Sindh Government’s Finance department has introduced Medium Term Budgetary Framework (MTBF) for the first time, for a period of 3 years. MTBF is introduced basically for the proper utilization of funds and achievement of desired goals.
MTBF involves multiyear budgeting and hence gives space and flexibility to formulate, plan and implement policies focusing on service delivery.
The current budgeting system in Pakistan is unable to align budgetary resources with strategic priorities; inefficient allocation of funds is also a concern. Pakistan’s budgeting system is annual and is greatly focused on the inputs or resources rather than its outcomes and impacts.
The Poverty Reduction Strategy Paper issued by the Government recognizes the importance of budget reform for improving governance.
MTBF is aimed to make the economic system better and facilitate the allocation of resources through the federal budget and to support and strengthen the delivery of public services by the federal government.
The Cabinet meeting was held on 21st January, 2009 in which adoption of MTBF across the federal the government was approved. It was agreed that the Ministry of Finance will implement the MTBF to strengthen the annual budget process and make it more responsive to the government’s strategic objectives. This framework is now being officially introduced by the Sindh Government.
Government officials said in this regard, “initially, the MTBF for 2010-13 would be introduced in two provincial administrative departments, including the irrigation and power and education and literacy.”
MTBF is implemented under a Steering Committee, chaired by the Finance Secretary of the Ministry of Finance. T
he Budget Wing of Finance Division has overall management responsibility for the MTBF. Technical assistance to the MTBF reforms has been supported by the UK Department for International Development (DFID) since 2003.
Ibrahim Sajid Malick is a Pakistani-American writer, technologist, and social entrepreneur. He has been writing on Pakistani society and politics since 1986. He has held several media, communications, and technology positions for organizations large and small. Mr. Malick graduated from New School for Social Research with a master’s degree in anthropology. He holds several technology and management certifications. He works for a leading technology firm and blogs at www.ibrahimsajidmalick.com
Hope they follow through on these issues. Many villages along the coastline in Sindh are facing acute shortage of drinking water. Shortage of electricity is common but the rural areas are the hardest hit.