2 Curso 1 VP 2 Modulo 1 122 Sistema Inversiones V1

Coordinating Public Investment and Public Policies

The first pillar for strengthening the effectiveness of public investment at all levels of government is to coordinate public investment and public policies. This involves aligning public investment with strategic development plans.

Coordinating Investment with Public Policies

• Coordinating investment across all levels of government is essential for effective public investment.

• The aim is to ensure that each level of government contributes according to its competencies in providing services for the benefit of citizens.

• However, this coordination is not frequently practiced due to multiple needs and limited resources.

• Prioritizing needs can be challenging and may lead to a disconnect between planning and budgeting, resulting in vague plans and budgets without clear development orientation.

Importance of Multi-Year Investment Programming

Multi-year investment programming plays a crucial role in bridging the gap between strategic planning and public budgeting. It sets short-term and medium-term goals for achieving strategic development objectives and determines the required amount of public resources.

Bridging Strategic Planning with Budgeting

• Multi-year investment programming shifts from scattered resource allocation to goal-oriented allocation based on national, sectoral, and territorial objectives.

• It helps materialize the costing of actions necessary for achieving strategic objectives.

• By linking planning with budgeting, it ensures that resources are allocated efficiently towards national development goals.

Challenges in Prioritizing Needs

Prioritizing needs can be difficult due to various demands and limited resources. This can result in a lack of understanding among the population, leading to a disconnect between planning and budgeting processes.

Challenges Faced in Prioritization

• Multiple needs and limited resources make prioritizing needs an unpleasant task.

• The population may not fully comprehend or appreciate the prioritization process.

• This can create a gap between the proposed plans and the budget, resulting in vague actions and budgets without clear development orientation.

Multi-Year Investment Programming as a Bridge

Multi-year investment programming serves as a bridge between strategic planning and public budgeting. It sets short-term and medium-term goals for achieving strategic development objectives and determines the required amount of public resources.

Linking Planning with Budgeting

• Multi-year investment programming establishes goals for achieving strategic development objectives.

• It defines the necessary resources to achieve these objectives in terms of short-term and medium-term targets.

• This approach ensures that planning is integrated into budgeting processes, aligning resource allocation with national priorities.

Moving Towards Goal-Oriented Resource Allocation

Multi-year investment programming shifts from scattered resource allocation to goal-oriented allocation based on national, sectoral, and territorial objectives. It helps materialize the costing of actions necessary for achieving strategic objectives.

Achieving National Objectives

• Multi-year investment programming focuses on allocating resources towards national, sectoral, and territorial goals.

• It enables the identification of specific actions required to achieve these objectives.

• By linking planning with budgeting, it ensures that resources are allocated efficiently towards national development goals.