Incluye bibliografía

Abstract -- Acknowledgments -- Abbreviations and acronyms -- 1. Executive summary -- 2. Peru's fiscal challenges and vulnerabilities -- 3. Reorienting the budget toward pro-poor expenditure -- 4. Improving the efficiency of public expenditure -- 5. Addressing the promises and risks of decentralization -- 6. Upgrading the civil service -- 7. Improving governance and reducing corruption -- 8. Fine-tuning fiscal and environmental mining policies -- Annex A. A public debt sustainability analysis for Peru -- Annex B. The fiscal effort required for a sustained structural deficit -- Annex C. Questionnaire on public financial management -- Annex D. A public expenditure tracking survey: methodological issues -- Annex E. Public enterprise reform in Peru: introducing management contracts at FONAFE -- Annex F. A methodology for functional reviews and for analyzing functional prospects -- Annex G. List of background papers -- Statistical appendix -- Bibliography -- Map of Peru -- List of tables -- List of figures -- List of boxes.

This public expenditure review is produced jointly by the World Bank and the Inter-American Development Bank, and focuses on social sectors spending and leaves aside infrastructure and other sectors. This report, finalized in June 2002 and discussed with Authorities in mid-August 2002, does not take into account policy developments occurring after this time. The report is organized as follows: Chapter 1 presents a synthesis of Peru ' s public expenditure reform agenda from the Bank ' s perspective. It is based on, and distills, the thematic chapters that make up this report. Chapters 2-4 examine the core functions of public expenditure management: macro fiscal aggregates, resource allocations to strategic sectors, and microeconomic efficiency of public spending. Chapters 5-8 explore selected themes, such as the decentralization of public administration and the social sectors; civil service reform; governance and corruption; and mining fiscal and environmental issues. These chapters are, in turn, supported by fifteen topic-specific background papers, including an innovative public expenditure tracking survey on municipal transfers. Other topics focus on public sector employment; decentralization of health and education; an empirical diagnostic study on governance, rule of law, and corruption; and a comparison of the Peruvian tax system with mining tax systems in other nations.