Summary of Indonesia's Public Sector Management Sector Assessment
General outlook in terms of public financial management based on the 2012 Public Expenditure and Financial Accountability (PEFA) assessment indicates that Indonesia has a well-functioning public financial management system.
The PEFA 2012 repeat assessment, following the first assessment in 2007, demonstrates continuous progress in several aspects resulting in tangible improvements in the quality of Indonesia’s public financial management, together with increased transparency and independent oversight of public expenditures. However, some reforms are still identified as ‘work in progress.’ These include:
- improving the results-orientation in state budget planning and development;
- modernizing budget and treasury management;
- strengthening monitoring and evaluation of public expenditure and programs;
- improving the public procurement systems;
- improving government accounting and audit functions;
- civil service reforms to improve the quality and performance of the workforce;
- debt management;
- strengthening local government public financial management;
- and governance and anti-corruption.
About ADB Papers on Indonesia
The ADB Papers on Indonesia are designed to provide information, analysis, and advice on issues of interest to Indonesia's development stakeholders. The series is produced by sector experts and maintained by the ADB Indonesia Resident Mission.