Transcript LE FENU Evolution Politique et Organisationnelle de ces

The UNCDF
Political and Organizational
Evolution Over the Past Ten Years:
What are the organizational
perspectives for LDCs ?
Historical Perspective
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UNCDF was created in 1966 by the UN General Assembly as an
autonomous system aimed at increasing developing countries’ financial aid
through subsidies and fovorable conditions.
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The funds were placed under the management of the UNDP in 1973.
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The UNDP limited its first activities with LDCs.
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From 1980 until 1990 the rates of the fund reached 42,8 million US$ a
year.
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In 1991, donors’ rates decreased (31,3 millions in 1994 and this showed a
decline of 25 %) whilst questioning the validity of the fund.
Genesis of UNCDF’s Mission
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In 1973 its mission was to allow the LDCs to strengthen their economic and
social infrastructures with regards to integrated rural development and in
smaller industries
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In 1980, this mission convened following the application of the new action
program adopted in 1981 UN Conference on Least Developed Countries
(LDCs)
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The fund took charge of smaller projects; those more susceptible in drawing
the attention of national and international financial institutions (IFIs)
especially at the rural level of the poorest countries. At this level the fund was
dedicated to the economic, productive and social infrastructures of the rural
zones
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Despite the encouraging results, donor contribution began to decreases
considerably. From 1991attaining 31,3 million to 1994 shows a decline of 25
%. In contrast to the 1980s this decrease reflected not only a general decrease
in donor aid, but also was accompanied with a pervading question in regards
to the fund as a whole, its institutional place and its reason for existing.
REORIENTATION OF FUND POLICIES In 1996:
ELEMENTAL PERSPECTIVES
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Before pervading donor questions, the UNCDF tried to revise its
mission by concentrating it in a more concrete way on poverty
reduction with:
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Implementing 25 years of experience
A better analysis on the policies of decentralized aid.
Base Interventions in regards to local governance and
participative approaches and their affect on development.
The FUND decided to make " increased local capacities » the
focus of its action.
The New Approach the UNCDF has as policy in 1995:
Poverty Reduction, Participation and Local Governance.
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The 1995 directive was a major realization which defined a new strategic
orientation for the UNCDF
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Three important axes were defined in this new document :
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Decentralization is the transfer of the powers from a central authority to a local
authority.
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Governance integrates all methods that are both proper or not that societies use to
distribute power, manage resources, and public problems (UNCDF and UNDP focus
on healthy and good governance)
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Participation during the last years became a major development concept. This is the
broad concept that defines participation as the process of decision making in the
follow-up and in the revision of current projects within evaluation.
Types of Projects after 1991 and their
internal evolution
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In 1991 UNCDF experimented with projects concerned with "éco-participative
development. » This concept is characterized by approaches inspired by current
reflections on the application of the policies of participative development in the problems
put forth by the local management of natural resources. It is the process that which
allows individuals to become active citizens, with rights in the respect for their mutual
environment.
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It understood that in its current revisions there existed many problems which were
based on the theoretical plan that constituted practical obstacles and looked like base
traditional local management resources.
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The basic idea which outlined this new type of eco-development, and its methodology
used to attain the objectives was:
- To supply direct support for communal programs in reducing poverty in zones
where there is little access to reources.
- To pilot profitable approaches susceptible to reproduction,
- To provide responsibilities to communal groups in order to strengthen local
governance were imperfect
THE LDF OF UNCDF
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The LDFs of the UNCDF had at its availabilties national
decentralization policies.
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UNCDF / UNDP are aligned and allies with national
governments on the clear definition of LDF project
relations and national policies, with regards to the subject :
•
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Fiscal transfers from central governments to local governments for
developmental services
Procedures of participative economic planning with respect to local
governments;
The delivery and distribution of infrastructures and durable
services in decentralized local authorities.
THE GUIDING PRINCIPLES OF LDFs .
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The LDF encourages dialogue between various partners in local development
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Tools and processes are set up within the framework of the LDF to enhance popular
participation
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Practical systems and procedures must be financially viable
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The economic planning of the local development is driven within the budgetary framework
understood by rural advisors
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The size of the LDF has to satisfy at least two conditions :
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Annual adequate resource transfer to the LC
Short term state refinancing
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The principle allowance which is a formula of transparent distribution that must be finalized,
from a fixed subsidy per capita, and from an additional granted subsidy following the criteria of
performance.
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The LDF directs the financing increase local authoritative capacities, further the improvement of
basic infrastructures
MICROFINANCE
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In past, UNCDF micro-financing policies offered re-financing and guaranteed opportunities.
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For many years there was evolution which consists of strengthening the institutional capacity of
institutions of micro-financing that were carefully selected
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At this level one of the comparative advantages the UNCDF had was the flexibility with which it
support the IMF in a way that suited their needs
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The funds financed technical assistance, covered the start-up costs, and the management charges and
supply of IMF ready capital.
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To facilitate the coordination of the various operations of micro-finance, a unit was created by
UNCDF and the UNDP finance in 1997 and was called the Special Micro-finance Unit.
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In order to have an impact on poverty reduction, since 2003 UNCDF actions have been concentrated
three principles which are :
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To develop financial systems that include micro-computing finance so that the poor with low income have a
guaranteed access to financial services.
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To gather those that are suppliers of financial services, central banks, and governments to develop a financial
sector that includes the poor.
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Insist in the creation of financial products and systems of distribution that are adapted to the needs of
consumers and women of low incoms.
CONCLUSION
The UNCDF continues to preserve the same niche in understanding the
political orientations outlined in 1995 namely:
- The Local Governance
- the Micro-computing Finances (at the product level)
The innovation consists of being inclusive and in strengthening the support for
countries, and for the implementation of harmonization.
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There are more integration with economically centered development
programmes (Senegal and Mali are examples) today
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The integration of NTICS within governance
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Lastly, the approach of the UNCDF in poverty reduction is inspired by the
current international dialogue on poverty.