1 Overview of Public Fiscal Administration Reported by John C.T. Ko July 1 st, 2005

2 1. Definition of Public Fiscal Adm. 2. The Analytical Framework 3. Developing Country Perspective 4. Coverage Outline of the Presentation

3 1. Definitions What is Public Fiscal Administration? Public fiscal administration generally refers to the formulation, implementation & evaluation of policies & decisions on : 1. taxation & revenue administration; 2. resource allocation, budgeting & public expenditure; 3. public borrowing & debt management; 4. accounting & auditing. 

4 Differences of PFA between LDCs and DCs Goals & Objectives – Development is the ultimate goal for LDCs; Social-Economic relationship – Levels of economic development, historical experience, the scars & traumas of colonization, & politico- economic relationships maintained by LDCs.

5 Free Enterprise Mixed Economy Centrally Planned Economies 2. The Analytical Framework The “Mixed” Economy

6 3. The Developing Country Perspective Development strategies which worked for industrialized countries may not necessarily transplant to LDCs. Successful fiscal policies in industrialized countries could result in disaster in LDCs.

7 Philippine Case The trend of fiscal policies Traditional “balanced Budget” Deficit financing Increased public borrowings Aggressive taxation & revenue adm. Expanded expenditures for large-scale projects

8 4. Coverage Major activities in public fiscal administration: 1.Fiscal policy formulation; 2.Taxation and revenue administration; 3.Budgeting and expenditure; 4.Public borrowings and debt management; 5.Accounting and auditing.

9 Thank you! National Palace Museum, Taipei, Taiwan