The Georgian government initiated public financial management reforms in 2008 to [1] develop strategic government directions and priorities, [2] conform to international standards, and [3] improve public finances and services. The reforms included establishing a medium-term expenditure framework, developing a program budgeting system, strengthening revenue management, and consolidating treasury reforms. Key components of the reforms were setting national priorities, developing a government strategy, implementing a medium-term expenditure framework, and improving annual budgeting. The reforms aimed to maintain fiscal discipline, strategically allocate resources, ensure effective use of funds, and increase accountability.

1. Public Finance Management Reform The Georgian Experience 2008 ICGFM Winter Conference December, 2008

7. PFRM Components National Priorities Government Strategy Basic Data & Direction Medium Term Expenditure Framework Annual Budget Sector Strategies

11. Macroeconomic Indicators

14. MTEF approach in annual budgeting Forecast Budget Budget Forecast Forecast Budget T T +1 T +2 T+1 T +2 T +3 T +4 T +5 MTEF and Annual Budget MTEF should be closely linked to the technical and institutional processes of the budget preparation

19. Questions and Comments