For most developing and transition countries, the integration of current and capital (or “development”) budgets is a major step towards improved budget management and more effective public finance institutions. Moving to a unified budget, however, can be a technically and managerially demanding task that involves legislative, institutional, budget presentation and expenditure management issues. Countries undertaking this step need to understand each of these dimensions, how they interact with each other, and how they may affect various aspects of the budget system.