WASHINGTON, November 20, 2017--Today, the World Bank approved an International Development Association (IDA)* credit of $31 million equivalent to support improvement of public procurement, capital budget execution, and financial information systems--some key features affecting the effectiveness of the Cameroon Public Finance Management (PFM) system.
The Strengthening Public Sector Effectiveness and Statistical Capacity Project will contribute to accelerating the pace of implementation of the reforms and lead towards a more orderly and transparent PFM system. As a result, the government officials, the policy makers, and the citizens of Cameroon will gain in the quality of services and access to information on national statistics and public finances (budget, spending, and investment budget execution).
“Since Cameroon reached the heavily indebted poor country completion point in 2006, the percentage of public investment to GDP has continuously increased, however implementation and disbursements were much lower (around 40 percent) because of the lack of preparation of investment projects until recent improvements in 2016,” said Elisabeth Huybens, World Bank Country Director for Cameroon. “Insufficient preparation of investment projects selected in the budget law translates into delays in procurement processes during execution. That is why the project will specifically target public investment management in the context of the implementation of the PFM Act and the procurement reform as well as the national statistical system.”
“Through the Strengthening Public Sector Effectiveness and Statistical Capacity Project, the Bank is
contributing to improve the impact of public spending, especially in health and education sectors, by improving budget allocation and public investment management and also improve value for money owing to more efficient procurement processes,” said Ousmane Kolie, Task Team Leader of the Project. “The project will also provide the needed technical assistance for the implementation of the structural reforms agreed with the donor community as part of the budget support operations.” The project has five strategically linked mutually reinforcing components: program budgeting reform; quality of public investment; public procurement system; the use of statistics for policy making; and project coordination.
* The World Bank’s International Development Association (IDA), established in 1960, helps the world’s poorest countries by providing grants and low to zero-interest loans for projects and programs that boost economic growth, reduce poverty, and improve poor people’s lives. IDA is one of the largest sources of assistance for the world’s 75 poorest countries, 39 of which are in Africa. Resources from IDA bring positive change to the 1.5 billion people who live in IDA countries. Since 1960, IDA has supported development work in 113 countries. Annual commitments have averaged about $18 billion over the last three years, with about 54 percent going to Africa.