget approval
DIMENSION MEASUREMENT GUIDANCE
18.3:1. This dimension assesses the timeliness of the scrutiny process in terms of the legislature’s ability to approve the budget before the start of the new fiscal year. The deadline is important so that budgetary units know at the beginning of the fiscal year what resources they will have at their disposal for service delivery. The time available for scrutiny is largely determined by the timing of the submission of the executive’s budget proposals to the legislature, as assessed in PI-17. Budget preparation process.
18.3:2. The PEFA report narrative for this dimension should clearly specify the actual time that the legislature has spent in reviewing the budget proposal, as well as the exact timing of the budget’s approval each year. The report should focus on the last three fiscal years to ascertain whether the budget
was approved before the start of the fiscal year, and may explain the reason for delay, if relevant.
18.3:3. If at the beginning of the year the legislature approved an interim budget covering less than the full year (due to, for example, political crisis or a stalemate in the budget negotiations between the executive and the legislature), the approval process will, for the purpose of this dimension, nonetheless be considered as delayed until a budget has been specifically approved for the entire new fiscal year.
18.3:4. The approval process will also be considered as delayed when the law states that, in absence of legislative approval of the budget by the end of the preceding year, the previous year’s budget comes into effect. An automatic extension of the last year’s budget is not perceived as ‘orderly’ and will be reflected in the score for this dimension.
18.3:5. Regarding special dispensation by a senior political figure, if the president (or equivalent
Dimension 18.3. Scoring
|Score||Minimum requirements for scores|
|A||The legislature has approved the annual budget before the start of the year in each of the last three fiscal years.|
|B||The legislature has approved the annual budget before the start of the year in two of the last three fiscal years, with a delay of up to one month in the third year.|
|C||The legislature has approved the annual budget within one month of the start of the year in two or more of the last three fiscal years.|
|D||Performance is less than required for a C score.|
Pillar Four: Policy Based Fiscal Strategy and Budgeting