Provincial Budget Screening Committee
For the first time in 2007, the NEFC was asked to become a member of the Provincial Budget Screening Committee (BSC). NEFC has been recommending Provincial and LLG Grants to Treasury for the last few years.

Cost-Capacity-Performance
In October 2007, NEFC released a report titled; Cost-Capacity-Performance. The review covered all expenditures in 2005 by Provincial Governments.

More money is a cry from many, if not all provinces. But do we need it? How do we spend the money we already have? And is it spent on basic services that are critical to the wellbeing of our people? The report seeks to answer those questions.

Part of the report was presented by the Chairman, Dr Nao Badu at the recent National Development Forum at the Parliament House in Waigani. (Click for more information)  

Least Developed District Grant

The Least Developed District Grant was introduced to assist those with the lowest socio-economic conditions to improve their lives.

It was intended to only assist districts where the provincial government lacks the fiscal capacity (low internal revenue per head) to address under-development through use of its own resources.

The funds available for the LDD Grant, is less compared to the need and it is important that costs are not unnecessarily incurred on administration.

It was recommended that the grant be distributed using the Education Subsidy system. Education remains the foundation for any form of development. A basic education provides opportunity. It helps the adoption of improved health care, it makes it easier for people to pursue income earning opportunities and it provides a person more control over his/her life.