Posted by Chita Marzan
With the objective of building capacity in macro-fiscal analysis and cash management in Bangladesh, a training program was conducted by the IMF Fiscal Affairs Department (FAD) and the Bangladesh Ministry of Finance from July 27 to August 5, 2013 in Dhaka. Two training modules were delivered. The module on Macro-fiscal Analysis included topics such as budget and revenue forecasting, fiscal balance and stabilization, debt dynamics, and the use of a statistical software called Econometric Views (E-Views). The Cash Management module included concepts of cash forecasting and the treasury single account, and their application to debt management and budget management.
The course was the second to take place in the country since 2012. A year ago, a first batch of Bangladesh officials mainly from the Ministry of Finance were trained jointly by FAD and the Singapore Training Institute (STI) on similar topics. Following the success of this initiative, the authorities expressed enthusiasm to train more staff in the Ministry, the Bangladesh Central Bank and the Planning Commission.
Continue reading "Training the Trainers Program Builds Capacity in Bangladesh" »
Posted by Renaud Duplay
Cash management is one of the main issues when reforming PFM systems in developing countries. Bad cash management is costly because it hampers budget execution, causes arrears and increases funding costs. For this reason the Fiscal Affairs Department (FAD) has already released two Technical Notes and Manuals (TNMs) on this subject and is now releasing further guidance material. A new TNM, prepared by Mario Pessoa and Mike Williams, expands the review of cash management issues by specifically addressing the relationship between the treasury and the central bank.
The note was prepared at the request of the Latin American Treasurers' Forum (FOTEGAL) and addresses both institutional and technical issues and is particularly relevant to developing countries. Based on international experience, the TNM describes the modern framework of a formalized relationship between both institutions standing on two key principles:
Continue reading "New FAD Technical Note and Manual: Cash Management and the Relationship Between Treasury and Central Bank" »
Posted by Chita Marzan
The IMF Technical Note and Manual on Modernizing Cash Management has recently been translated into Khmer (attached below), and more such translations are now underway. An article on this technical note and manual (TNM) was featured in the first PFM Newsletter in Cambodia (also below) which was launched in May 2012. This newsletter is a joint effort of Mr. Suhas Joshi, PFM Regional Advisor for Southeast Asia of the IMF Fiscal Affairs Department (FAD), and Mr. Seng Sreng, Director of the Economics and Finance Institute (EFI) of Cambodia. Another article focused on gender-budgeting describing the practices in Pacific Island countries.
The PFM Newsletter evolved from an idea to set up a knowledge exchange group which would connect all the participants of joint IMF/EFI lectures on PFM by email and also through a quarterly newsletter. The newsletter is expected to cover developments in the field of PFM and to bring to the recipients improvements in this field from across the world and in Cambodia itself. The newsletter is to be sent out every quarter jointly with the EFI and also aims to establish a forum for PFM practitioners in Cambodia to exchange ideas and knowledge, and to widen the dissemination of available materials that are relevant for the improvement of PFM in the country. Improving cash management is one of the key objectives of the PFM Reform Program (PFMRP) of the Royal Government of Cambodia. The newsletter is available both in Khmer and in English so that country officials have greater access to international developments in the PFM area.
Continue reading "New PFM Newsletter in Khmer" »
"Unexpected changes to payment schedules related to capital projects can create significant difficulties for finance officers responsible for cash management" remarks Steven R. Kreklow (*) in his short article ("Capital Project Cash Flow Management") of the August 2007 issue of the Government Finance Review, the membership magazine of the US-based Government Finance Officers Association.
This adverse impact on cash management and more generally budget execution can be mitigated by good budget and project management techniques described in Steven R. Krelow's article.
Continue reading "Public Investment: Good Project Management is an Issue of ...Capital Importance" »