Part of the NYU Wagner team is building on the main report in partnership with the Overseas Development Institute (ODI) by examining in greater depth the nexus of public financial management (PFM), service delivery and decentralization/local government. A paper drafted for a conference on Public Financial Management for Better Service Delivery held at ODI’s London headquarters in February 2020 provides a high-level overview of the relationship between PFM and service delivery and considers how policy makers can more effectively bridge the relatively fragmented approaches that have commonly been pursued for these two inherently integrated aspects of public sector operations and performance. This paper is under revision.
A subsequent companion paper will focus on intergovernmental institutional arrangements in the relationship between PFM and service delivery. Some form of decentralization has been pervasive in developing countries for the past few decades in the expectation that subnational governments can under appropriate conditions improve the efficiency of public resource use. Since countries have diverse governmental structures and capacities, the paper will consider how these variations may affect PFM and sector policies and processes. The conclusions will suggest how reformers might pursue more strategic, integrated and pragmatic approaches to making the PFM-service delivery-decentralization nexus more effective. The paper is in process and will be made available on this site later in 2020.