SEE Cities

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MFSA/UA

Municipal Finances Self-Assessment (MFSA)

MFSA, an assessment tool developed by the World Bank and customized for SEE with the support of international and local experts, is aimed at evaluating city’s financial health and identifying specific actions to improve mobilization of local resources, financial management, public spending, public assets management, investment programming and access to external funding. It performs several functions:

(a) it reviews municipal budgets (revenues and expenditures), financial management practices, savings capacity, investments efforts, and financial projections for the next five years;
(b) it provides some benchmarking through a set of simple and comparable key indicators and ratios;
(c) it defines key actions to be included in a Municipal Finance Improvement Plan aiming for greater accountability, visibility and efficiency in the use of public funds. 

MFSA framework of analysis includes eight steps organized in four complementary modules and is continually being evolved in practice and validated by all stakeholders. It provides a platform for making a vital connection between data inputs from various municipal financial and technical departments and allows a creditworthy assessment and strategic and capital investment planning anchored in financial realism.

More than 25 municipalities and cities took part in the Municipal Finances Self-Assessment in Phase I of UPP. Phase II intends to scale up the use of diagnostic tools for local governments and take advantage of the great momentum to replicate the LG tools in more municipalities across the region.

Belgrade MFSA Summary
Crikvenica MFSA Summary
Rijeka MFSA Summary
Sabac MFSA Summary
Subotica MFSA Summary

For full MFSA brochure, please click here.

Urban Audit (UA)

The Urban Audit, which provides a snapshot of the levels and quality of the services and infrastructure that the city provides, is typically carried out in parallel and in concentration with MFSA. Its main objectives are the gathering of baseline information of the existing location and condition of infrastructure and services, the identification of patterns of urbanization and pockets of poverty and underserviced areas, and the spatial location and quantification of the gaps, leading to the identification of a priority investment program.

The added value of an Urban Audit is that it should be carried out with:

(1) a full knowledge of the absorptive financial capacity of the municipality based on the findings of the MFSA (reality check); and
(2) with citizen participation in the screening process of priority investments.

The two self-assessments or audits lay the groundwork for a detailed Municipal Program or Contract that includes both a Municipal Finances Improvement Plan and a Priority Investments Plan.

Testimonials

"The MFSA tool is very useful and can help LGs assess their financial performance and look for additional financing. On the other hand, it is a huge responsibility to translate the budget into strategies that will drive LG's development", Reisa Duraj, Head of Finance and Treasure Relations Sector of the Shkoder Municipality, Albania.

"The Anti-corruption Strategic Planning, as part of the World Bank Urban Partnership Program, helped my municipality better understand the importance of having a proactive approach in integrity building on local level; it helped us understand how we can improve our internal system of organization, communication and cooperation, so as to make our municipality more accountable, transparent and citizen oriented",
said Mr. Emil Doncev, Mayor of Vinica.

“This capacity building program will enhance knowledge and skills of local governments, particularly of medium and large cities”

“On February 26, 2013 the Municipal Council of Kucova approved the anticorruption strategy with a majority of votes. It was one of the rare cases where the members of the council from all political parties (including the opposition) voted pro the same strategy.”
Klodi Tavani Kosta, director of programs, Partners Albania


“The Social Accountability Initiative came at exactly the right time, as this issue was not yet being discussed in the Municipality of Prishtina.”
Participant from Prishtina, Kosovo


News


Cities For The People - Making Collaborative Governance Happen, March 26 - 28, 2017, Zagreb - Croatia Read More >>

Belgrade, Serbia: January 29-31, 2017 Read More >>

January 4, 2017 Read More >>

City to City Dialogue: October 24-25, 2016, Belgrade, Serbia Read More >>

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