Public Sector Governance and Accountability Series: Budgeting and ...

436 Salvatore Schiavo-Campo
period. Although the principles of good budgeting are the same, the core
requirements of budgeting in a postconflict situation are simplicity and
adaptation to whatever limited capacity exists in the new transitional government.
Postconflict budgeting must, in the first place, be fully cognizant
of the realities of depleted resources, scarce information, and weak administrative
capacity. Budgeting must be deliberately selective, tailored to the
basic needs of the economy, and oriented in part toward the quick wins that
are necessary to reestablish government credibility and to restore hope.
This chapter deals first with how to view the budget and approach the
choices of investment for postconflict reconstruction, then discusses the
experience with the management of external financial resources for reconstruction,
and finally provides some practical rules of thumb on how to
assemble rudimentary government budgets in the initial postconflict period.
Although generally applicable recommendations do emerge from the
international postconflict experience, including in Africa, the most important
general advice is to tailor the design and sequencing of reconstruction
investments and financing modalities to the circumstances of the case, each
with its own core features.
Nothing in this chapter should be allowed to obscure the paramount
priority of postconflict reconstruction—namely, to reestablish and maintain
public order and security. The best policy framework, budgeting procedures,
reconstruction investments, staffing, financing arrangements, and capacitybuilding
efforts are worth little if the country suffers a general lack of
physical security.
No Aid without a Program, No Program without a Budget
Among the lessons of international experience with assistance to postconflict
reconstruction and recovery, none ranks higher than the need for an
agreed program between recipient government and donors. This apparently
obvious requirement must be underlined because it has often been violated
in practice by uncoordinated donor actions to help with a variety of different
urgent problems—all well-intentioned efforts but leading to fragmentation
of activities, gaps and duplications, and dilution of government
ownership.
In addition to an agreed program of reconstruction activities, the other
key strategic criteria for postconflict reconstruction are as follows:
Commitment by donors to channel their aid in accordance with the
agreed program