Open Governance Partnership
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1 2015/FMP/WKSP1/031 Session: 8 Open Governance Partnership Submitted by: Philippines Workshop on Fiscal Management Through Transparency and Reforms Bagac, Philippines 9-10 June 2015
2 Open Governance Partnership MAXINE TANYA M. HAMADA A s s i s t a n t S e c r e t a r y D e p a r t m e n t o f B u d g e t a n d M a n a g e m e n t
3 Our task It is institutions that determine the fate of nations - Why Nations Fail by Daron Acemoğlu and James A. Robinson Nations fail when institutions are extractive, protecting the political and economic power of only a small elite that takes income from everyone else. Success comes when political and economic institutions are inclusive and pluralistic, creating incentives for everyone to invest in the future.
4 Our goal put the country onto a new trajectory, away from patronage politics and corruption, and towards good governance and inclusive growth 3
5 Our Trajectory Entitlement Values-Based Dependency Meaningful Devolution Poverty Meritocracy Institutional Voice & Vote Capture Transparency Opacity
6 In the absence of a "crisis" to rally stakeholders around a common goal, the theoretical basis for a broad-based coalition is the long-term economic advantage which stakeholders across the political spectrum would see in sustaining the current economic and good governance trends beyond this administration. Forging such a broad-based reform coalition is a high priority for the government and its partners. 5
7 Our driver Average growth in the last five years improved to 6%. But only recently did high economic growth translate to stronger job creation and faster poverty reduction. Good governance is driving this If the current trends are sustained, poverty could be substantially alleviated within one generation. 6
8 The policies and interventions that have in recent times started having an impact on the seemingly stubborn poverty levels in the Philippines would thus need to be continued over a horizon longer than a single administration. Transformational change to achieve an uninterrupted momentum towards high growth can only occur if effective policies are sustained over a sufficient time span so as to bear visible fruits. 7
9 Our pillars Transformation and setting a new trajectory does not only mean the creation of an effective and efficient state which can deliver public services. It implies taking on a larger agenda for creating an institutional framework that delivers good governance. 8
10 Transforming the Budget Spending within means Spending on the right priorities Spending with measurable results In an empowering regime of transparency, accountability & citizen s engagement 7
11 What is being done
12 Good Governance Cluster Chair: The President Members: Department of Budget and Management (Secretariat) Department of Finance Department of the Interior and Local Government Department of Justice Department of Trade and Industry Presidential Legislative Liaison Office Office of the Presidential Legal Counsel (EO 43) Tasked to institutionalize open, transparent, accountable, and participatory governance 11
13 Good Governance Cluster Plan 30 Initiatives 9 Initiatives for Transparency and Citizens Empowerment 16 Initiatives for Public Sector Performance 5 Initiatives for Anti-Corruption 9 Priority Legislations 12
14 Governance Cluster Plan (30 initiatives and 9 legislation) Phil Action Plan for OGP (9 commitments) 13
15 Open Government Partnership Philippines is 1 of 8 founding members in 2011 Countries submit international concrete commitments from government in an action plan 164 countries in
16 AWARDED 3rd Place (Gold) O P E N G O V E R N M E N T A W A R D S Open Government Partnership September 24, 2014 New York City 15
17 Bottom-up-Budgeting 2013 Budget (Enacted) 2014 Budget (Enacted) 2015 Budget (Enacted) Budget Year P8 B P20 B P20.9 B Amount of Locally- Developed Projects Participating Local Govts 595 Cities & Municipalities 1,225 Cities & Municipalities 1,599 Cities & Municipalities 25
18 NOMINATED as Philippine Entry O P E N G O V E R N M E N T A W A R D S Local Governments Seal of Good Housekeeping and Performance Challenge Fund? 17
19 Renewed Trust in Public Institutions 3
20 Open Governance Partnership MAXINE TANYA M. HAMADA A s s i s t a n t S e c r e t a r y D e p a r t m e n t o f B u d g e t a n d M a n a g e m e n t
21 Traditionally, the political cycle in the Philippines produces a period of policy deadlock, uncertainty and volatility towards the end of an administration, as patron-client allegiances start shifting in anticipation of the change in administration. 20
22 For the government, delivering good governance requires key public sector reforms, such as choosing wise policies and investments; maintaining public assets; ensuring that civil servants are skilled and motivated; and also directly confronting corruption, so that citizens have faith in their leaders and systems. 21
23 Inclusive institutions are created by a broad coalition a group that is multi-sectoral with many interests. Broad coalitions are needed for two reasons: first, they must adopt a strategy for winning which appeals broadly (i.e., an inclusive strategy), and second, the presence of a new coalition makes it difficult for one subgroup (e.g., the elite) to dominate and create a new extractive regime. 22
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