Improving Governance and Accountability through Rationalisation
The Rationalisation of Public Bodies is a key pillar of the five-pillar public sector transformation programme. Under this pillar four major strategies – integration into parent ministry; merger; closure; and divestment, are being pursued to improve the management and governance of public bodies. In so doing, the process of rationalisation seeks to:
- Identify the relevance of an entity
- Assess the effectiveness of its roles and functions
- Determine the best modality by which those functions should be conducted
- Organise the work of the public sector in a logical and productive manner
The rationalisation of public bodies has its genesis in the Master Rationalisation Plan (MRP) which was approved by Parliament in 2011.
To date, 43 public entities have been successfully rationalised, yielding over J$2 billion in savings for the Government of Jamaica. In his recent opening budget presentation for Fiscal Year 2022/23, Minister of Finance and the Public Service, Dr Nigel Clarke spoke to the next step of the process. This will see the implementation of the regulations for the Public Bodies Management and Accountability Act in respect of the nomination, selection and appointment of Boards of Public Bodies. Implementation of these regulations will begin in the Fiscal Year 2022/23.
Once completed, the rationalisation or public bodies will result in fewer public bodies, increased efficiency in public service operations and better governance of the sector. It will also free up resources to pursue development of priority areas such health, education and national security.