"Effective subnational public financial management is essential if state and region governments are to achieve their potential in addressing local and national policy development priorities, including the delivery of public services in their areas of jurisdiction. This report provides a foundation for a better understanding of the current subnational public financial management in Myanmar. It presents an overview of the constitutional, institutional, and financing framework that determines subnational public expenditure. The report particularly focuses on assessing both how priorities and investments are determined in sectors that are now under the authority of state and region governments, and those which remain under direction from the Union level."