What is the Role of the Private Sector in Open Government?

By Dr. Jong-Sung Hwang

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The Open Government Partnership has become a leading force for advancing transparency and civic engagement in 63 countries. It was founded on a strong partnership between governments and civil society organizations. Recognizing the implications of open governance for economic and democratic development, CIPE has helped to establish an independent Council for Engaging the Private Sector in the Open Government Partnership. The Council is a joint initiative coordinated by the National Information Society Agency of Korea, Microsoft, and the Center for International Private Enterprise. CIPE’s Andrew Wilson, Deputy Director for Strategic Planning, is co-chair. The Council welcomes input from private sector and other stakeholders on the future of engagement in open governance.

Dr. Jong-Sung Hwang, Head of the Korea Big Data Center at the National Information Society Agency, introduces this exciting initiative on the Open Government Partnership blog.

Open government is not a new concept. According to Wikipedia, the idea that government should be open to public scrutiny and responsive to public opinion dates back at least to the time of the Enlightenment. For decades now, the emergence of Freedom of Information legislation and  e-government initiatives have propelled a trend toward building transparent, accountable, and responsive governments.

However, open government has acquired new meaning in the 21st century, facilitated by the development of information technology. Whereas open government in the past meant access to information inside government, it now means not only access but also active sharing of information and collaborative governance between government and civil society. The distinction is that access is a one-directional relationship in which the government side opens up. In contrast, sharing implies bi- or multi-directional relationships and requires opening up and engagement by all sides.

The new version of open government, which aims for shared governance, can be named as open government 2.0. As Tim O’Reilly, advocate of Gov 2.0, puts it, open government 2.0 seeks to “redefine the relationship between citizens and government officials, engaging the citizen as a full participant rather than an observer. Citizens are not passive consumers of government services anymore. Instead, they are actively engaged in producing and delivering government services and sharing the results.

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Welcoming Future Business Association and Chamber Leaders

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Washington, DC area ChamberLINKS participants (from left to right): Frida Mbugua (Kenya), Mariana Araujo (Venezuela), and Nini Panjikidze (Georgia).

This week five young professionals from different countries arrived to the U.S. to partake in CIPE’s ChamberLINKS program. The program, which is taking place for the fifth year, matches rising young stars from chambers of commerce and business associations around the world with similar organizations in the U.S.

This year’s participants and placements include:

For the following six weeks, these participants will shadow senior staff of their host organizations to observe and take part in the daily operations of successful associations.

Through the ChamberLINKS experience, the participants will gain valuable skills such as advocacy, membership development, and events management. At the same time, these international participants will provide their U.S. hosts with intercultural understandings such as insights into how associations operate in other nations.

The program also has a long-term impact because the participants bring back what they learned from their experiences to their home organizations after the program ends. For instance, Kipson Gundani, a 2012 ChamberLINKS program participant, raised funds and created momentum to start several new initiatives at the Zimbabwe National Chamber of Commerce (ZNCC) based on his experience at the Ponca City Chamber of Commerce in Oklahoma. This included internship programs connecting 50 university students with ZNCC members, evening networking events for ZNCC members, and improving the Chamber’s governance systems by making the board selection process more transparent.

Everyone involved in the program –the international participants, the host organizations, and CIPE – are excited to see what the participants will learn from the next six weeks.

Maiko Nakagaki is a Program Officer for Global Programs at CIPE.

Voices in the Web – Creating E-Platforms for Socioeconomic Discourse

Dotun Olutoke's Photographby Dotun Olutoke, honorable mention in the CIPE 2013 Blog Competition. Read the rest of the winning entries here.

When I was younger, the riddles and jokes section of Kiddies magazine oozed out an aroma that satisfied my reading pleasure. Of all the riddles I read as a kid, one remains memorable to me. It goes thus:

I am something. I am a good servant but a dangerous master.

What am I?

Electricity – was the answer I got after moments of a brain-tussling exercise.

As I grow older in this information-driven age, the relevance of this riddle came to the fore when social networking platforms were used as a mobilization arena for people to  protest against the removal of fuel subsidy in the ‘wee-days’ of 2012, specifically January 2-3. What used to be a platform where people share pictures, post comments about events, and connect with friends metamorphosed into a potent tool for rallying Nigerians of different religious, political, and social inclinations.

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World’s Largest Democracy Goes to the Polls

Indian voters show their ID cards. (Photo: PressTV)

For the next five weeks, over 814 million voters in India will choose representatives for India’s lower house of Parliament, the Lok Sabha. Given the many corruption scandals involving the current ruling party, coupled with slow economic growth and high unemployment rate, many observers say that Indians voters are hoping for change and a new leadership.

This general election, which is the largest vote ever held in India, is important because the party that wins the most seats will govern the country  for the next five years and also choose the prime minister.

As a background, India’s electoral system is quite complex: it is a multiparty system with more than 50 regional parties and two major national parties. Given that local contexts and challenges are vastly different between the regions, many analysts are having difficulty predicting the outcomes.

Moreover, this elections is logistically challenging: the Election Commission of India has sent more than 10 million polling officials and security officers to carry out the elections at a staggering 930,00 polling stations.

The results are scheduled to be announced on May 16. From a viewpoint of a democratic exercise, and to set an example in a region where democracy is difficult to achieve, it will be interesting to see the results both in terms of who wins and how the logistics pan out.

Maiko Nakagaki is a Program Officer for Global Programs at CIPE.

A Different Kind of ‘Smart’ City

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Mathare slum in Nairobi, Kenya — one of the biggest in Africa. (Photo: IRIN)

Naledi Modisaatsone is a CIPE-Atlas Corps Think Tank LINKS Fellow at the Urban Institute

The concept of “smart cities” has become synonymous with developed countries. When people talk about smart cities they often mean high-tech urban innovators in North America, Western Europe or East Asia. Africa is not featured on the list.

This situation, however, has been changing following the recognition that smart city thinking is not necessarily about being high tech, but rather about cities that efficiently drive sustainable economic growth, competitiveness, prosperity and a better life for their citizens.

A report by Deloitte  defines a smart city as “when investments in human and social capital, traditional (transport) and modern information and communications technology ICT infrastructure fuel sustainable economic development and a high quality of life, with a wise management of natural resources”. In that way Africa is right at the heart of the conversation.

The UN Habitat Global Activities Report 2013 states that in 2009, Africa’s total population for the first time exceeded one billion of which 395 million (or almost 40 per cent) lived in urban areas. Around 2027, Africa’s demographic growth will start to slow down and it will take 24 years to add the next 500 million, reaching the two billion mark around 2050, of which about 60 per cent will be living in cities. Africa should prepare for a total population increase of about 60 per cent between 2010 and 2050, with the urban population tripling to 1.23 billion during this period.

These demographic shifts will present policy makers in Africa with unprecedented challenges in handling of urbanization given that infrastructure networks and public services are already overwhelmed.  African cities wishing to uplift their populations into the 21st century are going to have to start focusing today on what the city of tomorrow will look like.

How will  Africa position its cities as drivers of sustainable growth using technology?

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Overcoming the Collective Action Problem: How to Encourage Businesses to Fight Against Corruption

Without a strong compliance program, many smaller Russian firms could be locked out of lucrative contracts with big multinationals.

Without a strong compliance program, many smaller Russian firms could be locked out of lucrative contracts with big multinationals.

By Henry Nelson

In countries with weak rule of law, anti-corruption efforts suffer from a collective action problem: because bribery and corruption are endemic and occur frequently, individual small business owners hesitate to reform because they fear that doing so will reduce their competitiveness.

If a small or medium-sized enterpise (SME) begins to eschew bribery, it might be incapable of securing contracts that require paying a bribe, for example. The threat of short-term loss of business is serious for SMEs and can deter companies from pursuing anti-corruption compliance.

Furthermore, the collective action problem effects the general business environment. Without a strong, coordinated voice on the importance of compliance, corruption continues to be seen as “business as usual” and the consensus continues to be that bribery is a necessary component of conducting business.

This collective action problem is pervasive and continues to pose issues for CIPE and its many global partners. It is difficult to implement reforms when SMEs fear that the reforms will hurt their business.

Earlier this month, CIPE’s Washington office hosted a delegation of CIPE Russia officers and regional CIPE partners for a discussion on value-chain anti-corruption efforts in Russia. The discussion yielded plenty of interesting information on CIPE Russia’s plan to work with regional Russian chambers of commerce in order to educate local SMEs about international anti-corruption laws like the U.S. Foreign Corrupt Practices Act (FCPA) and UK Bribery Act.

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The Impact of the Property Rights Regime on Small Business in Kenya

New "malls" in downtown Nairobi offer opportunities for small business. But are their property rights being  respected?

New “malls” in downtown Nairobi offer opportunities for small business. But are their property rights being respected?

By David Owiro

Over the past few years, residents of Nairobi’s central business district (CDB) have noticed an interesting phenomenon. The previously large commercial premises on the main streets and avenues have been subdivided, converting them to mall-type premises that allow for subletting to many micro, small, and medium businesses. This phenomenon is, however, not unique to the CBD. This model, I’m made to understand, was borrowed from India, where mostly fabric traders sell their wares under one roof. The concept has spread to Eastleigh estate in Nairobi and can also be observed in some of the major towns in Kenya.

The Institute of Economic Affairs (IEA) carried out a qualitative survey of small businesses who operate in such mall-type commercial premises in Nairobi’s CBD to determine the impact of the property rights regime on their businesses, and the findings point to a deeper policy problem. In spite of the recent property rights reforms brought about by the new constitution, the study found poor enforcement of property rights, agency coordination problems, and low awareness levels among small businesses, leading to exploitation, abuse of tenant rights, and a hostile business environment.

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