Abstract:
The study focused to establish Factors Affecting Effective Budget Management The case area of
Holeta town selected offices and it was guided by the following research objectives to establish
the effect of public participation, staff competency, government regulations, and information
technology on effective budget management. The problem that the study addressed was lack of
effective management of the budget in the study area. The target populations were Holeta town
finance and economic development office, Holeta town municipal audit office, Holeta town
Administration office and Holeta town Revenue office while the available target populations were
133 and the researcher to take all the population as a sample by the application of census
approach. The researcher collected data through administering questionnaires from the
respondents currently working in their respective offices. Explanatory research technique was
applied to analyze and interpret data that made it possible to draw conclusions on the factors
affecting effective management of the budget in the selected offices. Analyzed data and findings
were presented in tables. These were supported by SPSS which is statistical software version 23.
The study established that there was a positive and significant relationship between the
explanatory variables as tabulated and effective management of the budget in the town selected
offices posting an R-Squared (R2) of 90.3%. The study therefore concluded that, public
participation, employee competency and government finance regulations should be embraced
since they established a significant positive relationship with the dependent variable. But there
was a significant negative relationship between the Information Technology and effectiveness of
budget management. The researcher recommended that to achieve success in effective
management of budget in the study area; Holeta town selected office management should be
advised to enhance the application of the variables under this study
