Utilisation, Fund Flows and Public Financial Management under the National Health Mission

Mita Choudhury () and Ranjan Kumar Mohanty ()
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Mita Choudhury: National Institute of Public Finance and Policy
Ranjan Kumar Mohanty: National Institute of Public Finance and Policy

Working Papers from National Institute of Public Finance and Policy

Abstract: This study provides insights on how institutional architecture for public fund flows affects budget execution. Using the case of the National Health Mission (NHM) in India, it highlights how the rules and procedures that govern release of public funds affect utilisation of budgeted resources. It analyses the utilisation of NHM funds in 29 States, and documents the processes for fund releases from State treasuries to implementing agencies in Bihar, Maharashtra and Odisha. The study finds that on average, only about 55 per cent of funds allocated for NHM were utilised in 2015-16 and 2016-17. In Bihar and Maharashtra, this was partly due to significant delays in release of funds from State treasuries to implementing agencies. The delays were a result of complex administrative procedures associated with the release of NHM funds from State treasuries. The existence of implementing agencies outside the States' administrative setup, and the rigid fragmented financial design of NHM has contributed to the complicated architecture of release processes.

Keywords: Public Fund Flow; Fund Utilisation; Public Financial Management; Budget Execution; National Health Mission (search for similar items in EconPapers)
Pages: 27
Date: 2018-05
New Economics Papers: this item is included in nep-hea
Note: Working Paper 227, 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (7)

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Persistent link: https://EconPapers.repec.org/RePEc:npf:wpaper:18/227

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