Project

Supporting the National Assembly of Zambia in economic and public finance management

President of the Republic of Zambia, H.E Mr Hakainde Hichilema 2nd from right; poses for a photo with Her Honour, the Vice President, Mrs W.K Mutale Nalumango, MP (2nd from the left); the Rt. Hon.Speaker, Ms Nelly B.K Mutti, MP (to the right of the President); 1st D/Speaker, Hon. Malungo Attractor Chisangano, MP (far left); and the 2nd D/Speaker, Hon. Moses Moyo, MP (far right) after the approbation of the Presiding officers at State House, Lusaka on Friday, 3rd Sept, 2021.

With the aim of improving the accountability, transparency and effectiveness in the management of public resources, NAZ II will enhance the parliamentary budgetary oversight function and public awareness of parliamentary activities and policy debates

February 28, 2022

SDG: #8, #10, #16
COUNTRIES: Zambia
CLIENT: European Union
DURATION: April 2021-April 2025

Zambia’s economy has slowed down significantly since 2015–2016, exacerbated by economic shocks, unprecedented debt distress, the COVID–19 pandemic, deficiencies in revenue collection, unsustainable public spending, and budget deficits. This has resulted in an unfavourable fiscal situation and mounting public sector financial challenges.

In order to facilitate the successful implementation of its strategic economic development initiatives and programmes, the Government has prioritised the need to further strengthen economic and public financial management (PFM) capacities. The focus of this effort is towards enhancing transparency, accountability, efficiency and effectiveness in the management of public resources in order to ensure efficient mobilisation and prudent utilisation of public resources.

President of the Republic of Zambia, H.E Mr Hakainde Hichilema 2nd from right; poses for a photo with Her Honour, the Vice President, Mrs W.K Mutale Nalumango, MP (2nd from the left); the Rt. Hon. Speaker, Ms Nelly B.K Mutti, MP (to the right of the President); 1st D/Speaker, Hon. Malungo Attractor Chisangano, MP (far left); and the 2nd D/Speaker, Hon. Moses Moyo, MP (far right) after the approbation of the Presiding officers at State House, Lusaka on Friday, 3rd Sept, 2021.

The “Support to the National Assembly of Zambia, phase II (NAZ II)” project forms part of the Effectiveness and Transparency in Management of Public Resources (EFFECT) programme, which is funded by the European Union (EU) under the 11th European Development Fund (EDF).

Project Results Areas

Result 1: Improved capacity for legislative scrutiny of the national budget

The pragmatic approach to achieving this result will be the delivery of a blended set of activities that are firmly rooted in practical advice and solutions designed to ensure that approved budgets accurately and clearly reflect stated Government policy. This strategy will ensure that scarce public funds are applied to activities that will add value to the socio-economic well-being of the Zambian citizens, women and men.

Key Activities for Result 1

Review of the annual national budget proposals and of the Medium-Term Expenditure Frameworks (MTEF)
Review of the Auditor General’s reports and other special reports.
Capacity building of Committees members on PFM functions.
Peer to Peer Learning with European Parliaments

Result 2: The quality of analysis of the budget by the Parliamentary Budget Office and the technical Committees, and its execution is improved

The scope for budget analysis is limitless. Therefore, it is essential that the reason (s)/ purpose/expected outcomes for the analysis are established in advance otherwise we have a risk that time is wasted producing analysis that adds limited value. Similarly, when analysis is done on actual budget implementation, this must be preceded by unambiguous criteria justifying the purpose of the analysis. The PBO is a recent innovation and should be the primary source of budget analysis. To achieve this result significant assistance will be directed to this Office to improve the quality of budget analysis.

Key Activities for Result 2

Review of sector budgets.
Training for PBO staff in macro-economic analysis and revenue analysis
Capacity building for PBO staff and Committee Clerks on budget and expenditure analysis.
Capacity Building on public debt management, fiscal decentralization, and analysis of periodical reports, such as annual reports, national development plans and audit reports, and policy and bills costing analysis.
Revision of the PFM Handbook
Production of the selected manuals
Administrative support to project implementation

Results

The results expected to be achieved under the NAZ II are:

Expected Result 1: Improved capacity for legislative scrutiny of the national budget.

Expected Result 2: Improved quality of analytical policy briefs on the budget by the Parliamentary Improved quality of Committees’ recommendations on the budgets.

Expected Result 3: Enhanced gender-responsive budget analysis.

Expected Result 4: Improve citizen awareness of the role of Parliament and MPs, and enhanced public participation in Parliamentary activities

Left to right: Mr Alex Chikwese, Advisor – Governance, NAO, Maja Bosnic, NAZ II Project Director, Ms Chasiya V. Kazembe, Coordinator & Deputy Authorising Officer of the EDF

Result 3: Enhanced gender-responsive budget analysis

Gender responsive aspects are increasingly being incorporated into the PFM processes. It is with this understanding that gender responsive budgeting ensures that needs of different group of women and men in all their diversity is considered in budgetary decision making. This process requires that analysis of budget priorities is done with a gender lens, leveraging on the National Gender Policy from 2014 and the Gender Equity and Equality Act No 22 of 2015. They both call for a GRB and include reference to the MoF, that shall ensure that all sector plans and budgets(and utilization) comply with Gender Responsive Planning and Budgeting principles supporting gender mainstreaming at all governmental levels.

Key activities for Result 3

Training in gender budgeting
Conduct gender-based budget analysis
Gender-responsive reporting

Result 4: Citizens' awareness of parliamentary activities and policy debates is enhanced

The key to improving awareness is the development of trust between the policy makers and the citizens. The NAZ needs to embrace openness, equality and respect when dealing with individual citizens and wider civil society. To achieve this result, tried and tested practical modes of communication will be used, leveraging also on the strategic efforts NAZ has made to have Parliament more accessible and open to the public and civil society.

Key activities for Result 4