Seminar on SDG budgeting

Development of the SDGs Budgeting Road Map

On February 25, experts of the Secretariat for SDGs of Economic Research Institute JSC (ERI) with support of the UN Development Program in Kazakhstan held a seminar in the form of discussion on "Introduction of SDG budgeting into the budgeting process of the country". 

The seminar was held in an online format as part of the continuation of the study on development of SDGs Integrated National Financing Mechanism (hereinafter - INFM) in Kazakhstan.

The event was attended by representatives of the Ministry of Finance, Ministry of Education, Ministry of Labor and Social Protection, Ministry of Culture and Sports, Ministry of Agriculture, Ministry of Industry and Infrastructure Development, Ministry of Ecology and Natural Resources, representatives of Akimats of Almaty, Karaganda and North Kazakhstan regions of the Republic of Kazakhstan.

UNDP Project Manager Zaur Ibragimov noted that the INFM provides the basis for financing the SDGs, as the INFM identifies four main components:

1) analysis and diagnostics

2) development of a financing strategy

3) mechanisms for observation, monitoring and reporting

4) management and coordination mechanisms.

At the initial stage of the development of the INFM, Development Finance Assessment (DFA) is the analytical tool, which helps national governments adopt and adapt the INFM concept to their national context. And DFA was conducted to determine the amount of development finance and to identify the potential for funding in the long term.

Peter Heijkoop, an international expert, acted as a consultant on the development of the SDGs Budgeting Road Map in Kazakhstan.

For reference:

Peter Heijkoop is a certified expert from Australia with 10 years of experience in auditing and accounting in private sector, both in developed and developing countries. He has extensive experience in the development and management of the SDGs budget, as well as in the design and integration of financial systems. He specialized in public sector policy reform, financial and budget management, monitoring and evaluation of the impact of programs.

Bakytgul Khambar, Director of the ERI Secretariat for Sustainable Development Goals, noted the importance of this work aimed at improving strategic planning and budgeting by incorporating the SDGs into national policies, strategies and programs.

She voiced the main goals and objectives of SDG budgeting, international experience in implementation of SDG budgeting in OECD countries and developing countries (Norway, Finland, Mexico, etc.).

Moreover, she reported that Kazakhstan conducted a Rapid Comprehensive Assessment (hereinafter - RCA) with full labeling of all budget programs by 12 functional groups according to the current Unified Budget Classification.

"The RCA analysis showed that about 50 percent of the SDG targets have a correlation to the UBC budget programs, taking into account Level 4 of the 2021 budget," ERI expert said.

At the end of the presentation, Bakytgul Khambar focused on the lack of harmonization of strategic and budgetary planning with the SDGs.

Peter Heijkoop presented his vision for building SDGs Budgeting Road Map. He explained to the participants of the seminar about the upcoming work in the framework of implementation of SDGs budgeting in Kazakhstan. That during the development of the Road Map, changes will be made to the current budget process to include the principles and objectives of SDGs.

The speaker also noted that the implementation of SDGs budgeting is a multi-level process and can take a long time. In the future, the SDG budget should be presented in a single automated system.

In the final part of the seminar, there was a detailed discussion of the development of SDGs Budgeting Road Map.

Thus, Arman Bekturova, Director of the Budget Legislation Department of the Ministry of Finance of the Republic of Kazakhstan, answered all the questions on the budget legislation block. She noted that all necessary amendments to the Budget Code will be prepared to take into account the principles and implementation of SDGs.

Medet Aktanzhanov, Director of the Budget Planning Department of the Ministry of Finance of the Republic of Kazakhstan, answered questions on budget formation and budget application. 

Ainur Syzdykova, representative of the Ministry of Labour and Social Protection of the Republic of Kazakhstan, noted the importance of making decisions on the budgetary policy of the implementation of SDGs and introduction of an automated system.

In conclusion, seminar participants noted the importance of promoting the principles of the SDGs and facilitating the integration of the SDGs into current legislation of the Republic of Kazakhstan in order to create an enabling environment for their implementation.