Description: Georgia Public Expenditure Review : Strategic Issues and Reform Agenda

Georgia Public Expenditure Review : Strategic Issues and Reform Agenda

Generating growth and creating jobs within a sustainable fiscal framework is Georgia s biggest macroeconomic challenge. Although Georgia registered rapid growth of 5.7 percent a year during 2010-13, unemployment remains high at 15 percent. New grow...

Full description

Bibliographic Details
Main Author:	World Bank
Language:	English en_US
Published:	Washington, DC 2014
Subjects:	ACCOUNTING ADMINISTRATIVE STRUCTURE BENEFICIARIES BUDGET ALLOCATIONS BUDGET DOCUMENTS BUDGET FORMULATION BUDGET PLANNING BUDGET PREPARATION CAPITAL BUDGETING CAPITAL EXPENDITURE CAPITAL EXPENDITURES CAPITAL INVESTMENT CAPITAL INVESTMENTS CAPITAL MARKETS CAPITAL PROJECTS CAPITAL SPENDING CENTRAL GOVERNMENT CIVIL SERVANTS COMMERCIAL BANKS CONTINGENT LIABILITIES CONTINGENT LIABILITY CORPORATE INCOME TAX CREDIT GROWTH DECENTRALIZATION DEFICIT REDUCTION DIVISION OF RESPONSIBILITIES DOMESTIC BORROWING DOMESTIC DEMAND ECONOMIC GROWTH ECONOMIES OF SCALE EDUCATION BUDGET EDUCATION EXPENDITURES EDUCATION SYSTEM EDUCATIONAL ATTAINMENT EFFICIENT ALLOCATION EFFICIENT ALLOCATION OF RESOURCES ENTITLEMENTS EXCHANGE RATE EXPENDITURE COMMITMENTS EXPENDITURE DECENTRALIZATION EXPENDITURE RESPONSIBILITIES EXTERNAL AUDIT EXTERNAL DEBT EXTERNAL LOANS EXTERNAL SHOCKS FINANCE MINISTRY FINANCIAL ACCOUNTABILITY FINANCIAL CRISIS FINANCIAL INFORMATION FINANCIAL INTERMEDIATION FINANCIAL SECTOR FISCAL ACTIVITIES FISCAL AFFAIRS FISCAL ANALYSIS FISCAL BALANCE FISCAL CONSOLIDATION FISCAL COST FISCAL DEFICIT FISCAL DEFICITS FISCAL EXPENDITURE FISCAL EXPENDITURES FISCAL IMPLICATIONS FISCAL MANAGEMENT FISCAL OPERATIONS FISCAL PERFORMANCE FISCAL POLICY FISCAL POSITION FISCAL RISKS FISCAL RULES FISCAL SIDE FISCAL SUSTAINABILITY FISCAL TRANSFERS FOREIGN CURRENCY FOREIGN EXCHANGE GOVERNMENT DEBT GOVERNMENT EXPENDITURE GOVERNMENT EXPENDITURES GOVERNMENT FINANCES GOVERNMENT REVENUES GOVERNMENT SPENDING GROSS DOMESTIC PRODUCT GROWTH RATE HEALTH CARE HEALTH CARE PROGRAMS HEALTH EXPENDITURE HEALTH EXPENDITURES HEALTH INSURANCE HEALTH OUTCOMES HEALTH SECTOR HEALTH SERVICES HIGHER EXPENDITURE INFLATION INFRASTRUCTURE PROJECTS INTEREST RATE INTEREST RATES INTEREST SUBSIDIES INTERGOVERNMENTAL FISCAL RELATIONS LOCAL REVENUE LOCAL TAXES MARGINAL INCREASE MEDIUM TERM EXPENDITURE MEDIUM TERM EXPENDITURE FRAMEWORK MEDIUM-TERM EXPENDITURE MEDIUM-TERM EXPENDITURE FRAMEWORK MEDIUM-TERM FISCAL FRAMEWORK MILITARY EXPENDITURES MINISTRY OF DEFENSE MINISTRY OF ECONOMY MINISTRY OF FINANCE MONETARY POLICY MUNICIPAL LEVEL MUNICIPAL SERVICES NATIONAL BANK NATIONAL BUDGET NATIONAL DEVELOPMENT NATIONAL EXPENDITURES NATIONAL GOVERNMENT NATIONAL SAVINGS NET LENDING OVERSIGHT FUNCTION PERSONAL INCOME PERSONAL INCOME TAX POVERTY REDUCTION PRICE INDEX PRIVATE CONSUMPTION PRIVATE INSURANCE PRIVATE INVESTMENT PRIVATE SECTOR PUBLIC ADMINISTRATION PUBLIC CAPITAL PUBLIC DEBT PUBLIC EMPLOYEES PUBLIC EMPLOYMENT PUBLIC ENTERPRISE PUBLIC EXPENDITURE PUBLIC EXPENDITURE POLICY PUBLIC EXPENDITURE REVIEW PUBLIC EXPENDITURES PUBLIC FINANCES PUBLIC FINANCIAL MANAGEMENT PUBLIC FUNDING PUBLIC INFORMATION PUBLIC INSTITUTIONS PUBLIC INVESTMENT PUBLIC INVESTMENTS PUBLIC LAW PUBLIC PENSION PUBLIC PENSION SYSTEM PUBLIC PRIVATE PARTNERSHIPS PUBLIC SCHOOLS PUBLIC SECTOR PUBLIC SECTOR DEBT PUBLIC SECTOR EMPLOYEES PUBLIC SECTOR EMPLOYMENT PUBLIC SECTORS PUBLIC SERVICES PUBLIC SPENDING QUALITY STANDARDS RECURRENT EXPENDITURES REFORM AGENDA REVENUE SOURCES SECTOR BUDGET SERVICE DELIVERY SIZE OF GOVERNMENT SOCIAL ASSISTANCE SOCIAL BENEFIT SOCIAL BENEFITS SOCIAL EXPENDITURES SOCIAL PROGRAMS SOCIAL PROTECTION SOCIAL SERVICE SOCIAL SERVICES STATE AUDIT OFFICE STATE BUDGET STATE ENTERPRISES STATE TAX SUB-NATIONAL GOVERNMENTS TAX ADMINISTRATION TAX BASE TAX BREAKS TAX BURDEN TAX COLLECTIONS TAX EXEMPTIONS TAX RATE TAX RATES TAX REVENUE TAX REVENUES TAX SYSTEM TAXPAYERS TOTAL EXPENDITURE TOTAL EXPENDITURES TOTAL PUBLIC EXPENDITURE TOTAL SPENDING TRANSPARENCY UNCERTAINTY VOUCHER SYSTEM WAGE EXPENDITURES WEAK BUDGET EXECUTION
Online Access:	http://documents.worldbank.org/curated/en/2014/06/19901609/georgia-public-expenditure-review-vol-1-2-strategic-issues-reform-agenda http://hdl.handle.net/10986/19301

Description
Summary:	Generating growth and creating jobs within a sustainable fiscal framework is Georgia s biggest macroeconomic challenge. Although Georgia registered rapid growth of 5.7 percent a year during 2010-13, unemployment remains high at 15 percent. New growth companies, especially in tourism and other service sectors, did not generate enough formal or even informal employment. Fiscal policy played a crucial role in Georgia s recent growth performance with a fiscal stimulus driven post-crisis recovery which increased deficit and debt levels followed by fiscal consolidation during 2010-12 when recovery took hold. The weak execution of the budget in 2013 and policy uncertainty were largely responsible for the growth slowdown during the year. Tackling the growth and jobs agenda in Georgia will require significant investment in human and physical capital and the government has a large role to play here. Additional spending, where it is needed, should be undertaken within the fiscal consolidation agenda of the government, designed to help restore the macroeconomic buffers needed to secure stability and sustain confidence in the future. The change in government in 2012 marked a shift in fiscal policy with prioritization of recurrent social expenditures over capital spending, thereby, increasing budget rigidity. During 2012-13, the government raised the benefit levels under the targeted social assistance (TSA) and pensions and introduced universal health care (UHC). As a result, the fiscal deficit is likely to increase from 2.6 percent of gross domestic product (GDP) in 2013 to 3.7 percent in 2014. Over the medium term, an aging population and the need to improve health outcomes and coverage of the poor in social assistance programs will keep social expenditures high at more than 9 percent of GDP. The share of capital expenditures will level off, meanwhile. Such an outcome will reduce the government s flexibility in trimming current expenditures in the future.

Georgia Public Expenditure Review : Strategic Issues and Reform Agenda

Similar Items