Mongolia ranked 41st with budget transparency score

Ulaanbaatar /MONTSAME/ According to an open budget survey (OBS) conducted by the International Budget Partnership, Mongolia ranked 41st out of 117 countries with transparency score of 56. Mongolia’s transparency score of 56 in the OBS 2019 is moderately higher than its score (46) in 2017. In OBS 2019, the global average transparency score is only 45 out of 100. Mongolia has increased the availability of budget information by publishing the Year-End Report online and the Pre-Budget Statement online in a timely manner. However, Mongolia has decreased the availability of budget information by reducing the information provided in the Enacted Budget. Furthermore, transparency alone is insufficient for improving governance. Inclusive public participation is crucial for realizing the positive outcomes associated with greater budget transparency. Mongolia has a public participation score of 15 (out of 100). Recommendations Mongolia's Ministry of Finance has established e-consultations during budget implementation but, to further strengthen public participation in the budget process, should also prioritize the following actions: Pilot mechanisms to engage the public during budget formulation. Actively engage with vulnerable and underrepresented communities, directly or through civil society organizations representing them. Mongolia's State Great Khural has established submissions related to the approval of the annual budget, but should also prioritize the following actions: Allow any member of the public or any civil society organization to testify during its hearings on the budget proposal prior to its approval. Allow members of the public or civil society organizations to testify during its hearings on the Audit Report. Mongolia's National Audit Office has established mechanisms to assist the supreme audit institution in developing its audit program. To improve public participation in the budget process it should: Establish formal mechanisms for the public to contribute to relevant audit investigations. The OBS also examines the role that legislatures and supreme audit institutions (SAIs) play in the budget process and the extent to which they provide oversight; each country is scored on a scale from 0 to 100 based on 18 equally weighted indicators. The legislature and supreme audit institution in Mongolia, together, provide adequate oversight during the budget process, with a composite oversight score of 80 (out of 100). Recommendations Mongolia's State Great Khural provides adequate oversight during the planning stage of the budget cycle and limited oversight during the implementation stage. To further improve oversight, the following actions should be prioritized: A legislative committee should examine in-year budget implementation and publish reports with their findings online. In practice, ensure the legislature is consulted before the executive shifts funds specified in the Enacted Budget between administrative units during the budget year. To strengthen independence and improve audit oversight by the Mongolia National Audit Office, the following actions are recommended: Ensure audit processes are reviewed by an independent agency. The Open Budget Survey (OBS) is the world’s only independent, comparative and fact-based research instrument that uses internationally accepted criteria to assess public access to central government budget information; formal opportunities for the public to participate in the national budget process; and the role of budget oversight institutions such as the legislature and auditor in the budget process. The survey helps local civil society assess and confer with their government on the reporting and use of public funds. source: internationalbudget.org