THE ROLE OF BUDGETING IN PUBLIC SECTOR MANAGEMENT (A CASE STUDY OF ETHIOPE EAST LOCAL GOVERNMENT AREA OF DELTA STATE)

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ABSTRACT

This research work is being carried out in order to analytically ascertain and explain the roles of budgeting in public sector management with particular reference to ETHIOPE EAST LOCAL GOVERNMENT AREA OF DELTA STATE.

The study includes an introduction and the following related sub-parts overview of the subject, statement of the problem. Objectives of related literature. Also to be included are, research methods, i.e. sources of data, instrument of data collection, method of data analysis, presentation and analysis of data, findings and recommendations.

Furthermore, the obvious problems of collecting data through questionnaires, oral interview, library reading and obtaining budget (revenues and expenditure) estimates of the local government area for the relevant year (2001 – 2003) will be addressed squarely.

Furthermore, in public sector management emphasis would be laid on:

(i) Planning as a guide to policy formulation:

(ii) Control and Appraisal of Government Expenditure;

(iii) Efficient and Effective utilization and channeling of Government Revenue Resources;

(iv) Prudence, transparency and accountability;

(v) Giving a sense of direction to Government workers involved in the attainment of targeted goals.

TABLE OF CONTENTS

Title page II

Approval page III

Dedication IV

Acknowledgement V

Abstract VII

Table of contents IX

CHAPTER ONE

1.1 Introduction 1

1.2 Statement of the problem 5

1.3 Objective of the study 7

1.4 Hypothesis 8

1.5 Scope/limitation of the study 9

1.6 Significance of the study 9

Notes 11

CHAPTER TWO

2.0 Literature Review 12

2.1 History of Budgeting 12

2.2 The concept of Budgeting 14

2.3 Types of Budgeting 22

2.4 Techniques of Budgeting 30

2.5 Budget preparation 36

2.5.1 Principle/Key Limiting Budget Factors 38

2.5.2 The Budget Manual and Time Table 40

2.5.3 The Budget Committee 42

2.5.4 The Budget Process 43

2.6 Administration of Budget 45

2.7 Human Factor in Budgeting 48

2.8 Relevance of the Review to the Study 52

Notes 54

CHAPTER THREE

3.0 Research Methodology 55

3.1 Population and Study Area 55

3.2 Sources of Data 57

3.3 Instrument for Data Collection 58

3.4 Distribution and Collection of Questionnaire 59

3.5 Method of Data Analysis 63

3.6 Three Years Financial Summary (2002 – 2003) 65

CHAPTER FOUR

4.0 Presentation and Analysis of Data 81

Notes 91

CHAPTER FIVE

5.0 Summary of Findings, Recommendations and Conclusion

5.1 Summary of Findings 92

5.2 Recommendations 94

5.3 Conclusion 97

Notes 99

Questionnaire. 100

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THE ROLE OF BUDGETING IN PUBLIC SECTOR MANAGEMENT (A CASE STUDY OF ETHIOPE EAST LOCAL GOVERNMENT AREA OF DELTA STATE)

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