The relation between the Government Programme and the spending limits procedure

Although coordination between the Prime Minister's Office and the Ministry of Finance improved in some respects, it still needs to be strengthened. The main question in the audit was whether the administration's internal coordination procedures are adequate to ensure the application of appropriations according to the objectives in the Government Programme.

Abstract

Effectively coordinating the Government Programme and the spending limits procedure is of primary importance so that the long-term fiscal policy objectives of ensuring the sustainability of public finances and preconditions for economic growth can be achieved and social policy can be carried out in a cost-effective way.

The main question in this fiscal policy audit was whether administration’s internal coordination procedures are adequate to ensure the application of appropriations according to the cross-sectoral policy objectives in the Government Programme.

One audit criterion concerning coordination between the Prime Minister’s Office and the Ministry of Finance was whether the Government’s spending limits decision and the Government’s strategy document form a whole that shows the connection between the implementation of the Government’s strategic objectives and the Government’s spending limits and budget decisions.

Although on the basis of the recommendations of a project aimed at developing procedures for the efficient implementation of the Government Programme, coordination between the Prime Minister’s Office and the Ministry of Finance improved in some respects, cooperation and coordination between the Prime Minister’s Office and the Ministry of Finance still needs to be strengthened.

 

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