World Bank2014-09-092014-09-092014-06-24https://hdl.handle.net/10986/20000In this context, the reform of the LG capital grants and municipal investment planning framework forms the main strategic actions undertaken by the government towards the implementation of its decentralization agenda recently anchored in the new Constitution adopted in January 2014. This grant system, which had operated under an ex ante system of controls, is being restructured through the revision of the Decree 97-1135 governing the LG capital grant system. Through the restructuring, the government intends to improve the efficiency of the state financial support to municipal investment, make the allocation of capital grants more transparent and predictable, strengthen the decision-making power of LGs on the use of their investment funding, and progressively introduce a performance based dimension to their capital grant system. Along with revision of the above decree, the government has also issued a Ministerial Decree to introduce participatory municipal investment planning and budgeting systems, hence promoting citizen engagement in identifying investment needs and priorities. Under the same reform, the government will progressively introduce an independent, annual assessment to measure the performance of LGs in line with the above amended decree. The performance assessment system, in addition to serving as a tool for monitoring LG s performance, has proven to be a very effective means of incentivizing LGs to strengthen their institutional performance, where access to grant funds is linked to results. The areas covered under the performance assessment will include governance, sustainability and management. The results of this performance assessment will be used to adjust the capital grant allocation starting the third year of the program.en-USCC BY 3.0 IGOACCESS TO GRANTACCESS TO INFORMATIONACCESS TO MARKETSACCESS TO SERVICESACCESS TO TECHNICAL ASSISTANCEACCOUNTABILITYACCOUNTANTACCOUNTING PRACTICESADMINISTRATIVE CAPACITYALLOCATION OF CAPITALARREARSASSET INVENTORYASSET MANAGEMENTASSET MANAGEMENT SYSTEMSASSETSAUDITORSAUDITSAUTHORITYAUTONOMYBANKSBASIC NEEDSBENEFICIARYBIDBLOCK GRANTBLOCK GRANTSBORROWINGBORROWINGSBUDGET FINANCINGBUDGETARY RESOURCESBUDGETINGCADRESCAPACITY BUILDINGCAPACITY ENHANCEMENTCAPITAL BUDGETSCAPITAL EXPENDITURESCAPITAL GRANTCAPITAL GRANT ALLOCATIONCAPITAL GRANT ALLOCATIONSCAPITAL GRANT SYSTEMCAPITAL GRANTSCAPITAL INVESTMENTCAPITAL INVESTMENTSCENTRAL AGENCIESCENTRAL BANKCENTRAL GOVERNMENTCENTRAL GOVERNMENTSCITIZEN PARTICIPATIONCITIZENSCOMMODITY PRICESCONSENSUSCONSOLIDATED FINANCIAL STATEMENTSCONSTITUTIONCORRUPTIONCOST ESTIMATESCOST OF LIVINGCOUNCILSCREDIBILITYCREDIT LINECURRENT ACCOUNTDEBTDEBT FINANCINGDEBT MANAGEMENTDEBT OBLIGATIONSDEBT OVERHANGDEBTSDECENTRALIZATIONDECENTRALIZATION FRAMEWORKDECENTRALIZATION OBJECTIVESDECENTRALIZATION REFORMDECENTRALIZATION SYSTEMDECISION-MAKINGDECISION-MAKING POWERDECREEDEMOCRACYDISBURSEMENTDISBURSEMENTSECONOMIC ACTIVITYECONOMIC GROWTHELECTED OFFICIALSELIGIBILITY CRITERIAEMPLOYMENTENABLING ENVIRONMENTEQUALIZATIONEQUIPMENTEXECUTIONEXPANSIONARY FISCALEXPENDITUREFINANCIAL ACCOUNTINGFINANCIAL AUDITSFINANCIAL FLOWSFINANCIAL HEALTHFINANCIAL INCENTIVESFINANCIAL INFORMATIONFINANCIAL INSTITUTIONSFINANCIAL INSTRUMENTSFINANCIAL INTERMEDIARYFINANCIAL MANAGEMENTFINANCIAL PERFORMANCEFINANCIAL PLANNINGFINANCIAL RESOURCESFINANCIAL STRESSFINANCIAL SUPPORTFINANCIAL VIABILITYFINANCING REQUIREMENTSFISCAL CAPACITYFISCAL DECENTRALIZATIONFISCAL STRESSFISCAL SUSTAINABILITYFIXED INVESTMENTFLOW OF FUNDSFRAUDFUNDING SOURCEGENDERGENDER EQUALITYGENERAL ELECTIONSGOVERNANCE ISSUEGOVERNMENT ACCOUNTABILITYGOVERNMENT CONTROLSGOVERNMENT LEVELGOVERNMENT PERFORMANCEGOVERNMENT PROGRAMGOVERNMENT SUPPORTGRANT ALLOCATIONHOUSEHOLDSINFLATIONINFRASTRUCTURE DELIVERYINFRASTRUCTURE INVESTMENTINFRASTRUCTURE INVESTMENTSINSTALLMENTINSTITUTIONAL ARRANGEMENTSINSTITUTIONAL CAPACITIESINSTITUTIONAL CAPACITYINSTITUTIONAL DEVELOPMENTINTEREST RATEINVENTORYINVESTINGINVESTMENT ACTIVITIESINVESTMENT CHOICESINVESTMENT DECISIONINVESTMENT DECISIONSINVESTMENT FUNDSINVESTMENT GRANTSINVESTMENT LOANSINVESTMENT PLANINVESTMENT PLANSINVESTMENT PROJECTSINVESTMENT PURPOSESINVESTMENT RESOURCESLABOR MARKETLEGISLATIONLENDING POLICIESLEVEL OF RISKLEVELS OF GOVERNMENTLOANLOAN AMOUNTSLOAN FACILITYLOAN FUNDSLOCAL ACCOUNTABILITYLOCAL GOVERNMENTLOCAL GOVERNMENT FINANCELOCAL GOVERNMENTSLOCAL INFRASTRUCTUREMANDATESMINISTRIES OF FINANCEMONETARY POLICIESMUNICIPALMUNICIPAL DEBTMUNICIPAL DEVELOPMENTMUNICIPAL INFRASTRUCTUREMUNICIPAL INVESTMENTMUNICIPAL INVESTMENTSMUNICIPAL REVENUESMUNICIPALITIESMUNICIPALITYNATIONAL POLICYOPERATING EXPENDITURESOWN SOURCE REVENUEPOLICY ENVIRONMENTPRIMARY CAPITALPUBLIC AGENCIESPUBLIC PROCUREMENTPUBLIC SECTORPUBLIC SERVICESRATE OF RETURNRATES OF RETURNREGULATORY FRAMEWORKREGULATORY REGIMESREGULATORY REQUIREMENTSREGULATORY SYSTEMSREHABILITATIONREPRESENTATIVESRETURNRETURNSREVENUE COLLECTIONREVENUE MOBILIZATIONREVOLUTIONSELF-FINANCINGSOLID WASTE COLLECTIONSOURCES OF FINANCESOURCES OF FUNDSSTATE BUDGETTAXTECHNICAL ASSISTANCETECHNICAL SUPPORTTRANCHETRANSPARENCYTREASURYUNEMPLOYMENTUNEQUAL ACCESSURBAN DEVELOPMENTURBAN DRAINAGEURBAN SERVICESURBANIZATIONWATER SUPPLY10.1596/20000