Ce diaporama a bien été signalé.
Nous utilisons votre profil LinkedIn et vos données d’activité pour vous proposer des publicités personnalisées et pertinentes. Vous pouvez changer vos préférences de publicités à tout moment.

Budgeting in Greece - Eftichia Gratsia & Nektaria Papatzanaki, Greece

16 vues

Publié le

This presentation was made by Eftichia Gratsia & Nektaria Papatzanaki, Greece, at the 40th OECD Senior Budget Officials (SBO) meeting held in Tallinn, Estonia, on 5-6 June 2019

  • Soyez le premier à commenter

  • Soyez le premier à aimer ceci

Budgeting in Greece - Eftichia Gratsia & Nektaria Papatzanaki, Greece

  1. 1. GREECE RECENT DEVELOPMENTS IN PUBLIC FINANCIAL MANAGEMENT Hellenic Republic Ministry of Finance General Accounting Office (GAO)
  2. 2. The Economic Adjustment Programs  Early 2010 : lost access to international capital markets  May 2010 : First Economic Adjustment Program (loans) with EU and IMF  March 2012 : Second Economic Adjustment Program (loans) with EU and IMF  August 2015 : Financial Assistance Facility Agreement with the EU  Broad objectives  Fiscal consolidation  Structural reforms 2
  3. 3. After the Adjustment Programs… Hellenic Republic - Ministry of Finance - General Accounting Office 3 Since August 2018:  EU Enhanced Surveillance Mechanism  Integration into the European Semester timetable for economic policy coordination Broad objectives  Continue implementing structural reforms  Meet fiscal targets, sustainable public debt
  4. 4. Public Financial Management reforms Hellenic Republic - Ministry of Finance - General Accounting Office 4 Weaknesses  Fragmentation of functions  Centralization of budget procedures  Overlaps in controls  Lack of multiannual planning and fiscal risks identification  Low accountability Treatment  Adoption of Budget Law (OBL)  Rationalization of the functions of the General Accounting Office  PFM reforms in the following areas
  5. 5. Public Financial Management Reforms 5 Areas of reforms  Budgeting – medium term planning  Cash management  Payments processes  Fiscal reporting  Accounting  Institutional reforms MTFS Budget Budget Execution - Payments Fiscal Reporting Financial reports
  6. 6. General Government in Greece State + 1,696 entities 6 Social Security Funds (26 entities) Central Government (State +552 entities) Local Government (1,118 entities) LGs Legal Entities (780) Regions (13) Municipaliti es (325) Employment Fund (OAED) Health Fund (EOPYY) Pension Funds (24) Legal entities (452) State (27) (Central administration) Presidency Parliament Decentralized Administrations (7) Ministries (18) Hospitals (100)
  7. 7. Multiannual Planning  From annual to multiannual fiscal planning: MTFS - Medium Term Fiscal Strategy  Expand the horizon to 4 years (budget year + 3 years ahead)  Targets for fiscal balance set for General Government (GG)  Targets and expenditure ceilings incorporated into the annual Budget  Fiscal projections for all sub-sectors  No policy change scenario and scenario incorporating policy changes  First MTFS in 2011: for the period 2012 – 2015 7
  8. 8. Top-down Budgeting  Τop-down budgeting  From analytical budget lines to major categories of expenditure (max 10)  Fiscal discipline built in the process of budget drafting and 8 General Government Fiscal Targets State Sub- sectors Reven ue targets Balanc e Targets Expenditur e ceilings Breakdow n within ceilings Breakdow n within targets
  9. 9. Commitment registries  Detailed registries of obligations in all GG entities  No obligation assumed in excess of appropriations  Accurate monitoring of outstanding commitments, accounts payable and arrears  Data on payables and arrears collected in the General Accounting Office (GAO) on a monthly and quarterly basis 9
  10. 10. Budget Execution  Budget execution monitoring  Monthly monitoring & quarterly comparison against targets  Sanctions if divergence from targets exceeds 10%  Local Governments’ Observatory  Constitutional restriction to the extent of MoF intervention in LGs  Sanctions & corrective actions 10
  11. 11. Fiscal reporting 11 State Budget Bulletin  Publication twice a month (data on modified cash basis) General Government Monthly Bulletin  On a monthly basis (data on cash basis) Other Bulletins and reports (public debt)
  12. 12. Cash management Hellenic Republic - Ministry of Finance - General Accounting Office 12  Consolidation of State fragmented accounts into a Single Treasury Account  Transfer of other GG entities accounts into the Single Treasury Account  Repo operations  Objectives  More efficient liquidity management  Reduced financing needs of the State  Improved cash flow projections
  13. 13. General Directorates of Financial Services  “Budget Bureau” in each spending Ministry: General Directorates of Financial Services (GDFS) 13 Mo F LM1 Financial services X Entity1 LM1 Financial Services Y Entity2 Entity3Entity4 LM2 Financial Services X LM… Entity… MoF GDFSs in Ministries Financial Services in GG entities LM: Line Ministry
  14. 14. Payment processes 14  Until 2014:  2014:  2017:  2019: Abolition of ex-ante HCA audits for the rest of GG Line Ministry MoF/GAO ex-ante audit (legality & regularity) HCA ex-ante audit (>15.000) MoF/GAO payment voucher Local tax offices Payment Line Ministry MoF/GAO ex-ante audit (legality & regularity) HCA ex-ante audit (>30.000) MoF/GAO Electronic payment via Bank of Greece Line Ministry entire process
  15. 15. Accounting  2010: Double-entry accounting of modified cash basis  Facilitation of reporting  Improved annual financial statements of the State  Statement of Financial Position (Balance Sheet)  Income Statement (Profit and Loss Statement)  Cash Flow Statement  Statement of Changes in Equity 15
  16. 16. New chart of accounts Ongoing reforms: New GG Chart of accounts New accounting rules & budget classifications  Single chart of accounts for all GG subsectors (PD 54/2018)  Unified accounting rules for all GG subsectors  Different types of classifications  2019 new economic and administrative classification applied for the Central Administration 16
  17. 17. Spending Reviews  Spending reviews  KEPE – GAO 1st spending review February – July 2012  SR in 6 ministries summer 2014  2016/2017 SR over the GG, with 3 pilots in 2016  2018 establishment of a new Directorate in GAO (SRs organization and monitoring among its responsibilities) – 3 pilots more targeted  2019 : 4 ministries under SR 17
  18. 18. Performance Budgeting Hellenic Republic - Ministry of Finance - General Accounting Office 18  Performance budgeting  2018 establishment of a new Directorate in GAO  2019: pilot project - 6 ministries present 2020 budget under the new architecture  2022: present the whole 2023 budget in new structure, in parallel with existing format  2024: execute performance budgeting (program appropriations)
  19. 19. Institutional reforms (1) 19 2010: Parliamentary Budget Office  Information to Parliament via an independent institution  Strengthen institutional controls on government’s fiscal policy  Monitoring of the budget
  20. 20. 20 2014: Hellenic Fiscal Council (Independent Authority)  Monitoring - Assessment of:  macroeconomic and fiscal projections  compliance to fiscal rules  budget & MTFS targets & outcomes  Publishes biannual fiscal reports Institutional reforms (2)
  21. 21. Summing up – what has been accomplished  Binding fiscal rules  Medium Term fiscal planning  Strict top-down budgeting  Monitoring of MoF on the whole GG  Simplification in payments procedures  Improved, transparent fiscal reporting  More efficient cash management  Comprehensive financial statements  Institutional reforms 21
  22. 22. Summing up – what remains to be done  Accounting for all GG entities  single Chart of Accounts and unified accounting rules  transition to accrual accounting  Cash management  Cash flow forecasting for large GG entities  Regular monitoring of entities’ cash reserves  Performance budgeting  Assessment of efficiency 22
  23. 23. Next steps 23  Continue the reforms  Meet fiscal and economic goals  Focus on the “quality” of public spending
  24. 24. THANK YOU FOR YOUR KIND ATTENTION Hellenic Republic - Ministry of Finance - General Accounting Office 24

×