Mexico Public Expenditure Review
This Public Expenditure Review (PER) was prepared at the request of Mexico’s Ministry of Finance and Public Credit (Secretaría de Hacienda y Crédito Público, SHCP); its analysis of the efficiency, equity and impact of public spending in selected se...
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| Format: | Report |
| Language: | English en_US |
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Washington, DC
2016
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| Online Access: | http://documents.worldbank.org/curated/en/2016/08/26740181/mexico-public-expenditure-review http://hdl.handle.net/10986/25062 |
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okr-10986-250622021-05-25T08:51:30Z Mexico Public Expenditure Review World Bank public finance expenditure management government spending fiscal policy public sector debt public revenue decentralization taxation intergovernmental transfers federal workforce health expenditure healthcare delivery education expenditure social protection agriculture rural development water and sanitation public security justice services This Public Expenditure Review (PER) was prepared at the request of Mexico’s Ministry of Finance and Public Credit (Secretaría de Hacienda y Crédito Público, SHCP); its analysis of the efficiency, equity and impact of public spending in selected sectors is designed to inform Mexico’s ongoing process of fiscal consolidation. The Mexican government’s hard-earned reputation for fiscal responsibility and sound macroeconomic management has provided a solid foundation for stability and growth. As Mexico strives to meet the challenges of a dynamic global economic environment, this PER is intended to support the government’s efforts to adjust expenditure policies to better reflect the country’s evolving macro-fiscal circumstances. The PER is organized into two sections; the first focuses on overarching public expenditure management and cross-cutting policy issues. Chapters two through five examine the national macro-fiscal profile, selected issues in fiscal decentralization, the budget process, the performance evaluation system and human resource management in the public administration. These chapters explore how a combination of revenue shocks and structural expenditure pressures is affecting Mexico’s public finances and consider the implications of these trends over the medium term. They evaluate the extent to which federal budgetary inertia reflects sector-level policy commitments and describe how built-in expenditure rigidities can complicate the medium-term consolidation process. Chapters’ six through twelve each focus on a sector with especially significant fiscal implications: health; education; social assistance and labor market programs; subsidies for rural development, housing and small-businesses support; water and sanitation infrastructure; and public security. These sector-level analyses explore the combination of demographic trends and policy commitments that are driving a secular increase in both expenditure pressures and budgetary rigidities. The government’s policy goal of achieving universal secondary education will permanently increase the education budget, while universal access to basic health insurance will drive a similar structural expansion in public spending on health, which will be compounded by the rising healthcare costs of an aging population. These same demographic trends will also intensify pressure on the social protection budget. The rapid expansion of the police and security services will entail significant long-term spending commitments, and the fiscal impact of accelerated hiring will be magnified by the incorporation of nearly half a million municipal police into the national police force. Taken together, these trends will greatly increase aggregate public spending in Mexico over both the medium and long term. 2016-09-13T17:19:11Z 2016-09-13T17:19:11Z 2016-03-30 Report http://documents.worldbank.org/curated/en/2016/08/26740181/mexico-public-expenditure-review http://hdl.handle.net/10986/25062 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Washington, DC Economic & Sector Work Economic & Sector Work :: Public Expenditure Review Latin America & Caribbean Mexico |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
public finance expenditure management government spending fiscal policy public sector debt public revenue decentralization taxation intergovernmental transfers federal workforce health expenditure healthcare delivery education expenditure social protection agriculture rural development water and sanitation public security justice services |
| spellingShingle |
public finance expenditure management government spending fiscal policy public sector debt public revenue decentralization taxation intergovernmental transfers federal workforce health expenditure healthcare delivery education expenditure social protection agriculture rural development water and sanitation public security justice services World Bank Mexico Public Expenditure Review |
| geographic_facet |
Latin America & Caribbean Mexico |
| description |
This Public Expenditure Review (PER) was
prepared at the request of Mexico’s Ministry of Finance and
Public Credit (Secretaría de Hacienda y Crédito Público,
SHCP); its analysis of the efficiency, equity and impact of
public spending in selected sectors is designed to inform
Mexico’s ongoing process of fiscal consolidation. The
Mexican government’s hard-earned reputation for fiscal
responsibility and sound macroeconomic management has
provided a solid foundation for stability and growth. As
Mexico strives to meet the challenges of a dynamic global
economic environment, this PER is intended to support the
government’s efforts to adjust expenditure policies to
better reflect the country’s evolving macro-fiscal
circumstances. The PER is organized into two sections; the
first focuses on overarching public expenditure management
and cross-cutting policy issues. Chapters two through five
examine the national macro-fiscal profile, selected issues
in fiscal decentralization, the budget process, the
performance evaluation system and human resource management
in the public administration. These chapters explore how a
combination of revenue shocks and structural expenditure
pressures is affecting Mexico’s public finances and consider
the implications of these trends over the medium term. They
evaluate the extent to which federal budgetary inertia
reflects sector-level policy commitments and describe how
built-in expenditure rigidities can complicate the
medium-term consolidation process. Chapters’ six through
twelve each focus on a sector with especially significant
fiscal implications: health; education; social assistance
and labor market programs; subsidies for rural development,
housing and small-businesses support; water and sanitation
infrastructure; and public security. These sector-level
analyses explore the combination of demographic trends and
policy commitments that are driving a secular increase in
both expenditure pressures and budgetary rigidities. The
government’s policy goal of achieving universal secondary
education will permanently increase the education budget,
while universal access to basic health insurance will drive
a similar structural expansion in public spending on health,
which will be compounded by the rising healthcare costs of
an aging population. These same demographic trends will also
intensify pressure on the social protection budget. The
rapid expansion of the police and security services will
entail significant long-term spending commitments, and the
fiscal impact of accelerated hiring will be magnified by the
incorporation of nearly half a million municipal police into
the national police force. Taken together, these trends will
greatly increase aggregate public spending in Mexico over
both the medium and long term. |
| format |
Report |
| author |
World Bank |
| author_facet |
World Bank |
| author_sort |
World Bank |
| title |
Mexico Public Expenditure Review |
| title_short |
Mexico Public Expenditure Review |
| title_full |
Mexico Public Expenditure Review |
| title_fullStr |
Mexico Public Expenditure Review |
| title_full_unstemmed |
Mexico Public Expenditure Review |
| title_sort |
mexico public expenditure review |
| publisher |
Washington, DC |
| publishDate |
2016 |
| url |
http://documents.worldbank.org/curated/en/2016/08/26740181/mexico-public-expenditure-review http://hdl.handle.net/10986/25062 |
| _version_ |
1764458279411384320 |