Compare and Contrast the Budget Cycle Between Presidential System and Parliamentary Democracy System
INDEPENDENT BUDGET PROCESSES OF PARLIAMENT ACCOUNTABILITY AND SCRUTINY OF PARLIAMENTARY BUDGET
15 July 2010
FOR
IMPROVED
1.
Introduction
Since the democratic dispensation in South Africa, government have developed progressive laws that embrace democratic values. These include the Constitution (Act no. 108 of 1996), which entrenches democratic rights and provides a core foundation for the functionality of the South African government. Among other things, the Constitution sets out structures of government, assigns powers and authority of government and spells out the citizens’ rights. Underpinned in the Constitution are the delegation of powers and authority, and the doctrine of the separation of powers among the three spheres of government, namely, Legislature, Executive and Judiciary. These are enhanced by the checks and balances to ensure that no sphere of government abuses its powers. The Constitution further entrenches a culture of accountability in government as well as a degree of transparency in government budgeting and financial management. In addition, national legislative framework has been enhanced to translate these important principles into the budget process. The Public Finance Management Act (PFMA) of 1999 serves as a legislative cornerstone of the management of public funds and sets stringent transparency requirements including regular reporting and the assignment of accountability. In enforcing its oversight responsibility and further clarifying the separation of powers, Parliament recently introduced new budget reforms. Two Acts of Parliament were enacted including the Financial Management of Parliament Act (FMPA). Among the objectives of this Act is to provide for parliamentary oversight of Parliament’s budget and expenditure through an appropriate oversight mechanism of parliament. 1 It also spells out responsibilities of different role players in the budget process and the relationship with other state institutions, including
15 July 2010
FOR
IMPROVED
1.
Introduction
Since the democratic dispensation in South Africa, government have developed progressive laws that embrace democratic values. These include the Constitution (Act no. 108 of 1996), which entrenches democratic rights and provides a core foundation for the functionality of the South African government. Among other things, the Constitution sets out structures of government, assigns powers and authority of government and spells out the citizens’ rights. Underpinned in the Constitution are the delegation of powers and authority, and the doctrine of the separation of powers among the three spheres of government, namely, Legislature, Executive and Judiciary. These are enhanced by the checks and balances to ensure that no sphere of government abuses its powers. The Constitution further entrenches a culture of accountability in government as well as a degree of transparency in government budgeting and financial management. In addition, national legislative framework has been enhanced to translate these important principles into the budget process. The Public Finance Management Act (PFMA) of 1999 serves as a legislative cornerstone of the management of public funds and sets stringent transparency requirements including regular reporting and the assignment of accountability. In enforcing its oversight responsibility and further clarifying the separation of powers, Parliament recently introduced new budget reforms. Two Acts of Parliament were enacted including the Financial Management of Parliament Act (FMPA). Among the objectives of this Act is to provide for parliamentary oversight of Parliament’s budget and expenditure through an appropriate oversight mechanism of parliament. 1 It also spells out responsibilities of different role players in the budget process and the relationship with other state institutions, including