Abstract:
This study is conducted on The Assessment 0f Budget preparation and Utilization Practices in
the case of Jima Zone Health Sector . To the best of the researcher’s knowledge ,there is no
document that reports the practices of budget preparation and utilization in Jimma zone Health
Sector and this is a major motivation to carry out this research . The general objective of the
research is to assess the budget preparation and utilization practices in the case of Jimma Zone
Health Sector . Ten out of Twenty eight budget holders were taken and five key informants were
selected from each budget holders with a total of fifty respondents .The researcher used fifty of
the staff employee as sample size by using non probability sampling method through purposive
sampling technique. The study adopts descriptive statistics, frequency , percentage , mean value
and standard deviation as a fact for interpretation, and SPSS and Microsoft Excel method
approach in order to achieve the research objectives and to answer research questions. More of
the qualitative analyses demonstrate that there was no accountability in budget utilization, there
is no market oriented cost estimation practice .Lack of adequate and experienced budget experts
is other issue that contributes to worsen the problems and also there is no evidence based
evaluation mechanisms in the budget utilization at each level of the Health office. The researcher
concluded that the causes for underutilization of budget are mainly due to lack of coordinated
effort in purchasing, The researcher recommended that budget preparation practice needs
more focuses to capital (investment Budget) rather than recurrent budget. Regarding to
recommendations the health office should use opinions suggested on the feedback given by
Jimma Zone Finance and Economic Cooperation Office and should consider thoroughly. In
general, Jimma Zone Health sector should take all possible actions to correct the observed
weaknesses, and avoid repetition of the problems in subsequent years. Finally, based on the
result of the finding, conclusion and recommendation were forwarded to Jima zone Health
Office.
