11
  • News from Cambodian National Budget
  •   
  • Cambodian National Budget
  •   
3-Year Rolling Public Investment Programme
Public Investment Programme (PIP) is a 3-year rolling plan and is prepared annually to reflect the government priorities in order to achieve the NSDP and sectoral development strategies, policies, and frameworks. PIP has started its existence since 1996 during the implementation of SEDP I.

The Purposes of the PIP are as follows:

  1. As a primary programming tool, it is the main mechanism for identifying and listing specific projects and activities to achieve the broader sectoral goals and targets specified in the NSDP;
  2. It is the basis to assist CDC/CRDB and all line ministries and agencies to attract and direct the EDP assistance to Cambodia for the RGC identified priority programmes and projects (including through annual consultations for aid mobilization;
  3. It is the mechanism to be for aligning external resources and the RGC’s own investment programmes to nationally identified priorities shown in NSDP, as well as a tool for monitoring the progress of this alignment over time
According to the Sub-Decree No. 70 on Organization and Function of Ministry of Planning dated February 20, 2014, PIP work is indicated in the functions of Department of Investment Planning of General Department of Planning, Ministry of Planning as followings:

  • Preparing investment strategies for short, medium and long term;
  • Determining the priority in the capital allocation by sectors;
  • Monitoring the draft of public investment project of line ministries and agencies;
  • Preparing the annual public investment programme
  • Participating in the bidding committee of all public investment projects;
  • Monitoring and evaluating the implementation of public investment program
Budget Law Preparation

Furthermore, the capital expenditure is stipulated as one of the elements of the ministry/agency’s budget strategy in the article 26 of the Law on Public Finance System of Cambodia adopted in 2008 in the following stages.

  • Stage 1 (March to May): Preparation of the Budget Strategic Plan,
    1. Each line ministry/agency needs to prepare its budget strategy by linking the budget to the NSDP in the context of both current and capital expenditures from the financing perspectives of both the national budget and the external resource;
    2. Each line ministry/agency needs to have within it the budget taskforce composing of the members from finance and/or accounting department, planning department and all the project implementation units in the ministry/agency;
    3. The minister of each ministry/agency needs to review and approve the budget strategy of his/her ministry before it is sent for the review of and consultation with the MEF.
  • Stage 2 (June to September): Preparation of the Budget Package
  • Stage 3 (October to December): Approval of the Annual Budget
 Diagram below shows the integration of the process of the PIP formulation and Annual Budget formulation.


The external financing of the PIP is highlighted in the article 14 of the Sub-Decree 486 dated October 14, 2013 on the Organization and Functions of the Council for the Development of Cambodia as following.
  • CDC is facilitator in the establishment of the strategic concept and policy of the public investment program and the facilitator in the prioritization of the public investment programs for medium and short-term period;
  • The Ministry of Foreign Affairs and International Cooperation is the diplomatic window;
  • Ministry of Planning in cooperation with the line ministries/agencies is responsible for the preparation of the five-year national strategic development plan and the public investment program
  • Ministry of Economy and Finance prepares the medium-term macro-economic framework and facilitate the budget arrangement for the annual implementation of the public investment and review the use of the budget,
  • Line ministries/agencies prepare the sectoral plan and public investment program in close collaboration with the Ministry of Planning and CDC and implement the sectoral public investment projects or programs in their related fields.   
In this regard, it is clear that the MoP plays the significant role in the coordination of the formulation of the national PIP and the provision of the information of the PIP after the approval of the RGC to other ministries/agencies. For example, the projects/programs proposed by each line ministry/agency need to be used also during the submission of the budget strategy in the process of the preparation of the annual national budget to MEF after the submissions of those projects/programs to the MoP. Since CRDB/CDC is more familiar with the assistance strategies of the external development partners it can advise the priority of the PIP for the external resource mobilization maintaining the alignment of the ODA resource to the development.

PIP documents can be downloaded here for your further analysis and study in budget allocation for implementation of capital and technical cooperation projects. It is noted that the PIP allocation is aligned with the NSDP.

Public Investment Programme (PIP) Download
PIP 2013-2015 Khmer English
PIP 2014-2016 Khmer English
PIP 2015-2017 Khmer English


Budget Working Group