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A Review of Capital Budgeting Practices

  • Davina F. Jacobs

A key challenge in government budgeting is to define an appropriate balance between current and capital expenditures. Budgeting for government capital investment also remains not well-integrated into the formal budget preparation process in many countries. This paper aims to provide an overview of past and current budgeting practices for public investment. The study will also provide a comparison between the budget practices between low-income countries and developed countries and make a series of recommendations for how to ensure efficient integration of capital planning and budget management in low-income countries.

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Paper provided by International Monetary Fund in its series IMF Working Papers with number 08/160.

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Length: 24
Date of creation: 01 Jun 2008
Date of revision:
Handle: RePEc:imf:imfwpa:08/160
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  1. Thomas J. Sargent & Marco Bassetto, 2004. "Politics and Efficiency of Separating Capital and Ordinary Government Budgets," 2004 Meeting Papers 3, Society for Economic Dynamics.
  2. David Webber, 2007. "Integrating Current and Development Budgets: A Four-Dimensional Process," OECD Journal on Budgeting, OECD Publishing, vol. 7(2), pages 93-107.
  3. Ian Lienert, 2003. "A Comparison Between Two Public Expenditure Management Systems in Africa," OECD Journal on Budgeting, OECD Publishing, vol. 3(3), pages 35-66.
  4. Ian Lienert, 2003. "A Comparison Between Two Public Expenditure Management Systems in Africa," IMF Working Papers 03/2, International Monetary Fund.
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