The CFP experts conducted a training seminar in the Republic of Adygeya to discuss “State Assignment as an Instrument of Budget Spending Optimization”

Under the agreement on technical assistance regarding more extensive use of performance-based budgeting methods with the Finance Ministry of the Republic of Adygeya, the CFP experts conducted a training seminar to discuss “State Assignment as an Instrument of Budget Spending Optimization”. The participants included representatives of the government of the Republic responsible for policy decisions in health care, education, social security, culture and mass sports.

The key topics of the seminar concerned the implementation of the state assignment for provision of public services and the assessment of performance of service providers. Special attention was paid to the estimation of demand for services and fiscal capacity to provide services in the situation of hard budget constraints. As a rule, the problem of financial support for a state assignment causes a lot of questions on the part of budget-supported institutions. The questions include the items of financial support for a state assignment, service costing, property maintenance, fee-based services and use of incomes from business activity of institutions. Also, the seminar participants discussed in detail the specifics of state assignment development in the health care sector using the two-channel funding system.