Economic Governance

Definition

The nature and practice of financial management, regulation and development, and relating to the institutional environment that co-ordinates economic policy and action.

Four features are crucial to the effective design and execution of economic governance: transparency, accountability, the rule of law, and participation.

  • Transparency means that the required information is freely available and directly accessible to those who will be affected by decisions and their enforcement.
  • Accountability reflects the responsibility and liability of an organisation or institution for its decisions and actions to those who will be affected. In democracies, every independent institution or organisation is accountable to the public and its stakeholders.
  • The rule of law pertains to a fair legal framework and impartial enforcement of this system that protects human rights and constitutes a strong base for prudent policy-making.
  • Participation ensures that every person or group in the system, in one way or another, has a voice in the decision-making process.

CEGAA’s Contribution 

CEGAA’s contribution to economic governance focuses on health and development in general, and on HIV/AIDS in particular.

The Centre for Economic Governance and AIDS in Africa (CEGAA) was established in 2006 in order to contribute to improved economic governance, fiscal policy, financial management and accountability, with specific attention to improving the response to HIV/AIDS, malaria, and tuberculosis (TB) and to strengthening health financing and information systems. 

CEGAA does this primarily through research, advocacy, and capacity-building with state (government, parliament, statutory bodies e.g. National AIDS Councils) and non-state (civil society) actors.  CEGAA attempts to facilitate dialogue and interaction among these actors, so as to enhance overall sound economic governance in African countries.

Through the experience of managing multi-country projects that have aimed to build the capacity of in-country partners, CEGAA has developed an effective approach to developing partnerships, building awareness of budget monitoring and expenditure tracking at all levels, transferring skills and providing technical support.  CEGAA has significant hands-on experience in costings, budget analysis, resource tracking, and financial information systems around health, HIV/AIDS in the Southern and East African regions.


CEGAA DIRECTOR ON CNBC Africa:

The economic aspects of African HIV/AIDS responses

CEGAA Trustee and Founding Director, Teresa Guthrie, gave a live interview from Nairobi, Kenya, on ABN/CNBC Africa's "Beyond Markets" programme for World AIDS Day 2011. Replying to issues raised by presenter Lerato Mbele, Teresa described the positive impacts achieved in scaled-up responses to the pandemic, as well as projections and priorities for ongoing investment to counter the effects of the prevailing AIDS funding crisis.

View the broadcast