Public finance management is the administration of funds used to deliver public services like education, healthcare and infrastructure.

Sound and transparent management of public finances requires sound and transparent legislative, regulatory and policy frameworks, as well as their enforcement. The proper management of public finances promotes accountability and increases the credibility of the public administration for stakeholders.

Ultimately, robust and transparent public finance management is essential to achieving development goals.

Phase 3 of the programme started in 2024, following a successful phase 1 (2015–2019) and phase 2 (2020–2023).

From 2024–2028, the programme will build on its previous achievements in strengthening capacity in relation to procurement, budgeting and risk management processes. These include:

• Increased efficiency

  More efficient planning and execution of public investments, particularly in education and healthcare infrastructure.

• Internal controls

  Strengthened internal controls and financial management systems at regional and local levels.

• Tax revenue growth

  Successful implementation of property tax management reforms, significantly boosting local revenue collection.

• Progress in asset recovery

  Notable progress in asset recovery through Peru’s non-conviction based forfeiture law, Extinción de dominio. Drawing on the Basel Institute’s asset recovery expertise, this effort has led to the recovery of millions of dollars in misappropriated public funds and is helping to reduce impunity for corruption.

The third phase of the programme will continue strengthening these areas, incorporating new strategies and adapting to changing circumstances.

It will also add a special focus on the monitoring and surveillance of regional conservation areas, including through the use of innovative technologies.

View a video about the programme’s achievements:

The regional government of Loreto and municipality of Maynas joined the programme’s 11 existing beneficiaries in 2024: the municipalities of Abancay, Cusco, Piura, San Martín (Tarapoto) and Trujillo, as well as the regional governments of Apurímac, Cusco, La Libertad, Lambayeque, Piura and San Martín.

It will also add a special focus on the monitoring and surveillance of regional conservation areas, including through the use of innovative technologies.

Watch testimonials from our beneficiaries:

The programme will also continue close coordination with relevant state institutions, including the Public Integrity Secretariat, Ministry of Economy and other relevant Ministries such as health and education, government environmental agencies, prosecutors’ offices and the judiciary.

The strong performance of the Peruvian economy in recent years opens up greater opportunities to ensure that citizens enjoy quality public goods and services. This is especially important in the key areas of health, education, water and sanitation, as well as infrastructure to facilitate access to markets.

Our ultimate aims are to promote economic development and social inclusion, reduce poverty and cultivate greater trust in Peru’s governance and public institutions.