Objectives and Justification

The strengthened monitoring systems program has two key outcome objectives of (1) improving technical and financial monitoring at all levels for strengthened policy, strategy and program development, management and evaluation. Further sector performance and impact monitoring will be enhanced through (2) strengthening the quality assurance standard, sector efficiency and stakeholders’ participation.

Strengthened capacity for financial management, accounting and audit within the context of the Government Public Finance Management reform agenda is essential for improved sector performance and efficiency. Another key objective is to strengthen all aspects of sector performance monitoring and evaluation with transparency and accountability through enhanced reference to education quality and efficiency standards and stakeholder participation in the education reform process.

Key Targets and Indicators » Up

• All BMCs will be provided with ICT-based MIS by 2008
• All BMCs will have staff trained in accounting by 2009.
• 100% BMCs and 20% of schools/institutions will be audited annually by Department of Internal Audit by 2010.
• Disbursement rate for PAP will be 100% from 2007.
• PAP impact survey will be done in late 2007
• Education statistic and indicator books/pamphlet/ yearbooks will be produced annually.
• Education sector performance report will be produced every year

Strategy and Coverage » Up

The program will further strengthen the provincial and district monitoring teams with clearly delegated responsibilities for individual or groups of PAPs. An important aspect of this will be regular visits to BMCs and institutions/schools, against agreed targets, and timely technical and financial reports from Provincial Education Offices to MoEYS HQ, according to an agreed monthly, quarterly or annual schedule. The program will support further system development including monitoring and reporting guidelines at various levels within the education system.

A key priority is to increase the scope and quality of stakeholder and partner involvement in monitoring for improved accountability and transparency. This will include further strengthening the annual joint performance review process, the use of external audit through the National Audit Authority, and seeking to engage more strongly and effectively with Commune Councils, and Commune EFA Committees and Secretariat, particularly focussing on expanding and strengthening their role in supporting planning and financial and technical monitoring at the school level.

Summary of Main Activities » Up

Improve data collection, analysis and monitoring of central BMCs, including Department of Finance, Department of Planning, Department of Internal Audit and Inspectorate of Education and in all 24 provincial, 185 DEOs.

• Strengthen Financial Monitoring at all levels. Department of Finance play importance role to monitor (See capacity building needs below for detail)
• Strengthen Internal Audit Department and procedures. (See capacity building needs below for detail).
• Strengthen Impact Monitoring. Key activities will include development of a strategy and priorities for operational research, development of district level citizen/community monitoring strategies and programs and capacity building activities.
• Strengthen quality/standards monitoring and audit : Key activities will include a) sample monitoring of overall school performance, b) sample assessments of education manager and teacher performance and c) sample reviews of other classroom teaching and learning activities. MoEYS will develop a suitable framework including identification of quality indicators and verifiable measures.

Management and Monitoring Arrangements » Up

The Department of Finance is the BMC responsible for financial monitoring. The Director as head of the BMC will be responsible for work planning and implementing of the monitoring and coordination of financial management team. Funds will be transferred to provincial BMCs for monitoring activities.

Inspectorate of Education will be the BMC for sector performance including quality monitoring and evaluation components.

The Department of Planning will be the BMC for impact monitoring including quantitative performance and operational research. The broad responsibilities of the provincial monitoring teams, chaired by the Provincial Director of Education will be to ensure that monitoring work plans and reports are consistent with agreed guidelines and targets, and submitted according to agreed schedules.

MoEYS will allocate dedicated funds for the internal audit function, through the BMC of the Internal Audit Department. Audit reports will be presented to the Internal Audit Department (IAD), MoEYS as a basis for appropriate action.

Inspectorate of finance and administration will be the BMC for overall monitoring the process of management system of institutions, on personnel, administration, planning, finance, facilities and state asset managements. MoEYS will allocate fund for the overall monitoring process of management system of institutions through the BMC of Inspectorate of Finance and Administration. Inspection reports will be presented to Inspectorate of Finance and Administration as a basis for appropriate action.

Financing Plan » Up

The financing plan gives priority to the strengthening and expansion of financial monitoring, inspection and audit. Individual allocations will be made to provinces and districts, taking account of the number of districts, schools and BMCs in each province. This financing plan also covers the increased scope of education quality monitoring.

Table 11: Strengthened Monitoring Systems Financing Plan

Activities	Costs in Riels millions
	2006	2007	2008	2009	2010
A. Strengthen financial monitoring	5,400	3,000	1,600	1,600	2,100
B. Strengthen sector performance monitoring	400	500	500	500	500
C. Strengthen performance and impact monitoring	500	500	500	500	500
D. Strengthen internal audit	1000	800	500	500	625
E. Strengthen administration and finance inspection	600	500	300	300	375
Resources: Total	7,900	5,300	3,400	3,400	4,100

Capacity building needs » Up

• Strengthen the capacity of the central HQ Finance Department to monitor and report on the financial releases and flows for the various PAPs through central/ provincial treasuries, BMCs and schools/ institutions
• Strengthen the financial security systems at all levels, especially provincial and district levels, including the use of the provincial/district banking system
• Strengthen the capacity of the Provincial and District Education Offices to provide regular technical support to BMCs and schools in order to ensure timely actions on spending and reporting
• Train staff in the development of accounting systems including consistency with new regulations arising from Public Financial Management reforms
• Strengthen the capacity of Provincial and District Education offices to undertake data collection, analysis, progress monitoring and reporting on the various PAPs
• Expand and strengthen audit capacity at central and provincial levels through a comprehensive training and skills development program, through finalization of internal audit guidelines and audit manual and strengthening Department of Internal Audit.