Planning and Development Department (PDD), Punjab has worked out a programme with $8.80 million assistance of Asian Development Bank (ADB) to enhance efficiency and performance of provincial government. According to official sources, the objective of the programme was to support the implementation of reforms.
The programme has five components including fiscal and financial management; pension reform; civil service reform; private sector development; and reform monitoring and evaluation. All programme activities are divided into: (i) operational support, including equipment and related software; (ii) studies and assessments; and (iii) training and capacity building.
According to official sources, the programme implementation is expected to yield significant benefits to the people of Punjab. The proposed programme's Cluster will help the people of Punjab through: (i) improved public resource management and greater performance-orientation in planning and budgeting; (ii) a financially sustainable and adequate pension system; (iii) and efficient and effective civil service; (iv) a dynamic private sector. All the benefits will contribute to broad based economic growth, employment creation, poverty reduction and service delivery.
Commenting over the "Fiscal and Financial Management Plan," official sources stated that this component aims to create enabling conditions for the implementation of MTEF through strengthening fiscal and financial management practices, including the continuation of work on tax reforms undertaken in the PRMP-1.
The component provides support in three main areas: (i) improve public resource management; (ii) increase transparency and accountability of the budget process; (iii) achieve performance orientation in the annual budgeting process, sources mentioned.
Pension Reform, sources stated that this component support the development of a financially viable pension system that provides retirement income security to civil servants. This component supports three reform areas: (i) establish the Punjab Pension Fund (PPF) and the General Provident Investment Fund (GPIF); (ii) improve the pension and the General Pension Fund (GPF) record keeping and disbursement system; and (iii) improve the pension system through parametric and systemic reforms.
Civil Service Reform, sources explained, this component aims to assist in implementing civil reforms by providing (i) support in the implementation of reforms, such as reviewing and amending rules, undertaking functional review of departments, and piloting performance based human resource management; (ii) capacity building for concerned departments and agencies such as Service and General Administration Department (S&GAD) and the Management and Professional Development Department (MPDD); (iii) operational support for the S&GAD and MPDD; (iv) operational support for the major implementing agencies; and (v) a series of studies that are required for understanding the civil service reform issues in Punjab.
Commenting over the Private Sector Development in Punjab, official sources mentioned that this component aims to develop private sector development strategy for Punjab; and to assist in assessing the regulatory and compliance costs of doing business. To explore possibilities for increased direct private sector involvement in social service provision, and using public private partnership (PPP) as vehicle at provincial as well as local levels, to address the demand-supply gap and quality assurance mechanism issues, is another major objective.
Punjab Government also preparing "Reform Monitoring Assessment Programme", which will provides capacity building support to the P&DD to setup a monitoring and evaluation unit with the department, tasked to conduct and independent assessment of the Government's reform programs and projects.
Punjab Government has established the PRMP PMU in the Planning and Development Department. PRMP and PMU will closely work with ADB and implementing agencies.
The new proposed programme will support the engagement of consultants, including experts in the areas of public financial and resource management, social service delivery, pensions, civil service reforms, and private sector development.