scholarly journals Fiscal Federalism Model in Nepal: An Analytical Study

2016 ◽  
Vol 30 (2) ◽  
pp. 123-138
Author(s):  
R. K. Shah

The Constitution of Nepal as Federal Democratic Republic was promulgated on September 20, 2015 by the second CA. The primary objective of this study is to review the modality presented in the new constitution on the natural resources, economic rights and revenue allocation. The study finds that the fiscal decentralization initiatives have not been successful in minimizing the political, social, economic, regional and ethnic inequalities inherent for nearly 240 years of a unitary system of governance in Nepal. The study recommends that VAT and income taxes will have to be collected concurrently at both the central and sub-national levels. Other taxes including excise duties will have to be collected by the sub-national governments which will support the expenditure responsibilities of the sub national governments adequately in federal Nepal. Intergovernmental transfer modality has to be included in the constitution. National Natural Resources and Fiscal Commission (NNRFC) have been constituted at the central level to make national level development plans and to make recommendations for additional grants and loans. A State Planning Commission (SPC) and a State Fiscal Commission (SFC) can be established in each state to prepare state development plans and to deal with the transfers to be made to local bodies.

2019 ◽  
Vol 2 (1) ◽  
pp. 151-170
Author(s):  
R. K. Shah

The Constitution of Nepal was formally promulgated and it declared the country as a Federal Democratic Republic on September 20, 2015 by the Second CA. Fiscal powers were shared among the federal government, the state governments and the local governments. The Constitution further defined the framework of fiscal federalism within the pattern of income and resource distribution. The primary objectives of this study is to review the modality presented in the new Constitution on the natural resources, economic rights and revenue allocation. The study finds that the fiscal decentralization initiatives have not been successful in minimizing the political, social, economic, regional and ethnic inequalities inherent for nearly 240 years of a unitary system of governance in Nepal. The study recommends that VAT, excise duties and income taxes have to be allocated at the federal, states and local levels in the ratio of 70 percent, 15 percent and 15 percent respectively by the Constitution. Intergovernmental transfer modality has included in the Constitution. Revenue sharing from hydropower has been a controversial issue in Nepal. National Natural Resources and Fiscal Commission (NNRFC) has been constituted at the central level to make national level development plans and to make recommendations for additional grants and loans for the state and local governments. The Constitution has further defined the framework of fiscal federalism within the pattern of income and resource distribution. The theoretical study indicates that there is various controversial and overlapping issues required clarity in process of implementation in the years to come.


2019 ◽  
Vol 11 (2) ◽  
pp. 462 ◽  
Author(s):  
Chris Dickens ◽  
Vladimir Smakhtin ◽  
Matthew McCartney ◽  
Gordon O’Brien ◽  
Lula Dahir

The 2030 Agenda for Sustainable Development, the Sustainable Development Goals (SDGs), are high on the agenda for most countries of the world. In its publication of the SDGs, the UN has provided the goals and target descriptions that, if implemented at a country level, would lead towards a sustainable future. The IAEG (InterAgency Expert Group of the SDGs) was tasked with disseminating indicators and methods to countries that can be used to gather data describing the global progress towards sustainability. However, 2030 Agenda leaves it to countries to adopt the targets with each government setting its own national targets guided by the global level of ambition but taking into account national circumstances. At present, guidance on how to go about this is scant but it is clear that the responsibility is with countries to implement and that it is actions at a country level that will determine the success of the SDGs. Reporting on SDGs by country takes on two forms: i) global reporting using prescribed indicator methods and data; ii) National Voluntary Reviews where a country reports on its own progress in more detail but is also able to present data that are more appropriate for the country. For the latter, countries need to be able to adapt the global indicators to fit national priorities and context, thus the global description of an indicator could be reduced to describe only what is relevant to the country. Countries may also, for the National Voluntary Review, use indicators that are unique to the country but nevertheless contribute to measurement of progress towards the global SDG target. Importantly, for those indicators that relate to the security of natural resources security (e.g., water) indicators, there are no prescribed numerical targets/standards or benchmarks. Rather countries will need to set their own benchmarks or standards against which performance can be evaluated. This paper presents a procedure that would enable a country to describe national targets with associated benchmarks that are appropriate for the country. The procedure builds on precedent set in other countries but in particular on a procedure developed for the setting of Resource Quality Objectives in South Africa. The procedure focusses on those SDG targets that are natural resource-security focused, for example, extent of water-related ecosystems (6.6), desertification (15.3) and so forth, because the selection of indicator methods and benchmarks is based on the location of natural resources, their use and present state and how they fit into national strategies.


2021 ◽  
Vol 13 (2) ◽  
pp. 169-187
Author(s):  
Lise Esther Herman ◽  
Julian Hoerner ◽  
Joseph Lacey

AbstractOver the last decade, the EU’s fundamental values have been under threat at the national level, in particular among several Central and Eastern European states that joined the EU since 2004. During this time, the European People’s Party (EPP) has been criticized for its unwillingness to vote for measures that would sanction the Hungarian Fidesz government, one of its members, in breach of key democratic principles since 2010. In this paper, we seek to understand how cohesive the EPP group has been on fundamental values-related votes, how the position of EPP MEPs on these issues has evolved over time, and what explains intra-EPP disagreement on whether to accommodate fundamental values violators within the EU. To address these questions, we analyse the votes of EPP MEPs across 24 resolutions on the protection of EU fundamental values between 2011 and 2019. Our findings reveal below-average EPP cohesion on these votes, and a sharp increase in the tendency of EPP MEPs to support these resolutions over time. A number of factors explain the disagreements we find. While the EPP’s desire to maintain Fidesz within its ranks is central, this explanation does not offer a comprehensive account of the group’s accommodative behaviour. In particular, we find that ideological factors as well as the strategic interests of national governments at the EU level are central to understanding the positions of EPP MEPs, as well as the evolution of these positions over time. These results further our understanding of the nature of the obstacles to EU sanctions in fundamental values abuse cases, and the role of partisanship in fuelling EU inaction especially.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Olabanji Olukayode Ewetan ◽  
Romanus Osabohien ◽  
Oluwatoyin Augustina Matthew ◽  
Abiola Ayopo Babajide ◽  
Ese Urhie

Purpose The purpose of this paper is to examine the relationship between fiscal federalism and accountability in Nigeria. Corruption is a global plague and is endemic in nature. Several policies have been adopted by the Nigerian Government to institutionalize accountability and combat the scourge of corruption that have hindered socio-economic progress but to no avail. Design/methodology/approach Thus, this study examined fiscal federalism and accountability issues in Nigeria using secondary data and used the auto-regressive distributed lag econometric technique to analyse the data. Findings The results from this study reveal that fiscal federalism fails to mitigate corruption in the long run in Nigeria because of poor bureaucratic quality (BQ) and ineffective law and order (LOR). Social implications Fiscal decentralization must be accompanied by legislations that will strengthen BQ of fiscal institutions at subnational levels and promote effective LOR. Originality/value This study recommends that for fiscal federalism to mitigate corruption in the long run, government must adopt appropriate policies to improve BQ and further strengthen LOR in Nigeria. The finding also suggests that to promote public sector accountability in Nigeria, government should ensure the simultaneous decentralization of expenditure and revenue to lower tiers of government. This study provides detailed empirical evidence that fiscal decentralization without accountability will accentuate public sector corruption, and in the long run, weaken local economic development initiative to boost growth and development.


2019 ◽  
Vol 11 (3) ◽  
pp. 226-231
Author(s):  
T. Joshua ◽  
J. Zalkuwi

Abstract. The study was conducted to analyze cowpea price forecasting in Adamawa State, Nigeria. The sources of data for the study were secondary data which were collected from State Planning Commission of Adamawa State for a period of 5 years (2013-2017). Purposive sampling techniques were used for selection of the study area. Dicky Fuller Test and Simple Exponential Smoothing Model were used as analytical tools. The unit root test analysis revealed almost all the markets price series were non-stationary at level except Jambutu market (AD5) at 5% significant level but became stationary after first difference. The result of Exponential Smoothing Model showed that there will be upward trend of cowpea prices in Adamawa State in February and October – November in the year 2018 and therefore, it is recommended that provision of better infrastructural facilities such as construction of accessible and motorable roads, and communication network by government and NGOs. This would reduce transfer cost which usually gets translated to the prices of the cowpeas, especially across markets in critical distance.


2020 ◽  
Vol 29 (1) ◽  
pp. 229
Author(s):  
Marian Zdyb

<p>In view of growing threats in this respect, the protection of natural resources is undoubtedly becoming a serious challenge, both for the state and for each citizen. Therefore, this article is supposed to draw attention to the problem of searching for optimal instruments for the protection of these resources. This is about creating and developing appropriate standards in legal regulations regarding environmental protection, protection of nature, water, air, national and landscape parks, nature monuments, etc. as well as protection of natural resources in cities and human settlements. Undoubtedly, spatial planning is of paramount significance in this matter, in particular local spatial development plans and the appropriate instruments of action resulting from them. Their significance should be considered particularly important because they are generally applicable law as acts of local law.</p>


2021 ◽  
Vol 9 ◽  
Author(s):  
Leqian Ouyang ◽  
Daming You

One of the main purposes of the 2015 Environmental Protection Law (EPL) of the People's Republic of China is to boost the green innovation of the enterprises. Using heavy-polluting enterprises as examples, this paper uses the Difference-in-difference analysis (DDD) technique to analyze the influence of EPL on the green innovation of enterprises under fiscal decentralization and enterprise heterogeneity. Results show that EPL exerts a negative impact on the green innovation of heavy-polluting enterprises at the national level, as well as those in the central and western areas specifically. The only presence of positive motivation for green innovation is being found in the eastern area, although, the motivation seems to be insignificant. The negative impacts have been lasting in the long run, especially for the low-performance enterprises in the central areas. As for the targeted implementation of EPL in China, local governments should make the best use of financial power under fiscal decentralization. This balanced approach is designed to motivate enterprises in different regions with various performance levels to develop green innovation based on their different weaknesses and strengths.


2018 ◽  
Vol 5 (01) ◽  
Author(s):  
Chittaranjan Nayak ◽  
. PriyabrataSatpathy

Intergovernmental transfers are a major instrument to ensure smooth functioning of ‘Fiscal federalism’ in India. But the mechanism of Central transfers in India seems to be confusing and overlapping. Although a formula-based practice has been mandated by the Indian Constitution, there are several breaks in the practice. While predetermined formulas are used for some transfers, there is considerable discretion in allocating other classes of transfers. This paper makes an attempt to focus on the determinants that influence the quantum of discretionary transfer to sub-national governments from a political economy perspective. Taking a panel data set of 28 states for the period 2001 to 2011, and by using Arrellana-Bover (1995)/ Blundell-Bond (1998) system estimation model, the paper observes that the chosen variables do explain disparity in Central fund disbursement under non formulaic discretionary head in a robust way. The study has analysed the results separately for SCS and NSCS and in combine. The findings of the study reveal that the chosen variables have different outcomes for SCS and NSCS. However, when SCS and NSCS states are combined, the variables like fiscal capacity, fiscal performance and coalition status are found to be significant.


Author(s):  
Menelaos Markakis

This chapter examines the jurisprudence of national courts on crisis-related measures. The material presented in this chapter will be divided into two parts. First, this chapter will examine some of the most important judgments delivered by courts in lender states during the Euro crisis, the emphasis being on the jurisprudence of the German Federal Constitutional Court. These cases primarily focus on the effects of financial assistance mechanisms and revised EU fiscal governance rules on the principle of democracy, parliamentary prerogatives, and national budgetary powers. A further strand of case law focuses on the measures adopted by the European Central Bank. Second, this chapter will look at review by national courts in borrower states, the principal focus being on social challenges brought by austerity-hit litigants in Greece. The comparative analysis sheds light on the different types of challenge facing courts in borrower and lender states, as well as the different starting points and the subtle differences in the reasoning provided by courts in their judgments. As regards borrower states in particular, the twin challenge is to examine to what extent litigants had any success in challenging in national courts the bailout conditions; and the extent to which arguments about civil or socio-economic rights had purchase at national level. The chapter further looks at review by national courts in other jurisdictions, as well as review by supranational and international courts or bodies. Last, it puts forward a number of ideas on fundamental rights adjudication in times of economic crisis.


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