世界发展银行-World-Bank-Support-for-Public-Financial-and-Debt-Management-in-IDA-Eligible-Countries---An-Independent-Evaluation_193页_17mb

Summary of World Bank Support for Public Financial and Debt Management in IDA-Eligible Countries

Core Content

This report is an independent evaluation of the World Bank Group's support for public financial and debt management (PFDM) in International Development Association (IDA)-eligible countries between fiscal years (FY)08 and FY17. It examines the effectiveness of the World Bank's interventions in strengthening PFDM institutions and practices, focusing on public financial management (PFM) and public debt management (PDM), and highlights the need for improved coordination, prioritization, and transparency in these areas.

Main Findings

• PFDM Importance: Sound public finance and debt management is essential for fiscal sustainability, macroeconomic stability, public accountability, and the delivery of public goods and services.
• World Bank's Investment: The World Bank has invested heavily in PFDM, including:
  • 126 investment project loans totaling $6.8 billion
  • 260 development policy operations (DPOs) totaling $19.4 billion (714 policy actions)
  • 598 advisory services and analytics (ASA) activities
• IDA19 Policy Commitments: PFDM was highlighted in the 19th Replenishment of IDA (IDA19) as a key policy commitment, emphasizing debt transparency, infrastructure governance, and human capital investment.
• Positive Outcomes:
  • Improved debt management capacity and strategies
  • Strengthened systems of accountability for budget management, PIM, and financial reporting
  • Enhanced regulatory frameworks for sovereign borrowing
• Challenges and Shortcomings:
  • Limited systematic evaluation of PFDM performance and impact
  • Insufficient focus on PIM and coordination between different PFDM pillars
  • Overreliance on DPOs for PIM support, which may not be suitable for long-term capacity building
  • Few IFMIS-related prior actions supported by DPOs, with only 2 specifically targeting IFMIS coverage
  • Inadequate integration of PFDM pillars, missing opportunities for synergies

Key Areas of Support

1. Public Expenditure Management (PEM)

• Budget Preparation and Execution: Support included improving budget cycles, enhancing transparency, and promoting accountability.
• Expenditure Data Management: Helped countries improve data collection and reporting.
• Public Sector Accounting: Supported the adoption of international public sector accounting standards (IPSAS).

2. Public Investment Management (PIM)

• Capacity Building: The World Bank supported PIM through development policy operations (DPOs) and advisory services.
• Diagnostics and Assessments: PIM assessments and diagnostics were used to identify weaknesses and guide reforms.
• Debt Sustainability Link: PIM systems can help avoid costly or non-critical investments that threaten debt sustainability.

3. Integrated Financial Management Information Systems (IFMIS)

• Implementation: IFMIS was supported through investment lending and DPOs.
• Coverage and Discipline: IFMIS coverage was linked to improved fiscal discipline and transparency.
• Limited Impact: Only a small number of DPO prior actions specifically targeted IFMIS coverage.

4. Public Debt Management (PDM)

• Capacity Building: The World Bank provided support for PDM through various instruments, including the Debt Management Facility (DMF) and the Multidonor Trust Fund.
• Debt Sustainability: PDM support aimed to improve debt management strategies and ensure debt sustainability.
• Debt Management Performance Assessments (DeMPAs): DeMPAs were used to assess and improve PDM performance.

Recommendations

1. Regular Monitoring of PFDM Pillars:

   • The World Bank should regularly monitor the quality of key PFDM pillars for each IDA-eligible country.
   • A centralized, country-specific PFDM assessment should be conducted to inform a coordinated, medium-term capacity-building program.

2. Enhanced Coordination and Prioritization:

   • Use assessments to prioritize and sequence support for PFDM capacity building and reform.
   • Align support with the Sustainable Development Finance Policy (SDFP) and emphasize PIM alongside debt transparency and management.

3. Systematic Evaluation of PFDM Activities:

   • Nonlending PFDM-related support, including training, peer learning, and diagnostics, should be systematically evaluated.
   • The World Bank should better integrate and exploit synergies among the different pillars of PFDM.

4. Improved Transparency and Accountability:

   • Enhance transparency in debt and debt management practices.
   • Ensure that support is directed to countries most in need of fiscal and debt monitoring.

Conclusion

The evaluation concludes that the World Bank has made significant contributions to PFDM in IDA-eligible countries, but there are opportunities to improve the quality and impact of its support. A more coordinated, systematic, and transparent approach to PFDM is needed to ensure that scarce public resources are used effectively and that debt sustainability is maintained. The proposed recommendations aim to address these shortcomings and align PFDM efforts with the World Bank's broader development goals.