EFFECT OF BUDGET PROCESSES ON PERFORMANCE OF PUBLIC FUNDS IN PLATEAU STATE MINISTRIES, DEPARTMENTS AND AGENCIES

Abstract

The study evaluated the effect of budget processes on public sector performance in Plateau State, Nigeria. Specifically, the study examined the extent to which budget planning process, budget implementation process, and budget evaluation processes has affected the efficient performance of public fund and the effective performance of public funds in the state. The study adopted a survey design using well-structured questionnaire tailored to meet the research objectives. A purposive sampling technique targeting some identified respondents, such as the preparers of the State budget, the executives and the legislators saddled with oversight function of public funds was adopted. The study adopted the multiple regression analysis and found that budget planning is statistically significant in enhancing fund effectiveness of MDAs in Plateau State. The result of the study further reveals that budget implementation is statistically significant but does not enhance fund effectiveness of MDAs in Plateau State. Again, the study found that budget evaluation is statistically significant and shows positive influence on fund effectiveness of MDAs in the State. It also found that, unlike the planning and implementation process, which are negative, it is only the evaluation process that shows positive influence towards fund efficiency of MDAs in Plateau State. The study therefore recommends that budget planning should be bottom-up in order to sustain the improvement on fund effectiveness. Further, budget planning should be bottom-up in order to sustain the improvement on fund effectiveness.