Concept Note on Handbook on SAIs and Budget Credibility March 2021

In this concept note, the International Budget Partnership (IBP) and the Division for Public Institutions and Digital Government of the United Nations Department for Economic and Social Affairs (DPIDG) describe a planned effort to develop a handbook to support SAIs in conducting analyses of the credibility of government budgets through external audits. [...] Rationale for and objectives of the elaboration of a handbook for SAIs Over the past couple of years, IBP and DPIDG have discussed the topic with SAI officials from several countries, including at the sidelines of SDG-related events at the UN in 2019 and in several meetings organized by IBP. [...] 4 Annex 2: Some insights from the draft DPIDG paper on SAIs and budget credibility Some of the main findings of the review conducted by DPIDG are as follows: • SAIs are producing a variety of reports that help shine a light on the extent and causes of budget deviations in countries, but SAIs do not typically classify such deviations as matters of budget credibility. [...] These may be organized under various themes, such as the following: • Assessing the extent of budget deviations by programmatic sectors and budget codes and the reasons for deviations; • Analyzing justifications for budget deviations and the adequacy of such explanations; • Investigating the impact of budget deviations on the provision of essential services; • Evaluating transparency and reporting. [...] By focusing on building strong institutions and governance for the 2030 Agenda, the Division assists UN intergovernmental bodies in reflecting on the role of institutions as an integral part of their examination of the SDGs and supports the Committee of Experts on Public Administration (CEPA).