The World Bank’s Executive Board has approved a US$50 million project, Smart Public Finance: Data-Driven Public Expenditure Management for Greater Efficiency, to modernize Guatemala’s public financial systems. The initiative aims to improve transparency, strengthen decision-making, and enhance the efficiency of public spending, ultimately improving access to and quality of services for Guatemalan citizens.
The project focuses on three main areas. It seeks to optimize public budget planning and execution, ensuring resources are used effectively to deliver better services in sectors such as education, health, social protection, and infrastructure. It also modernizes technological systems managing public finances, making them integrated, sustainable, and secure against cyber threats. Additionally, the project promotes inter-institutional coordination and data-driven decision-making, fostering knowledge exchange and responsive, citizen-oriented governance.
Guatemala’s Minister of Public Finance, Jonathan Menkos, emphasized that the initiative will allow the government to deliver higher-quality public services, particularly benefiting vulnerable populations. Integrated and secure platforms will enable decisions based on reliable information, enhancing transparency and accountability across multiple sectors nationwide.
Pierre Graftieaux, World Bank Country Representative in Guatemala, noted that the project will equip the government with modern systems to plan, execute, and monitor public expenditure efficiently and transparently, building stronger institutions and greater citizen trust.
The initiative aligns with Guatemala’s national development plan, the General Government Policy 2024–2028, which emphasizes legitimate, effective, and accountable public administration through improved planning and budgeting. This project is also part of a broader regional instrument under the Multiphase Programmatic Approach (MPA), totaling US$140 million, designed to enhance public resource management and transparency across Central America. The first phase will be implemented in Guatemala to strengthen public expenditure planning and execution for the benefit of the population.
