Peru : Revamps its Public Investment System
This chapter assesses the advances and challenges of public investment management (PIM) in Peru. A National Public Investment System was created parallel to other administrative systems and Budgeting reforms. While the country endeavors to improve...
| Main Authors: | , |
|---|---|
| Format: | Public Investment Review |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2014
|
| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2013/01/23069018/peru-revamps-public-investment-system http://hdl.handle.net/10986/21051 |
| Summary: | This chapter assesses the advances and
challenges of public investment management (PIM) in Peru. A
National Public Investment System was created parallel to
other administrative systems and Budgeting reforms. While
the country endeavors to improve efficiency in
infrastructure spending, several simultaneous reforms have
challenged the system and its operation. An ensuing
decentralization process, which since 2002 has shifted
responsibilities for execution of public investment to
subnational governments, created the need for coordination.
A new framework for public; private investments meant a new
set of rules and regulations was needed. These changes
occurred in a period of high and sustained economic growth
which provides substantially more resources to executing
agencies, thereby challenging execution capacity at all
levels of government. At the same time, transfers from
natural resources have created spending inequities in a
considerable share of subnational governments. These factors
together represent a significant challenge in light of
uneven institutional capacities across many steps of the
investment cycle. In the country s quest to improve public
investments pending and outcomes on the ground, it seems
worthwhile to proceed in a strategic fashion. In light of
the emerging global experience, and given Peru s advances,
it seems suitable to focus attention on the following areas:
strengthen basic capacities, particularly in human
resources; emphasize a strengthening of the implementation
stage, particularly with regard to procurement reforms;
strengthen coordination across levels of government by
mobilizing national and subnational resources towards shared
goals; further align processes in Results- based Budgeting
(Presupuestopor Resultados) and multi-year programming; and
strengthen the demand side from end-users of services. |
|---|