MEFMI / IMF Collaborate on Workshop – Expenditure Reprioritisation for Recovery

As recovery from the COVID-19 shock gathers momentum in many countries in the region, questions are being asked as to how government spending can be re-aligned.  The major area of interest is how to create conditions for robust, resilient, and inclusive economic growth, which will, in turn, support government finances in the future. In view of the foregoing, countries will need to ensure that their fiscal and budget frameworks can support the allocation of constrained resources to priority areas over the medium term. In this regard, expenditure reprioritisation becomes paramount as a way of reducing spending in low priority areas and creating fiscal space to expand spending on new priorities for post-COVID recovery. It is against this background that MEFMI, in collaboration with the IMF AFRITAC South, offered a virtual regional workshop on Expenditure Reprioritisation for Recovery. The workshop, which was held from 28 March to 1 April 2022, aimed at imparting knowledge and skills to participants on public expenditure reprioritisation.

The workshop was delivered in two parts. The first part focused on core practices of expenditure reprioritisation such as baseline costing to facilitate top-down budgeting within a medium-term perspective, as well as more advanced practices such as spending reviews. It also touched on gender-responsive budgeting. The second part focused on the role of Public Investment Management (PIM) institutions including support for a green recovery and the Climate PIM Assessment tool. Particular attention was given to international practices as well as notable experiences in the region. A case study on South Africa was presented to highlight the use of spending reviews including a more accessible model for low-income countries called the ‘pocket problem’ spending review approach. Another case study on Zimbabwe highlighted how countries in the region can adopt and embrace gender-responsive budgeting as a strategy to accelerate gender mainstreaming through the budget process. It is expected that the knowledge and experience gained from this workshop will help participants to improve the comprehensiveness and credibility of budget preparation processes in their respective countries.

A total of 35 officials from seven (7) MEFMI member countries (namely: Angola, Botswana, Eswatini, Lesotho, Kenya, Malawi, and Uganda) and four (4) non-MEFMI member countries (namely: Comoros, Madagascar, Mauritius, and Seychelles) attended the workshop. Of the 35 participants, 16 (46%) were female while 19 (54%) were male. The workshop targeted officials from Ministries of Finance responsible for budget preparation, execution, and analysis. The workshop was facilitated by a team of resource persons from the IMF, namely Mr. Robert Clifton, Mr. Willie Du Preez, Mr. Martin Johnson, and Mr. Richard Allen.

Prepared by Frank Chansa