The review of the Intergovernmental Financing System is likely to see changes in funding and fiscal decentralization.
This is according to National Economic and Fiscal Commission Chairman and Chief Executive Officer Patrick Kennedy Painap who stated that powers given to the provinces is directly linked to funding, hence the need to make changes in existing laws.
“We are dealing with fiscal decentralization to do with funding. “But we need to link it up with the decentralization policy. We are going to amend some laws as well.
“The powers relate to funding. The Provincial Governors only have control over 20%, the rest 80% is controlled by the national government. That is why the governors are complaining” stated Mr Painap.
In terms of the review on the Intergovernmental Financing System itself, he said that the consultations with provinces conclude last year, and the process will move forward to the second phase.
There are 12 government agencies under the Provincial & Local Level Services Monitoring Authority (PLLSMA) subcommittee participating in the review as funding is the basis of all government related works.
“We have done a framework on the project.
“We’ve come up with a problem and outcome statement and the issues and the key focus areas of the study” said Mr Painap.