Budgetary planning instruments: potentialities and weaknesses in the process

Abstract

In Brazil, the public budget is constitutionally proportioned and its purpose is to determine the actions to be taken by the government. As provided for in the Brazilian Constitution of 1988, the budget process is basically carried out through three instruments: the Multi-Year Plan, the Budget Guidelines Law and the Annual Budget Law. Our aim is to present in this study the budget planning process in Brazil, through a review of published literature. It was noted that despite the wish of planning and management, the instruments sometimes do not fulfil their real purpose, and there are several mismatches during the budget process. It was concluded that the instruments are not being used in a clear and effective way. Therefore, only when they will be seen and respected as tools of planning and budgeting it is possible for governors and legislators to promote greater quality and transparency of management