Public Finance for Development in Moldova
In 2009, Moldova was assigned a priority country status in Slovakia’s mid-term ODA strategy. The Slovak Ministry of Finance started its engagement in Moldova based on the Memorandum of Cooperation between the finance ministers at the beginning of 2011.
ACTIVITIES: The activities focus on strengthening public financial management. This is being achieved mainly through building capacities in budgetary and fiscal policy, and programme-based budgeting.
I. Budget Reform and Programme-Based Budgeting
Moldova set an objective to improve budgetary and fiscal policy to achieve efficiency, transparency and accountability in public financial resource usage. Improving of a local public finances system and ensuring the financial autonomy of local self-governments were, among other things, an integral part of national reform strategies and programs in the period from 2009 to 2013. Following these activities, the Ministry of Finance of Moldova adopted the concept of program-based budgeting, which is also grounded in law. Consequently, since 2014, public institutions are obliged to prepare a draft medium-term budgetary framework and report on budget expenditures, including results achieved by programmes a particular institution.
In the Public Finance for Development Programme framework, the Ministry of Finance of Moldova has received government-wide support with the performance-linked programme-based budgeting implementation. The programme provided Moldova with technical assistance in preparation and setting up of the programme-based budgeting.