Rejuvenating Rural Credit Delivery System in Maharashtra of India

An investigation into rural credit delivery system in Maharashtra shows slower growth in institutional finances through commercial banks, credit cooperatives, RRBs and LDBs, particularly during the decade of 1991- 2000, which is mainly due to adverse environment created by the financial sector reforms. Due to unfavourable policy framework, the entire rural credit delivery system encompassing rural branches of commercial banks, cooperative credit institutions and RRBs is reduced to a moribund state. High transaction costs and poor repayment performance are the twin root causes of the moribund state of rural credit delivery system. With a view to revive the agricultural credit delivery system, there is need to adopt innovative approaches like linking of Self-Help Groups (SHGs) and Non-Government Organizations (NGOs) with mainstream financial institutions. Such linkages are reported to have not only reduced transaction costs but also ensured better repayment performance. One of the recent studies conducted in Maharashtra has shown cent per cent recovery of loans through SHGs despite having excessively high rates of interest (24-36 per cent per annum) on their loan advances. One of the further disquieting features of RFIs in Maharashtra has been the high proportion of NPAs to total assets, particularly of RRBs and SCARDBs, which are estimated to hover around 36-48 per cent during the mid-to late nineties. One of the reasons for such high incidence of NPAs of RFIs has been the familiar practice of debt forgiveness, which eroded repayment and allowed defaulters to scot free with no deterrent reprimand. Political interference in issues of prudent fiscal management has got a lot to do with this unfortunate scenario. In order to rejuvenate rural credit delivery system, the twin problems facing the system, viz., high transaction costs and poor repayment performance, need to be tackled with more fiscal jurisprudence reserving exemplary punishment for willful defaults, especially by large farmers. In fact, insofar as the rural credit delivery system is concerned, the focus should be on strategies that are required for tackling issues such as sustainability and viability, operational efficiency, recovery performance, small farmer coverage and balanced sectoral development.Rejuvenation Rural Credit Delivery in India

From Governmental Accounting to National Accounting: Implications on the Portuguese Central Government Deficit

Based on the relevant differences between Governmental Accounting (GA/microeconomic perspective) and National Accounting (NA/macroeconomic perspective) this paper examines the main adjustments made in Portugal to the General Government Sector data required to convert Governmental Accounts into National Accounts. It also assesses the impact of those adjustments on the Central Government deficit, the largest share in the Portuguese public deficit. Following mostly a qualitative research methodology, the empirical study is based on interviews to officials preparing NA and on several documental sources. The purpose is to validate the major data adjustments from GA into NA regarding Central Government, while, in addition, assessing their impact using data from April 2008 Excessive Deficit Procedure notification, covering the 2004-2007 period. The main findings indicate that differences concerning the accounting basis are the most relevant and that the subsequent adjustments have a considerable impact on the Portuguese Central Government deficit. This research points therefore to the need for more convergence between GA and NA, namely with respect to the transactions recognition criteria in order to use a common accounting basis, and for a complete and coherent reporting information system in GA.

Regulatory Issues in Electronic Money: A Legal-Economics Analysis.

In this paper we examine regulatory issues relating to electronic money. The discussion proceeds along three main lines. Firstly, the focus of attention on the potential risks to the financial system is typically on the systemic risk arising from the payments system. Since issuers of electronic money automatically become part of the payments system, we consider if the arguments relating to systemic risk originating in the payments system apply in the case of electronic money. Secondly, we examine the sharp divergence in regulatory approaches between the US and the EU, and suggest that a useful way of reconciling this divergence is to note the existence of a tradeoff between the efficiency of the financial system and the amount of risk assumed by the public sector. This means that there is not necessarily a 'correct' answer to the question of the desirability of regulation. Thirdly, technological advances and financial innovations have made it easier for firms to engage in regulatory arbitrage. Competitive pressures may have encouraged financial centres to engage in competitive deregulation, resulting in a less than socially optimal level of regulation overall. It is therefore important that national authorities coordinate and harmonise their regulatory policies.REGULATION ; ELECTRONIC MONEY ; FINANCIAL SYSTEMS

Serbia - public sector accounting review : report on the enhancement of public sector financial reporting

The government’s public financial management (PFM) Reform Program 2016-2020 foresees the gradual transition of public sector financial reporting from a cash basis to an accrual basis of accounting and the application of International Public Sector Accounting Standards (IPSAS). This will significantly improve the quality of financial information and should enable better informed decision-making, more efficient use of public funds and resources and improved fiscal performance. This Report on the Enhancement of Public Sector Financial Reporting is one output of the Serbia Public Sector Accounting Reform Technical Assistance project funded by the Swiss State Secretariat for Economic Affairs (SECO) through the Strengthening Accountability and Fiduciary Environment (SAFE) Trust Fund under the Public Sector Accounting and Reporting Program (PULSAR) which provides support for the development and implementation of public sector accounting standards. This report supports the development of a plan towards that goal by assessing the institutional framework for public sector accounting as well as the gap between Serbian public sector generally accepted accounting principles (PS GAAP) and IPSAS

Evaluating the transition of e-Government: A review of local authorities in England

The goal of e-Government is seen as a panacea for governmental authorities. The emerging needs of citizens, their inclusion and engagement in policy development, political and participatory processes have meant new perspectives on e-Government are required. This paper seeks to identify and evaluate the preparedness of 10 UK-based local authorities to transition from basic e-Government to a more sophisticated and integrated e-Government. A categorical assessment of e-Government characteristics is made and these authorities are ranked accordingly. Our findings reveal the majority of local authorities sampled had reached a high percentage of informational and transactional e-Government but few had reached the interactional level and none had achieved assimilation. This suggests that local authorities seem to have focused on basic e-Government services. There is a need now to forge ahead to integration and assimilation of e-Government in order to address the critical objectives of citizen inclusion and engagement, and alignment of institutional processes to provide an infrastructure for the transition to e-governance and e-knowledge

A leadership model for e-government transformation

Since the late 1990’s governments have invested aggressively in Information and Communications Technology (ICT). This trend has paved the way for moving into the “Digital Age”. However, despite the wide use of ICT, research on e-government suggests that it has not yet reached its full potential of integration. In this paper the authors consider possible reasons for this potential shortfall, using models of adoption of innovations and relating them to egovernment. In doing so, a simple “Leadership Model” is proposed, that will lead to a profound understanding in transforming government and widen the agenda for further research. In particular, the aim of this paper is to highlight and explain of the gap that exist in the final stage of multi-stage-government maturity model by (Layne and Lee, 2001) and what is needed to overcome i

Towards integrated island management: lessons from Lau, Malaita, for the implementation of a national approach to resource management in Solomon Islands: final report

Solomon Islands has recently developed substantial policy aiming to support inshore fisheries management, conservation, climate change adaptation and ecosystem approaches to resource management. A large body of experience in community based approaches to management has developed but “upscaling” and particularly the implementation of nation-wide approaches has received little attention so far. With the emerging challenges posed by climate change and the need for ecosystem wide and integrated approaches attracting serious donor attention, a national debate on the most effective approaches to implementation is urgently needed. This report discusses potential implementation of “a cost-effective and integrated approach to resource management that is consistent with national policy and needs” based on a review of current policy and institutional structures and examination of a recent case study from Lau, Malaita using stakeholder, transaction and financial cost analyses

Doing Business in South Africa

[Excerpt] This brochure illustrates important features of doing business in South Africa. The legal system within which business operates is closely based on overseas, particularly English, models. The concepts and rules will be familiar to overseas investors and trading partners