Applied research on budget processes and financing instruments in Uganda

As part of a joint research initiative with the Ministry of Agriculture, Animal Industries and Fisheries, the Global Mechanism is carrying out a study on budget processes and financing instruments in Uganda.

In line with the objectives of the GM's Strategic Programme on Economics and Financing Instruments, the study aims to strengthen ongoing mainstreaming efforts in Uganda, by promoting more strategic use of major financing instruments, to generate sustained mobilisation of financial resources to implement the National Action Programme to combat desertification (NAP).

To date, implementation of the UNCCD in Uganda has largely focused on activities under the priority programme areas established by the NAP. One of the difficulties encountered in this process is the lack of available financing for the activities planned.

This said, the challenges faced in mobilizing financial resources have been identified during the implementation process and there is now a growing consensus, both in Uganda and among the international UNCCD community, that the alignment of UNCCD objectives with national development priorities is crucial if the UNCCD is to receive due attention in terms of resource allocation.

Stronger emphasis on a Sector Wide Approach (SWAp) to government planning and budgeting, together with higher levels of budget support from development partners, has further increased the importance of domestic public budget allocations.

Efforts to facilitate NAP implementation in Uganda include the preparation of a “roadmap” for resource mobilization, which highlights deeper understanding of the national budget process as a fundamental prerequisite for making the most of potential financing opportunities.

In response to this and with a view to identifying strategic interventions which could influence resource allocation for NAP implementation, the study centres on:

• processes linking strategic plans to resource allocation frameworks;
• implementation frameworks and financing instruments; and
• external financing and assistance.

The processes linking strategic plans to resource allocation frameworks encompass the budgetary processes at national and sub-national levels, including those linking strategic sector plans to sector budgets, and District Development Plans to Local Government Council annual work plans and budgets.

Implementation frameworks and financing instruments comprise the institutional structures in place for cross-sector dialogue and implementation, strategic investment plans and local development granting systems.

External financing and assistance refers to the trends in the use of aid delivery modalities and activities related to donor harmonisation and alignment, such as the Uganda Joint Assistance Strategy (UJAS) and United Nations Development Assistance Framework (UNDAF).

For more information, please contact:

Mr Nils Ingvarsson, Associate Professional Officer
Tel. +39 06 5459 2124
n.ingvarsson@ifad.org