How to Improve Public Investment Management in Low-Income Countries
IMF How To Notes, January 15, 2025
Source details
- Canonical URL
- How to Improve Public Investment Management in Low-Income Countries
Other formats
Bibliographic details
- Authors: Khaled Eltokhy, Nicoletta Feruglio, Kezhou Miao, Arturo Navarro, Eivind Tandberg
- Published: January 15, 2025
- Series: IMF How To Notes
- DOI: https://doi.org/10.5089/9798400297175.061
Overview
- Purpose: Discusses how low-income developing countries (LIDCs) can strengthen the effectiveness and efficiency of their public investment.
- Evidence base: Draws on Public Investment Management Assessments.
- Structure: Focuses on eight institutions likely to be key reform priorities in many LIDCs; for each, the note discusses basic practices (realistic initial reform objectives for low-capacity countries) and medium practices (relevant for medium-term reforms).
- Additional coverage: Discusses how to overcome reform implementation challenges and consolidate the reforms and provides examples of action plans to implement the different reforms.
- Authors: Khaled Eltokhy, Nicoletta Feruglio, Kezhou Miao, Arturo Navarro, Eivind Tandberg
- Publication date: January 15, 2025
Key institutions targeted for reform
- Project appraisal
- Multi-year budgeting
- Maintenance
- Project selection
- Procurement
- Availability of funding
- Project management
- Monitoring of public assets
Findings and reform priorities
- Emphasizes strengthening institutions that govern the public investment cycle to improve effectiveness and efficiency of public investment in LIDCs.
- For each of the eight institutions, distinguishes:
- Basic practices: Realistic initial reform objectives for low-capacity countries.
- Medium practices: Objectives that may be relevant for medium-term reforms.
- Highlights common management bottlenecks and management priorities across LIDCs that affect public investment spending and public investment efficiency.
- Focus areas align with public financial management (PFM) improvements and the Public Investment Management Assessment (PIMA) framework.
Implementation challenges and consolidation
- Discusses approaches to overcome reform implementation challenges.
- Provides guidance on consolidating reforms once initial changes are implemented.
- Emphasizes sequencing reforms by realism and capacity (basic then medium practices) to support sustained improvements.
Action plans and practical tools
- Provides examples of action plans to implement the different reforms.
- Action plans are designed to be actionable for countries with varying capacities by aligning basic and medium practices with implementation steps.
Content in this bundle
- How to Improve Public Investment Management in Low-Income Countries