Principles for sequencing public financial reforms in developing countries

Abstract

A substantial number of developing countries are currently undertaking public financial management (PFM) reforms. A central aspect of such reforms is proper sequencing which is currently highly debated in the donor community. This article provides a general overview of the most common approaches for sequencing PFM reforms in developing countries. Such approaches can provide a useful basis for the development of a sequencing strategy. However, interviews with PFM experts and literature analysis showed that these models should not be considered too technical. As a result, the article suggests some principles which the donor community should follow when implementing a PFM sequencing strategy.