By Benson Daniel
The Director General of the World Trade Organization, Dr. Ngozi Okonjo Iweala, has called on governments across Africa to shift greater attention from the size of budget allocations to the effective implementation of approved spending, stressing that execution remains the biggest challenge to achieving sustainable economic growth and development.
Speaking at a policy forum on public finance and economic development, Okonjo Iweala said many countries prepare ambitious budgets every year, yet fail to achieve the intended outcomes because projects are either poorly executed, delayed or abandoned. According to her, the true measure of a successful budget is not the amount appropriated but the impact it delivers on the lives of citizens.
She noted that governments must strengthen public financial management systems to ensure that allocated funds are spent transparently and efficiently. She added that improved budget implementation would accelerate infrastructure development, enhance public service delivery and restore citizens’ confidence in government institutions.
Okonjo Iweala stressed that effective execution requires stronger institutional capacity, better project monitoring and greater accountability at every level of government. She urged policymakers to embrace data driven decision making and establish clear performance benchmarks for ministries, departments and agencies responsible for implementing government programmes.
The WTO chief also highlighted the importance of fiscal discipline, noting that countries facing limited financial resources must prioritise projects that generate the greatest economic and social returns. She said prudent management of public funds would help reduce waste, improve investor confidence and create a more stable environment for private sector investment.
According to her, effective budget execution is particularly important as many developing economies continue to grapple with rising debt levels, inflationary pressures and global economic uncertainties. She explained that efficient use of available resources would enable governments to deliver critical infrastructure, strengthen healthcare and education systems and create more employment opportunities without placing unnecessary pressure on public finances.
She further encouraged governments to deepen collaboration with development partners, the private sector and civil society to improve transparency and ensure that public projects are completed on schedule and within budget.
Economic analysts say Okonjo Iweala’s remarks underscore a longstanding challenge in many developing economies, where budget implementation rates often fall below approved targets despite increasing annual appropriations. They argue that improving execution would enhance the efficiency of public spending, stimulate economic activity and support long term national development goals.
Her comments come at a time when governments across Africa are seeking ways to maximise the impact of public expenditure amid growing fiscal constraints and increasing demands for inclusive economic growth.
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