Gender Budgeting In G7 Countries

At the request of the Italian Presidency of the G7, the IMF has prepared a paper on gender-budgeting as a contribution to the G7 initiative on equality. The paper provides an overview of gender-responsive budgeting concepts and practices in the G7 countries. It summarizes recent trends in gender equality in G7 and advanced countries, noting that while equality has improved overall, exceptions and gaps remain. Recognizing that many fiscal policies have gender-related implications, this paper: Sets out the main fiscal policy instruments, both expenditure and tax, that have a significant impact on gender equality. Provides a conceptual framework for the public financial management (PFM) institutions that play an enabling role in implementing gender-responsive fiscal policies. These instruments include gender budget statements, gender impact assessments, performance-related budget frameworks, and gender audits. Ministries of finance have an especially important role in promoting and coordinating gender budgeting, and associated analytical tools. Provides an assessment of the status of gender budgeting in the G7 countries. In preparing the paper, the IMF carried out a survey of PFM institutions and practices in the G7, as well as in three comparator countries that are relatively strong performers in developing gender-responsive budgeting (Austria, Belgium, and Spain). This information was complemented by other sources, including recent studies by the OECD and the World Bank. The main policy implications and conclusions of the paper include: Well-structured fiscal policies and sound PFM systems have the potential to contribute to gender equality, furthering the substantial progress already made by the G7 countries. While G7 countries have made effective use of a wide range of fiscal and non-fiscal policies to reduce gender inequalities, there has generally been less progress in developing effective gender-specific PFM institutions; embedding a gender dimension in the normal budgeting and policy-making routines varies across G7 countries and is not done systematically. Fiscal policy instruments of relevance to increasing gender equality include the use of tax and tax benefits to increase the supply of female labor, improved family benefits, subsidized child-care, other social benefits that increase the net return to women’s work, and incentives for businesses to encourage the hiring of women.

Achieving gender equality remains a significant challenge, that has only deepened with the on-set of the COVID-19 pandemic. Gender budgeting (GB) can help promote gender equality by applying a gender perspective to fiscal policies and the budget process. This paper takes stock of GB practices in G20 countries and benchmarks country performance using a GB index and data gathered from an IMF survey. All G20 countries have enacted gender focused fiscal policies but the public financial management (PFM) tools to operationalize these policies are far less established. We find that notwithstanding heterogeneity across countries, the average G20 level of GB practice is relatively low. More progress has been made establishing GB frameworks and budget preparation tools than with budget execution, monitoring and auditing. Too few countries assess the upfront impact of policies on gender and/or evaluate ex-post the effectiveness of policies and programs. Where GB features are in place, they tend to operate as an ‘add-on’, rather than a strategic and integral part of resource allocation decisions. Progress with GB does not appear to be dependent on the level of country development. Key to future efforts will be harnessing opportunities for integrating GB tools into existing PFM systems and more closely linking GB initiatives with PFM reforms.

This paper surveys European gender budgeting efforts, which have enjoyed sustained support for more than a decade and a half. In a number of countries, gender budgeting led to significant changes in budget legislation and administrative practices. In some countries, it is also possible to tie gender budgeting efforts to expenditure and revenue policy reforms. At a time of continued fiscal austerity in Europe, gender budgeting can help inform fiscal policies to ensure gender-related goals are met. Civil society has played an active role in advocating for effective gender budgeting.

This paper reviews gender budgeting efforts in Asia. The countries in the region have achieved mixed success in improving gender equality. Gender budgeting is ideally a fiscal innovation that translates gender-related goals into budgetary commitments and can help countries to achieve the Sustainable Development Goals with regard to gender equality. India has a sustainable gender budgeting model for the region, while a few countries in the region have begun such efforts more recently. The legislative mandates for gender budgeting in the Philippines and South Korea are remarkable achievements and are contributing to their efforts.

This book takes a broad look at conceptual and practical applications of gender budgeting in Europe. It comprises three linked sections that work through conceptual definitions of gender budget analysis. These sections explore how it can be framed and constructed as a gender equality policy; investigate case studies across Europe; and examine challenges for implementation. The first book of its kind, Gender Budgeting in Europe explores conceptual and methodological variations evidence in practice in Europe and the challenges of adoption and implementation in different political and institutional contexts. It brings together historical and current conceptual developments and tensions; approaches, methodologies, and tools in practice across Europe; activism, actors and agency and the engagement of formal institutions at all levels of government with feminist policy changes and feminist analysis and activists. This text is fascinating reading for students, scholars, policy makers and activists.

In the twenty-first century, gender-responsive budgeting (GRB) has emerged as a development tool that explores if and how gender equality goals and targets are being effectively supported through government funding. Gender-Responsive Budgeting in Practice: Lessons from Nigeria and Selected Developing Countries argues that, although justified by the high costs of gender inequality to economic growth and development, the use of GRB as a tool to achieve global and regional gender equality goals has seen little progress in the twenty-first century, especially in developing countries. Through analyses of government budgets and the budgeting process, and gender equality outcomes in Nigeria and the selected countries from 2000 to 2020, the contributors show that GRB has failed to gain traction or thrive in developing countries. Using these analyses, the contributors identify critical success factors that are missing in policy-making and planning in the developing world and must be integrated in order to further facilitate inclusive growth and sustainable development.

This report provides an overview of gender budgeting practices across OECD countries, based on the 2022 OECD Survey on Gender Budgeting as well as trends from surveys conducted in 2016 and 2018. It takes stock of countries’ progress in developing an effective and sustainable gender budgeting approach and discusses challenges and plans for the further development of gender budgeting.

Gender budgeting is an initiative to use fiscal policy and administration to address gender inequality and women’s advancement. A large number of sub-Saharan African countries have adopted gender budgeting. Two countries that have achieved notable success in their efforts are Uganda and Rwanda, both of which have integrated gender-oriented goals into budget policies, programs, and processes in fundamental ways. Other countries have made more limited progress in introducing gender budgeting into their budget-making. Leadership by the ministry of finance is critical for enduring effects, although nongovernmental organizations and parliamentary bodies in sub-Saharan Africa play an essential role in advocating for gender budgeting.