Capacity Constraints and Public Financial Management in Small Pacific Island Countries
Drawing on Public Expenditure and Financial Accountability assessment scores from 118 countries, this paper provides the first comparative analysis of public financial management performance in small Pacific Island Countries (PICs). It applies a To...
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Format: | Policy Research Working Paper |
Language: | English en_US |
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World Bank, Washington, DC
2013
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Online Access: | http://documents.worldbank.org/curated/en/2012/12/17103609/capacity-constraints-public-financial-management-small-pacific-island-countries http://hdl.handle.net/10986/12207 |
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okr-10986-12207 |
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Digital Repository |
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Foreign Institution |
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Digital Repositories |
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World Bank Open Knowledge Repository |
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World Bank |
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English en_US |
topic |
ACCESS TO INFORMATION ACCOUNTABILITY FRAMEWORK ACCOUNTING ACCOUNTING STANDARDS AGGREGATE EXPENDITURE AGGREGATE FISCAL AGGREGATE REVENUE ANNUAL REPORTING ARREARS AUDIT OFFICE AVAILABILITY OF DATA BEST PRACTICE BINDING CONSTRAINT BLUEPRINT BOOKMARK BRAIN DRAIN BUDGET ALLOCATIONS BUDGET CIRCULAR BUDGET COMPREHENSIVENESS BUDGET DOCUMENTATION BUDGET ESTIMATES BUDGET EXECUTION BUDGET PREPARATION BUDGET PROPOSALS BUDGET SUPPORT BUDGET SYSTEMS BUDGETARY EXPENDITURE BUDGETARY INSTITUTIONS BUDGETING CAPACITY BUILDING CAPACITY CONSTRAINTS CAPACITY INDICATORS CAPITAL SHORTAGES CASH BALANCES CASH FLOWS CENTRAL AGENCIES CENTRAL GOVERNMENT CITIZENS COMPETITIVE PROCUREMENT CUSTOMS DEBT DEBT DATA DEBT SUSTAINABILITY DEVELOPING COUNTRIES DEVELOPMENT ASSISTANCE DEVELOPMENT BANK DEVELOPMENT GOALS DEVELOPMENT OBJECTIVES DEVELOPMENT POLICY DISBURSEMENTS DONOR AGENCIES DONOR FLOWS ECONOMIC DEVELOPMENT ECONOMIC GROWTH ECONOMIC PERFORMANCE ECONOMIC REFORM ECONOMIES OF SCALE EXTERNAL ACCOUNTABILITY EXTERNAL ASSISTANCE FINANCE MINISTRIES FINANCIAL ACCOUNTABILITY FINANCIAL MANAGEMENT CAPACITY FINANCIAL RESOURCES FINANCIAL STATEMENTS FISCAL DATA FISCAL FORECASTS FISCAL INFORMATION FISCAL OUTTURNS FISCAL POSITION FISCAL YEARS FRAUD FUNCTIONALITY FUTURES GLOBALIZATION GOOD GOVERNANCE HUMAN CAPITAL HUMAN RESOURCES IMPACT OF POPULATION IMPACTS OF POPULATION INCOME LEVEL INCOME LEVELS INFRASTRUCTURE PROJECTS INSTITUTIONAL DEVELOPMENT INTERNAL AUDIT INTERNAL AUDIT FINDINGS INTERNAL AUDIT FUNCTION INTERNAL CONTROL INTERNAL CONTROLS INTERNATIONAL BANK INTERNATIONAL CAPACITY INTERNATIONAL COMPARISONS INVESTING INVESTMENT EXPENDITURE ISSUANCE ISSUANCE OF GUARANTEES JOB OPPORTUNITIES JOB TRAINING LABOR MARKET LABOR MARKETS LEGISLATIVE BUDGET LOCAL CAPACITY MACROECONOMIC MANAGEMENT MACROECONOMIC VOLATILITY MANAGEMENT SYSTEMS MARGINAL EFFECTS MARKETABLE SKILLS MIGRANT MIGRATION MIGRATION DATA MIGRATION FLOWS MINISTRIES OF FINANCE MINISTRY OF FINANCE MISSING DATA MULTIVARIATE REGRESSION ANALYSIS NATIONAL DEVELOPMENT NATIONAL GOVERNMENT NATIONAL GOVERNMENTS NUMBER OF MIGRANTS NUMBER OF PEOPLE OPEN ACCESS OUTSOURCING PERFORMANCE INDICATORS PERFORMANCE MEASUREMENT PERFORMANCES POLICY DISCUSSIONS POLICY IMPLICATIONS POLICY RESEARCH POLICY RESEARCH WORKING PAPER POLITICAL ECONOMY POPULATION DATA POPULATION EFFECT POPULATION SIZE POPULATION VARIABLE PORTFOLIO POST-CONFLICT SETTINGS POVERTY REDUCTION PRACTITIONERS PREPARATION OF BUDGET SUBMISSIONS PRIVATE SECTOR PRIVATE SECTOR DEVELOPMENT PROCUREMENT FUNCTION PROCUREMENT PROCESSES PROFESSIONAL STAFF PROGRAMS PROGRESS PUBLIC PUBLIC ADMINISTRATION PUBLIC ENTITIES PUBLIC EXPENDITURE PUBLIC EXPENDITURE MANAGEMENT PUBLIC FINANCE PUBLIC FINANCES PUBLIC FINANCIAL MANAGEMENT PUBLIC FINANCIAL MANAGEMENT SYSTEM PUBLIC FINANCIAL MANAGEMENT SYSTEMS PUBLIC SECTOR PUBLIC SECTOR REFORM PUBLIC SERVANTS PUBLIC SERVICE PUBLIC SERVICES REFORM EFFORTS REFORM OBJECTIVES REFORM PROGRAMS REGIONAL DUMMIES REGISTRATION SYSTEM RELATIONSHIP BETWEEN POPULATION RELIABILITY REMITTANCES RESOURCE ALLOCATION RESOURCE MANAGEMENT RESOURCE USE RESULT RESULTS RETENTION RETURN REVENUE COLLECTION RICHER COUNTRIES SERVICE DELIVERY SKILLED STAFF SMALL COUNTRIES SUB-NATIONAL GOVERNMENTS SUSTAINABILITY ANALYSIS TARGETS TAX TAX ASSESSMENT TAX COLLECTIONS TECHNICAL ASSISTANCE TECHNICAL CAPACITIES TECHNICAL CAPACITY TECHNICAL REQUIREMENTS TECHNICAL SKILLS TECHNICAL STAFF TERTIARY EDUCATION TOTAL EXPENDITURE TRANSPARENCY TREASURY TRUST FUNDS TURNOVER UNITED NATIONS POPULATION DIVISION WEB WORLD POPULATION |
spellingShingle |
ACCESS TO INFORMATION ACCOUNTABILITY FRAMEWORK ACCOUNTING ACCOUNTING STANDARDS AGGREGATE EXPENDITURE AGGREGATE FISCAL AGGREGATE REVENUE ANNUAL REPORTING ARREARS AUDIT OFFICE AVAILABILITY OF DATA BEST PRACTICE BINDING CONSTRAINT BLUEPRINT BOOKMARK BRAIN DRAIN BUDGET ALLOCATIONS BUDGET CIRCULAR BUDGET COMPREHENSIVENESS BUDGET DOCUMENTATION BUDGET ESTIMATES BUDGET EXECUTION BUDGET PREPARATION BUDGET PROPOSALS BUDGET SUPPORT BUDGET SYSTEMS BUDGETARY EXPENDITURE BUDGETARY INSTITUTIONS BUDGETING CAPACITY BUILDING CAPACITY CONSTRAINTS CAPACITY INDICATORS CAPITAL SHORTAGES CASH BALANCES CASH FLOWS CENTRAL AGENCIES CENTRAL GOVERNMENT CITIZENS COMPETITIVE PROCUREMENT CUSTOMS DEBT DEBT DATA DEBT SUSTAINABILITY DEVELOPING COUNTRIES DEVELOPMENT ASSISTANCE DEVELOPMENT BANK DEVELOPMENT GOALS DEVELOPMENT OBJECTIVES DEVELOPMENT POLICY DISBURSEMENTS DONOR AGENCIES DONOR FLOWS ECONOMIC DEVELOPMENT ECONOMIC GROWTH ECONOMIC PERFORMANCE ECONOMIC REFORM ECONOMIES OF SCALE EXTERNAL ACCOUNTABILITY EXTERNAL ASSISTANCE FINANCE MINISTRIES FINANCIAL ACCOUNTABILITY FINANCIAL MANAGEMENT CAPACITY FINANCIAL RESOURCES FINANCIAL STATEMENTS FISCAL DATA FISCAL FORECASTS FISCAL INFORMATION FISCAL OUTTURNS FISCAL POSITION FISCAL YEARS FRAUD FUNCTIONALITY FUTURES GLOBALIZATION GOOD GOVERNANCE HUMAN CAPITAL HUMAN RESOURCES IMPACT OF POPULATION IMPACTS OF POPULATION INCOME LEVEL INCOME LEVELS INFRASTRUCTURE PROJECTS INSTITUTIONAL DEVELOPMENT INTERNAL AUDIT INTERNAL AUDIT FINDINGS INTERNAL AUDIT FUNCTION INTERNAL CONTROL INTERNAL CONTROLS INTERNATIONAL BANK INTERNATIONAL CAPACITY INTERNATIONAL COMPARISONS INVESTING INVESTMENT EXPENDITURE ISSUANCE ISSUANCE OF GUARANTEES JOB OPPORTUNITIES JOB TRAINING LABOR MARKET LABOR MARKETS LEGISLATIVE BUDGET LOCAL CAPACITY MACROECONOMIC MANAGEMENT MACROECONOMIC VOLATILITY MANAGEMENT SYSTEMS MARGINAL EFFECTS MARKETABLE SKILLS MIGRANT MIGRATION MIGRATION DATA MIGRATION FLOWS MINISTRIES OF FINANCE MINISTRY OF FINANCE MISSING DATA MULTIVARIATE REGRESSION ANALYSIS NATIONAL DEVELOPMENT NATIONAL GOVERNMENT NATIONAL GOVERNMENTS NUMBER OF MIGRANTS NUMBER OF PEOPLE OPEN ACCESS OUTSOURCING PERFORMANCE INDICATORS PERFORMANCE MEASUREMENT PERFORMANCES POLICY DISCUSSIONS POLICY IMPLICATIONS POLICY RESEARCH POLICY RESEARCH WORKING PAPER POLITICAL ECONOMY POPULATION DATA POPULATION EFFECT POPULATION SIZE POPULATION VARIABLE PORTFOLIO POST-CONFLICT SETTINGS POVERTY REDUCTION PRACTITIONERS PREPARATION OF BUDGET SUBMISSIONS PRIVATE SECTOR PRIVATE SECTOR DEVELOPMENT PROCUREMENT FUNCTION PROCUREMENT PROCESSES PROFESSIONAL STAFF PROGRAMS PROGRESS PUBLIC PUBLIC ADMINISTRATION PUBLIC ENTITIES PUBLIC EXPENDITURE PUBLIC EXPENDITURE MANAGEMENT PUBLIC FINANCE PUBLIC FINANCES PUBLIC FINANCIAL MANAGEMENT PUBLIC FINANCIAL MANAGEMENT SYSTEM PUBLIC FINANCIAL MANAGEMENT SYSTEMS PUBLIC SECTOR PUBLIC SECTOR REFORM PUBLIC SERVANTS PUBLIC SERVICE PUBLIC SERVICES REFORM EFFORTS REFORM OBJECTIVES REFORM PROGRAMS REGIONAL DUMMIES REGISTRATION SYSTEM RELATIONSHIP BETWEEN POPULATION RELIABILITY REMITTANCES RESOURCE ALLOCATION RESOURCE MANAGEMENT RESOURCE USE RESULT RESULTS RETENTION RETURN REVENUE COLLECTION RICHER COUNTRIES SERVICE DELIVERY SKILLED STAFF SMALL COUNTRIES SUB-NATIONAL GOVERNMENTS SUSTAINABILITY ANALYSIS TARGETS TAX TAX ASSESSMENT TAX COLLECTIONS TECHNICAL ASSISTANCE TECHNICAL CAPACITIES TECHNICAL CAPACITY TECHNICAL REQUIREMENTS TECHNICAL SKILLS TECHNICAL STAFF TERTIARY EDUCATION TOTAL EXPENDITURE TRANSPARENCY TREASURY TRUST FUNDS TURNOVER UNITED NATIONS POPULATION DIVISION WEB WORLD POPULATION Haque, Tobias A. Knight, David S. Jayasuriya, Dinuk S. Capacity Constraints and Public Financial Management in Small Pacific Island Countries |
geographic_facet |
East Asia and Pacific |
relation |
Policy Research Working Paper; No. 6297 |
description |
Drawing on Public Expenditure and
Financial Accountability assessment scores from 118
countries, this paper provides the first comparative
analysis of public financial management performance in small
Pacific Island Countries (PICs). It applies a Tobit
regression model across the full cross-country sample of
Public Expenditure and Financial Accountability scores and
country variables to identify potential causes for the
observed underperformance of Pacific Island countries
relative to other countries of similar income. First, the
analysis finds small population size to be negatively
correlated with Public Expenditure and Financial
Accountability scores, with the "population
penalty" faced by small Pacific Island countries
sufficient to explain observed underperformance. Second,
through application of a new capacity index of Public
Expenditure and Financial Accountability dimensions, it
finds strong evidence in support of the hypothesis that
small population size impacts scores through the imposition
of capacity constraints: with a limited pool of human
capital, small countries face severe and permanent
challenges in accessing an adequate range and depth of
technical skills to fulfill all functions assessed through
the Public Expenditure and Financial Accountability
framework. These findings suggest that approaches to
strengthening public financial management in small Pacific
Island countries should involve: i) careful prioritization
of public financial management capacity toward areas that
represent binding constraints to development; ii) adoption
of public financial management systems that can function
within inherent and binding capacity constraints, rather
than wholesale adoption of "best practice"
imported systems; and iii) consideration of options for
accessing external capacity to support public financial
management systems on a long-term basis, from regional
agencies, the private sector, or donors. |
format |
Publications & Research :: Policy Research Working Paper |
author |
Haque, Tobias A. Knight, David S. Jayasuriya, Dinuk S. |
author_facet |
Haque, Tobias A. Knight, David S. Jayasuriya, Dinuk S. |
author_sort |
Haque, Tobias A. |
title |
Capacity Constraints and Public Financial Management in Small Pacific Island Countries |
title_short |
Capacity Constraints and Public Financial Management in Small Pacific Island Countries |
title_full |
Capacity Constraints and Public Financial Management in Small Pacific Island Countries |
title_fullStr |
Capacity Constraints and Public Financial Management in Small Pacific Island Countries |
title_full_unstemmed |
Capacity Constraints and Public Financial Management in Small Pacific Island Countries |
title_sort |
capacity constraints and public financial management in small pacific island countries |
publisher |
World Bank, Washington, DC |
publishDate |
2013 |
url |
http://documents.worldbank.org/curated/en/2012/12/17103609/capacity-constraints-public-financial-management-small-pacific-island-countries http://hdl.handle.net/10986/12207 |
_version_ |
1764422224622649344 |
spelling |
okr-10986-122072021-04-23T14:03:05Z Capacity Constraints and Public Financial Management in Small Pacific Island Countries Haque, Tobias A. Knight, David S. Jayasuriya, Dinuk S. ACCESS TO INFORMATION ACCOUNTABILITY FRAMEWORK ACCOUNTING ACCOUNTING STANDARDS AGGREGATE EXPENDITURE AGGREGATE FISCAL AGGREGATE REVENUE ANNUAL REPORTING ARREARS AUDIT OFFICE AVAILABILITY OF DATA BEST PRACTICE BINDING CONSTRAINT BLUEPRINT BOOKMARK BRAIN DRAIN BUDGET ALLOCATIONS BUDGET CIRCULAR BUDGET COMPREHENSIVENESS BUDGET DOCUMENTATION BUDGET ESTIMATES BUDGET EXECUTION BUDGET PREPARATION BUDGET PROPOSALS BUDGET SUPPORT BUDGET SYSTEMS BUDGETARY EXPENDITURE BUDGETARY INSTITUTIONS BUDGETING CAPACITY BUILDING CAPACITY CONSTRAINTS CAPACITY INDICATORS CAPITAL SHORTAGES CASH BALANCES CASH FLOWS CENTRAL AGENCIES CENTRAL GOVERNMENT CITIZENS COMPETITIVE PROCUREMENT CUSTOMS DEBT DEBT DATA DEBT SUSTAINABILITY DEVELOPING COUNTRIES DEVELOPMENT ASSISTANCE DEVELOPMENT BANK DEVELOPMENT GOALS DEVELOPMENT OBJECTIVES DEVELOPMENT POLICY DISBURSEMENTS DONOR AGENCIES DONOR FLOWS ECONOMIC DEVELOPMENT ECONOMIC GROWTH ECONOMIC PERFORMANCE ECONOMIC REFORM ECONOMIES OF SCALE EXTERNAL ACCOUNTABILITY EXTERNAL ASSISTANCE FINANCE MINISTRIES FINANCIAL ACCOUNTABILITY FINANCIAL MANAGEMENT CAPACITY FINANCIAL RESOURCES FINANCIAL STATEMENTS FISCAL DATA FISCAL FORECASTS FISCAL INFORMATION FISCAL OUTTURNS FISCAL POSITION FISCAL YEARS FRAUD FUNCTIONALITY FUTURES GLOBALIZATION GOOD GOVERNANCE HUMAN CAPITAL HUMAN RESOURCES IMPACT OF POPULATION IMPACTS OF POPULATION INCOME LEVEL INCOME LEVELS INFRASTRUCTURE PROJECTS INSTITUTIONAL DEVELOPMENT INTERNAL AUDIT INTERNAL AUDIT FINDINGS INTERNAL AUDIT FUNCTION INTERNAL CONTROL INTERNAL CONTROLS INTERNATIONAL BANK INTERNATIONAL CAPACITY INTERNATIONAL COMPARISONS INVESTING INVESTMENT EXPENDITURE ISSUANCE ISSUANCE OF GUARANTEES JOB OPPORTUNITIES JOB TRAINING LABOR MARKET LABOR MARKETS LEGISLATIVE BUDGET LOCAL CAPACITY MACROECONOMIC MANAGEMENT MACROECONOMIC VOLATILITY MANAGEMENT SYSTEMS MARGINAL EFFECTS MARKETABLE SKILLS MIGRANT MIGRATION MIGRATION DATA MIGRATION FLOWS MINISTRIES OF FINANCE MINISTRY OF FINANCE MISSING DATA MULTIVARIATE REGRESSION ANALYSIS NATIONAL DEVELOPMENT NATIONAL GOVERNMENT NATIONAL GOVERNMENTS NUMBER OF MIGRANTS NUMBER OF PEOPLE OPEN ACCESS OUTSOURCING PERFORMANCE INDICATORS PERFORMANCE MEASUREMENT PERFORMANCES POLICY DISCUSSIONS POLICY IMPLICATIONS POLICY RESEARCH POLICY RESEARCH WORKING PAPER POLITICAL ECONOMY POPULATION DATA POPULATION EFFECT POPULATION SIZE POPULATION VARIABLE PORTFOLIO POST-CONFLICT SETTINGS POVERTY REDUCTION PRACTITIONERS PREPARATION OF BUDGET SUBMISSIONS PRIVATE SECTOR PRIVATE SECTOR DEVELOPMENT PROCUREMENT FUNCTION PROCUREMENT PROCESSES PROFESSIONAL STAFF PROGRAMS PROGRESS PUBLIC PUBLIC ADMINISTRATION PUBLIC ENTITIES PUBLIC EXPENDITURE PUBLIC EXPENDITURE MANAGEMENT PUBLIC FINANCE PUBLIC FINANCES PUBLIC FINANCIAL MANAGEMENT PUBLIC FINANCIAL MANAGEMENT SYSTEM PUBLIC FINANCIAL MANAGEMENT SYSTEMS PUBLIC SECTOR PUBLIC SECTOR REFORM PUBLIC SERVANTS PUBLIC SERVICE PUBLIC SERVICES REFORM EFFORTS REFORM OBJECTIVES REFORM PROGRAMS REGIONAL DUMMIES REGISTRATION SYSTEM RELATIONSHIP BETWEEN POPULATION RELIABILITY REMITTANCES RESOURCE ALLOCATION RESOURCE MANAGEMENT RESOURCE USE RESULT RESULTS RETENTION RETURN REVENUE COLLECTION RICHER COUNTRIES SERVICE DELIVERY SKILLED STAFF SMALL COUNTRIES SUB-NATIONAL GOVERNMENTS SUSTAINABILITY ANALYSIS TARGETS TAX TAX ASSESSMENT TAX COLLECTIONS TECHNICAL ASSISTANCE TECHNICAL CAPACITIES TECHNICAL CAPACITY TECHNICAL REQUIREMENTS TECHNICAL SKILLS TECHNICAL STAFF TERTIARY EDUCATION TOTAL EXPENDITURE TRANSPARENCY TREASURY TRUST FUNDS TURNOVER UNITED NATIONS POPULATION DIVISION WEB WORLD POPULATION Drawing on Public Expenditure and Financial Accountability assessment scores from 118 countries, this paper provides the first comparative analysis of public financial management performance in small Pacific Island Countries (PICs). It applies a Tobit regression model across the full cross-country sample of Public Expenditure and Financial Accountability scores and country variables to identify potential causes for the observed underperformance of Pacific Island countries relative to other countries of similar income. First, the analysis finds small population size to be negatively correlated with Public Expenditure and Financial Accountability scores, with the "population penalty" faced by small Pacific Island countries sufficient to explain observed underperformance. Second, through application of a new capacity index of Public Expenditure and Financial Accountability dimensions, it finds strong evidence in support of the hypothesis that small population size impacts scores through the imposition of capacity constraints: with a limited pool of human capital, small countries face severe and permanent challenges in accessing an adequate range and depth of technical skills to fulfill all functions assessed through the Public Expenditure and Financial Accountability framework. These findings suggest that approaches to strengthening public financial management in small Pacific Island countries should involve: i) careful prioritization of public financial management capacity toward areas that represent binding constraints to development; ii) adoption of public financial management systems that can function within inherent and binding capacity constraints, rather than wholesale adoption of "best practice" imported systems; and iii) consideration of options for accessing external capacity to support public financial management systems on a long-term basis, from regional agencies, the private sector, or donors. 2013-01-29T18:22:17Z 2013-01-29T18:22:17Z 2012-12 http://documents.worldbank.org/curated/en/2012/12/17103609/capacity-constraints-public-financial-management-small-pacific-island-countries http://hdl.handle.net/10986/12207 English en_US Policy Research Working Paper; No. 6297 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research East Asia and Pacific |