Philosophiae Doctor - PhD (Public Administration)
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Item Critical examination of fiscal transparency effectiveness in local government in developing countries: the case of Mutare city council, Zimbabwe, 2010-2020(University of the Western Cape, 2024) Tashu, Keith Tichaona; Makiva, MsuthukaziIn an attempt to review the existing fiscal transparency governance framework of the Mutare City Council (MCC), this research critically examines fiscal transparency effectiveness in local government in developing countries using the MCC as a case study from 2010 to 2020. Despite extensive research on the subject of fiscal transparency effectiveness, little is known about the effectiveness of fiscal transparency at the local government level especially in Zimbabwe. International standards on fiscal transparency effectiveness guided this study. Standards set by the International Monetary Fund’s (IMF) Code, International Budget Partnership’s (IBP) Open Budget Index (OBI), Global Initiative for Fiscal Transparency’s (GIFT) High-Level Principles, and Organisation for Economic Cooperation and Development’s (OECD) Best Practices for Budget Transparency were analysed. Inherent in these standards is that the public has to be able to access comprehensive, understandable, readable, and reliable fiscal information. Three theories were also analysed and these included the elite theory, the institutional theory, and the public choice theory. The rationale for choosing these theories is that they have been proven to be key models for ideological debate and research in Public Administration studies. A synoptic review was carried out of country experiences on fiscal transparency governance practices in selected regional and global countries that pertain to fiscal transparency effectiveness. The study selected case experiences from Brazil, South Africa, the Philippines and Indonesia. Brazil is an internationally recognised successful case of Participatory Budgeting (PB) in the world. South Africa has a vibrant legal and institutional framework that enhances fiscal transparency, accountability and prudence in local government financial management. The Philippines is one of the leading countries in the world that has adopted and embraced social contracts in local government. Lastly, Indonesia has successfully adopted and embraced e-governance in local government through e-budgeting yielding visible results in promoting fiscal transparency, accountability, and citizen participation. The process undertaken by the researcher in gathering information for this study was also presented. The study adopted the pragmatism research philosophy. It is often associated with mixed-methods research which involves combining or integrating qualitative and quantitative research and data in a research study. The study made use of both qualitative and quantitative research methods making use of key informant interviews and questionnaires. The study made use of thematic analysis, content analysis and Statistical Package for the Social Sciences (SPSS) for analysing data. The validity and reliability of the study were expounded as well as verification of trustworthiness, with reference to credibility, transferability, dependability and confirmability. Ethical considerations were also presented. The fiscal transparency governance framework of the MCC was analysed and communication tools used by the MCC identified by this study include traditional methods such as public hearings and consultative forums, notice boards, walk-ins and print media. The council also uses digital methods such as the MCC’s website, text message, telephone, email, WhatsApp, Facebook, Twitter, YouTube and local radio. This study however established that residents are only able to access all fiscal reports and information from MCC through the walk-in method. This shows that the fiscal transparency governance framework of the council is still weak. The legal framework enforcing fiscal transparency in local government in Zimbabwe was also analysed. Three main pieces of legislation were analysed and these include the Constitution of Zimbabwe Amendment (No. 20) Act 2013, the Public Finance Management Act (PFMA) (Chapter 22:19) and the Urban Council’s Act (UCA) (Chapter 29:15). The study concluded that Zimbabwe has the legislative framework in place enforcing fiscal transparency in urban local governments. However, the main challenges are the implementation and enforcement of the legislative provisions in fostering fiscal transparency in local governments. The institutional framework mandated to monitor and enforce fiscal transparency on MCC was also examined. Six institutions were identified and these include Rate Payers Associations (RPAs), District Development Coordinator (DDC), Provincial Development Coordinator (PDC), Ministry of Local Government Public Works and National Housing (MLGPWNH), Office of the Auditor General (AG) and the Parliament of Zimbabwe. Their effectiveness in carrying out their supervisory roles is however affected by a lack of financial, human and technological resources to effectively monitor MCC. The study also presented research findings on the effectiveness of fiscal transparency in the MCC from 2010 to 2020. It presented research findings on the development of the MCC’s fiscal transparency governance framework, residents who accessed the MCC’s communication tools and the effectiveness of the communication tools from 2010 to 2020. From the research findings, it can be concluded that what makes MCC’s fiscal transparency governance weak is that information if disseminated spontaneously and haphazardly, thus the need for a one-stop-shop were residents can access all relevant fiscal information and fiscal reports. The study also presented research findings of the MCC’s budget processes from 2010 to 2020 as well as the effectiveness of the budget process. From the research findings, it can be concluded that the MCC’s budget process does not meet international standards. The council fails to engage residents during the budget formulation stage. The study also presented research findings on the MCC’s fiscal transparency effectiveness based on international standards. The study made use of accessibility, reliability, timeliness, comprehensiveness and readability. From the research findings, it can be concluded that the manifold approach by the MCC enhances accessibility and it is commendable. However, the lack of qualified accountants, failure to publish annual audit reports on a timely basis, and the technicality of budget issues limit the reliability, timeliness, comprehensiveness and readability of fiscal reports from the council. The study also presented challenges associated with the fiscal transparency of the MCC and the impact of the lack of fiscal transparency on public service delivery in Mutare. The study then generated a new model that will mitigate challenges associated with the fiscal transparency of the MCC. The new model was designed based on a mobile application platform and guided by the budget process. The new model aims to provide a one-stop-shop, which enables residents to access all fiscal reports from the MCC and participate in the council’s budget process. The researcher saw it suitable to name the new model the Online Budgeting Model for Fiscal Transparency Effectiveness (OBMFiTE). During the online budget process, online meetings through video conferencing via links are provided on the mobile application and they can be ward-based feedback online meetings. The MCC has to post reports on each budget stage on the mobile application platform which are downloadable. Links have to be available directing residents to MCC’s other communication tools such as the website and social media platforms with similar information. Most importantly, an interactive comment section will be available on the mobile application which enables residents to make comments and interact with council officials.