2025 MDA Allocations Linked to Performance Benchmarks
By: Edward Dictionary Caulker
The Ministry of Finance has introduced a performance-based approach to determine allocations and disbursements for ministries, departments, and agencies (MDAs) in 2025. In the Budget Call Circular addressed to MDAs, Financial Secretary Matthew Dingie emphasized that access to funds from the Consolidated Revenue Fund (CRF) will be contingent upon the progress achieved in meeting agreed-upon triggers and benchmarks set between the government and its development partners.
The criteria for evaluating progress include assessments under frameworks such as the Country Policy and Institutional Assessment (CPIA), Budget Support Operations, and IMF Structural Benchmarks. Dingie urged MDAs to familiarize themselves with CPIA technical notes and other relevant performance-related programs, highlighting that improvements in CPIA ratings could lead to increased financial support from multilateral institutions and, consequently, higher budget allocations for MDAs.
MDAs were instructed to utilize the fiscal projections for FY2025–2027 and adhere to Recurrent Expenditure Ceilings outlined in the circular while preparing their budget estimates. The Budget Call Circular includes a budget costing template (Annex 2) for this purpose. Furthermore, MDAs were cautioned against budgeting for new capital projects without prior approval from the Ministry of Planning and Economic Development, stressing the importance of aligning all new projects with the Public Investment Management Policy framework.
The integration of the National Development Plan (2024–2030), the Big Five Priorities, MDA Strategic Plans, and Budget Proposals was emphasized as essential for ensuring coherence in planning and resource allocation across sectors.
While final budget ceilings and decisions on resource reallocation will be determined following consultative budget discussions scheduled for August, Dingie underscored the need for MDAs to align their activities closely with national development priorities. This strategic alignment aims to optimize resource utilization and enhance the impact of public spending on socio-economic development in Sierra Leone.
As preparations for the 2025 budget continue, the Ministry of Finance remains committed to fostering accountability, transparency, and efficiency in fiscal management, reinforcing Sierra Leone’s path toward sustainable growth and development.
