Role of the Legislature in Budget Processes
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Summary:
This paper examines the role of the legislature in budget processes. The paper highlights that for promoting good governance and fiscal transparency, the legislature’s active engagement in the budget process is essential. When fiscal policies and medium-term budgetary objectives are debated in parliament, budget strategies and policies are “owned” more widely. However, more active participation by the legislature runs the risk that fiscal discipline deteriorates. In countries where the legislature has unrestrained budget amendment authority, parliament is prone to introduce changes that increase spending or reduce taxes.
Series:
Technical Notes and Manuals No. 2010/004
Subject:
Budget execution and treasury management Budget planning and preparation External audit Fiscal accounting and reporting Fiscal law Fiscal policy Fiscal rules Public financial management (PFM)
Notes:
Full text also available in Spanish.
English
Publication Date:
April 6, 2010
ISBN/ISSN:
9781462398973/2075-8669
Stock No:
TNMEA2010004
Pages:
23
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