Report by World Bank and the EU Recognizes Ukraine’s Progress in Public Financial Management

The 2019 Ukraine Public Expenditure and Financial Accountability (PEFA) Assessment report was published today. The assessment was carried out by the World Bank as part of the Parallel European Commission-World Bank Partnership Program for the Reform of Public Administration and Finances (EURoPAF) and closely coordinated with the Ministry of Finance of Ukraine. Development partners from the US Treasury Department and Sweden were part of the Assessment team.

You can read the full Assessment report on PEFA Website: https://pefa.org/node/3676, as well as the summary: https://pefa.org/assessments/summary/3676

For Ukraine, this was the fourth PEFA Assessment at the national level. Previous PEFA Assessments were conducted in 2006, 2011, and 2015: the latter informed the country’s Public Finance Management Reform Strategy for 2017-2020. The current Assessment has laid the basis for the Ukrainian Government’s new 2021-2024 PFM Reform Strategy.

The 2019 PEFA Assessment indicates that the Government of Ukraine has made progress in the application of International Public Sector Accounting Standards (IPSAS). According to the report the  Government improved  its macroeconomic and budget forecasting tools, as well as increase transparency in public financial management through introduction of an open budget portal and e-procurement system -- ProZorro. The comparison of the 2019 and 2015 PEFA Assessments reveals that many indicators and dimensions have improved, specifically those related to fiscal discipline, the strategic allocation of resources, and the efficient use of resources for service delivery.