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

478 Alta Fölscher
BOX 14.2
The IP-ERS, MPERs, and the MTEF
In 2003, the government of Kenya published the IP-ERS, the Investment
Programme for the Economic Recovery Strategy for Wealth and Employment
Creation. The IP-ERS identified a set of development priorities and strategies
for short- and medium-term implementation toward achieving the three key
pillars of (a) restoring economic growth, (b) promoting equity and poverty
reduction, and (c) ensuring good governance. The IP-ERS, therefore, defines
the government spending priorities in the medium term to be implemented
through the MTEF.
In 2005, the government published a monitoring and evaluation framework
for the IP-ERS that suggests 31 indicators and targets. In future years, the
MPERs will play an important role in tracking the achievement of these targets.
Following are examples of indicators and targets:
Reducing the portion of the road network that is in poor condition by 23
percent by 2007 (Ministry of Roads and Public Works)
Increasing power coverage in rural areas by 1 percent per year (Ministry
of Energy)
Increasing the growth of volume of exports to 5.7 percent through an
export development strategy and improved business environment (Ministry
of Trade and Industry)
Reducing the infant mortality rate and under-five mortality, reducing
HIV/AIDS prevalence to 8 percent in 2008, reducing maternal mortality,
and reducing the burden of disease—for example, in-patient malaria
morbidity to 7 percent in 2007 (Ministry of Health)
Achieving 100 percent net primary enrollment, reducing primary dropout
rates, reducing primary repetition, and increasing the transition rate to
secondary school (Ministry of Education)
Raising incomes in the agricultural sector and increasing the sectoral
growth by 5 percent in 2007 (Ministry of Agriculture).
The introduction of an IP-ERS monitoring and evaluation framework
and of priority programs holds potential for bringing a vital missing part to
Kenya’s public expenditure management processes. Despite improvements
since 1999 in budget preparation and execution, the disconnect between
(a) priority setting and (b) planning and budgeting is still a concern. Significant
reallocations to higher-priority sectors and programs are not occurring, and
even where they do, they do not necessarily filter through to actual expenditure
patterns. The introduction of a monitoring and evaluation framework
linked to budgeting may provide the motivation to shift resources, but only
if the political will exists to hold ministries—both at the political and official
levels—accountable for delivering the specific outcomes.
Source: Republic of Kenya 2005.