Committee Chairman Veroljub Arsic said that programme budgeting has been introduced gradually since 2008 and all budget beneficiaries are under the obligation to switch to programme budgeting by 2015. He said that programme budgeting introduces a brand new fund allocation model, allows programme implementation and funding and introduces a higher degree of control over the budgetary funds and transparency into public spending.

Miroslav Buncic, Advisor at the Ministry of Finance, briefed the Committee members on the 2015 programme budget structure saying that the key aim of programme budgeting is to ensure a more transparent, rational and regular use of budgetary funds and result assessment. He said that the programme budget covers projects and programme activities and provides a breakdown of the purpose and results of spending.

Speaking of general program budget experiences, Nada Mirkovic, senior officer at the State Audit Institution, opined that it is an indicator of the work done by state authorities that needs to be gaged. She urged the MPs to take active part in the establishment of programme budgeting.

Assistant Minister of Finance Mirjana Cojbasic said that programme budgeting is an EU standard, adding that the Ministry of Finance would be prescribing quarterly reporting.

Majda Sedej, expert advisor at the USAID Business Enabling Project, said that programme budgeting provides the tools for a more efficient and effective use of budgetary funds, adding that its establishment requires understanding and support from all levels of government. She spoke of the projects already underway, their goals and indicators.

The sitting was chaired by Committee Chairman Veroljub Arsic.