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Conceptual framework of the Aid on Budget Study CABRI. 6 – 8 October, 2008 Gisenyi - Rwanda. Putting Aid on Budget Study. 2007 CABRI and the Strategic Partnership with Africa (SPA) Aid on Budget Study Internationally accepted standards of PFM and international aid effectiveness commitments
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Conceptual framework of the Aid on Budget StudyCABRI 6 – 8 October, 2008 Gisenyi - Rwanda
Putting Aid on Budget Study • 2007 CABRI and the Strategic Partnership with Africa (SPA) Aid on Budget Study • Internationally accepted standards of PFM and international aid effectiveness commitments • Paris Declaration and centrality of alignment for aid effectiveness
Putting Aid on Budget Study – cont. • Aim - optimise country level processes for reflection and integration of aid flows at all stages of the budgeting process. • Misconceptions to avoid: • “Aid on Budget” not synonymous to budget support • Projects are not necessarily off-budget • Putting aid on budget not a mere technical exercise
Process and Outputs Group A Countries Group B countries 10 Country Case Studies Inception Report Literature Review International reference group • Synthesis Report • Good Practice Note
Conceptual framework • Different aid disbursement channels: • Channel 1: funds disbursed via Ministry of Finance • Channel 2: funds disbursed to government, but via sector ministry or special project unit • Channel 3: funds managed by donor, and government receives services or assets in kind • Desired effects of aid on budget depend on: • Quality of information • Timeliness and accessibility • Improved processes relating to non-aid resources
Key findings of the study • Reporting vs. integrating aid • Use of country systems relevant for all aid modalities • Quantity vs. quality of aid integrated • Institutional framework and incentives for use of country systems.
Key findings of the study – cont. • Ensure that safeguards and compromises do not undermine benefits • Strong link between partner countries' aid effectiveness strategies and strategies for strengthening PFM • Importance of joint work by government and donors under government leadership.
Rwanda Working Session • First CABRI working session • Strong leadership from MINECOFIN in research and design • Collaboration of different stakeholders • Peer exchange with Mozambique, South Africa, Tanzania and Uganda.
Rwanda Working Session – cont. • Research Process Phase 1 Identified gaps in reported ODA Phase 2 Quality ODA information in the budget process Phase 3 Analysis of information needs and data collection instruments