| Grant Profile: |
| Project Title: |
Technical Assistance to Economic Mangement and Planning Capacity |
| PCF/LICUS/SPF: |
LICUS |
Status: |
Closed |
| File Number: |
24
| Region: |
AFR |
| Sector: |
Law and justice and public administration |
Country: |
Somalia |
| FY approved: |
2006 |
Grant Theme : |
Public sector governance |
| Keyword(s): |
Civil society / NGOs;Public expenditure, financial management and procurement |
Approved Amount: |
$300,000.00 |
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Grant Recipient:
Bank-executed |
Grant Purpose:
The World Bank’s reengagement in Somalia will focus on key aspects of building short and medium term capacity for policy planning and development through the Joint Needs Assessment (JNA). In addition, the Bank will also complement and support selected elements of the proposed Somalia Emergency Budgetary Support Project (SEBSP), which is being implemented by UNDP.
SEBSP intends to provide initial financial support urgently needed in the following areas:
(i) To strengthen the economic management capacities and improve transparency and accountability in the budgetary processes;
(ii) To strengthen systems and procedures for sound civil service management;
(iii) To strengthen financial and human resource management capacities.
Within this context, the Bank will focus its expertise and attention in areas related to the strengthening of public sector management capacities, improving transparency and accountability in budgetary and planning processes, and provide the means to make key aspects of the new administration self-sustaining and well-functioning. The grant will initiate assistance to establishing a system based on principles of good, transparent and accountable governance, with a well functioning civil service and financial management systems. These elements will be crucial in order to lay strong foundations for the country’s development and economic growth, as the country becomes financially stronger through identification of new sources of internal revenue.
Early interventions through this project will specifically provide assistance to the following two broad categories:
(i) Build capacity at the national, regional and local level to engage fully in the recovery planning through the JNA.
(ii) Capacity building and technical assistance aimed at early interventions to establish key government functions for Public Sector Management and Planning at the national level.
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Grant Activities:
Component 1: Capacity Building to Engage in the Reconstruction and Development Planning
The objective of this component is to assist the national authorities to rebuild critical capacity, including institutional capacity at the national and regional level, to ensure the vital involvement of a broad array of stakeholders in the planning and priority setting, thereby achieving broad ownership of and commitment to the emerging framework, and making sure that the identified priorities and programs are transformed into actual policies and implemented.
Within this context, the grant will support the following activities:
(1) Build Somali capacity to fully engage in the reconstruction and development planning process;
(2) Establish coordination mechanism for civil society involvement in the Joint Needs Assessment.
Component 2: Capacity Building Activities to Support Basic Government Functions for Public Sector Management
The purpose of the set of activities included in this component is to provide early support to the TFG in areas of public sector management (civil service, financial management and revenue administration). The grant will help build capacity for core functions of the TFG in policy formulation, planning, and reform, through:
(1) Establishing early dialogue and agreements on standards for the Somali Civil Service, including support to recruitment guidelines, size and salary scales;
(2) Supporting and strengthening national capacity for policy formulation, financial management, and fiduciary oversight, and providing support for training and development of budget planning mechanisms;
(3) Assisting with analysis of revenue administration and management.
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Lessons Learned:
The grant entitled “Technical Assistance to Develop Economic and Public Sector Management and Planning Capacity” was designed to help build short and medium-term capacity for policy planning and economic management in Somalia, and provide early support to the establishment of an efficient and well-functioning public sector. For the purpose, the grant supported activities that facilitated the development of economic and public sector management capacity in Somaliland, Puntland, and South-Central Somalia.
The project delivered in-depth technical training on “Transforming and Consolidating Public Financial Management Program of Technical Assistance Activities for Leaders and Senior Officials,” to the Transitional Federal Government and the Somaliland and Puntland authorities. These technical training seminars focused on leadership and public financial management systems, for purposes of enhancing governance and the implementation of sound public finance management for economic recovery, stability, and development.
As a result of the project, public financial management action and work plans were developed for each of the target regions, through consultation between authorities and other stakeholders. The work plans covered the areas of customs reform and modernization, strengthening the accountability and transparency of the public sector, developing an internal review process, and installation of an Integrated Financial Management Information System (IFMIS) to enhance improvement of the accounting and financial systems.
Some of the challenges in this project included limited public service capacity and leadership, as well as absence of World Bank presence in the country. The most important lessons include the notions that full engagement of counterparts is essential to carry out public financial management reform programs, and that donor coordination is critical to reach rapid results on the ground.
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