community driven development a way of doing business n.
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COMMUNITY-DRIVEN DEVELOPMENT: A WAY OF DOING BUSINESS

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COMMUNITY-DRIVEN DEVELOPMENT: A WAY OF DOING BUSINESS

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  1. What is CDD? • When is it appropriate? • The exercise of community control over decisions and resources directed at poverty reduction and development • Principles of subsidiarity as corrective of legacy of over-centralization • In settings/sectors where community groups have comparative advantage • Not panacea: many services better provided by private sector or national public sector • Enabling environment: • Broader policy and institutional reform (including decentralization) • Why is it important? • Community access to markets and information (including ICT) • Links to elected local governments • Complements competitive economy and national public sector programs • Increases service efficiency, effectiveness and sustainability • Trusting communities with management of resources enables scaling-up • Strengthens local governance • Support for community actions COMMUNITY-DRIVEN DEVELOPMENT: A WAY OF DOING BUSINESS

  2. SIGNIFICANT PART OF PORTFOLIO • Estimates of pipeline: • $1.5 billion in FY01 • $2.0 billion in FY02 • Largest in SA, AFR, LCR, EAP • Growing in ECA, MNA

  3. “Way of doing business” for services where community groups can have comparative advantage • Help demonstrate success is possible when scaling-up CDD • Get immediate and lasting results at the grass-roots • “Growth” or “opportunity” services – examples: • Surface irrigation • Feeder roads • Micro-finance • “Human capital” services – examples: • Primary education • Water supply and sanitation • Preventive health care • “Empowerment” – move from beneficiary participation to communities as deciders and implementors • Frontier investment loans • Help get policy and institutional environment right for CDD, including decentralization reform and sector-specific “rules of the game” • Program lending FIT WITH THEMES AND INSTRUMENTS OF STRATEGIC FRAMEWORK

  4. Our starting point • Our challenge • FY01-02: 44 operations; $700 million CDD • Mostly sector-specific and project-based; led to mixed success • Fragmented community impact • Limited institutional sustainability • Multi-sectoral effort • Consolidated approach to lending • Fungible resources at community level • Linked to inter-governmental reforms AFRICA: OUR STARTING POINT AND OUR CHALLENGE

  5. AFRICA: OUR LONG-RUN VISION • 3 inter-related programmatic credits • Local Empowerment Credit • Fungible, demand-driven to communities • Sectoral expertise in response to demand • Local government capacity building • Poverty Reduction Support Credit • Inter-governmental policy reforms • Sector policy reforms • Public Sector Capacity Building Credit • Cross-cutting processes • Sectoral: “blue collar” to “white collar” • …Uganda and Guinea as good practice…

  6. AFRICA: OUR PROGRESS • $1.3 million of BB to multisectoral steering team…to shape country programs… • $15k for any requesting country sub-team if…multisectoral team which examines… • New opportunities at community level • Opportunities for consolidating efforts • Current efforts on decentralization • ...17 country teams participate • Up to $100k 2nd round proposals to re-engineer country programs through CDD lens • 11 country teams participate • 3 of the 11 initiate more community-level work • 7 of the 11 harmonize implementation processes • 8 of the 11 intensify intergovernmental work

  7. GROWING COMMITMENT TO DOING “MORE AND BETTER” – PROGRESS BY REGIONS • Growing importance in project and AAA pipeline • Growing part of country dialogue and support for policy and institutional reform • Impact/effectiveness studies launched (MNA, EAP) • Large TF activities (Norway TF Social Window, Japan Social Development Fund, others) • Client/staff workshops on lessons learned and good practices • Leadership by cross-sector regional teams

  8. GROWING COMMITMENT TO DOING “MORE AND BETTER” – PROGRESS BY NETWORKS • PRSP sourcebook chapter and Web site being launched • Support to PRSP teams (jointly with Governance and Participation anchors) • Quality and quantity metrics • Lessons learned/good practices led by TGs in PSI, ESSD, HD, PREM • Clinics and training with WBI • Simplified application of procurement, financial management, safeguards • Cross region/network CDD group • CDD anchor housed in SDV/ESSD, supported by RDV, INF, SP, PREM • Bimonthly reviews with Shengman Zhang

  9. Governments and other partners ask us to be involved because of WBG’s: • Financing capacity • Scaling-up requires large amounts of public finance • Pure private sector model not relevant for many CDD-type services • Ability to support “enabling environment” • For relevant policy and institutional reform • WBG’s involvement seen as important endorsement of economic and social benefits GROWING CLIENT DEMAND & FIT WITH OUR COMPARATIVE ADVANTAGES