Supporting the reform of public finances

Project description

Title: Support to the reform of public finances to achieve the SDGs and mobilise public revenues (ReFORME)
Commissioned by: German Federal Ministry for Economic Cooperation and Development (BMZ)
Country: Benin
Lead executing agency: Ministère de l’Économie et des Finances, MEF (Ministry of Economy and Finance)
Overall term: 2021 to 2023

Context

The Government of Benin has prioritised 49 targets of the United Nations’ Sustainable Development Goals (SDGs) and integrated them into national development plans and budgeting processes. However, the achievement of many SDGs is hampered by a lack of financial resources in the national and communal budgets.

Objective

National and communal budget cycles are implemented according to principles of good financial governance.

Approach

The project supports the reform of public finances at national and communal level in five priority areas.

Inclusive, efficient and realistic budgets

Training courses for administrative employees promote results-based programme budgets. Moreover, methods for gender-sensitive budgeting promote gender equality.

Taxes as a common civic duty

The project advises the tax administration and the treasury on bringing their rules into line with international standards, with the aim of improving the state’s ability to finance itself. These advisory services cover implementing new digital solutions, improving the quality of the taxpayer register, strengthening the tax compliance and service orientation, and broadening the tax base.

Transparency for public funds

The project supports dialogue between the state, communes and civil society for transparent budget planning and financial accounting, while taking account of disadvantaged groups.

Investments in the future

Expertise in conducting cost-benefit analyses and feasibility studies improves the quality of public expenditure planning. In addition, the project aims to better align public investment with private sector needs and improve the framework conditions for private investment.

Measurable development

The project provides advice on establishing a national monitoring system for the SDGs with the participation of the 77 communes and on publishing the data.

Last update: November 2021