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Improving Financial Governance in Montenegro

24-May-2017

Improving Financial Governance in Montenegro

Montenegro is developing a functional market economy and is implementing reforms in order to create a favorable and attractive investment climate, necessary for economic growth. The country has developed the Economic Reform Program (ERP) – the key strategic document for...

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Feasibility Study on the Development of Integrated Solid Waste Management Systems in the Regions of Georgia

18-May-2017

Feasibility Study on the Development of Integrated Solid Waste Management Systems in the Regions of Georgia

On May 17, a joint consortium of Infrastruktur & Umwelt, PMCG and REC Caucasus presented the draft report of a feasibility study aimed at developing integrated solid waste management systems for the regions of Kakheti and Samegrelo-Zemo Svaneti.Representatives of th...

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Advocating Gender Balance in Georgia’s Transportation System

15-May-2017

Advocating Gender Balance in Georgia’s Transportation System

PMCG was recently subcontracted by AETS Consulting, under the framework of the EBRD project aimed to support Tbilisi Transportation Company (TTC) to create better access to employment and training opportunities for female candidates and staff, and to increase the number...

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Promoting Informal Education among Georgian Youth

28-Apr-2017

Promoting Informal Education among Georgian Youth

On April 28, Aleksi Aleksishvili, Chairman and CEO at PMCG, held a seminar for students at the Konrad Adenauer Foundation, Germany (KAS) Academy of Political Education. The main topic was economic development and prosperity and Aleksishvili presented his views and ...

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Facilitating Female Participation in Georgia’s Economic Development

21-Apr-2017

Facilitating Female Participation in Georgia’s Economic Development

Women’s active participation is of crucial importance for any country’s fast and sustainable economic development. In order to facilitate the process of increasing women’s role in the development process, The World Bank Group has recently contracted PMCG under the proje...

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Enhancing Public Finance Management in the Ministry of Justice of Niger

18-Apr-2017

Enhancing Public Finance Management in the Ministry of Justice of Niger

PMCG, as part of a consortium led by Belgian consulting company Aide à la Décision Économique (ADE), was awarded the EU framework contract to conduct a public expenditure review of the justice sector of Niger. The project aims to contribute to the improvement of budge...

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Continuing to Motivate Students to Attain High-Quality Education

12-Apr-2017

Continuing to Motivate Students to Attain High-Quality Education

On March 31, PMCG awarded students with scholarships, funding their studies at the International School of Economics at Tbilisi State University (ISET).“We are pleased that we have the ability to create additional incentives for young and motivated people, who are full ...

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Trainings for Georgian Self-Governments in Spatial Planning, Asset Management and Capital Investment

03-Apr-2017

Trainings for Georgian Self-Governments in Spatial Planning, Asset Management and Capital Investment

On April 10-28, a consortium of companies - Ecorys, PMCG and Geographic - will conduct trainings for Georgian self-governments, under the World Bank project aimed at supporting decentralization and facilitation of local self-government reforms. At this stage, the traini...

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Enhancing Capacities of NGOs to Implement USAID Supported Activities in Kosovo

16-Mar-2017

Enhancing Capacities of NGOs to Implement USAID Supported Activities in Kosovo

Fostering positive and constructive inter-ethnic cooperation between the majority and minority communities in addressing common problems in Kosovo, such as unemployment and access to municipal services, is of crucial importance for the citizens of Kosovo.Chemonics Inter...

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PMCG’s Tax System Expertise Boosted as Another Consultant Secures TADAT Certificate

10-Mar-2017

PMCG’s Tax System Expertise Boosted as Another Consultant Secures TADAT Certificate

Mr. David Lelashvili, PMCG’s Business Regulatory Environment Consultant, currently working under the USAID Competitive Trade and Jobs (CTJ) Activity in Central Asia project, recently passed the Tax Administration Diagnostics Assessment Tool (TADAT) Assessor exam. As a c...

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PUBLICATIONS

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Issue 93: Visa Requirements Map

11-May-2017

Issue 93: Visa Requirements Map

   The map provides information about the visa requirements for Georgian visitors in abroad. It also gives information which type of visa foreign visitors need to enter to Georgia. Moreover, the other visa related information by country is also provided on the map. ...

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Issue 92: Banking Sector, January-February, 2017

24-Apr-2017

Issue 92: Banking Sector, January-February, 2017

  According to data for February 2017, compared to the corresponding period in 2016: • The volume of deposits increased by 7.4%;• The volume of loans to the national economy increased by 15.4%;• The share of loans for construction in total loans increased significantly (2...

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Issue 91: Foreign Direct Investments, 2016

27-Mar-2017

Issue 91: Foreign Direct Investments, 2016

  Based on the preliminary data, in 2016 compared to 2015:  • The volume of foreign direct investment (FDI) increased by 5% and amounted to 1.6 bln. USD. • The largest increase in FDI came from Turkey (200 mln. USD), amounting to 272 mln. USD. • By sector, t...

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Awarded with 1st place in the Gabriel Al-Salem Foundation's International Award

04-Nov-2016

1 Al-Salem web

We are honored that our project supporting the Government of Adjara’s program budgeting within the USAID Good Governance in Georgia (G3) program, run by Management Systems International (MSI) has won 1st place in the Gabriel Al-Salem Foundation's International Award "Consulting Without Borders".

We would like to congratulate the project team for this acknowledgement. This again shows the value of applying international best practices to the local context. 

 

Background and Challenges:

Traditional, input-based budgets provide limited information on the outputs and outcomes of public spending, disclosing information by line items of spending only rather than clearly showing the planned programs, activities, outputs or outcomes. 

Most common practices applied in the regions of Georgia, such as the one-year plan for the budget, had weak links, if any, to government strategies and it was almost impossible for citizens to track the development of the government programs, especially multiyear activities. 

Input-based budgeting has not been treated as a planning document of a given government institution but rather a finance document only dealt with by the finance departments, with minimum input from the sector policy makers. This has been resulting in weak links to sector policies and planned activities. 

Methods and Activities:

We have worked with several regional governments of Georgia, such as the Government of the Autonomous Republic of Adjara, and municipalities of Batumi, Akhaltsikhe and Kutaisi to overcome challenges and to move toward more transparent and accountable systems of governance.

In most of the projects, our assistance started from the beginning – designing a high-level strategic direction document of the government. This document reflected all the priorities of the local governments and was based on the results of round-table discussions with the ministries, sub-agencies, sector specialists, CSOs, and other interested groups. 

Later, the government programs were translated into program budgeting forms, creating programs, sub-programs, activities, outputs, outcomes and relevant key performance indicators. To achieve sustainability, special attention was dedicated to on-the-job trainings, coaching and workshops, covering technical and methodological aspects and the best international practices of program budgeting. 

On one hand, wide coverage makes the process difficult, however, this was one of the key features in achieving success and changing the budgeting practice at each and every level of spending taxpayers’ money.

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Results:

As a result of a complex approach, combining the best international practices with the local context, the interest and engagement of stakeholders increased, and citizens gained more effective and transparent governments, disclosing activities, outputs and outcomes with respective key performance indicators, enabling effective monitoring and evaluation of budget execution.

Overall, these projects achieved:

 

  • Enhanced effectiveness of the governments in planning and executing programs
  • Increased level of transparency in public spending
  • Increased level of accountability
  • Increased level of citizen engagement in the budgeting process


"PMCG has been a reliable and trusted partner for the five-year Good Governance Initiative (GGI) project in Georgia. PMCG staff and local consultants have provided timely and critical inputs, supporting the Government of Georgia’s governance reform process in all branches of government with high-quality analytical services, based on their excellent local knowledge and experience. We look forward to continuing our working relationship with PMCG over the remaining years of the GGI program".

David B. Smith, GGI Chief of Party, Tetra Tech ARD


"Collaboration with PMCG experts and project team, obtaining qualified recommendations and sharing their experience was very important for the professional development of employees of the Ministry of Economy and Finance. We hope to have the chance to collaborate with PMCG again."
David Baladze, the Minister of Finance and Economy of GoARA


“This project has important implications for Georgia: it should increase the level of trust of the local population in government, ensuring that decisions on policy and expenditure are clearer to the population. It will also, in the long turn, lead to a more inclusive policy process, ensuring that programmes and budget are formed on the basis that they meet with the needs or approval of wider stakeholders”. 

Gabriel Al Salem Foundation Awards Committee



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All the described projects are implemented within the framework of the USAID Good Governance Initiative (GGI) and Good Governance in Georgia (G3) programs.

Follow the links below for detailed information about specific projects:
Strengthening Government of Autonomous Republic of Adjara Institutional Capacity for Program Budgeting
Assisting Kutaisi City Municipality in Elaboration of the Economic Development Strategy
Improving program budgeting capacity of Akhaltsikhe municipality
Strengthening Program Budgeting Capacity of Batumi Municipality

 

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