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The World Bank Group. Working for a world free of poverty. Millennium Development Goals. Endorsed by 189 countries at the UN Millennium General Assembly in Sept 2000. Aim to halve the proportion of people in extreme poverty by 2015. - PowerPoint PPT PresentationTRANSCRIPT
The World Bank GroupThe World Bank Group
Working for a world free of povertyWorking for a world free of poverty
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Millennium Development GoalsMillennium Development Goals
Endorsed by 189 countries at
the UN Millennium General
Assembly in Sept 2000.
Aim to halve the proportion of
people in extreme poverty by
2015.
Set targets for reductions in
poverty, improvements in health
and education, and protection of
the environment.
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Paul Wolfowitz, President, The World Bank
Developed countries must boost foreign aid to the developing world, remove barriers to the exports of developing countries, encourage private investment, and make the benefits of science and technology available to all the world's peoples.
Developing countries, meanwhile, must put in place the right economic policies, work to improve governance, invest in their people, and create an enabling environment that is conducive to growth and development.
The Millennium Development Goals offer concrete targets for everyone to rally around in the global fight against poverty. But reaching the goals will require action from both developed and developing countries.
Millennium Development GoalsMillennium Development Goals
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Governance and Poverty ReductionGovernance and Poverty Reduction
Governance impacts on poverty reduction
Weak governance has blighted development
Good governance:
requires robust government-wide systems to promote efficient and effective use of all public resources
a target under MDG 8
Improving governance: a major challenge
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Political Accountability• Political competition, broad-based political
parties• Transparency & regulation of party financing• Disclosure of parliamentary votes
Formal Oversight Institutions
• Independent, effective judiciary
• Legislative oversight (PACs, PECs)
• Independent oversight institutions (SAI)
• Global initiatives: UN, OECD Convention, anti-money laundering
Citizen
s/Firm
s
Citizens/Firms
Cit
izen
s/F
irm
s
Citizens/Firms
Decentralization and Local Participation• Decentralization with accountability• Community Driven Development (CDD)• Oversight by parent-teacher associations & user groups• Beneficiary participation in projects
Civil Society & Media• Freedom of press, FOI• Civil society watchdogs• Report cards, client surveys
Private Sector Interface• Streamlined regulation• Public-private dialogue• Extractive Industry
Transparency• Corporate governance• Collective business
associations
Effective Public Sector Management
• Ethical leadership• Public finance
management & procurement
• Civil service meritocracy & adequate pay
• Service delivery and regulatory agencies in sectors
Good Governance has many dimensionsGood Governance has many dimensions
Outcomes: Services,
Regulations, Corruption
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Governance and Corruption Governance and Corruption Not the same thing!Not the same thing!
The manner in which the StateStateacquires and exercises itsauthority to provide public goods and services
Using publicpublic office for privateprivate gain
GovernanceGovernance
CorruptionCorruption
•Corruption is an outcome – a consequence of the failure of accountability relationships in the governance system
•Poor delivery of services and weak investment climate are other outcomes of bad governance
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Reputational RiskReputational Risk
That Bank lending in countries with corrupt leaders will tarnish the
Bank’s reputation
Fiduciary RiskFiduciary Risk
That Bank resources will not be used for the purposes intended
Development Effectiveness Risk
Development Effectiveness Risk
That corruption will undermine the impact of development
efforts in general and in Bank-supported projects
Corruption Poses 3 Key RisksCorruption Poses 3 Key Risks
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Public Financial Management and GovernancePublic Financial Management and Governance
Improved PFM capacity is at
the core of good governance
and lies at the heart of
achieving the MDGs:
ensuring that public and donor
resources are used efficiently,
effectively and transparently for
the intended purposes.
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Diagnosis of Country PFM SystemsDiagnosis of Country PFM Systems
Emerging cross-cutting issues?
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PFM Diagnostics: Emerging Cross-cutting IssuesPFM Diagnostics: Emerging Cross-cutting Issues
Incomplete Budget Information
Inadequate Accounting Systems
Obsolete Legal Framework
Ineffective Internal and External Audit
Poor dissemination of PFM information
Shortage of qualified PFM Professionals
Barriers to IFMIS
Mostly due to weak capacity
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How do we get there?How do we get there?
From compliance to
capacity development
Going Forward:Going Forward:From Diagnostics to ImplementationFrom Diagnostics to Implementation
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Supporting and Strengthening SAIsSupporting and Strengthening SAIsWorld Bank Strategy: 3 Key Dimensions World Bank Strategy: 3 Key Dimensions
Using policy dialogue, TA funding and Bank operations
to strengthen SAI’s capacity and impact
Promoting SAIs global, regional and bilateral p’ships
Enhancing Bank staff skills to effectively support
strengthening of SAIs
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Guiding Principles: PFM Capacity BuildingGuiding Principles: PFM Capacity Building
Country leadership and ownership
Tailor-made capacity development design
Comprehensive programme design and
implementation
Coherent and coordinated donor support
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Poverty Reduction: Global ChallengePoverty Reduction: Global Challenge
“ In this new century, millions of people in the world’s poorest countries remain imprisoned, enslaved and in chains. They are trapped in the prison of poverty. It is time to set them free.”
Nelson MandelaInternational Global Call For Action (Make Poverty
History) Campaign, London, February 2005