Issues in Government Budgetary System: Evidence from Developed and Developing Economies
Adeparubi OLATERU-OLAGBEGI
Globally, budgeting is an integral part of public financing which is the nerve-center of governance at all levels. Despite various frameworks to strengthen budget effectiveness in Nigeria, it seems as if the challenges with budgetary system in Nigeria still remains. This is evident from the incessant loan options by the federal government. It is on this backdrop that this study examined the budgetary system in both the developed and developing economies. This paper adopted the Content Analysis Method (CAM). This was done by analyzing each context in the articles relating to issues in government budgetary system of both the developed and developing economies. From the review, it was discovered that most of the budgetary issues found in the developing countries are not present in the developed economies. The developing economies are faced with budgetary issues such as the poor budget planning, fraudulent manipulations, lack of integration and information sharing across departments and agencies, untrained budget staff, inflation, non-adherence to budgetary control measures, and political environment. Based on the major findings of this paper, it was concluded that the budgetary system in the developing economies are still faced with strong issues since these economies have neglected a sound budgetary and accounting procedures, impeachment or dismissal due to high political backups. It was recommended that government should enact an enabling law that will ensure the workability of its budgets according to plans and to reduce corruption by the public officers through an effective budget control checks.
Keywords: Government finance, developed countries, developing economies, budget performance, public budgetary systems