Rapid Budget Analysis of the Agricultural Sector for the General Budget Support Annual Review 2010/11.

The main objective of the budget analysis chapter is to provide an overall assessment of how well the approved budget allocations in 2010-11 align with the strategic objectives and with sector strategic priorities of the Second National Strategy for Growth and Reduction of Poverty (known by its Kiswahili acronym, MKUKUTA II). It also assesses the consistency of the actual spending and approved budget in 2009-10. In evaluating the alignment of the budget and MKUKUTA's strategic objectives and sector strategic priorities, the analysis gauges the accuracy and reliability of the macro and budget framework, share of the budget allocated to MKUKUTA cluster strategies, share of the budget allocated to capital investment, and strategic prioritization within key sectors. This budget analysis chapter summarizes nine background notes that covered six key sectors and three thematic areas. The six key sectors are education, health, water, roads, energy, and agriculture; the three thematic areas are the wage bill, local government, and aggregate analysis. The six sectors were selected because they consume approximately 60 percent of the overall budget and are keys to achieving the MKUKUTA strategic objectives of growth and reduction of poverty. The three thematic areas were selected because of their crosscutting nature, as they touch each key sector but also are critical for achieving the MKUKUTA strategic objectives.

The political economy of relief aid allocation: evidence from Madagascar.

This paper studies the political economy of relief aid allocation using empirical evidence from relief programs after a major cyclone (Gafilo) hit Madagascar in March 2004. Relief was provided by the Government of Madagascar as well as local and international aid agencies. Aid allocation was generally more likely in areas with a higher need for aid, but there were substantial differences between aid allocation by the government and by international aid agencies. The likelihood of receiving aid from the government was higher in cyclone-affected communes with higher radio coverage and with stronger political support for the government. Relief from aid agencies was not affected by media or political factors but was more likely to go to poorer and easier accessible communes, whether or not they were affected by the cyclone.