Budget management in the Islamic republic of Mauritania

Da st r ,

LIUTED

8 September 1961 ENGLISH

Original. FRENCH

DOCUMENTS OFFICE

ECONOIiIIC connSSI",p 'TJR ".FRIC.

Workshop on Pz-ob Icms of J1udB\:~t

R~classificalio::1and. llC1:nc..goE:oTJt

uur "

NO TO BE TAKEN OUT

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Sponso!'ed jointl:y" OJ tbe T.-"YJited

~TatioYJs

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CO~Eission for ~frica, the Dr.it0d Nations Bureau of Technic&.l ^.L·...8,sistance OPE.:r~;,tions, t,JJ Division of Public i ..drrin.i st rati on arid the Fiscal and.

F'i.nanc La.L Brar.ch of the Department of ECOY10uic and. SQc:al .:~i"·fairs of t

r.o

4-15 September 1961

OF !"UJRITd:I.•

Submi tted. _{t~ r,,~r}. .i'..hmad o/.I.·..mar 9/E1Yf

Ministry of FifJilnce of the =SlDJ.lic Hep ;blic of Mauri tania

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• Budget Management in the Islamic Repuolic

of Mauritania

Suomitted oy Mr. lillmad

o/Ely,

Ministry of Finance of the Islamic

of Mauritania

Mr. Chad. rman ,

The delogation of the Islamic Republic of !'Iauri

an

a

she s to convey its hearty

to the mem1ers of the secretariat of the United Nations Economic Commission for Africa and the various

United Nat±ons organizations which have helped to organize this workshop for the harmonization of systems of budget reclassification and

management in the

countries of

Although our contribution to the

is limited, we have followed it with the greatest intGrest, being aware of the inportance fo:::' l.frica of Lrap.rov

methods of fiscal planning as an aid to economic development.

In this survey,

shall endeavour to the best of our ability to present in broad and general outline the organization of public finance in the Islamic Republic of

In the IRM~ as i:n most modern States, the f'o Ll.owi r.g institutions are recognized~

J~ sit1g1e n~tion~~: oDniL~~pst~nt col18c~ivity thE State,

.i.l. number of secoIJG.ary collecti vi tie's ·whose competence is

Li

ted both ter:c'i torially and f'unc

In IRE, four

towns. a r« organized us murri.c Lpa.Lit Le s ; the rest of the tarritory

is di viueCi. up into 16 rural comi.une s , The Laws governing the

resources allocated to them. Th" numbe r and rang8 of the activities of those secondary aut ho r

t

e s is still lh,i ted and the bulk of their resources is derived from the

of taxes paid to the central Government.

Thus almost all c urcerrt public r ece

t-. mod expendi

ure in the

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Cortain public SGrViC8S h':cV8 been oI'b'::.nizGd as incl€.'l;)onc1ont

noffices"~ for exam~lc ~ Posts .J.YJC: 'I'eLcc oicnuni.c c.ti orrs . State budget - oP8T'atiol1~1 budpet o.nd c:::-l.dJi"tal Jud.r:ret

BUQ.&8t classification ill the IHE n.akc s a f'undamcrrt a L distinction be^ttre e n~

the o pe rc.ti onuL ·bu(:~;~t, n.ncl

the c api, ta.l anu invc;;stmc.:nt bull.C6t.

This c Lat.si fi c a.ti on is to.G(,"__ on ci.at in 't.ue. Uni,te d Fatio!";s Eanual betwoen "c ur-rent ac co unt " and "capital aCCOU!lt".

In its concern to acquire: all the put.Li c s8rvices nec c aea ry for

its

proper f'unct i.oni.n.c , t.r o llO"';{ State h:...:-[; C-.evoted all::' ts :resourCe:8 to covering the o po r'a'ti oria.L 8 Y.::l-H';;THiit urc of t~·,E.' public services. Th',lS in the buc.get for' tue f i nanci a.I ye a r 1961, the capital budget is entel'ed purely pro ~Gmoriao

It s ao uLd , h01-reVE.:r~ bo pointed out that i t has boe n I'ound advisable to include in the oper~tional bUdGet exp8YJuituru which proverly belongs to the c ap Lt aL bud..ct , as for exanpl es th..:: rebnilG.:i_ng anu d.evelopment of the capi tell.

PurCh3.SC8 of d.ur-abl e eq-·l.irlr:JGnt arid b'Lild"inF ma.t e rca'l s are e nt o r-ed under a separate heading as lInon-recurrent expendit ur e " •

...gain, some of the dut i o.. an.; taxes payable on the oj.e r-a.t.a on of large scale 111ldertaki!l(), lrtich are subject to special long-t' I'm fiscal arrangements, ure paid into all extra-bu0.,_;,"Gtary account called the

"Maur-i. t ani a Eq ui pmorrt nmd" llhich pr-ovi d e e for thc acqui.ai t i cn of various types of e c o norui c and social oepipmelJ"t.

The greatsl part of tl,,-, IIilI's public ~1]Vl;8tmsnt0 i::: f i nar.c e d from foreign sourc ec , s upp l i.e d by the Foncis cla c.. ..§v810pperi.ent d.es pays

d' outre-mel' (FEDD!>!) and the Fonc:.s d' Lids st de cooperation de 1"-

Republigue f r-ar.ca.i s s _(F.~C). Ope r-c.ti or.s f i r.ancc d ^'t.'<, tbj FLC a re entered

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in a spocial extra budg·eto.ry.account by tho 1ml Treasu;sy:.,

.r ' •.

In the rID,'I budget, receipts aT'S clEt,,-,r,i:.fio'd undc r :five headings8

I- II.

III.

IV,

V.

Tax receipts

Income L'om State propGrty

Rcc ei pt s fr-on. ir'~""'.L:.:trial an., COI!HJ'9rcit11 undertakings Oorrt r-i bu

t

Drawings frorn the l:GservE; Fund , ~:·(;Cl811::.c'Y advances.

This c La.s c.Lf'Lc a'ti.c c is :Ji.:.S8L.. on that c orrt.a.i ned it! thE: United Nations Mariue.L,

The Lndustz-ia l <J.nd.,.vc\:?ffiL1s"_,ci.o:;,.l WJdE::ct2.kiJigS \'Thos8 re,ceipts are

entered .und.e z- III LncLudc. tl,o Goverrmc.rrt W1clc:(·tD.kinr;s and. the ,"~iliary

bodies rofEOc'rGd to ir, t; -: mar.ua.I , The "of' icio.l.c"r service". b sLongs to the second oat6COl'~J, ,,"T~le:c84:':; 0,1~e f'e r.ry service at. Roavo, on :~b,e Senegal

ri^\'I:;Y.' anc, the wat e r suP.).l;? bo a r-da C.l'8 u...'ldu:rtal:.:in{;~: serving tLe needs

of ^thf, ..ho Le pop ulatLon ,

The e xpe nd.itu.:o i:Jeur::ceQ ,,',/ t:~e8f; v.nd.~~rtc:.:.l,-ings 'is e-ntered separateu"

as the manual advises.

Classification of op(Lrational 8).:1ondi t,Jre

Oper-ati onaI bUl~~"ot expcr.di tur e is cla,::,sifi8d undo r five headings;

I-

II.

III.

IV.

v.

Public <lebt

Operatior of s~_vic&s Mail1tc:r!e~nce uo r-lve

Corrtr.ibuti o.o c s nlJ.JGiclics? ~'.,i~

Payme rrt s t.o tils c api tal' b1.,-d:~,,'t

This' c Las s t f'Loaiio o is bC";,:,:;r:d on tL__(3 0concJ:lic c Luaci.fi c atLori of operations. Nos.II D"n-":' III GO'!':'. 0l>"':Y'utioDS 2-=~:LE;ctirltJ thE.. goods and so rvi c s s , I1)s.1 u:r:;u. IV -COVl',~ t.:2.lJsi:-cr-.,. S;...:.vi~""]t-__)3 2,;) pre sc r-abo d fn the raarrua.L a.re errt e rc d unc..d~-' V. Operation of 8s:,>vi;cesj

no.

t

Government.

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SeO-;1on i National representation (if,embers of Parlialll6nt)

a OoV9rnm.ent and general administration

3 Judicial Services

4 National Defenve, police

5 Financial services 6 Scientific services

7 Infrastructure services 8 Economic services

9 Social services

10 Industrial operations and establishments.

An 11th section includes common expenditures which it has been impossible to allocate to one or other category of services. Within each section, expenditures are classified organically by the department of the Il1nistry responsible for their execution. The expenditure of eaoh Ilinisterial department is classified into ohapters and artielee oovering staff ooets and the purchase of goods or servioes. Fbr example, ohapter 10-1, under which staff costs of the Hinistry of Education

entered, includes

in article

Ministry 0uilding article 2. Minister's office

article 3.

eduoation

article 4. Inspectorate of Arabic teaching,

The budget is vohd on by the National Assembly at Which time it is accompanied by

notes which often go into considerable detail. For example, in chapter 10-1, article V (Nouakshott Upper Secondary School),

find:

(a) recurrent expenditure: clothing, food, etc.

(b) non-reeurrent

school equipment and furniture.

The principles on which the

budget is based and the great detail with which

presents receipts and expenditures make it very easy to reclassify public operations either on an economic or on a functional basis. The

Government is aware of the value of such a reclassification and intends to carry it out.

thinks

preferable,

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however, not to do this until it is possible for all the costs

incurred in the exercise of thG sovereignty of the ne", State to be

included in the budget.