Role of the Legislature in Budget Processes

Author/Editor:

Ian Lienert

Publication Date:

April 6, 2010

Electronic Access:

Free Download. Use the free Adobe Acrobat Reader to view this PDF file

Disclaimer: This Technical Guidance Note should not be reported as representing the views of the IMF. The views expressed in this Note are those of the author(s) and do not necessarily represent the views of the IMF, its Executive Board, or IMF management.

Summary:

This paper examines the role of the legislature in budget processes. The paper highlights that for promoting good governance and fiscal transparency, the legislature’s active engagement in the budget process is essential. When fiscal policies and medium-term budgetary objectives are debated in parliament, budget strategies and policies are “owned” more widely. However, more active participation by the legislature runs the risk that fiscal discipline deteriorates. In countries where the legislature has unrestrained budget amendment authority, parliament is prone to introduce changes that increase spending or reduce taxes.

Series:

Technical Notes and Manuals No. 2010/004

Subject:

Notes:

Full text also available in Spanish.

English

Publication Date:

April 6, 2010

ISBN/ISSN:

9781462398973/2075-8669

Stock No:

TNMEA2010004

Pages:

23

Please address any questions about this title to publications@imf.org