Country papers prepared by the participants for the training course in budget-plan harmonization for English - speaking countries
Author(s)/Corporate Author (s)United Nations. Economic and Social Council;
United Nations. Economic Commission for Africa;
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The United Nations realizing the deficiency of the traditional system of budget classification have produced a number of publications in an attempt to reclassify government budgets so as to give more meaningful information one of these publications deals with Functional and Economic Analysis. This paper deals mainly with the Functional Analysis. This type of analysis helps to provide general information to the public on the nature of government services and the share of public expenditure devoted to a particular service or group of services. Functional classification groups government expenditure into five main groups, namely General Services, Community Services, Social Services, Economic Services and Unallowable Expenditure includes interest on General debt, certain subsidies s and general transfers to local Government. As already stated these five groups can be broken down into particular services. Appendix I shows the breakdown recommended by the United Nations in their manual "Economic and Functional Classification of Government Transactions". It should be pointed out that this is only a suggested or recommended breakdown and individual countries may have to break down their budgets to suit their needs within the basic principle of identifying particular services.