PDP organised and ran a study tour for staff of the Brazilian Ministry of Planning, Budget and Administration to examine public management approaches and innovations in Australia. Practical knowledge was imparted on Australian Government processes in the areas of planning, budgeting, financing, execution and reporting of the government's programs so that these could be used to improve similar processes in Brazil. Participants visited a variety of government agencies, including the Federal Department of Finance and Administration, where they were presented with material aimed at assisting with the preparation of Brazil’s Multi-Year Plan.

PDP evaluated the economic and social implications of implementing the Representative Areas Program (RAP) within the Great Barrier Reef Marine Park (GRBRMP), with a focus on the social and economic benefits of the RAP to relevant marine industries and Great Barrier Reef communities. The evaluation was to provide input into the development of the Draft Zoning Plan (DZP) for the GRBRMP. Specific tasks included producing a report outlining the cultural, economic and social importance of the main values associated with the GRBRMP at the local, regional, state, national and international level, taking into account all the community and industry stakeholders, and estimating the likely impact on these values with and without the implementation of the Draft Zoning Plan. A report detailed the configuration of candidate ‘green zones’ identified in the DZP and made recommendations for the Final Zoning Plan.

PDP provided expert assistance in the planning and development of a program of research and impact monitoring for the National Energy Management Program (NEMP) aimed at development and administration of Australia’s initiatives to encourage greater efficiency in energy use in all sectors of the economy and the community.

PDP organised and led a study tour for the Kazakhstan Government to Australia, to discuss the country’s public management practices and evaluate how best to apply the lessons to the Kazakh context. PDP arranged meetings with the Commonwealth Department of Finance, the Australian Public Service Commission, the New South Wales Departments of Health and Education and other government offices to discuss the current status of reform, the development of effective monitoring and evaluation, and strategies for managing change. A key focus was on management of the health and education sectors and integration of performance management and results-based budgeting into the public sector.

PDP prepared a scoping report defining six areas of intervention and AP Lands selected priorities. Phase II priorities were to prepare a detailed Economic Initiatives Action Plan, in consultation with AP Lands and stakeholders, focusing on realistic and sustainable Venture Development Plans in banking and finance, mining, agriculture and livestock, tourism and arts and craft. Guidance was also provided on accessing specialist expertise to assist with the implementation of the Venture Development Plans.

PDP prepared a Strategy and Action Plan (SAP) for the Anangu Pitjantjatjara Development Committee that resulted in a clear and agreed agenda and sequencing of reforms, and economic development activities to begin the transformation from a weak and fragmented government structure to an independent and sustainable organisation. PDP assessed governance, administration and financial planning, and reviewed potential economic and social development projects completed in the context of overall AP budget and financing sources and access to internal and external financing.

PDP undertook an evaluation of the Australia/IMF scholarship program which had the primary objective of increasing the institutional capacity of key economic institutions in developing countries to achieve sound economic management and lead to good governance of any country. The consultant assessed and reported on the institutional capacity building needs, especially human resource development needs, of the relevant economic institutions in the target countries and the role of the program in meeting those needs. Consideration was given to other programs of technical and advisory assistance to the relevant institutions, especially by the IMF and/or by core Australian public sector agencies, and the place of the scholarships program in the overall assistance provided. PDP also evaluated the degree to which scholars acquired the skills, expertise and knowledge relevant to the needs of the institutions and functions to which they are to return, together with the degree to which their new skills are utilised following their return.

PDP provided program evaluation services to the World Bank in assessing of the efficiency, effectiveness, relevance and compliance with the mandate of its Foreign Investment Advisory Service (FIAS) Asia Pacific Regional Office (APRO). The assignment entailed developing and utilising a tailored framework to review, assess and evaluate the structure, operations and activities of FIAS APRO in the provision of services and products to developing countries in Asia and the Pacific.

The team reviewed key FIAS advisory products including:

• diagnostic studies of the investment environments in client countries
• legal framework analyses
• administrative barriers studies
• investment incentive assessments
• evaluations of investment promotion institutions and programs.

The evaluation required extensive consultation with FIAS clients in Indonesia, Philippines, Fiji, Samoa and Vanuatu, mapping out of investment policy reform and strengthening initiatives in both these countries and others such as Viet Nam, Thailand, Bhutan, Bangladesh, PNG, the Solomon Islands, Kiribati, FSM, Palau and Tonga.

PDP was commissioned to bring forward for Pacific Forum Leaders' consideration, practical recommendations to improve the efficiency and effectiveness of air and shipping services. The focus was on identifying commercially-sustainable and economically viable options for the consolidation and regional approached to regulation, policy and administration.

An examination was conducted of how pooling of scarce regional resources might be applied in the aviation and shipping sectors to strengthen national capabilities. An assessment was made of: current and proposed aviation and shipping services including safety, pricing, demand and service efficiency; and the economic viability of current regional air and shipping service arrangements, taking into account the regional economic situation and current and proposed regulatory frameworks. Recommendations were made on regional air and sea services frameworks that would provide reliable services in a politically and economically sustainable form. Recommendations were also made on options to mobilise regional aviation and shipping resources on a commercial basis to ensure, as far as possible, a robust market-based solution underpinning the on-going viability and reliability of overall operations.

PDP provided the services of a Trade Economist and Evaluation Expert as part of the team undertaking a mid-term review of the ASEAN-Australia Development Cooperation Program (AADCP). The objectives of the review were to:

• assess the effectiveness of the AADCP in achieving the stated objectives for the program which had been agreed upon by ASEAN and Australian governments
• define the main issues affecting the program and proposing solutions as to how these can be resolved
• gather useful lessons and practices applicable to AusAID and ASEAN programs that may improve performance, and assist AusAID and ASEAN partners to meet their responsibilities for public accountability and reporting to governments.

Specifically, PDP’s Trade Economist and Evaluation Expert was responsible for:

• preparing economic and financial analyses of each project, reviewing assumptions and methodologies used and assessing the economic rationale in light of any changing conditions
• reviewing economic aspects of items of AADCP according to the work plan
• identifying problems and making practical recommendations which could be implemented during the continuation of the project
• assessing the contribution of AADCP to objectives relating to regional cooperation, economic cooperation and harmonisation within sectors of members’ economies, and facilitation of economic cooperation between ASEAN and Australia and within ASEAN
• assessing the contribution of AADCP to the private sector
• reviewing the current program monitoring and evaluation framework for assessing program impact and performance, and related practices and procedures.

PDP organised and led a study tour on Sustainable Fiscal Management, with the purpose of building the capacity of senior and influential officials of the participating governments to improve fiscal policies and budget systems in their countries. PDP conducted workshops on the priorities of the delegation, the Australian and New Zealand fiscal policy reforms and their level of success, and the roles of relevant government agencies. This was followed by site visits to various government agencies to discuss relevant aspects of intergovernmental fiscal issues. PDP staff also conducted a workshop to explore the relevance, to China’s economic and social circumstances, of the various principles which make up the prudent fiscal policy.

PDP prepared the Social Sectors chapter of the PIER, including a review of documents relevant to the social sectors (education, health, gender and youth issues) and a review of trends in Fiji’s social sector indicators. The consultant reviewed, analysed and reported on the growing incidence of poverty and trends in access to health care, education and other social services, and analysed the affordability of the government’s education, health and welfare expenditure programs (which included identifying supply and demand constraints to education, health and welfare service provision). The report provided constructive comment on current government policies including the public subsidy and pricing policy in the social sector. It also assessed the relevance of Fiji’s public investment program for the provision of social services and the institutional framework and size of the education, health and welfare sectors in light of future growth and development requirements.

PDP assisted the Ministry of Finance and Planning to select and implement new financial software packages appropriate for public sector application. Assistance was provided to review the status of the SAP software implementation and to assess the functionalities and capacity of SAP and other financial software to meet the likely new Financial Management Reform (FMR) requirements and the potential to support accounting and reporting requirements during the transitional period. Recommendations were made on the selection and implementation of suitable software, given the revised PFMA requirements, and a users' training program was developed to ensure that users understood the functionalities of the system and how to use the system for day-to-day operations.

PDP provided assistance to the Operations Evaluation Department of the ADB in carrying out a Special Evaluation Study on the effectiveness of the ADB’s Resident Missions (RMs). The study assessed the effectiveness of RM operations in delivering services to both Developing Member Countries and internal ADB clients with respect to relevance, effectiveness and efficiency criteria. Lessons were drawn for enhancing ADB’s operations and development effectiveness through RMs and recommendations provided on practical steps to be taken by ADB and DMCs towards improving effectiveness of RMs.

PDP undertook a stocktaking of selected services sectors in 14 Pacific ACP States (PACPS) and prepared a report outlining, with respect to each PACP, the limitations or trade restrictions applying to those sectors/sub-sectors and modes of supply by national laws, regulations, policies and administrative procedures. In light of the potential services liberalization stemming from PACP trade obligations under the Economic Partnership Agreement (EPA) with the EU, PDP advised on the need to develop new and/or revise existing regulations, ensuring that these reflected government policy goals and development plans. The report is to be used in national Services consultations to assist the PACPS in developing their requests and offers in services trade for negotiations with the EU.

PDP provided the services of a Public Finance Specialist to undertake a financial management assessment of the Regional Pacific Islands Sustainable Energy Project’s executive agencies (in Papua New Guinea, Solomon Islands and Fiji) and fund manager (in Australia). The consultant provided recommendations on common financial report formats, so as to facilitate the aggregation of data by the World Bank, and disbursement arrangements for each agency, taking into account Government procedures and the needs of the project.

PDP undertook an independent assessment of the relevance, efficiency, effectiveness, impact and sustainability of SMIS II. This included evaluation of:

• the flexibility of the project and if it effectively incorporated changes in the local environment and Ministry of Finance and Economic Development structure/needs
• the appropriateness of the Project’s implementation mechanisms and modalities
• the effectiveness of linkages with other technical assistance and the impact of donor coordination on the effectiveness of the Project
• significant long-term shifts in the organisation that can be attributed to SMIS II
• the value and appropriateness of monitoring and evaluation mechanisms
• the sustainability of SMIS II initiatives and any other project specific lessons learnt.

PDP also gave consideration to the future direction of Australian assistance to the public sector, providing advice on how SMIS reforms could be sustained and how to progress recommendations on financial management in Kiribati.

PDP provided long term assistance to the Ministry of Finance and Economic Planning (MFEP) to build capacity and to design, test and transform PEM processes and systems. A major component was to assess inter-sectoral resource allocation and the effectiveness of expenditure including the composition of sectoral expenditure. Sector expenditure priorities were redefined, including financing consistent with MTEF and sector policy. Extensive PEM process reforms were implemented covering linkages between planning and budgeting, medium term forward estimates system, output based budgeting and performance monitoring as part of budget process reform. A key element was internalisation of the PIP into the capital budget component of sectoral spending and the use of performance indicators in budget/actual reconciliation and feedback to framing the MTEF and rolling forward estimates. Comprehensive training of MFEP staff was an integral component of the project.

The purpose of this mission was to provide advice to the Governments of Kiribati, Australia and NZ on a strategic approach to implementation of a joint program of Australian and New Zealand assistance, targeted at improving public sector performance. The PDP team reviewed the current focus of Australian and NZ assistance to Kiribati for public sector reform (as well as that of other donors) and made recommendations regarding the strategic focus areas Australian and NZ support should target. The team also examined the mechanisms used to provide Australian and NZ assistance and provided recommendations on future delivery mechanisms. Further, the team was responsible for recommending effective risk management and monitoring and evaluation strategies.

PDP was engaged to improve financial and economic management capability within the MFEP and provide staff with the ability to allocate and monitor the use of resources more effectively and efficiently. The main focus was on transformation of the FMIS, including strengthening IT systems, procurement and installation of hardware and software and systems development. Comprehensive budget and financial management reforms encompassed:

• the introduction of output budgeting/accrual accounting, including development of guidelines and procedures for preparation of budget estimates
• re-engineering of accounting processes and information flows relating to funds management and cash control
• facilitating the transfer from manual to computerised accounting processes and the establishment of improved reporting and analysis techniques
• effective ex-post and ex-ante monitoring and assessment methodologies for social sector expenditure.

PDP undertook an initial IT strategic planning exercise to review the departmental business information needs and work flows, assess the existing information systems and IT infrastructure and to provide an assessment of future IT requirements in the MFEP. The review process formed the basis for a proposed IT infrastructure and implementation strategy.

A key outcome of the review was recognition of the need for an integrated planning, forward estimates, budgeting, financial (accrual) accounting, MIS computer system (including a payroll system) to be implemented in the MFEP Accounting Division and installed in the line ministries for remote access. In response to this need, PDP produced technical specifications for the integrated accounting systems and the layers of information management (MIS) with an IT technical infrastructure (networking components and hard and software) on which to operate the computer system.

A tender process was instigated to procure software, application development and services in providing a stable computerised Financial Management Information System (FMIS). PDP supported implementation of the new system, involving planning for development for the application and any necessary customisations.

PDP also played an instrumental role in ensuring the Year 2000 compliancy of all IT infrastructure (PCs, servers and network communications, OS software and applications software), planning for upgrading or replacement as necessary.

To ensure that maximum benefits were achieved from the proposed investment in IT, PDP implemented a comprehensive training program, incorporating both formalised and on-the-job training. This program allowed for continuous review of training needs.

PDP provided the services of a private sector specialist as part of a RETA which assisted with the formulation of Kiribati’s next Country Partnership Strategy (CPS), specifically through analysing the country updates since the previous PIER book, and distilling comprehensive country information to provide policy recommendations for the best strategy for economic growth and poverty alleviation. Our private sector specialist analysed and provided policy recommendations for expansion of the private sector investment, with a particular attention to identification of pragmatic growth drivers that could help the Government of Kiribati support employment growth. Furthermore, our specialist assessed the constraints and opportunities for private sector development country-wide.

PDP provided the services of a Health Information and Statistics Expert as part of the project to develop and improve the system-wide data-based decision-making and health information system. Assistance was provided to the national Health Statistic Officer (HSO) in reviewing data and indicators currently available, and assessing and prioritising the needs for collecting and producing information on disease surveillance, preventive and curative activities and health facilities management. The consultant recommended a common data reporting and processing format/system and designed new procedures to be implemented. Furthermore, the consultant assessed the training requirements and developed a training program for health staff in each state in collecting/reporting data, and using information produced.

PDP provided technical assistance to help strengthen and develop the institutional capacity for economic policy making by providing economic policy advice and public sector management at the state level. Core components included:

• improving the institutional capacity for economic management
• state-level capacity building
• macroeconomic policy advice
• public sector management
• compact advisory support
• development of the post-compact structural adjustment program
• coordination and support for private sector development
• outreach and information systems.

Support was provided to the Chuuk State Department of Treasury with particular emphasis on updating accounts payable, and a diagnostic review was performed to determine current staff capacity. The consultant also facilitated the development and institutionalisation of the Public Sector Investment Program as an accountable and transparent process in the State Government.

PDP provided services for the PSDP design disbursement, procurement and recruitment procedures and guidelines under the program and for preparing guidelines and supporting the Department of Economic Affairs (DEA) in recruiting consultants under the loan proceeds. The objectives of the PSDP were to improve the policy and legal environment for private sector development and strengthen capacity to manage land, labour, and capital resources, with the goal of promoting economic growth by expanding the private sector in the FSM, thereby raising domestic employment and incomes and reducing dependence on external assistance.

Key tasks included the design and implementation of a national and state implementation and performance monitoring and evaluation system, including the training of DEA and state counterpart staff. The establishment and start-up of national and state level steering committees, specifically the Business Development Councils or their equivalent in four states, was completed. Assistance was also provided to DEA and national and state steering committees to publicise the improvements under the program and support the Secretary of Economic Affairs in providing overall direction to consulting services delivered through the investment component.

PDP participated in a project aimed at promotion of economic self-reliance and growth in FSM from increased food production and productivity for self-sufficiency and export, and at strengthening the capacity of the government agricultural support services. The PDP Agricultural Extension Specialist identified priority commodities at the subsistence or semi-commercial level for both self-sufficiency and marketing purposes. An investigation identified the technical information available in FSM for extension use and the consultant established a workable, responsive system for ensuring that information reached all national and regional users. In-service training for department staff in technical aspects and extension approaches was developed and delivered as an integral component of the project.

PDP provided the services of a Human Resource Management Specialist to prepare an inception report for the proposed TA. The TA was focused on enhancing the audit and administrative processes of audit offices necessary to effectively carry out productive and efficient audits. Specifically, the specialist was responsible for preparing a work plan including scheduling for the proposed TA activities.

PDP consultants provided assistance to the President, Cabinet, Minister of Finance and Parliamentarians on economic policy and fiscal issues facing Nauru with the objective of enhancing the Government of Nauru’s ability to implement economic policy, and to assist in implementing a realistic medium term economic budget strategy. The team reviewed current governance arrangements applicable to Nauru’s government enterprises and trusts, and advised and assisted with the implementation of changes, including the preparation of a legislative review. An assessment was made of the annual budget process, with recommendations and assistance provided on the implementation of improvements with a focus on forecasting revenues, identification of revenue enhancement, prioritisation of expenditures and transition to transparent and cost effective financing options. Assistance was also provided on budget preparation and submissions for 2001/2002, 2002/2003 and 2003/2004.

PDP provided the services of an Economist as part of a five-person team preparing a four year (2005/6 to 2008/9) Country Strategy that structures Australian assistance to make the most effective contribution to addressing Nauru’s long-term viability, provides an effective operating environment for the Offshore Processing Centres (OPC) and enables the transition to a more sustainable aid relationship.

PDP’s economist was responsible for:

• contributing to team discussions and analysis from an overall strategic and economic planning/public finance perspective
• ensuring affordability and public finance discussions were taken into account and incorporated within the design of the core team outputs
• inputting to team discussions prior experience in Nauru and knowledge of the inside-systems and limitations within Government.

PDP undertook a comprehensive analysis of the Papua New Guinea 2001 Budget with a particular focus on the budget’s ability to address the development components of the government. The analysis highlighted differences in priority between the PNG Government’s Development Strategy and the AusAID PNG Development Strategy. A detailed review was provided on the ability of the budget to address each priority sector, with particular focus on the budgets ability to meet the requirements of proposed expenditure. Analysis was also provided on which line items in the PNG 2001 Budget should be included in an assessment as to whether the benchmark targets outlined were likely to be met in 2001.

PDP was engaged to examine the financial cost to the Government of Papua New Guinea (GoPNG) of its National Education Plan (1995 to 2004). The project encompassed:

• developing a resource allocation assessment model and analysing education financing trends over 1997 to 2003
• developing sector and sub-sector projections of revenues, expenditures and financing 2004 to 2015
• financially modelling the period 2004 to 2015 under different policy scenarios.

The PDP team provided a realistic analysis of the financial implications of policy options for implementing the GoPNG’s National Education Plan and designed a comprehensive and practical model of the education system which could be readily used as a tool by education planners and financial managers at the national and provincial levels and for each education sub-sector.

PDP undertook a study of the unit costs of education in schools and vocational centres in PNG. The overall aim was to ascertain the total unit cost of educating a student, at different levels of the education system and in different parts of PNG, based upon a basket of goods and services. Within this, PDP’s team ascertained the non-teaching costs incurred by schools, at different levels of the education system and in different parts of PNG, based upon a newly specified basket of goods and services.

PDP also focused on strengthening the capacity of staff in the Department of Education responsible for these policy areas. This included the provision of on-the-job training, support and mentoring, in particular to ensure officers acquired skills and techniques which they can use to develop and update unit costing.

PDP undertook a detailed assessment of the PNG fisheries sector to assist PNG authorities in defining fisheries sector policy objectives for the following five years. Critique was provided on economic strategies and policy objectives as they related to the fisheries sector, with comment on the degree to which current policies supported added local value in fisheries. Examination was also undertaken of:

• investment, competition and industrialisation policies as they related to the local development of fisheries industries
• economic policies as they related to improved access to land, a more competitive labour market and the expansion of domestic capital, as well as to all proprietary rights to engage in business.

A summary was presented on current levels and trends in resource output, distribution of output benefits and their contribution to GDP, sector employment and the distribution of employment, domestic resource consumption and its contribution to nutrition and resource imports, exports and contribution to the external account.

PDP advised on major structural and process reforms including downsizing, budgetary and expenditure management reforms, the introduction of output contracting processes, and reform of central/provincial linkages for the Minister of Planning and Prime Minister.

A comprehensive program of functional reviews was completed for key machinery of government agencies including the Department of Finance and the Department of Personnel Management. Findings from the analysis were widely discussed with government reform teams and a restructuring and divestment plan for central government was completed. The restructuring program focussed on clustering of government departments and downward decentralisation of services to lower level governments, as well as consolidation of budgets over the medium term. An explicit focus was the requirements for effective performance-based management and improved accountability for improved services.

PDP assisted with restructuring the Department of Agriculture and Lands within the framework of the Government’s public sector reform program. The methodology for the diagnostics was designed collaboratively, with data collection completed prior to comprehensive assessment of structural and organisational reforms. Functional reviews were completed for all service areas and at an intergovernmental level including an assessment of the policy framework, institutional and organisational arrangements and constraints in terms of quality of service levels, rationalisation of non-core functions, and medium term capacity building priorities. A comprehensive revitalisation and reconstruction plan was prepared and workshopped prior to submission to Cabinet for approval. Divestment of non-core activities was proposed as well a financing and costing program within the framework of the national budget.

PDP provided the services of a public finance specialist to lead a design mission team in producing a project document to form the basis of UNDP’s future decentralisation intervention relating to financial improvement at the provincial level in PNG. The mission team identified key issues to be addressed by the project and developed an appropriate project implementation approach and strategy to allow strategic targeting, priority setting and sequencing.

PDP provided a Treasury Budget Adviser to work with the Secretary, Department of Treasury, the First Assistant Secretary (FAS) Economic Policy Unit (EPU) and other senior officers and advisers in EPU. The consultant acted as a mentor and supported the FAS in the planning for, and delivery of, the 2003 budget, with emphasis on improving the integrity of the budget in cash management, accuracy of data, improved cost estimates and a firmer basis for the forward estimates of expenditure and revenue. A detailed report summarised the reforms achieved and identified further practical reforms to be implemented in EPU and in related areas of the Department following the delivery of the budget. A detailed assessment of skill requirements and staff development in EPU and related divisions was also undertaken to enable the reforms to be successfully implemented.

PDP provided a team of consultants in support of the Public Expenditure Review and Rationalization (PERR) Project for improving statutory authorities’ governance. The team suggested legal amendments to relevant legislation and assisted the preparation of a policy submission to the National Executive Council (NEC). The NEC policy submission outlined proposed amendments to the Public Finances (Management) Act (PFMA) and statutory authority legislation, with the objective of improving the statutory authority governance framework.

The project focused on work with the Department of Treasury, particularly the Economic Policy Division and Deputy Secretary, on matters relating to the preparation of the 2004 PNG budget. PDP provided advice in relation to the budget preparation work undertaken to date and its impact and effectiveness, and recommended the focus of possible future assistance to the PNG Treasury.

PDP undertook a major analytical study of six Pacific island countries public expenditure management (PEM) performance, including detailed assessment of PEM processes, institutions and performance of public financial management. The study focussed on a phased program of improvements, including the Bank’s role in PEM. Outputs encompassed design of a PEM assessment tool, and comprehensive proposals for reform and their integration into wider public sector management reform programs such as the Solomon Islands Government Public Sector Reform Program (SIG PSRP). Contributions were made to the preparation of the SIG PSRP with a focus on reforms to planning and budgeting, accounting and financial management and implementation of the legal and regulatory framework.

PDP provided services as part of this pilot TA, which was intended to legitimise and mainstream civil society participation in development processes and strengthen relations between Civil Society Organisations (CSOs), Pacific developing member country (PDMC) governments, the private sector and external funding agencies by direct engagement of civil society in the development cycle of ADB assistance. PDP’s Development Economist provided assistance to enhance the competence of Pacific CSO staff with respect to the region’s broad development policy agendas, thus making the CSOs better able to understand and advocate development concerns on behalf of marginalised peoples. The consultant also trained CSO staff in participatory process planning, and engaged CSO staff with other members of civil society in the participatory formulation of ADB country strategies and programs, and project design, implementation and monitoring and evaluation.

This project aims to promote good governance through improved transparency, accountability, and efficiency in managing and using public resources in the Pacific. PDP is providing support in preparing and maintaining a rolling subregional audit program, liaising with the auditor-generals of Kiribati, Nauru and Tuvalu to implement the program, and preparing a detailed resource schedule outlining audit timing and sequencing.

PDP was contracted to prepare the Project Design Document (PDD) for Phase 2 of the Improving Policy Development and Coordination of Reform Program. This included responsibility for preparing the situational analysis, scope of services, Logframe, components, TORs, risk management framework, costings, M&E framework and contracting strategy for the program.

PDP undertook an initial institutional and situation analysis for Samoa’s Ministry of Revenue, to assess the requirements for proceeding with the design of an Institutional Strengthening Project (ISP) for the Inland Revenue Department (IRD).

PDP was involved in the diagnosis of institutional capacities and provided analysis for further scoping and design work for the ISP. Furthermore, PDP presented a range of institutional strengthening options for the Ministry, identifying critical areas in which to concentrate the ISP, as well as undertaking specific strengthening activities to assist the short-term priorities of the IRD.

The objectives of this project were to reorient corporate planning activity in departments towards budget-based planning and strengthen management systems, increasing the attention given by these systems to resource allocation and management. The PDP team took forward an integrated departmental corporate planning, approval, implementation and monitoring process, entailing a budget-based, standardised approach. Assistance was provided to support national counterparts in building the capacity of departments to manage and implement the integrated process.

PDP’s team focused on corporate planning and integration with a medium term budget framework, including formal Cabinet approval and annual reporting of performance against the plans, and the introduction of financial, organisational and other management arrangements to facilitate effective implementation of plans. Assistance was provided to the Secretary to Cabinet to develop a policy coordination role for the Cabinet Office and assisted in the preparation of a Cabinet Submission seeking approval for the introduction of an integrated planning, approval, implementation and monitoring system.

Key tasks included an assessment of which departments would benefit from external assistance in preparation of corporate (or departmental) plans and implementation of the associated financial and other management arrangements. A survey was undertaken of the state of preparedness and availability of external assistance in each department to comply with the proposed integrated planning, approval and monitoring system and recommendations made on the provision of assistance to departments in need. The Adviser also assisted in the development and refinement of the proposed integrated planning, approval and monitoring system, and liaised with the Departments of Finance and Treasury, and National Reform and Planning and the National Planning, Monitoring and Evaluation Unit to ensure that it accommodated their reporting requirements and was compatible with and complimentary to the budget development system and the emerging Medium Term Budget Framework.

PDP provided budget planning expertise as part of a SWAp support team that provided guidance and assistance to the government’s in preparing the Health Sector Support Program (HSSP). Planning and budgeting improvements were one of the key reform areas under the HSSP, building on the significant work undertaken to date with the aim of facilitating the linkages between the MOH operational plans, the annual sectoral expenditure plan, and the MOH budget.

As part of the SWAp, PDP’s adviser was responsible for: 

• reviewing the draft MTEF and incorporating where appropriate the revised SWAp program budgets 
• assisting in operational planning for 2008, including further training sessions 
• participating in the next SWAp joint mission to discuss MTEF, budget and planning issues 
• providing changes to these areas within the draft as agreed by the joint mission team 
• incorporating any final comments into the draft and from this producing the Final Report.

As a key member of the SWAp support team, PDP provided the services of a Health Sector Planning and Budgeting Adviser. The consultant focused on progress in preparing a medium term expenditure framework (MTEF) and identified the key issues in, and defined the steps for, improving planning and budgeting in the health sector.

PDP undertook a desk review of the Solomon Islands Government ICT Capacity Development Project Design and prepared an appraisal note. The appraiser reviewed several issues including: appropriateness of objectives; reducing poverty reduction (by increasing the effectiveness of Machinery of Government); sustainable project outcomes (threatened by funding and longer term reliance on external support); capacity of local civil service or local external resources to support the ICT environment through adequately planned and successful capacity building programs; consistency with AusAID policies; beneficiary needs; and the need for more clearly defined objectives to allow relevant measurability of progress.

Other issues examined in the appraisal provided key indicators to design methodology and appropriateness, such as: partner country participation; adequacy of the design process; standards employed in the final design as well as its integrity; capacity building and use of the technology; and risk assessment issues (theft of intellectual and hard property).

The appraisal note also raised areas to be addressed in the design document and ultimate ICT Project review including standards, strength of partner government support, client management, capacity building (including sustainability at government and grassroots levels, and sustainability of institutional capacity), and highlighted the need for further attention to budgetary concerns.

PDP provided technical assistance to the Department of National Reform and Planning (DNRP) to refine and make operational the National Economic Recovery, Reform and Development Plan 2003-2006 (NERRDP) through the development and implementation of an action plan. This involved providing the basis for developing an action plan for reform, recovery and development, linked with multi-year budget framework, which provided for effective integration of budgeting and planning.

The fiscal context for NERRDP implementation in consultation with the Ministry of Finance, including issues of integrating the development and recurrent budgets more broadly, and integration of the development budget into the Action Plan was assessed. This led to the preparation of an initial draft Action Plan that could be used by DNRP as a basis for further work in liaison with SIG and donors, highlighting key actions, commitments, timeframes, indicators and resourcing requirements. Next steps were identified for further development and implementation of an Action Plan.

PDP provided assistance with accounting and budgetary systems which were failing to provide adequate mechanisms for budgetary control and financial management. The consultant worked closely with counterparts in the Ministry of Finance to set up an effective accounting system to monitor arrears, ensure speedy debt service payments and thereby help normalise relations with external and domestic creditors. The 1998 Budget was critically examined with a view to identifying possible savings to help relieve financial pressure.

Following a severe financial crisis in the country, the World Bank assistance focused on the accounting and budgetary systems, which were failing to provide adequate mechanisms for budgetary control and financial management. By working with counterparts in the Ministry of Finance, an effective system was developed to keep track of arrears, ensure speedy debt service payments and thereby help normalize relations with external and domestic creditors.

PDP's expert was attached to the Ministry of Finance in Honiara who worked closely with two senior government officials designated by the Permanent Secretary, Ministry of Finance, with responsibility for setting up an effective accounting system to monitor arrears. Also, critically examined the 1998 Budget with a view to identifying possible savings to help relieve financial pressure.

PDP provided a team of advisers to prepare a framework and design for enhanced public financial management, and to commence implementation by building capacity and improving existing systems currently under renovation. The assignment included a diagnosis of existing systems and management controls, with a particular emphasis on the quality and integrity of existing processes relating to accounting and financial management in the 2001 and 2002 budget periods. Subsequent to these measures, reform of PFM components covering overall process control and integration took place. A product of this was improved strategic priority setting and allocative efficiency, including the preparation of an effective medium term expenditure framework and proper multi-year budgeting framework and forward estimates system.

A three level capacity building and skills transfer strategy, action plan and related tools were developed to improve performance and effectiveness at institutional and personal levels. A key focus was increasing effectiveness of the PIP and budget integration. The project provided support to the 2000 Peace Budget and assisted in maintaining financial management throughout the period of ethnic tension.

PDP provided technical assistance to the Solomon Islands Government in the reform of the public sector with a focus on reducing its call on the government’s budget. PDP worked with the Public Service Commissioner, the Ministries of Finance and Economic Reform and other relevant officials to provide technical advice on effective and sustainable reform to:

• assist with the responsible setting of priorities for the Solomon Islands Public Sector Reform Program
• clearly define the responsibility within the Solomon Islands Government
• establish an appropriate course of action.

Road map and action plan recommendations were made within a framework of short, medium and longer-term planning and strategic priorities were justified.

Work undertaken on the public sector reform aided the foundations for a broader strategic framework for building systems and skills to strengthen the delivery capacity of the public sector.

PDP staff prepared an appraisal of the AusAID Solomon Islands Public Sector Reform (SIPSR) Project Design Document. The appraisal report addressed each element of the program design document and provided constructive suggestions for improvement based on the current situation in the Solomon Islands. The appraisal considered the feasibility of the program and advised of suitable implementation measures in order for the program design to meet the requirements for immediate implementation.

PDP was specifically requested by the Cabinet Secretary to assist in the delivery a series of critical workshops of Permanent Secretaries with a focus on machinery of government reform. The consultant focused on:

• performance improvement
• current policies and plans
• information flow between ministries and whether technology could assist the process and dialogue between ministries
• benefits and drawbacks of a Permanent Secretaries Forum and how this could help Permanent Secretaries function more effectively
• managing ministerial relationships and how Permanent Secretaries could assist Cabinet to make sound and affordable decisions
• resource limitations impacting on Permanent Secretaries’ role as well as the implications of people, infrastructure and physical location for government plans and decisions.

 
Guidance was given to consider the current rules and laws governing the public sector and their impact, as well as the development and maintenance of public sector ethics and morale.

The Solomon Islands Government (SIG) Information and Communication Technology Capacity Development Project (ICTCDP) was established to enable the development of SIG capacity to manage and maintain whole-of-government information and communication equipment, databases and infrastructure. The ICTCDP Design Document required the Project Coordinating Committee (PCC) to commission three independent technical reviews at specified intervals over the duration of the project, to report constructively on the technical aspects of the project.

The objective of this assignment was to establish the scope and guide the conduct of the three independent technical reviews of the ITCDP. This review was the first of the three reviews.

PDP was responsible for undertaking a comprehensive review of the project activity to:

• determine whether the technical deliverables were appropriate, affordable, sustainable and well managed
• determine if the equipment delivered under the project was selected in accordance with SIG technical compliance, tendering and regulatory directions
• determine if the IT development path taken within SIG was soundly engineered, delivered, fully documented, technically competent and considered all alternatives in its technical approach, and
  
• comment on the overall cultural climate of IT within SIG.

Specific tasks under the first review included:

• evaluating the ICTCDP current work plan technical deliverables in terms of their technical status
• assessing the appropriateness of data security protection for critical systems and the recommendations made to the SIG in relation to data security protection
• assessing the technical management capacity of the ICT Support Unit, and
  
• evaluating the WAN feasibility study report recommendations and their possible impact directly and indirectly on future ICTCDP deliverables and timelines.

PDP provided the services of an ICT specialist to establish the scope for and guide the conduct of three independent technical reviews of the Solomon Islands Government (SIG) Information and Communication Technology Capacity Development Project (ICTCDP). PDP’s consultant also undertook the first review which involved:

• evaluating the ICTCDP work plan technical deliverables in terms of their technical status
• assessing the appropriateness of data security protection for critical systems and the recommendations made to the SIG in relation to data security protection
• assessing the technical management capacity of the ICT Support Unit
• evaluating the WAN feasibility study report recommendations and their possible impact directly and indirectly on future ICTCDP deliverables and timelines.

PDP provided assistance to help develop the Terms of Reference for advisers to be mobilised as part of the budget stabilisation team, contributed to an assessment of the current structure and capacity of the Ministry of Finance and other key agencies in Solomon Islands and gathered information and analysis. The objective of the mission was to further the engagement with key counterparts in SIG on implementation of the budget stabilisation process and to verify, in consultation with key counterparts, the scope of the budget stabilisation process. The consultant provided comment to the mission Team Leader on financial and economic issues specific to the Solomon Islands including:

• the current fiscal situation
• the debt management system
• CBSI processing of SIG payments
• integration of finance and planning functions
• details of over-spending by accounts code
• internal audit reports produced in previous years.

PDP provided accounting advisory services to support the Accountant General and senior line staff in revenue and fund management functions, including assistance to the Accountant General for the preparation of the outstanding 2000-2002 Annual Accounts and preparation of the 2003 Annual Accounts. Advice and support was provided for monthly reporting procedures, fraud investigation, assessment of fund usage and reporting on fund misuse, management of special fund accounts and recovery procedures, and revenue procedures. Capacity building programs for national staff on fund account management, banking and account reconciliation, revenue flow reporting, revenue controls to ensure there was prompt accountability and development of routines for dishonoured cheque control and recovery were completed.

PDP is providing technical assistance to help establish the functions and machinery of government as a platform to improve the accountability and performance focus of government. The focus is on rebuilding of machinery of government in line with current international practice, building on the work done to date with the Cabinet Office, the Public Service Department and with Permanent Secretaries on departmental corporate planning. The emphasis is on building the capacity of SI counterpart staff and in particular the Permanent Secretaries as the core reform agents in the public sector. Recognition is given that effective machinery of government will involve not just central agencies but line agencies and provincial governments.

PDP is undertaking feasibility, design and advisory work, addressing the structure, timing and scale of reform in four key operational areas critical to the effective machinery of government:

• establishment structures, control and review, and public service recruitment
• Cabinet Office
• public service capacity building
• role of provincial governments in service delivery.

PDP provided the services of a Senior Agricultural Economist to work with the World Bank team in overseeing the Agriculture Rehabilitation Program in Timor-Leste. The role required guiding the Ministry of Agriculture, Forest and Fisheries in the preparation of a “road map” for the implementation of the National Development Plan, priority action plans for FY03-04, assisting in the drafting of the consolidated Agriculture Budget for FY03-04, and initiating the economic and financial analysis for the Third Agriculture Rehabilitation Project.

PDP assisted the AETCBF review and strategic planning mission. The mission considered capacity approaches and programs of assistance provided by donors (including, but not limited to United Nations Mission of Support in East Timor [UNMISET], United Nations Development Program [UNDP] and Ireland Aid), as well as capacity building systems and processes used in the Government of East Timor (GoET) agencies such as the National Directorate of Planning and External Assistance Coordination (NDPEAC), Capacity Development and Coordination Unit, the National Institute for Public Administration and the Directorate of Public Services. The mission also suggested options for future AusAID involvement in public sector capacity building in Timor Leste to build on achievements to date, including a realistic program of transition between the Facility and any successor program.

PDP’s Team Leader was responsible for preparing a Strategic Framework to direct AusAID’s future program of activities in support of capacity building and institutional strengthening in Timor Leste. The Strategic Framework was to provide the overarching framework for a successor program to the Facility, to ensure continued enhancement of AusAID’s program of development assistance. The performance of the Facility was reviewed to identify opportunities for improved operational effectiveness, as well as opportunities for the existing Facility to move forward towards implementation of the Strategic Framework to improve its strategic effectiveness.

PDP undertook a review of Australia’s assistance to Timor-Leste to date, with the aim of identifying progress, areas and activities for future assistance and lessons learnt during the current period of assistance for incorporation into a future design. The assignment involved the design of a longer term bilateral project, targeting the Central Fiscal Authority, which was closely aligned with Australia’s interim country strategy for Timor Leste and which focused on building and integrating current support within an overall project management framework. PDP also identified necessary transition or bridging strategies between the conclusion of assistance to the CFA under current arrangements and the commencement of support under the future bilateral project.

PDP provided assistance to the Ministry of Education, Culture, Youth and Sports (MECYS) to formulate a basic education policy strategy to address the national literacy crisis through a new long term sector expenditure program. Major components of the project were the development of a long term program to evaluate the cost of introducing the Portuguese language as the new national language, and the introduction of policy to support a new set of local community and governance institutions. A major dimension of the national basic education strategy was the focus on identifying sources of revenue for the next five to ten years from international donors and within the Government of Timor Leste’s own revenue base. A further objective of the strategy was to design and introduce a monitoring and evaluation program to measure outputs and outcomes.

PDP assisted the Policy, Planning and Program Services Division of the Ministry of Agriculture, Forestry and Fisheries (MAFF) to complete a public expenditure review and internalise it as a key policy and strategy document for the Ministry.

In the health sector the expenditure review addressed:

• the relationship between current and proposed investments in health (largely donor financed) and the resulting recurrent costs
• the magnitude of pressures for increased expenditures on the recurrent budget from other (policy related) sources.

Advice was provided to the MOH and Bank on the adjustments which should be made to the draft Sector Investment Program, given constraints on the CFET budget, and paying particular attention to the human development requirements for the sector, technical assistance requirements and investment in infrastructure consonant with the strategic directions in the Health Policy Framework.

The objective of the reviews was to assist ministries to increase the poverty reduction impact of expenditure programs by improving service delivery and sector spending accountability. In addition, the results of the PER Analyses assisted in the formulation of the FY2004 Medium Term Fiscal Framework, budget and sectoral programs in key areas and provided parliament, civil society, external partners, the media and public with public expenditure policy information and management issues.

PDP assisted in building the capacity of the Planning Commission to implement, monitor and evaluate the National Development Plan. It involved developing Timor Leste’s Draft National Development Plan by the time of independence, including enhancing the capacity of national counterparts through active mentoring.

The team helped develop the macroeconomic budget and fiscal framework for the National Development Plan with particular reference to: medium term fiscal issues; monetary, banking and credit issues and the exchange system; trade and investment issues; formal/informal sector and small and medium enterprises; sectoral policies; and labour market issues, including employment, wages, training and labour market productivity. Recommendations on medium term fiscal issues were integrated into the draft plan and assistance provided in reconciling the competing demands of sector strategies for limited resources. A particular focus was on identifying ways in which macroeconomic policies could be used to realise aspirations expressed in the countrywide consultation. Recommendations from the National Poverty Assessment were also integrated into the draft plan.

A PDP Financial Management Specialist provided specialist advice in regard to three modal transport sectors. The specialist developed a full financial management and accounting system at the organisation, project, capital expenditure and recurrent expenditure level and produced a manual on financial management and financial decision systems. Tasks included establishing and initiating work for operationalising institutions and establishing financial and regulatory frameworks for the management of the roads, ports, maritime, aviation and airport sub-sectors. A review was also conducted of the long term development requirements to enable these sub-sectors to contribute to poverty reduction and economic growth.

PDP provided a team to edit and produce a Feasibility Study Report for AusAID’s proposed Financial and Economic Management Program (FEMP). Inputs were collected from each member of the FEMP Feasibility Study Team and these were collated into a single, comprehensive, cohesive and focused Feasibility Study Report. The report was edited to ensure clear and consistent language and content. The report was also reviewed by PDP’s technical expert to ensure its contents were logical and viable in terms of the feasibility of a FEMP program of assistance, particularly the institutional and public finance aspects.

This project provided an underlying assessment of the development constraints and opportunities for the guidance of the Government as well as for the preparation of ADB’s Strategy and Program Update in 2006. PDP prepared an economic report providing for the current state of all macroeconomic development and policies, performance and directions, and target macroeconomic and fiscal indicators. The team provided recommendations in a clear program with resource implications and best practice policy directions, with the objective of improving macroeconomic management and public services delivery. This included objectives on:

• reduction of poverty and hardship
• private sector development
• optimal public resource allocation
• fiscal policies.

These recommendations were to account for the institutional constraints and opportunities for performance improvement through reform and capacity development to foster effective macroeconomic policy framework and improvement in social welfare.

PDP provided services under this TA which aimed to improve economic and public sector management in Tonga by ensuring that the Government was able to align its policies, strategies, expenditures and work program with Strategic Development Plan Eight (SDP-8), including recommending policies and measures for development partners’ assistance to the Government. PDP’s Team Leader/Macroeconomic/Public Finance Specialist was responsible for overall oversight and coordination of TA implementation, and leading the team in: 

• assisting the Government with preparing a sustainable strategy for implementing SDP-8 
• preparing the second phase of the Economic and Public Sector Reform Program (EPSRP), focusing on the implementation of SDP-8 
• preparing and conducting consultative workshops and seminars with Government agencies, civil society, the private sector, development partners, and other relevant stakeholders.

PDP provided the services of a Budget Management Adviser to help the Government of Tuvalu (GOT) to implement recent recommendations of the Tuvalu Trust Fund Advisory Committee (TTFAC) on budget management issues. The focus was on helping to enable the GOT to enhance its budget preparation process. A key task in this respect was the development of a capacity building program—targeting the respective roles of each of the key budget preparation stakeholders. This encompassed a mixture of action and related training to improve: the process of budget preparation; the accuracy, timeliness and comprehensiveness of information available for the budget preparation process; and methods used to analyse information used in the budget preparation process.

PDP provided technical assistance to help the Ministry of Finance and Economic Planning and Investment (MFEPI) enable the Government of Tuvalu (GoT) to prepare a draft 2006 Budget. This involved:

• estimating the likely 2005 Budget outturn and its implications
• projecting expected expenditure and revenue trends on the basis of existing policies using the multi-year budget framework (MYBF) model, and identifying any significant fiscal risks
• determining appropriate aggregate fiscal targets for 2006
• reviewing the budget circular and suggesting amendments
• assessing departments responses to the budget circular and recommending realistic adjustments
• coordinating the adjustment process
• finalising preparation of the 2006 Budget.

Under ADB’s Capacity Development for Public Financial Management in Tuvalu, PDP’s five-person team will provide support to the Government of Tuvalu over a period of 2 and half years, supporting a public financial management reform process in three key areas: (i) developing and implementing a capacity development program to support the public financial management reform process, (ii) reviewing tariff arrangements for public enterprises, in light of the new taxation reforms and pressures for improved efficiency; and (iii) supporting the program grant with an emphasis on building the capacity of government to implement reforms, including divestiture, to improve SOE performance.

PDP provided accounting and FMIS support to the Ministry of Finance and Economic Management (MFEM). The assistance aimed to address specific risks that were identified by MFEM in terms of the finalisation of the GoV financial statements for 2005, as well as provide accounting support to the accounts, revenue, payments and payroll sections of the Department of Finance (DoF). PDP also helped the Government to implement the SmartStream projects module and a new budget and reporting package, and upgrade SmartStream to the latest version and develop its reporting capabilities.

PDP provided large scale technical assistance aimed at reform of public expenditure management and strengthening of the MFEM as part of the Comprehensive Reform Program of the Government of Vanuatu. The project incorporated five components: (i) budgeting reform; (ii) budget execution and management; (iii) IT systems; (iv) revenue side reforms; and (v) project management.

PDP provided a complete team of advisers to strengthen the MFEM and assist in the transformation of the PEM processes and systems in Vanuatu. A major on-the-job training and skills transfer program was undertaken in strategic planning, budgeting, budget execution, accounting and financial management and related IT systems. The PDP team worked with MFEM counterparts to provide advice, develop procedures and train ni-Vanuatan staff to enable consolidation and internalisation of budget and fiscal management processes, including design, execution and management of the budget processes and ensuring integration with reformed accounting processes within a new FMIS. The team built capacity in the design of financial statements, cashflow forecasting and significantly improved compliance with statutory accounting reporting requirements by developing contemporary accounting procedures and carrying out service wide training. PDP also provided the services of an IT Specialist, skilled in the development and implementation of FMIS, to enable MFEM to implement a modern IT system, including the establishment of effective institutional arrangements and correct sequencing with the other components. Additional assistance was provided through a Land Valuation Adviser, working within the Department of Lands to consolidate and strengthen the department, including developing and implementing a consolidated Lands Database.

PDP provided a complete team of advisers to strengthen the MFEM and assist in the transformation of public expenditure management processes and systems in Vanuatu.

The purpose of the Budget Preparation and Management Component was to ensure that all government expenditures and revenues were reviewed, prioritised and subsequently controlled by government through a systematic annual budget cycle and routine monitoring. The PDP team provided advice, developed procedures and trained ni-Vanuatan staff to facilitate the consolidation and internalisation of budget and fiscal management processes, incorporating design, execution and management of the budget processes and ensuring integration with reformed accounting processes within the new financial management information systems (FMIS). A key aspect was the design and delivery of training and workshops on budget management, expenditure management and revenue forecasting, as well as the use of the new FMIS and associated applications. Integral to this component was the provision of advice to the Ministry of Health, focusing on developing skills in budget policy analysis, budget formulation and entry, cash flow planning and management, extracting and using financial management information and financial reporting, as well as strategic policy setting and managing for improved agency performance in financial management. Additional assistance was also provided to the Department of Lands to strengthen the department, develop and implement a consolidated Lands Database and implement the 2004 budget initiative on land reform.

Under the Accounting Procedures and Service-wide Training Component, PDP’s work concentrated on strengthening the MFEM and line agency capacities to meet their obligations under the new public finance legislation through improved accounting structures and procedures within MFEM and improved knowledge and understanding within the public sector of public finance principles and the requirements of Vanuatu’s new public finance legislation. This included the development of contemporary accounting procedures and service-wide training to build capacity in the design of financial statements and cash flow forecasting and to significantly improve compliance with statutory accounting reporting requirements. As an element of this component, PDP provided the services of a short term assets valuation adviser to undertake valuations of current and non-current assets of the Government of Vanuatu and to upload data into the FMIS, establishing a government-wide register of assets. An extensive training program focused on acquainting accounting personnel with basic accounting concepts and raising awareness and knowledge in relation to accrual accounting concepts and accrual reporting practices as they apply to the Vanuatu public sector.

PDP’s responsibilities under the Information Technology Improvements Component entailed ensuring that the MFEM’s information technology systems and services supported other project objectives and more efficient processing of the government’s financial transactions. Specifically, PDP provided extensive assistance in the implementation of a modern IT system, including the development, implementation and first year of operation of the new government-wide FMIS (SmartStream) for MFEM. Extensive training provided to acquaint all line ministry users with SmartStream processes, as well as general computer training where needed.

Under the Corporate Development and Project Coordination Component PDP assisted the Director-General of the MFEM with ongoing restructuring of the Ministry, in pursuing good governance objectives in the Ministry through improved management systems, and coordinated the implementation of project activities.

PDP provided two specialists as part of the VGAP design mission to advise on all financial management and economic aspects of the program. The purpose of the mission was to design a program which enabled the Government of Vanuatu (GoV) to extend the reforms of its financial and economic management agencies, to progress overall public sector reform, to extend public sector reforms to line and provincial agencies, to strengthen support for transparency, accountability and reducing corruption, and to address the regulatory and other issues that constrain growth in the productive sectors.