Name of the Organization : DAD Afghanistan
Type of Facility : State Budget Planning System (SBPS)
Country : Afghanistan
Website : http://dadafghanistan.gov.af/dad/#
State Budget Planning System (SBPS):
The State Budget Planning System (SBPS) is used by the Government of Afghanistan to automate the budget definition and preparation process and enhance monitoring of the approved budget’s execution.
Related : Afghanistan Centeral Business Registery & IP Patent Registration : www.statusin.org/7858.html
The SBPS data is tightly integrated with the Development Assistance Database for Afghanistan (DAD Afghanistan) application. The DAD will serve as a main source of data on ongoing and planned development projects.
From the SBPS point of view, donor commitments directed through the State Budget will be considered as revenue sources, while, at the same time, the implementation costs of the projects planned for upcoming years will form the budget requests.
The State Budget Planning System (SBPS) is integrated with the AFMIS treasury system used by the Treasury department of the Ministry of Finance of Afghanistan. Once the budget is approved by the Cabinet and the Parliament, the data should be exported to the AFMIS for budget execution, meanwhile the actual expenditure and revenue data should be imported into the SBPS to allow generating midterm review reports.
The State Budget Planning System (SBPS) is a web-based budget management tool powered by Synergy IDM 5.5 (Intelligent Data Manager) integrated technology platform.
It is specifically designed to quickly and easily automate budget formulation and execution process and enables the following functionality:
** Draft and prepare budgets using the State Budget Planning System
** Prepare and review budgets in two directions-from top to bottom and from bottom to top
** Prepare and support multi-year budgeting
** Support multiple versions of central and local budgets
** Plan revenues and request expenditures
** Perform trend and sensitivity analysis
** Automatically populate the budgetary requests based on historical data
The State Budget Planning System (SBPS) has a web-based user-friendly graphical interface combining the best practices of MS Excel type spreadsheets with online electronic data entry forms. It also provides a variety of user interfaces based on the users’ roles in the budget planning and execution process.
The purpose of this document is to describe how the State Budget Planning System for the Government of Afghanistan application functions and to provide necessary instructions to ensure successful work with the application. The use of this document and the compliance with the standards specified herein is mandatory for anyone working with the mentioned application
Background information:
The Budget preparation cycle is comprised of two main phases: a) preparation of Preliminary Draft Budget or MTBF (by the end of September) and b) preparation of detailed National Budget.
Medium Term Budget Framework (MTBF) has been introduced formally for both the operating and development budgets. This framework allows the Government to plan its expenditures in the medium term and link its financial resources with the benchmarks it needs to achieve under the Afghanistan National Development Strategy (ANDS) and MDGs and other strategic priorities of the country.
The aim of preparing the MTBF is to estimate available financial resources in the following two years (both from domestic revenue and donor funds), to select most important priorities, based on the Afghanistan National Development Strategy (ANDS), that can be financed from the available funds and establish budget ceilings. The Ministry of Finance (MoF) is responsible for gathering required
Based on the information from MTBF, the MoF requests the ministries to prepare detailed budget calculations for selected priorities and within given ceilings. The MoF is issuing two separate circulars – Traditional Circular asking for operating budget and development projects, and Program Budget Circular, asking for budget breakdown by programs and sub-programs. This second circular supports program-based approach to budgeting.
The SBPS will support Program (Integrated) Budget Preparation on the level of line ministries, as well as automate its submission process to the Government.
The SBPS allows recording two main components of the state budget- recurrent (operational) budget and development budget, integrating them into a single data space and provides the Ministry of Finance and the Government of Afghanistan with a final consolidated budget. The SBPS also provides the facilities to estimate the upcoming revenues. By capturing both revenues and expenditures the SBPS supports the budget negotiation process between the Ministry of Finance and all budgetary units. The budget negotiation process can include several rounds which may result in multiple iterations of the SBPS system.
The role of the SBPS is going beyond the point of budget finalization and approval by the Parliament. The finalized budget version should be exported to the AFMIS system for further budget execution. Furthermore, to provide the comprehensive analysis of the budget execution and monitoring processes, such as midterm reviews, the actual expenditures should be exported from AFMIS and imported back into the SBPS