Analysis of the impact of changing economic fortunes on local budgets has shown the relevance of the Committee of Ministers Recommendations on financial and budgetary management at local and regional levels and on financial resources of local and regional authorities.

Good local government depends on sufficient financial resources and good financial management procedures that enable local authorities to offer services adjusted to their citizen’s expectations. The Centre of Expertise Local Finance Benchmarking, addressed to local and central authorities, supports evidence-based decision-making thus helping them make best use of available resources.

The local component of this tool was first piloted in Bulgaria and subsequently tested in Ukraine. It was further improved in response to the economic crisis and used in 2013 in municipalities from Greece, Portugal and Spain, with the support of the Open Society Foundations and the Council of European Municipalities and Regions. In 2014-2015, the tool was adapted and piloted in the Basque Country in cooperation with EUDEL. The central component of the tool is currently being implemented in Greece under a joint CoE-EU project.

Countries of LFB implementation

PCF-Eastern partnership countries

Armenia

Azerbaijan

Belarus

Georgia

Republic of Moldova

Ukraine

Other European countries

Bulgaria

Greece

Portugal

Spain

Events

Back Roundtables on Local finance benchmark and on Inter-municipal cooperation in Armenia

Roundtables on Local finance benchmark and on Inter-municipal cooperation in Armenia

The Centre of Expertise for Local Government Reform organised an expert meeting and a workshop on Improving financial management through Local Finance Benchmarking (LFB) and introducing the LFB in Armenia on 13-14 of April and a Round table on Introducing inter-municipal cooperation in Armenia on 15 April 2016.

The Council al Europe Local finance benchmark toolkit adaptation for Armenia’s needs and piloting of inter-municipal cooperation in several municipalities of Armenia were discussed with the main stakeholders, including the Ministry of Territorial Administration and Development, the Communities Finance Officers Association, the local government association, the potential pilot municipalities and the prospective local experts. Also a field visit to IMC pilot municipality Vedi, Ararat region, was made.

The events were organized as a part of the programme "Strengthening institutional frameworks for local governance in the Eastern Partnership countries" under the Programmatic Cooperation Framework (PCF) for 2015-2017 funded by the European Union.

Documents

Yerevan, Armenia 13-15 April 2016
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Publications
Local finance benchmarking: a shared tool for improved financial management

Benchmarking as a management tool is used primarily for diagnostic purposes. For businesses and public service organizations it helps to identify the areas of intervention and to prioritize development actions for better performance and increased effi ciency. In public policy making benchmarking provides evidence for decision makers through scoring and ranking.

For more publications on local finance, click here.

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