The main objective of this paper is the review of introduction and development of two key frameworks for budgetary reforms – program budgeting and strategic planning of budget in the Republic of Croatia and the Republic of Slovenia. The introduction of these two innovative approaches into the budgetary process is a result of recommendations from international institutions, participation in pre-accession processes for the European Union membership and the need for improving budgetary planning and ensuring transparent budgetary process in all phases. The development of program budget and strategic planning of budget has been gradual in both countries. The international frameworks of definitions of these two methodological approaches leave sufficient opportunities for creating own solutions in establishing and developing the program budget and strategic planning of budget. Both countries have gradually implemented the program budget, developing program budgetary classification and performance indicators. Slovenia has developed its own model of strategic planning of budget, while Croatian approach follows more the classical approach to this form of planning, which has been transferred also into the public sector. Both models are under permanent evaluation and improvement. In both cases, critical areas are designing indicators and reporting towards set indicators. In Croatia budgetary planning has been improving by connecting with the system of financial management and controls in the public sector (PIFC – Public Internal Financial Control). In both countries there is a need for significant qualitative improvements of budgetary planning, by establishing and developing management accounting and cost accounting, which could contribute rational decision making and comprehensive budgetary reporting.