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Workshop on the Strengthened Approach to Supporting PFM Reform

This workshop aims to enhance understanding of the Procurement Performance Measurement Framework and its role in PFM reform. It addresses the importance of procurement in managing budget expenditures and achieving development objectives, and provides suggestions for improvement. The workshop also explores the relationship between PFM indicators and the detailed procurement measurement tool developed by OECD/DAC and the World Bank.

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Workshop on the Strengthened Approach to Supporting PFM Reform

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  1. Workshop on the Strengthened Approach to Supporting PFM Reform PFM Performance MeasurementFramework And Procurement Pamela Bigart World Bank

  2. Why Include Procurement? • 30 to 70% of budget expenditures are managed through the procurement system • Key area of interest for countries to increase efficiency of expenditure and improve service delivery • Key area of interest for donors to help manage risk of misuse of funds and to achieve development objectives

  3. Procurement Elements of PFM Indicators • Dedicated indicator # 19 focuses on unique aspects of procurement system not captured in other indicators • Degree of Competition in system • Dispute Resolution to augment controls • Related indicators #4,10,12,20,21,24, 26 and 28 capture aspects of procurement performance

  4. Some Suggestions for Improving the Treatment of Procurement • A well integrated PEFA report should address aspects of the full system that contribute to the indicator being rated. A good practice example with regard to procurement is Armenia Integrated PFM report. • Why: Early involvement of all members of team to develop a shared understanding of the work • Created a mapping to show links and cross impact • Dealt with procurement as part of an integrated discussion for all indicators where procurement links to the topic under review. • Uses the narrative to build a complete picture. • Go well beyond indicator 19!

  5. Procurement Performance Measurement • OECD/DAC and World Bank Joint Procurement Roundtable developed detailed procurement benchmarking and measurement tools WHY? • To provide international standards and stop imposing individual donor standards • To facilitate integration of CPAR with the strengthened approach now to be applied for PFM

  6. What is the Relationship? • PFM indicators can be applied without use of the detailed procurement tool • Procurement tool can support a more detailed assessment and contribute to the PFM indicators across range of related areas • Procurement tool can be applied on its own to support assessments and progress of reform initiatives and to support fiduciary requirements of donors

  7. A Quick Look at the Procurement Measurement Tool

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