Seven Tests of a Good Budget

This essay seeks to provide a framework for evaluating budgets in the context of the economic reform programme. The seven effective tests of a good budget proposed are: (i) How well does the budget balance the country's fiscal books? (ii) How well does it meet the counter-cyclical needs of the economy? (iii) How well does it achieve fiscal consolidation? (iv) How good are the tax reform measures? (v) How good are the expenditure reform measures? (vi) How well does it improve the environment for growth acceleration? and (vii) Finally, does it restore the credibility of the government?