Sector Reform Contract for Public Finance Management
Project Value
40,000,000.00 €
Sectors
Beneficiary Sector
Municipality
Implementing Partners
Ministry of Finance and Economy
40,000,000.00 €
Overall Objective
The overall objective of the PFM Sector Reform Contract is to contribute to sustainable growth and maintained macro-economic and fiscal stability. The specific objective is to strengthen the Albanian PFM system for an efficient process of budget planning, execution and oversight with a view to reinforce fiscal discipline, streamline the allocation of resources according to policy objectives and upgrade public services delivery.
Summary of the Project
This action supports Public Finance Management (PFM) reforms in order to improve fiscal discipline and more prudent financial management towards efficient public service delivery.
Activities
- Transfer of up to EUR 40 million on the basis of meeting general eligibility criteria and the achievement of the targets
- Strengthened political and policy dialogue with the Government of Albania on the areas reflected in the objectives of the PFM Sector Reform Contract
- A continued effort to reinforce Albania’s capacities in the area of Public Financial Management in the context of complementary support projects
- Strengthened dialogue with other donors active in the sector to coordinate and further align activities
- Efficient reporting on reforms related to Public Financial Management and relying on the Government’s structure for monitoring the implementation of the reforms
- Regular monitoring of budget support eligibility criteria
Expected Results
- Improved legal and fiscal framework
- Improved planning and budgeting of public expenditure
- Enhanced expenditure control
- Improved tax administration
- Strengthened public procurement review system
- Improved transparency
- Fight against corruption, fraud, conflict of interest
- Strengthened external audit
Project Reference Number
2016 / 375 - 210
