Gender Budgeting - What is that?

Posted by Davina Jacobs

"Gender budgeting," which refers to the systematic examination of budget programs and policies for their impact on women, has been tried in a range of countries in recent years. Australia was the first country to formally incorporate gender budgeting into its budget process by developing the concept of a “women’s budget” to address inequalities between women and men. Government ministries and departments were required to provide an analysis of the impact of the annual budget on women and girls, focusing mainly but not exclusively on public expenditures. Gender budgeting is sometimes seen as outside mainstream research on budgeting.

However, several studies in recent years point out the benefits of gender budgeting as women are often disadvantaged relative to men, according to key economic, social, and political measures of equality, but in many areas, such as education, differences are narrowing. The concept of externalities underlies the arguments for including gender considerations in budget programs and policies. Other arguments have a weaker economic basis but may be more socially or politically compelling.

The experience to date with “gender budgeting,” which entails looking at gender issues comprehensively within the budget, has been mixed. To become more useful, gender budgeting should be integrated into budget processes in a way that generates tangible improvements in policy outcomes. In her IMF Working Paper titled "Gender Budgeting,"  [Download Wp06232[1]],  Janet Stotsky recommended that fiscal authorities be encouraged to take into account the external benefits of reducing gender inequalities and to remove any arbitrary discrimination against women from their fiscal legislation.

In an earlier IMF Working Paper, "Gender-Responsive Government Budgeting", [Download Wp03831] Feridoun Sarraf  examined the concept of gender budgeting and the extent of its implementation by national governments in both advanced and developing countries. To have fully-effective budgeting responsive to gender (or other worthwhile pursuits), obstacles such as a gender-biased culture, the lack of appropriate budget classifications, and the lack of gender analysis expertise and data need to be addressed.

Comments

[Anthony H. Rainey]

This is the first time that I have heard of gender budgeting. Here are a few Critical Success Factors (CSFs) that I would be interested in finding out from the practitioners of this technique.

First, the practitioners must have a fantastic performance based budgeting system that the rest of the world would die for. Do they use Kaplan and Norton's "Balanced Scorecard"? Do they use the Governmental Accounting Standards Board (GASB) "Service Efforts and Accomplishments" (SEA) reporting? Do they tie Goals and Objectives and Performance Measures with their budgets?

Second, the U.S. Census Bureau has a heck of a time keeping up with the census within states, counties, cities, towns, and boroughs in the United States. How are the government around the world maintaining the composition of women in the population? Are government programs keeping tabs of services or outlays or transfer payments (unemployment compensation, public assistance) or contracts provided to women? When business licenses are issued or diplomas are awarded do they monitor and measure this? One of the most important measures would be women who are "head of households" and their economic disposition. The question is how are gender based data collection systems operating and are there lessons to be learned.

Third, without a target (outlined in my first point) what is the target that we are aiming for? More importantly, what is the working definition of a gender disparity in terms of government resources or, should we be measuring what are desired outcomes are? This is an issue that is not planned for. Perhaps an examination of demographic data, particularly housing, education, occupation, income and health, by "programs" that are funded by operating and capital budgets should be a focus.

Lastly, I think that "retirement" and "survivor" benefits for women should be monitored within gender budgeting. This article really opened my eyes to a reality that is typically overlooked. Had I not been a PFM blog subscriber, I would not have been exposed to this. But then again, the PFM blog is must reading for everyone in public finance because it presents issues and approaches that are innovative, unique and timely.

I wish to thank the author for teaching me something that elected and appointed public budget officials confront but do not readily act upon. i think that more articles and the sharing of the techniques and approaches by others in the world is sorely needed.

[Davina Jacobs]

Anthony,

Many thanks for your thoughtful response. I intend to have a follow-up posting on the subject and will keep your comments in mind.