Statebuilding and the Politics of Budgeting in Afghanistan

Anchored in a framework drawn from the public finances literature and executive-legislative studies, the purpose of this article is to assess the impacts of Afghan budgetary institutions on the statebuilding project. Two main questions drive the analysis: what is the nature of the relationship between central government and subnational units concerning the allocation and distribution of resources, and - regarding budget preparation - what is the role played by the legislature? It is argued that beyond Afghanistan's dependency on foreign aid to fund ordinary expenditures and development projects, the presence of a set of budgetary rules which not only centralizes the preparation and execution of budget decisions at the expense of provinces but also marginalizes the legislative involvement in the decision-making process are two important features that prevent further development in state capacity and the representative government.