PREM Notes
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This note series is intended to summarize good practices and key policy findings on poverty reduction and economic management (PREM) topics.
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Decentralization and Governance : Does Decentralization Improve Public Service Delivery?
(World Bank, Washington, DC, 2001-06) Kahkonen, Satu ; Lanyi, AnthonyDecentralization holds a lot of promise, but whether it improves public service delivery depends on the institutional arrangements governing its implementation. Several conditions must be met before the full benefits of decentralization can be reaped. First, for decentralization to increase allocative and productive efficiency, local governments need to have the authority to respond to local demand as well as adequate mechanisms for accountability. Because granting authority without accountability can lead to corruption and lower productive efficiency, decentralization needs to be accompanied by reforms that increase the transparency and accountability of local government. Second, functions need to be devolved to a low enough level of government for allocative efficiency to increase as a result of decentralization. Low-level governments are likely to be aware of local preferences and, if able to do so, are likely to adjust service delivery accordingly. Third, citizens should have channels to communicate their preferences and get their voices heard in local governments. But the existence of such channels is not enough. To effectively influence public policies and oversee local governments, citizens need to have information about government policies and activities. The media play a crucial role in this area. -
Publication
Promoting Good Governance with Social Funds and Decentralization
(World Bank, Washington, DC, 2001-01) Parker, AndrewBad governance undermines development. Two important types of World Bank support for local governance are social funds and broadly based support for governments committed to decentralizing responsibility and power to local governments and other local institutions. But there are concerns that these two approaches, which address different elements of governance, sometimes work at cross-purposes. A study was therefore commissioned to examine the interaction between social funds and decentralization in Bolivia and Honduras (advanced decentralization), Peru and Zimbabwe (some decentralization), and Cambodia, Malawi, and Zambia (little or no decentralization). This Note is based on the findings of the study. -
Publication
Understanding Poverty Reduction Impacts with Innovative Monitoring and Evaluation
(World Bank, Washington, DC, 1999-10) Garcia, Marito ; Alderman, Harold ; Rudqvist, AndersMonitoring and evaluation systems are often the least addressed component of project design, and implementation. Yet, such systems have considerable potential for enhancing the impact of projects, and the understanding of poverty reduction impacts. This note addresses what makes effective monitoring and evaluation, where both quantitative, and participatory methods are needed to assess a project's impact on poverty. It examines the case of the Uganda Nutrition and Early Childhood Development Project, a process-driven, locally prioritized program, being implemented by a network of nongovernmental organizations, that motivates communities, and provide information to project participants. The project relies on systematic monitoring of inputs and outputs, and, community participation in planning, and monitoring facilitates bottom-up feedback. The note further highlights a randomized experimental design, i.e., a baseline and follow-up surveys, that assess the impact of project activities, of communication and information, and of grassroots management training, and income generation activities for community welfare. The benefits of proactive monitoring and evaluation are that it enables timely inputs into management decision making, and that the quantitative methods used, are important determinants for assessing, and verifying a project's impact.