THE BUDGET PROCESS IN MEXICO

Abstract

This paper presents some of the most relevant results of the recent budget reforms implemented in México, aimed at measuring the impact of public expenditure. Those budget changes are compared with the Latin American Index of Budget Transparency, in order to prove its contributions to the transparency and evaluation of resources. The institutional efforts have been focused on measuring the performance and results of Federal Government in the country. However, measuring the quality or impact of expenditures is a process more complex than quantifying incomes and outcomes with a set of indicators. Thus, budget transparency in Mexico is very recent and the methodology used to generate the information is not favoring the analysis and evaluation of the government expenditure results. Hence the need for incorporating the society control to financial and economic audits that measure the efficiency and effectiveness of the expenditures, in order to justify the quality and impact of public resources. The methodological framework that guides this research is the New Public Management that summarizes some of the most recent and significant changes in public administration at the budgetary area.