PIA 2528

1
PIA 2528

• Foreign Aid
• Donors and Local Governance

2
Governance Reforms and Democracy

• The New Orthodoxy
• In Foreign Aid

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Divisions Within the World

• Before 1989
• North Industrialist/ Developed Agriculture
• Regime Type Democratic or not
• Socialist vs. Capitalist
• South LDC limited agric. Industry
• Underdeveloped Socialist or primitive capitalist
• Crony capitalism
• Patron-client

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Divisions Within the World

• Today
• Capitalist Developed States, North America, Parts
  of East Asia, Western Europe including settler
  states vs. Everybody else
• Millennium Challenge Account- Choose 15 poor,
  most market friendly countries.
• Religion and Rejection of Western Model

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Foreign Aid Terms-Review

• International Assistance
• Foreign Aid- Loans vs. Grants
• Technical Assistance- Contracts
• Bilateral vs. Multi-lateral

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Multilateral Issues An Overview

• The Problem of Debt
• Stabilization vs. Conditionality
• Public Sector Reform Policy Reform
• IMF vs. World Bank vs. Bilateral Donors vs. UNDP
• Bridging Loans
• Sectoral Loans and Grants
• Project Grants
• International Requirements vs. domestic political
  response

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Concepts and Terms 21st Century

• Neo-Orthodoxy
• Heterodoxy
• Stabilization/Reconstruction
• Conditionality
• Public Sector Reform

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Major International Relations Terms

• International Relations- Alternative Views
• Structural realism realpolitik
• Balance of power
• Bipolarity vs. Multi-polarity
• Trans-nationalism

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Major International Political Economy and
Development Terms

• Political Economy Tie Ins
• Hegemony
• Dependency Theory
• Structuralism
• Regime
• Indigenization
• Complimentarity
• Import Substitution
• Dependent Development

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Foreign Aid vs. Technical Assistance

• Current bias to international trade Free Trade?
• Governance and Nation Building Democracy?
• Millennium Challenge Account Back to the future?
  
• Get the LDC economy back to the 1950s
• Dependent development
• Is it dependent and is it development?

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Foreign Aid vs. Technical Assistance

• 1. Impact of culture on Change
• a. Corruption, clan and ethnicity
• b. Clans in Somalia and taxi drivers in
  Washington
• 2. Impact of Standard Operating Procedures (SOPs)
• 3. The utility of the rational actor model for
  foreign aid- Can we escape bureaucratic politics
  for Clear Decision-making
• 4. Impact of Intellectual systems and ideologies
  influences and beliefs (Clash of Culture vs. End
  of History)

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Governance Reforms

• Democratic Governance
• Stabilization and Conditionality Requirements-
  Free Trade and Open Currency
• Public Sector Reform
• Rule of Law and Anti-Corruption

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Administrative Reforms

• Reform of the bureaucracy Review
• a. Cutback the civil service the infamous 19
  first cut
• b. Individual Consultants and Contractors work
  with investments and the service/commercial
  sector
•  

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Administrative Reforms The World Bank Model

•   1. Strategic Planning and Management
•  
• 2. Deregulation
•  
• 3. Performance Management
•  
• 4. Merit Recruitment
• 5. Decentralization Development of Local
  Government and Support for Civil Society

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Coffee Break

• Fifteen Minutes

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Ghana

• Democracy and Governance Program

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Ghana

• Case Study of Civil Society Reforms
• Chapter 8, Foreign Aid and Foreign Policy
  Lessons for the Next Half Century, (Picard,
  Robert Groelsema and Terry F. Buss, eds. (New
  York M.E. Sharpe, 2008), pp. 146-172)

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USAID Ghana Activities

• Economic Growth
• Health
• Basic Education
• Democratic Governance

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Ghana USAID Activities

• Source USAID/Ghana Country Strategic Plan
  (2004-2010)
• Date Published May 2003

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USAID Country Plan-Ghana

• Seek eligibility for Millennium Challenge Account
  Investment (poor, per capita income below 1,415)
• Qualify- Good governance, market friendly-16
  indicators
• Goal Support Accelerated Economic Growth
• In place in 15 countries, 2005 or 2006
• Fully up and running, 2008 at 5 billion per year
• Focus Infrastructure

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USAID Country Plan-Ghana

• Democratic Governance SO 5 (Strategic Objective)
  
• Note Currently no focus on civil service reform
• Two components National and Local

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Ghana Democracy and Governance-National Level

• Historically- Electoral Processes.
• Legislative Reform Long term PSC (Personal
  Services Contractor- Legislative Specialist)
• National Civil Society Development

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Local Level Democracy and Governance

• Source
• ASSESSMENT REPORT Government Accountability
  Improves Trust (GAIT)
• Date December 8, 2003
• Non-Competitive Contract
• Public Administration Service

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Assessment Team Mixed Team

• Kwesi Appiah Ghana Consultant
• Robert J. Groelsema USAID Washington (DG)
• Avril Kudzi USAID Ghana (DG)
• Ted Lawrence USAID Ghana (Legislative
  Specialist)
• Elsie Menorkpor (USAID Ghana (Education
  Specialist)
• Louis A. Picard (Team Leader)

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Decentralized Governance Status

• Current Contractor Cooperative League of the
  United States of America (CLUSA)
• Operates in the U.S. as National Cooperative
  Business Association
• Assessment Report Submitted December 8, 2003

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New Grant Cooperative Agreement- 2004-2007

• RFA (Request for Application) published December
  18, 2003 (Competitive Bid)
• Applications Closed February
• Grant Awarded Estimate- April, 2004
• 3-6 year grant up to 11 million

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Goal of GAIT

• Promote Partnership between Civil Society
  Organizations and Local Government
• Institutional Structure Creation of District
  Level Civic Unions to facilitate communication
• Concern Sustainability of structures after
  project completed
• Government Accountability Improves Trust

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Nature of GAIT Activities

• Training and Workshops
• Technical assistance to Civic Unions and Local
  Governments
• Support public (town hall) style meetings
• Key Activities support interface of LG and CSOs
  (E-governance)

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Decentralized Governance and E-Governance

• Leland Initiative Money Ended in 2003. Two or
  three centers established. Not clear that this
  was mission priority (Focus e-Governance)
• Assessment Report Recommended Local
  Government/Civil Society One Stop Shop for
  dissemination of information
• Possibly Operated by Civic Unions

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E Governance

• Tele-cottage Model- widely used in Demnets
  (Democratic Network Organizations) in Eastern
  Europe
• Technical Assistance (poss. Peace Corps
  volunteer)
• Simple, on line publication and education
  programs (Logon- South Africa)

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E-Governance

• simple publications, posters, public information
  presentations
• simple software programs designed to demonstrate
  basic principles of governance
• Includes the use of advocacy, information rights,
  the functioning of district government bodies and
  administrators and the functioning of committees

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Other Donors Civil Service and Decentralization
Reform

• UNDP- Normally bids, provides technical
  assistance
• World Bank- EOP (Expression of Interest)
  invitation to bid (RFP)
• DANIDA (Denmark), CIDA (Canada), DFID- (UK), GTZ
  (Germany) interested in Governance
• Private Foundations McArthur, Gates, Ford
  Foundation- re. E-Governance

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Impact

• Evidence of community based civil society groups
  strengthened

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Discussion

• Where are we?
• What dont we know?
• Can Governance be Promoted by Donors?