Public expenditure planning in Papua New Guinea: an evaluation of innovation

This paper discusses the problems faced by non-socialist developing countries in evolving successful systems of comprehensive public expenditure planning and makes a series of proposals designed to avoid some of these problems, e.g. by outlining precise processes, mechanisms and institutions which might generate and maintain political and bureaucratic support and correspond to a more realistic view of politics, as well as developing a framework within which public expenditure proposals can be consistently compared. The paper refers throughout to the experience of Papua New Guinea.The evaluation of the approach and processes of public expenditure planning in Papua New Guinea is divided into two parts. The first part assesses the system's achievements, costs and weaknesses and then considers the impact which the system itself has had on framing and developing new policy. In the second part, the general lessons which may be learned from Papua New Guinea's experience are discussed.