Work on PPB legislation

IBSER and MinFin Efforts Improve Budget Frameworks

   The Budget Institute is working actively with the Ministry of Finance to improve Ukraine’s budget processes. This includes improving the regulatory and methodological framework needed to formulate and execute local budgets according to the Performance Program Budgeting (PPB) method, which is one of the key tasks of the Municipal Finance Strengthening Initiative Project supported by USAID.

   This successful collaboration has resulted in the approval, on joint orders from the Ministry of Finance and line ministries (Ministry of Labor and Social Policy, Ministry for Family, Youth, and Sports), of changes to the standard lists of budget programs and their performance indicators for local budgets in the sectors of:

• Physical Culture and Sports (dated 9 February 2011, No.73/404);

• Social Protection of Family, Children, and Youth (dated 9 February 2011, No.74/403); and

• Social Protection and Social Security (dated 9 February 2011, No.75/39).

   Also, the Ministry of Finance issued separate orders (dated 14 February 2011, No.95 and No.97) to approve:

• The Standard Departmental Classification of Local Budget Expenditures and Crediting (No.96); and

• The Structure of Code of Program Classification of Local Budget Expenditures and Crediting and The Codifier of Numbering of Standard Lists of Local Budget Programs (No.97).

   All the above normative documents are posted on the IBSER Website in the Useful References/Effective Legislation section.