Governance Modernization to Enable Efficient Service Delivery Project

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The development objective of the Governance Modernization to Enable Efficient Service Delivery Project for Ethiopia is to improve government institutional capacity to mobilize and manage public financial and human resources efficiently. The project comprises of four components. The first component, improving public administration capabilities will focus on three fundamental building blocks aligned with the Government of Ethiopia (GoE’s) draft Homegrown Economic Reform Agenda (HGER) 2.0, civil service reform roadmap and civil service policy. It consists of following sub-components: (i) developing an evidence-based and data-informed approach to human resource management; (ii) competency-based human resource management; (iii) institutionalizing training, capacity building, and change management; and (iv) reform innovation facility. The second component, improving domestic revenue mobilization capabilities will support the GoE in implementing key tax administration reforms to help it achieve the national medium term revenue strategy. It consists of following sub-components: (i) leveraging technology and data analytics to support risk-based tax administration; and (ii) improving the quality and availability of taxpayer services. The third component, improving public financial management capabilities will support the GoE in scaling up the use of technology, addressing critical deficiencies along the public financial management (PFM) cycle, the professionalization of accountants and procurement professionals within the public service, and the institutionalization of core training and government-to-government capacity building. It consists of following sub-components: (i) scaling up the use of technology for improved public financial management; (ii) address critical public financial management deficiencies; and (iii) institutionalizing professional training, capacity building, and change management. The fourth component, project management will support the management, coordination, and monitoring and evaluation (M and E) of project activities and funds.