Budget Analysis Brief: December 2019

In: http://hdl.handle.net/11540/11656

Abstract

Since government budgets are the most tangible aspect of public policy it is important for all stakeholders – outside and also within government – to be able to understand and analyze them, in order to assess the direction of policy and the quality of policy implementation. This especially applies to such policy areas as local infrastructure and service delivery which depend critically on the level and quality of public spending. For many years in Myanmar, budgets and the decisions on what to spend money on have been shrouded in mystery, with budgets not necessarily serving the population effectively or equitably. A starting point for ensuring the success of reforms to planning and budgeting processes requires that policy-makers, political actors, donors, civil society, and other stakeholders understand budget processes and outcomes, and have evidence with which to assess the impacts of reforms. Both the need and the opportunities for greater scrutiny of budgets have become much greater in recent years. The creation of elected state and region governments with their own budgets under the 2008 Constitution was a highly significant step for Myanmar. Since their creation, state/region governments' budgets have almost tripled in size, and these governments are exercising increasing discretion in how that money is used. The need to strengthen budgetary decision-making has also been recognized by the Union government in recent years. The NLD has embraced not only "bottom-up" planning, whereby an increasing proportion of budget spending is based on planning proposals identified at the local township level, but has also placed much emphasis on budget transparency.