1 / 14

CONCEPT DOCUMENT ON BUDGET REVIEW AND RECOMMENDATION REPORT (BRRR) PROCESS

CONCEPT DOCUMENT ON BUDGET REVIEW AND RECOMMENDATION REPORT (BRRR) PROCESS. PRESENTED BY: ZIBELE NGXISHE. 29 JUNE 2011. Contents of the presentation. Legislative underpinning of BRRR Purpose of BRRR process & concept document Dti’s budget response to strategic priorities

aitana
Download Presentation

CONCEPT DOCUMENT ON BUDGET REVIEW AND RECOMMENDATION REPORT (BRRR) PROCESS

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. CONCEPT DOCUMENT ON BUDGET REVIEW AND RECOMMENDATION REPORT (BRRR) PROCESS PRESENTED BY: ZIBELE NGXISHE 29 JUNE 2011

  2. Contents of the presentation • Legislative underpinning of BRRR • Purpose of BRRR process & concept document • Dti’s budget response to strategic priorities • Assessment of Dti’s allocative efficiency • Targeted programmes for assessment • Methodology • Identified challenges

  3. LEGISLATIVE FRAMEWORK AND PURPOSE OF BRRR • S 5 of Money Bills Act of 2009 requires PC to assess Dti’s performance & recommend to the NA on service delivery and future allocation of resources • Allocative efficiency – describes purpose of budget as an instrument to achieve policy priorities of the Dti • BRRR – track if allocated budget enhance achievement of outputs against intended outcomes of 2010/11 and 2011/12

  4. BROAD STRATEGIC PRIORITIES OF THE DTI OVER MTEF • Harness skills & resources to industrialise and diversify the economy • Increase exports of value added products • Facilitate cross border trade and RI of Africa and improve trade infrastructure through SQAM • Enterprise growth and development

  5. SPECIFIC STRATEGIC OBJECTIVES 2011-2014 • Creation of decent employment through inclusive econ growth in line with NGP • Accelerate manufacturing thru the revised IPAP 2 and contribute to 5mil jobs of NGP over the next 10 years • Facilitate transformation of the economy • Promote industrial development • Increase investment and competitiveness

  6. OUTCOMES OF BRRR ALIGNED TO STRATEGIC PRIORITIES • Reduced cost production in the economy • Accelerated GDP growth • Increased competitiveness & job opportunities • Increased investments, trade and infrastructure underpinning industrial and broad based econ dev in Africa • Increased growth in SMMEs and Coops

  7. CONTINUE……… • Increased production of value added exports and tradable goods and services • Increased access to business development and market support • Increased firm level productivity

  8. BUDGET RESPONDS TO STRAT. PRIORITIES AND OUTCOMES • 2011/12 total budget for Dti R6.8 billion and 9.6% more to R6.2 bil. of last year promotes industrialisation thru incentives • 82.5% or R5.6 bil. taken by three programmes administering various incentive schemes and transfers & subsidies (TEO : R3.5 bil; IDD: R1.3 bil; EED: R839 million) • Total budget increased by 1.36 percent

  9. SELECTION OF PROGRAMMES TO BE EVALUATED BY BRRR • SA’s progressive and strategic trade policy informed by industrial policy renders RI in the form of tripartite FTA (SADC-EAC-COMESA); SACU-EU (EPAs); SQAM etc. • IDD:implementation of revised IPAP 2 and acceleration of manufacturing i.t.o. NGP • Transfer payment to IDC on CTPI R400 mil for 2010/11 and R600 mil for 2011/12

  10. CONTINUE…….. • SABS infrastructure R174 240 for 2010/11 and R93,18 mil in 2011/12 • IDD: Manufacturing Investment Programme (MIP) to support 390 enterprises (Q1) of 2011/12 • TEO: APDP current payment on production allowance R547 000 mil. in 2010/11 and R916 800 mil. for 2011/12 • TEO: SMEDP R577240 for 2010/11

  11. METHODOLOGY • Sources of information for BRRR analysis will include inter alia; • Analysis of 2011 budget in comparison with 2010 • 2011-2014 MTSF in relation to SONA • Quarterly reports for 3Qs of 2010/11and section 32 reports from NT • Operational Plan for 2011/12

  12. IDENTIFIED CHALLENGES TO BRRR PROCESS • Lack of standardised reporting on financial indicators by the Dti makes it difficult to compare 2011/12 and 2010/11 • On the trade front performance indicators do not explicitly indicate i.t.o. what trade arrangements will directly or indirectly contribute to national economic priorities • There is no clear cut performance indicators on how transformation policies

  13. CONTINUE…….. • Address issues of inequality and unemployment • The 2011/12 budget does not seem to be responding clearly to the implementation of NGP • The delays in accessing requested financial performance information from the Dti as the available data reports on non –financials

  14. Thank you

More Related