Regions and Countries

	Table of Contents
p. 5 of 21 BACK | NEXT I. Country Performance Assessment A. Economic Performance Assessment B. Poverty Assessment C. Assessment of Socio-Environmental Performance D. Governance: Sound Development Management E. Implementation Assessment II. Country Operational Strategy III. Sector Strategies IV. Regional Cooperation V. Donor Activities and Aid Coordination VI. Cofinancing and Catalyzing External Resources VII. ADB’s Operational Program VIII. Economic and Sector Work Program IX. Local Cost Financing

Country Assistance Plans - Kiribati : I. Country Performance Assessment

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D. Governance: Sound Development Management

10. Recent improvements in the budgeting framework, including the adoption of three-year budget estimates, are expected to help improve the efficiency of Government expenditures. Good progress is being made in establishing performance standards for output budgeting and increasing the transparency of the budget, but further efforts are needed. In view of the Government's plan to place greater emphasis on private sector for economic development, good governance emerges as a pre-requisite towards this objective. In this context, one significant barrier to trade and investment, which needs to be addressed, is the lack of clarity of land titles. Procedures for approving foreign investments also need to be simplified. Government accounts and funds need to be made to conform to international standards and practice to improve financial operations and reporting systems in a transparent manner. Corporate governance of state-owned enterprises and other semi-autonomous bodies is also a concern. The 1999 IMF Article IV consultation mission indicated that public enterprise reform, including privatization, should be a priority on the reform agenda as the performance of most public enterprises remains poor. The IMF also support expansion of reforms to include reforms in civil service and reduction in trade and investment barriers.

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