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Ecuador

Open Budget Survey 2017

Downloads:
Country Summary - English Country Summary - Spanish Questionnaire
Transparency

49

out of 100
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Public Participation

6

out of 100
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Budget Oversight

47

out of 100
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IBP considers countries that score above 60 on the Open Budget Index as providing sufficient budget information to enable the public to engage in budget discussions in an informed manner. IBP considers countries scoring above 60 on participation and oversight as providing adequate opportunities for the public to participate in the budget process and providing adequate oversight practices, respectively.

Transparency (Open Budget Index)

49

out of 100

Ecuador provides the public with limited budget information.

How Has the Open Budget Index Score Changed Over Time?
Recommendations for Improving Transparency

Ecuador should prioritize the following actions to improve budget transparency:

  • Publish online a Mid-Year Review and the In-Year Reports in a timely manner. During the research period for OBS 2017, the In-Year Reports were made publicly available, but more recently the In-Year Reports have been published late.
  • Produce and publish online a Pre-Budget Statement and an Audit Report in a timely manner.
  • Increase the information provided in the Executive’s Budget Proposal by providing more detail on budget performance measures, linking the budget more closely to policy, and providing more information on borrowing and debt.

Public Participation

6

out of 100

Ecuador provides few opportunities for the public to engage in the budget process.

How Does Public Participation Compare to Other Countries in the Region?

Global Average 12/100
Brazil 35/100
Peru 22/100
Colombia 15/100
Argentina 13/100
Bolivia 13/100
Chile 11/100
Paraguay 11/100
Venezuela 7/100
Ecuador 6/100
Recommendations for Improving Participation

Ecuador should prioritize the following actions to improve public participation in its budget process:

  • Pilot mechanisms for members of the public and executive branch officials to exchange views on national budget matters during both the formulation of the national budget and the monitoring of its implementation. These mechanisms could build on innovations, such as participatory budgeting and social audits. For examples of such mechanisms, see fiscaltransparency.net/mechanisms.
  • Hold legislative hearings on the formulation of the annual budget, during which members of the public or civil society organizations can testify.
  • Establish formal mechanisms for the public to participate in relevant audit investigations.

Budget Oversight (by Legislature & Audit)

47

out of 100

The legislature and supreme audit institution in Ecuador provide limited oversight of the budget.

To What Extent Does the Legislature Provide Budget Oversight?

Formulation/Approval 43/100
Execution/Audit 20/100

The legislature provides weak oversight during the budget cycle. This score reflects that the legislature provides limited oversight during the planning stage of the budget cycle and weak oversight during the implementation stage of the budget cycle.

To What Extent Does the Supreme Audit Institution Provide Budget Oversight?

Adequate 80/100

The supreme audit institution provides adequate budget oversight.

Recommendations for Improving Oversight

Ecuador should prioritize the following actions to make budget oversight more effective:

  • Ensure the legislature holds a debate on budget policy prior to the tabling of the Executive’s Budget Proposal and approves recommendations for the upcoming budget.
  • Ensure the legislature is consulted before the executive shifts funds between administrative units and away from what is specified in the Enacted Budget during the budget year, spends any unanticipated revenue, and/or reduces spending due to revenue shortfalls.
  • Consider setting up an independent fiscal institution.

Open Budget Survey 2015

Downloads:
Country Summary - English Country Summary - Spanish Questionnaire

Transparency (Open Budget Index) 50/100

The Government of Ecuador provides the public with limited budget information.

Public Participation 27/100 

The Government of Ecuador is weak in providing the public with opportunities to engage in the budget process

Budget Oversight 

By legislature 21/100

Budget oversight by the legislature in Ecuador is weak. 

By auditor 75/100

Budget oversight by the auditor in Ecuador is adequate.

Recommendations 

Improving Transparency

Ecuador should prioritize the following actions to improve budget transparency:

  • Publish an Audit Report.
  • Ensure that the Mid-Year Review is published by September 30 each year.
  • Produce and publish a Citizens Budget.
  • Produce a Pre-Budget Statement that is publicly available at least one month before the Executive’s Budget Proposal is presented to the National Assembly.
Improving Participation

Ecuador should prioritize the following actions to improve budget participation:

  • Establish credible and effective mechanisms (i.e., public hearings, surveys, focus groups) for capturing a range of public perspectives on budget matters.
  • Hold legislative hearings on the budgets of specific ministries, departments, and agencies as well as on audit reports at which testimony from the public is heard.
Improving Oversight

Ecuador should prioritize the following actions to strengthen budget oversight:

  • Ensure the legislature holds a pre-budget debate and the outcome is reflected in the Enacted Budget.
  • Ensure the executive receives prior approval by the legislature before implementing a supplemental budget.
  • Establish a system of quality control for the supreme audit institution.

 



Open Budget Survey 2010

Downloads:
Country Summary Country Summary - Spanish Questionnaire

Open Budget Survey 2008

Downloads:
Country Summary Country Summary - Spanish Questionnaire

Open Budget Survey 2006

Downloads:
Country Summary Country Summary - Spanish Questionnaire



See more on budget work in Ecuador »