Public Finance Modernization Project

Abstract*

The Ukraine Public Finance Modernization Project aims to strengthen public financial management in terms of operational efficiency and transparency. The project includes the following components: strengthening institutional capacity and operational effectiveness; development of an integrated public financial management system; and project Management. Show More

Development Objective

The objective of the Project is to strengthen public financial management by improving operational efficiency and transparency.

Key Details

Project Details

Project ID
P090389
Status
Closed
Team Leader
Arun Arya , John Beazley
Borrower 2
N/A

Country
Ukraine
Disclosure Date
January 5, 2006
Approval Date
(as of board presentation)
January 8, 2008
Effective Date
September 21, 2007

Total Project Cost 1
US$ 65.00 million
Implementing Agency
Ministry of Finance
Region
Europe and Central Asia
Fiscal Year 3
2008

Commitment Amount
US$ 50.00 million
Environmental Category
C
Last Update Date
June 28, 2015
Closing Date
December 31, 2014

Last Stage Reached
BANK APPROVED

Notes
1. Total project cost includes funding from World Bank and non-bank sources in US$ millions. Active and Closed projects show current commitments. Proposed (pipeline) and dropped projects show the forecast amount. The commitment amount for projects in the pipeline is indicative and may be modified during the project preparation.
2. Borrower refers to the Borrower of a Loan or Recipient of a Grant.
3. ”Fiscal Year” is the fiscal year in which the project was approved (or dropped if the status is dropped). The World Bank's fiscal year is from July 1 - June 30. For example, a fiscal year of 1996 corresponds to July 1, 1995 - June 30, 1996.

Sectors

Themes

FY17 - Public Sector Management

FY17 - Public Administration50%
- FY17 - Transparency, Accountability and Good Governance50%
FY17 - Public Finance Management50%
- FY17 - Public Expenditure Management50%

Project Map

Interactive Map

Finances

Financing Plan (US$ Millions)

Financier	Commitments
International Bank for Reconstruction and Development	50.00
Borrower/Recipient	15.00

Total Project Financing (US$ Millions)

Product Line	IBRD/IDA
IBRD Commitment	50.00
IDA Commitment	N/A
IBRD + IDA Commitment	50.00

Lending Instrument
Grant Amount	N/A
Total Project Cost**	65.00

Summary Status of World Bank Financing (US$ Millions) as of February 28, 2025

No data available.

Detailed Financial Activity as of February 28, 2025

Download:

Period	Financier	Transaction Type	Amount (US$)
Jan 15, 2014	IBRD-48820	Int Charges	3,728.92
Jan 15, 2014	IBRD-48820	Loan Repay	1,628,170.00
Oct 7, 2013	IBRD-48820	Loan Disb	166,250.00
Feb 14, 2014	IBRD-48820	Loan Disb	230,000.00
Jul 15, 2013	IBRD-48820	Int Charges	747.34
Jan 8, 2008	IBRD-48820	Loan Commitment	50,000,000.00
Jul 15, 2013	IBRD-48820	Loan Repay	2,085,000.00
Oct 3, 2014	IBRD-48820	Loan Cancel	46,056,832.00
Jul 15, 2014	IBRD-48820	Int Charges	395.52
Jul 15, 2014	IBRD-48820	Loan Repay	230,000.00
Jul 15, 2013	IBRD-48820	Int Charges	9,986.54

Footnotes

Ratings

IMPLEMENTATION RATINGS

Name	Review	Date
Counterpart Funding	Unsatisfactory	2014-12-30
Project Management	Moderately Unsatisfactory	2014-12-30
Overall Implementation Progress (IP)	Unsatisfactory	2014-12-30
Progress towards achievement of PDO	Unsatisfactory	2014-12-30
Procurement	Moderately Unsatisfactory	2014-12-30
Counterpart Funding	Unsatisfactory	2014-12-30
Financial Management	Satisfactory	2014-12-30

COMPLETION RATINGS

INDICATOR	IMPLEMENTATION COMPLETION & RESULTS REPORT: 06-30-2015
Outcomes	Unsatisfactory
Risk to Development Outcome	Negligible
Bank Performance	Moderately Unsatisfactory
Borrower Performance	Moderately Unsatisfactory
Government Performance	Moderately Unsatisfactory
Implementing Agency	Moderately Unsatisfactory

INDEPENDENT EVALUATION RATINGS

INDICATOR	ICR REVIEW: 11-09-2015	PROJECT PERFORMANCE ASSESSMENT REPORT:
Outcome Rating	Unsatisfactory	N/a
Risk To Development Outcome	Negligible To Low	N/a
Bank Performance	Unsatisfactory	N/a
Borrower Performance	Unsatisfactory	N/a
Government Performance	Unsatisfactory	N/a
Implementing Agency	Unsatisfactory	N/a
Icr Quality	Exemplary	N/a
M&e Quality	Modest	N/a

Results Framework

PROJECT DEVELOPMENT OBJECTIVE INDICATORS

INDICATOR		BASELINE	CURRENT	TARGET

Increased strategic alignment of the budget with the public policy priorities .	Value	Existing budget formulation methodologies are not	The Draft 2014 State Budget was developed and base	Fully functional PFMS in use during the planning e
	Date	March 25, 2008	November 3, 2014	June 30, 2015
	Comment

Reduction of 20% in time required to get necessary information for managerial decisions through the use of an integrated managementand information platform.	Value	Decision-making processes are delayed because info	Not achieved.	Minimum of 20% reduction in average time for acces
	Date	March 25, 2008	November 3, 2014	June 30, 2015
	Comment

Increased transparency and reliability of public sector financial reporting through compliance with international accounting standards and alignment with EU accession requirements.	Value	Public Sector accounting is not compliant with ISA	Unified chart of accounts has been adopted.	National accounting standards are in use (via new
	Date	March 25, 2008	November 3, 2014	June 30, 2015
	Comment

INTERMEDIATE RESULTS INDICATORS

INDICATOR		BASELINE	CURRENT	TARGET

Budget data and policy assumptions published in greater detail.	Value	Summary proposed budget and budget execution publi	Budget module of the PFMS is not operational.	State budget execution performance is published in
	Date	March 25, 2008	December 24, 2014	June 30, 2015
	Comment

Budget execution: Improving the system of PFM by means of modernizing accounting system in public administration sector.	Value	Accounting and financial reports not unified in pu	PFMS is not operational to apply the new Chart of	PFMS is operational based on new national accounti
	Date	March 25, 2008	December 24, 2014	June 30, 2015
	Comment

Public Financial Management System (PFMS) established and functioning.	Value	Current PFM information systems are fragmented.	PFM systems are not integrated. Government has dec	PFMS system fully operational. New budget codes an
	Date	March 25, 2008	December 24, 2014	June 30, 2015
	Comment

MoF, STU and KRU staff trained in PFMS functionality and operations.	Value	None currently trained.	None currently trained.	All staff training completed.
	Date	March 25, 2008	December 24, 2014	June 30, 2015
	Comment

Timely and comprehensive fiscal management reports produced.	Value	Currently financial reports are fragmented.	No progress made under the project	Data warehouse is fully operational as a part of i
	Date	March 25, 2008	December 24, 2014	June 30, 2015
	Comment

The local budgets are based on program-target method (PTM) and all relevant budgetary program passports are managed with the new PFMS.	Value	Program budgeting at local budget level is optiona	ompleted. 692 local budgets were involved in the	Budget preparation for all 692 local budgets is ba
	Date	March 23, 2012	December 24, 2014	June 30, 2015
	Comment

MoF, STSU and SFIU staff, and spending units (SUs) are trained on new legislation & process changes.	Value	MoF staff are not familiar with new PFM legislatio	Change management and training component was not i	+ 14 workshops for SUs (1,700 participants)+ Trai
	Date	March 23, 2012	December 24, 2014	June 30, 2015
	Comment