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USAID

Local Budget Reform in Ukraine 

2005-2008

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Since IBSER was founded in June 2007, its activities have been focused on the implementation of tasks under a grant provided by the Municipal Budget Reform Project (MBRP) funded by the United States Agency for International Development (USAID).
For three years, MBCU has been successfully promoting the implementation of the program-targeted budgeting method at the national and local levels, which is a key to the rational use of budget funds, improving the quality of public services and ensuring transparency in resource allocation and decision-making.
The IER provided expert advice as part of the experiment on the introduction of the program performance budgeting method at the local level in close cooperation with the Ministry of Finance of Ukraine. Particular attention was paid to the development of the methodology for the application of PPB in local budgets.
Together with the Ministry of Finance of Ukraine, proposals were developed for draft regulatory documents of the government and the ministry on the introduction of PPB on a systematic basis (in local budgets, at all stages of the budget process, etc.).
Within this area, the Institute's experts conducted a series of trainings on the basic principles of conducting an experiment on the introduction of the program-targeted method of budget preparation and execution for employees of financial authorities of Luhansk, Lviv, Zhytomyr regions and the Autonomous Republic of Crimea.
The IBSER conducted extensive analytical work in the area of budget legislation. In particular, IBSER experts were actively involved in the preparation of recommendations to such important documents as the Law of Ukraine “On the State Budget of Ukraine” and the “Declaration of Budget Goals and Objectives” (Budget Declaration).