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NEPAL

Kishore K Jha

MfDR Expert

 

 

The introduction of MfDR approach in Country Assistance Program of ADB in 2004 and selection of Nepal in ADB’s regional level MfDR studies in 2006 were beginning of the implementation of the results based public sector management initiatives in Nepal. The MfDR approaches were initially piloted in the selected GoN agencies; namely National Planning Commission Secretariat, Ministry of Education (MoE), Ministry of Physical Planning and Works (MoPPW) and the Ministry of Local Development (MoLD). Four local government units i.e. District Development Committees of Jhapa. Dhanusha, Dang and Jumla under MoLD were also included for piloting. Subsequently, MfDR was operationalized in additional two ministries; namely Ministry of Energy and Ministry of Agriculture during 2009-11 through another ADB assistance technical support[1]. This TA also intended to deepen the MfDR process in the three previously piloted ministries; namely MoE, MoPPW, MoLD by cascading it down to the department and divisional level. Moreover, preparations for the Results Based Budgeting (RBB) were initiated in the two government units; namely Department of Transport Management and the Metropolitan Traffic Police Division in close coordination with the Ministry of Finance. All these efforts have led to preparation of three-year rolling business plan for thirteen government ministries and/or organizations (refer www.npc.gov.np/MfDR). 

 

Though MfDR is yet to be fully operationalized in the GoN system, some of the milestone achievements include development of outcome level results matrices for all sectors in the successive national periodic plans and recent efforts to link annual organizational outputs to the sector outcomes through three-year rolling business plans. These business plans are also expected to enhance the linkage between the planning and budgeting using Mid Term Expenditure Framework (MTEF) as well as to establish an improvised system monitoring and evaluation using Results Based M&E Guideline (2067 BS) of the NPC. The commitment of GoN to gradually institutionalize MfDR is further reflected by inclusion of additional four ministries namely Ministry of Health, Ministry of Irrigation, Ministry of Forest and Ministry of Peace and Reconstruction in this fiscal year, and giving continuity to the use of business plan for annual budget discussions between the concerned units and the NPC/MoF. Some of the challenges for more effective implementation of MfDR in Nepal are rationalization of outcome indicators and to establish its linkage to relevant output indicators using MIS, creation of dynamic data base through regular RBM&E and enhanced system of results based annual budget allocation and monitoring.



[1] ADB TA 7158-NEP: Strengthening Capacity for Managing for Development Results