The Problem of Government Budgeting Implementation in Developing Countries

The Problem of Government Budgeting Implementation in Developing Countries.

ABSTRACT

The main purpose of this research work is to investigate the problem of government budget implementation in developing countries using Nigeria as a case study. (1986-2006).

To analyse this, an econometric method of multiple regression model was adopted, data were collected through the secondary source based on the hypothesis formulated for this study.

From the result of the work, i found that anticipated impact of government budget implementation were raising the standard of living, reducing inflation, eliminating unemployment, increasing economic development and growth.

The major problems of government budgeting implementation are inflation, implementation of budget and over ambitious planning.

Against this background, the researcher feels that government should try to affect straight budget, get implementation and strong disciplinary action against any government that mismanages the national economy.

INTRODUCTION

A Budget is commonly understood as the focus by a government of its expenditure and revenue for a specific period of time. The general budget can be defined as a government plan for revenue and expenditure for the coming fiscal year.

According to Prof. Udabah S I, budgeting has been in operation in Nigeria and indeed other countries for a fairly long period, to assist in policy making and planning and also, to provide the basis for controlling income and expenditure.

To him, the major source of anticipated revenue to backup budgetary expenditure by government is from indirect taxation because of the difficulty in the assessment and collection of direct tax from taxable individual.

The inefficiency of tax officials and the corruption of some of them make it difficult for adequate revenue to be realized by government through direct tax.

BIBLIOGRAPHY

Adebisi, A. (2001). Personnel Taxation in Nigeria. Lagos:  JAA Press.

Asogwa, F. O. (2009). Econometrics for Beginner. Enugu: Computer Edge Publisher.

Bhatia, T. (1995) Public Finance; Concept of Government Budget. U.S: McGraw-Hill Publishing company.

Damodar Gujarati, N. (2007). Basic Econometrics: (4^th Ed). India: Tata McGraw-Hill Publishing Company.

Ezeanyanwu, E. (2002). Public Finance in Developing countries. Enugu: Nigomos Publisher.