SA 4th for budget transparency

Shaun Benton

26 October 2006

South Africa placed fourth out of 59 countries ranked in the Open Budget Index 2006, a survey produced by a Washington DC-based non-governmental organisation that promotes budget transparency.

South Africa was the only developing country in the top tier of the index, Finance Minister Trevor Manuel said while briefing journalists ahead of his medium-term budget speech to the National Assembly in Cape Town on Wednesday.

South Africa scored 85 points out of 100 for the transparency of its budget in the survey, which evaluates the quantity and quality of information provided to citizens.

New Zealand scored highest with 89 points, followed by France with 87 and Britain with 86 points.

The Open Budget Index report makes particular mention of South Africa's pre-budget statement - or Medium Term Budget Policy Statement - and People's Budget, a newspaper-sized summarised version of the budget that aims to make the budget accessible to ordinary people.

Citing the Open Budget Index report, Manuel said there was still room from improvement in areas such as year-end actual spending reports and the accessibility of audit reports.

"The Medium Term Budget Policy Statement, the Budget Review, Estimates of National Expenditure and our provincial and local expenditure reviews all contributed to this achievement," Manuel told Parliament.

"But we are not yet where we want to be. We still have too little debate in this House and in the country on budget priorities.

"Over the course of the next few weeks we will engage with Parliament on the budget framework and spending priorities mentioned here," the minister said.

"We will also meet a number of external organisations, including our social partners at Nedlac [the government, business and labour forum] and the People's Budget Coalition to solicit their views on the budget framework."

Manuel said that a "raised level of consultation and debate on priorities, and greater scrutiny of the public finances, not only strengthens our democracy but also places pressure on government departments to deliver.

"It is a valuable accountability mechanism," he said.

Source: BuaNews

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South African Finance Minister Trevor Manuel at the 2006 World Economic Forum on Africa in Cape Town (Photo: World Economic Forum)
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