PUBLIC FINANCE MANAGEMENT
Public financial management is the system by which the financial aspects of the public services’ business are directed, controlled and influenced, to support the delivery of the sector’s goals. PFM systems are embedded in—and influenced by—broader sets of processes, systems and institutions. PFM systems are also part of broader national policy processes, which produce directives or plans that inform public resource allocation. Public financial management (PFM) systems are a core area for reform in many developing countries.
PFM includes all components of a country’s budget process – both upstream (including strategic planning, medium term expenditure framework, annual budgeting) and downstream (including revenue management, procurement, control, accounting, reporting, monitoring and evaluation, audit and oversight). Our expert team helps the government in each and every aspect of PFM from budgeting to Revenue Management, from Planning to Monitoring and Evaluation.
PFM systems support decision making on fiscal policy and underpin budget implementation and reporting. Shortcomings in such systems can lead to lack of fiscal discipline and macro-economic instability, weaken the alignment between the allocation of public resources and national policy priorities, and contribute to greater waste and corruption in the delivery of public services. The importance of good public financial management for the effectiveness of the state has become increasingly clear over the years. Good public financial management supports not only good governance and transparency but is also crucial for effectively delivering the services on which human and economic developments rely. For these reasons, many bilateral organizations and multilateral institutions consider public financial management to be a priority. We work with governments, bilateral and multilateral organizations for developing efficient systems and ensuring accountability in management. As PFM system consultants work indispensably in ensuring that aid is being used achieve development goals , we provide a comprehensive guide covering aspects from allocation of resources to the use of resources making the entire process easier.