1. Workshop on Public Expenditure Management Bhutan Group Presentation

2. Current Scenario / Context Weak linkage between Plan and Annual Budget Input/need based budgeting Short term focus Soft budget constraints Weak prioritization process Heavy capital investments & implications Increasing budget deficit

3. Desired Results Improved linkage between plan and budget Availability based budget Medium term budget Increased efficiency, effectiveness & transparency in resource allocation Stronger sectoral ownership of budget Improved resource predictability

4. NEXT STEPS Continue with the Present System Improve the current System MTEF as a strategic option

5. NEXT STEP - Improve Upon the Current System Review –budgeting techniques –Forecasting techniques

6. NEXT STEPS – MTEF as a Strategic Option, Key issues Sensitization on MTEF Study MTEF and other options Technical Competence – forecasting and analysis Coordination & information sharing Manpower Institutional & procedural arrangements Financial implications > > > Institutional/organizational/capacity assessment < < <