Ministry of Finance and the World Bank have been jointly implementing the SFFS project since 2017 to contribute to the Government of Mongolia`s strategy and reforms to strengthen fiscal and financial stability. The project supports and introduces international practices and technological advancements, research-based policymaking tools, and capacity-building programs by providing essential technical assistance to macro-fiscal management, public financial management, and social protection sectors.
The project engages 21 departments of 5 implementing organizations, including the Ministry of Finance, the Ministry of Labor and Social Protection, the Bank of Mongolia, the Financial Regulatory Commission, Development Bank of Mongolia, Deposit Insurance Corporations, and the entire budget and financial specialists.
As of December 2021, the duplicated number of direct beneficiaries involved in the project implementation was estimated at 17,477, which shows steady growth compared to the previous years.
In the project context, 20 legal reforms in budget and finance, 30 activities of information and technology advancement, four measures of introducing international standards and guidelines, 232 virtual and classroom training activities have been conducted.
As the project progresses, the range of project beneficiaries expands from the professional community to citizens, business entities, and civil society organizations. Accordingly, the PIU (i) conducts a case study to obtain feedback, define beneficiaries` participation constraints, and (ii) activates communication channels to undertake systematic listening. Email, an in-personal visit to the office, telephone, social media, complaint form, testimonial window are available on the project website 24/7.
WORLD BANK WORKING GROUP MET WITH PIU AND IMPLEMENTING ORGANIZATIONS REGARDING THE COMPLETION REPORT OF THE STRENGTHENING GOVERNANCE IN MONGOLIA PROJECT
Concerning the Strengthening Governance in Mongolia project, which was completed on February 28, 2023, the World Bank working group to develop the project completion report had an official meeting with Project Implementation Unit (PIU) and implementing organizations on March 30, 2023. The purpose of the working group meeting is to review the implementation of the project, the results achieved, and the fulfillment of the project indicators.
PERFORMANCE BASED FINANCING: INSPIRING NEW APPROACHES TO PUBLIC FINANCIAL MANAGEMENT IN HEALTH AND EDUCATION
Performance based financing (PBF) links funds or payments to service providers to results achieved and gives them considerable autonomy in the use of these funds. The strategic approach is appealing to many individuals and organizations as it motivates them to perform better and channels resources directly to the frontlines. This in turn fosters greater accountability. Using this approach has been popular in different sectors with some promising results emerging.
AN INTEGRATED SYSTEM FOR RESULTS-BASED MEDIUM-TERM BUDGET PLANNING: IN ACHIEVING THE GOALS OF IMPROVING BUDGET PLANNING, BUDGET EFFICIENCY AND PROGRAM OUTCOME.
Under the scope of improving public financial management, Mongolia is aiming to introduce result-oriented medium-term budgeting, transitioning from the traditional input-based budgeting. This goal is aligned with development policy of Mongolia to shift from medium-term fiscal framework (MTFF) to medium-term expenditure framework (MTEF).
The MOF is entering the new phase of PFM Reform Action Plan
Within the framework of the European Union financed, World Bank managed “Strengthening Governance in Mongolia” project, the Ministry of Finance, in compliance with the “Sustainable Development Vision 2030” and the “Action Program of the Government of Mongolia for 2016-2020”, has approved and implemented the Public Financial Management (PFM) Reform Strategy and the Action Plan for 2018-2022. The overarching objective of the strategy was to improve governance and achieve effective resource allocation and efficient public service delivery. The implementation status of the PFM Action Plan is indicated as “Certain results have been achieved” at the rate of 85 percent.
LAUNCHED BETA VERSION OF THE REDEVELOPED GLASS ACCOUNT PORTAL
The Ministry of Finance Mongolia has developed and successfully launched the new version of the Glass Account Portal in 2023 within the framework of the Strengthening Governance in Mongolia Project jointly implemented by the EU and the World bank.
New systems and services are added in the Intermediate service platform for fiscal and financial systems
The Ministry of Finance Mongolia has developed and successfully launched the Intermediate Service Platform (ISP) in 2022 within the framework of the Strengthening Governance in Mongolia Project. The main purpose of the system is to provide a possibility of information /web services/ exchange between the independent systems of the Ministry of Finance and other organizations in a easy and flexible way. In addition, it is solving the issues of overlapping connections and development between many information systems and organizations, transferring them to a unified standard, making it has no complexity, and more secure.