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).
For successful implementation of MTEF, it is crucial to focus on automating the budget process by data processing, data transmission and, featuring new functions for measuring performance results. As such, this initiative will be an important part of the reform that will ease the technical workload of the budget process and improve the reliability of the budget data while ensuring the needs of its diverse stakeholders.
The updated version of the budget planning information system will enable the users to see the alignment between budget information and policy planning, to set budget ceiling, approve, allocate, and manage the program and activity budget. Moreover, the users will be able to make mid-term revenue and expenditure forecasts and measure the performance of the budget program.
Based on the situation analyses on the current business process, the following necessary features and business requirements have been identified as an improvement of the budget planning system.