According to information gathered from the Planning Department at the Ministry of Finances and Public Administration, this joint mission has two main objectives: the evaluation of the application of policy measures in various different sectors including the fight against poverty, Public Administration reform, education and others; and the establishment of the amount of budget aid to be granted in 2007.

Meanwhile, none of the budget aid promised for 2006 - US$ 10 million from the World Bank, US$ 3 million from the European Union, and part of the US$ 10 million set aside by the Netherlands to finance Cape Verde’s second National Environment Plan - has yet entered Treasury coffers. The Netherlands has also agreed to grant Cape Verde an additional 4 million euros in supplementary budget aid, none of which has yet hit state coffers.

The funds are expected to be available in June, following the approval by parliament of this year’s State Budget, which would have been approved last year had it not been for the legislative elections, held in January of this year - although it is not an official policy of the National Assembly, it has become a “tradition” - to the irritation of the Finance Ministry - that prior to elections State Budgets for the following year should not be elaborated and voted upon.

In addition to the World Bank, the EU and the Netherlands, who signed the Memorandum of Understanding on direct budget aid in April 2004, the African Development Bank will also associate itself to the joint mission in May, as it has also adhered to this modality of development financing. According to the Planning Department, a number of countries will be invited to participate as observers, including Spain and Austria, whose respective governments have already indicated their interest in adhering to the budget aid model.

During the joint mission’s stay in Cape Verde, the government and the World Bank will begin negotiations for the signing of the 3rd Poverty Reduction and Economic Growth Program.

source a asemana