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Nearly all countries worldwide are now experimenting with decentralization. Their motivation are diverse. Many countries are decentralizing because they believe this can help stimulate economic growth or reduce rural poverty, goals central government interventions have failed to achieve. Some countries see it as a way to strengthen civil society and deepen democracy. Some perceive it as a way to off-load expensive responsibilities onto lower level governments. Thus, decentralization is seen as a solution to many different kinds of problems. This report examines the origins and implications decentralization from a political economy perspective, with a focus on its promise and limitations. It explores why countries have often chosen not to decentralize, even when evidence suggests that doing so would be in the interests of the government. It seeks to explain why since the early 1980s many countries have undertaken some form of decentralization. This report also evaluates the evidence to understand where decentralization has considerable promise and where it does not. It identifies conditions needed for decentralization to succeed. It identifies the ways in which decentralization can promote rural development. And it names the goals which decentralization will probably not help achieve.
" Assessing the potential benefits and risks of a currency union Leaders of the fifteen-member Economic Community of West African States (ECOWAS) have set a goal of achieving a monetary and currency union by late 2020. Although some progress has been made toward achieving this ambitious goal, major challenges remain if the region is to realize the necessary macroeconomic convergence and establish the required institutional framework in a relatively short period of time. The proposed union offers many potential benefits, especially for countries with historically high inflation rates and weak central banks. But, as implementation of the euro over the past two decades has shown, folding multiple currencies, representing disparate economies, into a common union comes with significant costs, along with operational challenges and transitional risks. All these potential negatives must be considered carefully by ECOWAS leaders seeking tomeet a self-imposed deadline. This book, by two leading experts on economics and Africa, makes a significant analytical contribution to the debates now under way about how ECOWAS could achieve and manage its currency union, andthe ramifications for the African continent. "
Communities need a holistic approach to address the problems that affect the people at the grass root. The planning of the direct beneficiaries involves decentralization in order to allow the lower power centers to widely take part in the development of society. Concerns of the grass root people form the need for decentralization and local governance. People’s involvement in the planning on the village level and all local government units, makes the identification and solving of the problem easier. High participatory levels of all the people especially the marginalized, encourages innovation to source for the appropriate solutions to the common problems that face society. It therefore calls a decentralized system that caters for the voters’ preferences while providing for their services. The people’s concerns call for local planning and the transfer of power to the public so that services are brought nearer to the people. This study will cover the aspects of local government and decentralization such as good governance, democratization, civil society, deconcentration, devolution and delegation, and its relation to the development of societies.
'Decentralization and Local Democracy in the World' constitutes a global reference on decentralization by presenting the contemporary situation of local governments in all regions of the world. The report analyzes local authorities in each continent under three main themes: the evolution of territorial structures; responsibilities and power, management and finances; and local democracy. An additional chapter is dedicated to the governance of large metropolises, where rapid growth presents major challenges, in particular in the fast-developing countries of the South. This report also offers a comparative overview of the different realities concerning the state of decentralization, and how the basic indispensable mechansims for local democracy do, or do not exist in come countries. Relationships between the state and local authorities are evolving toward innovative forms of cooperation. In this context, the role of local authorities in the development of global policies is increasingly recognized. The first Global Observatory on Local Democracy and Decentralization (GOLD) Report is one of the main products of United Cities and Local Governments (UCLG). The GOLD Report is the first of what will be a triennial publication. UCLG represents and defends the interests of local governments on the world stage, regardless of the size of the communities they serve. Headquartered in Barcelona, the organization's stated mission is: To be the united voice and world advocate of democratic local self-government, promoting its values, objectives and interests, through cooperation between local governments, and within the wider international community.
Public spending plays a key role in the economic growth and development of most developing economies. This book analyzes revenues, policy, and administration of Domestic Resource Mobilization (DRM) in developing countries. It provides a broad landscape of practical examples, drawing from lessons learned in World Bank operations across Global Practices over the past several decades. It should be thought of as a starting point for a more comprehensive research agenda rather than a complete inventory itself. This book reviews the trends in tax revenue collection in developing countries. It provides an overview of efforts to close the revenue gap, many of which have been supported by World Bank operations. The book reviews the special challenges facing low income countries, which have traditionally relied on indirect revenues in the context of limited formalization of their economies. An overview of tax policy and administration reform programs is presented, with an overview of outstanding issues that will shape the policy agenda in years ahead.
References pp. 115-132.
Over the past three decades, decentralization has been seen as the means for allowing local governments to become more accountable, and for encouraging the deepening of democracy and the building of village communities. By drawing on original village-level case studies of six villages in three different Indian states, this book presents a systematic analysis of the impact of decentralization on the delivery of social services at the local level within India. Supplementing national and state-level data and analyzing the different historical legacies in each state, the book argues that decentralization is not simply a function of the structure of the decentralization program or of the relationship between higher-tiered and local government. Rather, the possibility of decentralization affecting social outcomes depends on several interacting factors, including the distribution of power among local elites, the dynamics of political competition, and the level of civil society mobilization. By examining constitutionally-mandated political decentralization across India, this book identifies the circumstances under which local government structures can lead to improved social services and societal wellbeing, as well as presenting a substantial contribution to studies on South Asian Politics and Local Government.