The 2017 Annual Meetings of the African Development Bank (AfDB) Group will be held on May 22-26, 2017 in Ahmedabad, India. The Annual Meetings are the Bank’s largest annual event and serve to raise the profile of the institution on the global stage. Find out more

Country level

Donors generally recognized that by using country financial management systems, country ownership is enhanced and efforts at harmonization are facilitated. As a response to efforts by both donors and developing countries to increase the effectiveness of development assistance, the AfDB focuses on holistic approaches to addressing development issues.

Budget Support Loans/Policy-based Loans

Budget support loans provide funding intended to support agreed policy objectives, including reforms that result from policy changes. As a result, most budget support loans do not have a specific investment programme with a detailed cost schedule. However, in many cases the achievement of development goals envisaged under budget support loans depend entirely on the government making investments in a particular targeted sector. As a result, the programme is dependent on the government’s financial management system for the investment of funds to achieve the program goals.

Country Financial Management: Diagnostic Tools

The Bank encourages collaboration with other development partners in the assessment of the country environment. Collaboration may take the form of joint preparation of a diagnostic study with one or more development partners or member countries. The Bank often reviews and considers some of the following during preparation of a project or a programme:

  • Public Expenditure and Financial Accountability Review (PEFAR) that reviews the Public Financial Management (PFM) arrangements in client countries. PEFAR has two main components – the Financial Accountability Assessment and the Public Expenditure Review;
  • Public Expenditure and Financial Accountability (PEFA) Performance Measurement Framework, that provides a common pool of information for the measurement and monitoring of Public Financial Management performance;
  • Country Financial Accountability Assessment (CFAA), an analytical assessment of the country’s public financial management system.