Factors Affecting the Effectiveness of Government Expenditure Budget Management In the Case of Ethiopia's Ministry of Finance
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https://doi.org/10.46291/IJOSPERvol9iss1pp95-111Keywords:
Government budget, legal framework, IFMIS, staff competency and SPSSAbstract
The study examined the factors affecting the effectiveness of government expenditure budget management in the case of Ethiopia's Ministry of Finance. The general objective of this study was to assess the factors affecting the effectiveness of expenditure budget management, in carrying out its budget administration responsibilities, ensuring the proper application of laws and regulations, ensuring public accountability, and promoting transparency in the use of government resources. A descriptive survey research design was employed using quantitative and qualitative methods. Closed-ended questionnaires and interviews were collected from MOF staff. The respondents were chosen using stratified and purposive sampling techniques. The survey questionnaire was distributed to 93 people, but only 76 of them responded, yielding an 82 percent response rate. The information was then quantitatively analyzed with Pearson's correlation, multiple linear regression analysis, and descriptive statistics using SPSS 23 versions. In Ethiopia's ministry of finance, the researcher found that there is a significant positive relationship between laws and regulations, budget expert competency, and integrated financial management information systems with budget expenditure management. There is a problem with the MOF salary scale that attracts and retains qualified and experienced experts. Government budget laws and regulations have a significant effect on government budget management. MOF has weaknesses in updating and revising budget laws and regulations. In terms of IFMIS applications, the Ministry uses IFMIS to prepare and execute the budget; however, there is still room for improvement in personnel knowledge and expertise for the effective implementation, operation, and maintenance of IFMIS. The Ministry of Finance should provide training on government budget management, public financial management, and government accounting systems to budget specialists and legislative organs of public accounts standing committees.
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