Cambodia - Enhancing Service Delivery through Improved Resource Allocation and Institutional Reform : Integrated Fiduciary Assessment and Public Expenditure Review
Since 1999 Cambodia has made significantheadway in reforming public expenditure policy andmanagement, yet in order to implement its developmentagenda, Cambodia will have to make much more progress onfour principal fiscal, fiduciary, and institutionalchallenges. First, Cambodia will have to improve resourcemobilization to ensure aggregate fiscal sustainability.Second, to reduce the fiduciary risk to public funds, theGovernment will have to engage in comprehensive reform o fbudget execution, cash management, and public financialcontrol systems. Third, the Government will have torationalize public expenditure policy and management furtherto carry out both its Second Socioeconomic Development Plan(SEDP) and its National Poverty Reduction Strategy(NF'RS). Last, Cambodia will have need to undertakecomprehensive civil service reform-focusing on pay andemployment issues-in order to deliver poverty-reducingservices. The following sections elaborate on these fourcore challenges and provide an outline of proposed solutions.