Tag Archives: local governance

Enterprise Cities: The Way of the Future?

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“Enterprise Cities” aim to emulate the success of places like Dubai.

With rates of urbanization increasing, the idea of “Enterprise Cities” is gaining ground as countries to rethink their approach to economic policy and the best strategies to promote broad-based job creation and growth.

Driven by industrialization and the search for better jobs, millions of people are moving from the countryside into cities. This is proving challenges for governments as it creates increased demand for public services and expensive infrastructure projects to meet the needs of citizens.  Globalization is also increasing competition among countries to attract multinational companies and foreign direct investment.

Widespread reluctance to implement comprehensive reforms, as well as burdensome legal and regulatory regimes, are impediments to economic growth and entrepreneurship, leaving developing countries in a difficult situation.

Special zones with autonomous regulatory systems that bolster competition and foster the growth of competitive markets are one way to cut through the gridlock and bring prosperity to the burgeoning cities of the developing world.

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Four Key Ingredients for Accountable Decentralized Government in Lebanon

Under the new law, each village would have representation proportional to its size.

Under the new law, each village would have representation proportional to its size.

Sami Atallah is the Executive Director of the Lebanese Center for Policy Studies, a CIPE partner. This post also appeared on LCPS’s Featured Analysis Section.

Lebanon’s new decentralization draft law may not solve all the country’s ills but, if implemented, could provide the answer to many of the country’s development challenges. The importance of the draft law lies in its ability to strengthen decentralization by transforming the Qadas, the administrative districts, into key developmental actors.

Instead of being headed by central government appointed Qaimmaqams (governor), Qadas will now have a council directly elected by the people. In addition, the Qadas will be endowed with a mandate to provide a wide range of services as well as the fiscal resources to do so.

The Qadas will now be responsible for developing their regions. This will include launching development projects in the sectors of infrastructure, transportation, environment, and tourism, among others. Many of these functions have been re-assigned from the central government because they are more compatible with the geographical area of the Qadas, and because the latter can better realize the economies of scale in the provision of services.

This does not mean that the central government becomes irrelevant, but that it merely shares these functions with other tiers of government. The central government’s role is now focused on policy making and regulation, while regional administrations take charge of service delivery.

The expanded mandate proposed for regional administrations is unworkable if it is not complemented with the required fiscal resources. Since several of the central government functions have been transferred to the Qada, it is natural that a portion of central government resources are transferred to the Qada level as well. To address this, the draft law has re-allocated property tax, a portion of the income tax, real estate registration fees, and other taxes and fees to the Qada in a way that provides the latter with an appropriate level of fiscal resources and autonomy.

The draft law goes further to provide a new source of revenues for the Qada, mainly the Decentralization Fund which replaces the Independent Municipal Fund. This created fund enjoys a new governance structure, more resources and equitable distributional criteria to both Qadas and municipalities.

Qadas with wide mandates and fiscal resources are a necessary but not sufficient criterion for delivering effective development. A key condition is political accountability. The draft law attempts to put in place the appropriate incentives and constraints in order to shape the behavior of local politicians and compel them to deliver more and better services. To this end, the main ingredients of the draft law that aim to achieve political accountability are as follows:

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How the Lack of Accountable Local Government Holds Back Democracy and Development in Pakistan

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Some of Pakistan’s districts — where administrative power is concentrated — contain more than a million people.

Fayyaz Bhidal is a CIPE-Atlas Corps Think Tank LINKS Fellow at the Atlantic Council

If one were to number the challenges Pakistan faces today, one may end up with an exhaustive list of issues ranging from poor security to faltering economic growth, rising crimes to social unrest, corruption to political instability, among others. A closer look at these problems, however, will reveal that a great deal of these issues stem from poor governance and the centralization of political and administrative powers on the part of both provinces and federal government.

Take Punjab for example. A province that is spread over 79,284 square miles and houses of over 100 million individuals, it is divided into 36 administrative units called districts. Despite having a democratically elected political establishment in the provincial center, Lahore, the districts are governed and administered by senior bureaucrats known as Deputy Commissioners (DCs). This position is a legacy of the colonial era and emulates a system with highly concentrated power, allowing no say to the local communities in decision making process.

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Can Decentralization Solve Political Gridlock in Lebanon?

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LCPS President Sami Atallah (second from left) presenting at a roundtable discussion on decentralization draft law in Beirut on April 16, 2014.

Municipalities are an important engine for economic and social development at the local level. City, town, and village governments are closer to their constituencies, and thus have a better understanding of citizens’ needs and concerns. Despite their importance, Lebanon’s central government only allocates 6 percent of its budget for local governments, while most countries spend on average around 27 percent.

While the idea of decentralization was first introduced in Lebanon with the 1989 Taif Accord, which ended the country’s brutal civil war, no government has successfully introduced or passed a decentralization law.  But this is finally changing. CIPE’s partner, the Lebanese Center for Policy Studies (LCPS), is addressing the challenge of local governance at a crucial moment in the nation’s history.

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Kenya’s Democratic Experiment in Devolution

A member of one of Kenya's new county assemblies sets up an office in an open-air market outside of Nairobi. (Photo: VOA News)

A member of one of Kenya’s new county assemblies sets up an office in an open-air market outside of Nairobi. (Photo: VOA News)

One way to improve democratic governance is to devolve more responsibilities to local and regional governments — but only if those governments have the capacity take on such responsibilities and a willingness to listen to input from their constituents. This is the challenge Kenya faces as it implements the devolution outlined in its new constitution.

On April 9th, Chief Executive Officer of CIPE partner in Kenya Institute of Economic Affairs (IEA) Kwame Owino gave a presentation at the National Endowment for Democracy on the status of the country’s constitutional reforms. Owino explained the contentious transition that has been occurring in Kenya since the March 2013 elections, which transferred some key powers from the central government to 47 newly-created counties.

Owino cited many roadblocks in the way of quick, successful decentralization, including power struggles between newly-established governors and county senators, a highly centralized government bureaucracy reluctant in some cases to relinquish power after an institutional life of 50 years, and an economy weakened by poor policies and widespread corruption.

To address the uncertainty regarding the strength of the devolution movement, Owino stated that accountability was the answer, arguing that Kenyan civil society organizations had a place as “protectors of devolution,” and that they must put pressure on the government to stay the course of decentralization. For devolution to succeed, the constitution needs to be followed exactly, and not be avoided or ignored as it is in many instances to maintain some of the employment and power institutionalized in the old bureaucracy.  

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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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Is Local Government in Libya the Solution?

Heavily armed vehicles belonging to the military council of the self-declared autonomous region of Cyrenaica, which are deployed to protect oil ports, drive past at a checkpoint, near the east of the city of Sirte March 14, 2014. Former Libyan prime minister Ali Zeidan has fled to Europe after parliament voted him out of office on Tuesday over his failure to stop rebels exporting oil independently in a brazen challenge to the nation's fragile unity. The standoff over control of oil exports threatens to deepen dangerous regional and tribal faultlines in Libya where rival militias with powerbases in the east and west back competing political factions in the transitional government. Picture taken March 14, 2014.  REUTERS/Stringer (LIBYA - Tags: CIVIL UNREST POLITICS ENERGY) - RTR3H6EP

Mahmoud Bader is CIPE-Atlas Corps Think Tank LINKS Fellow at the Project on Middle East Democracy (POMED). This post also appeared on The Atlantic Council blog.

As Libya faces numerous challenges with the existence of federalists and militia groups, the question of decentralization grows in urgency. Libyans need to bolster local government in an effort to leave their past behind and meet their everyday needs, but lack the adequate legal and constitutional framework to ensure better governance. As Libya struggles to fill the remaining seats in the Constitutional Committee, it must also consider the language it plans to adopt to protect the decentralization process.

The move towards local governance emerged during the 2011 revolution when local councils arose to handle city affairs, an arrangement that continues today. Libyans welcomed the change. With the former regime centralized in Tripoli, citizens traveled inordinate distances from all over the country to complete tasks that they could have handled in their own cities, including basic bureaucratic services like stamps and signatures that could easily have been provided in other cities.

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