The Move towards Program based Budgeting System in Ethiopian Public Agencies and its Implications: The Case of Federal Ministries
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Date
2011-06
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A.A.U
Abstract
This study analyzes the process of moving towards program budgeting in Ethiopian
public agencies and its implication on the budgeting system. 'The study focuses On
identifying reform needed for program system in Ethiopia system in Ethiopian public agencies
ot federal ministries level, analyzing the attitude of employees towards new
budge ting system at the federal offices of the minis try. It also focuses on analyzing
the challenges and implication of program budgeting system in public agencies at
federal office of the ministries.
The study employed the mixed approach that is qualitative and quantitative research
design to describe the respondent's responses and to answer the research questions.
Specifically, the data was collected through semi-structured questionnaire which
contain s both open-ended and closed questions. The study descriptively analyzes the
data elicited from surveys and documents. The data was presented in the form of
table and analyzed using frequency and percentage. Then the data interpreted based
on t he analysis. Lastly, the findings derived from the interpretations.
The result of this combine d research methodology reveal that there is no need of
new organizational design for program budgeting. However, the study identified that
reform in financial management, linking program structure with the objectives of
or generational structure, and ne w technologies are needed for the implementation
of program budgeting. The study also reveals that there is a confusion and
challenges in implementing program budgeting. The study also identifies manger's
responsibilities in the system and implication of program budge ting on the public
expenditure .
The study suggests the effective way which could be taken by the concerned body
and Ministry of Finance and Economic Development in particular, to make the
transition to program budgeting and implementation of program budgeting g. Finally,
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Keywords
budgeting system in Ethiopian public agencies, move towards program based budgeting system