Decentralization, Involving Local People in Development Initiatives and Local Decision-Making

Transcription

1 Decentralization, Involving Local People in Development Initiatives and Local Decision-Making Rwandan Decentralization Process & Ubudehe Program: Adapting Theory Requirements To Local Reality Graduate Program Requirement Student Name Student ID Supervisor 2nd Reader Faculty Institution Master of Science in Public Policy and Human Development Master Thesis Freddy Sahinguvu i Rénée Speijcken Dorcas Mbuvi Maastricht Graduate School of Governance Maastricht University Date October 7,

2 Part I: Theoretical Framework 1. Introduction Decentralization an ambiguous concept 9 3.Major Dimensions of decentralization and their connection General Prerequisites for Decentralization Institutional and Legal Conditions Political Conditions Economic and Human Resources Conditions Cultural and social Conditions Democratic Decentralization Local people in Decision- Making: The promise Democratic Decentralization: Conditions & characteristics Political Conditions Mechanisms for accountability in Democratic Decentralization Economic and Human Resources Conditions Cultural and Social Conditions.23 Part II: Case Study 7. Rwanda Decentralization Policy: The Role of Local People in Local Development Initiative and Local Decision-Making Rwanda general introduction Rwanda Political and Economic Reforms Rwanda Decentralization Policy Rwandan decentralization policy phases DIP and the linkages to other local and National level UBUDEHE PROGRAM Involving the citizens Ubudehe at the Cellule level Ubudehe Process at the household level Accountability in Ubudehe Process Ubudehe Process: challenges and achievement

3 11.1 Ubudehe challenges Ubudehe Achievements Analysis Institutional and Legal Conditions Political Conditions Economic and Human Resources Conditions Cultural and social Conditions Democratic Decentralization Premises in Rwandan Context Conclusion Recommendations for Ubudehe process References

4 List of Tables Table 1: General Conditions for Effective Decentralization 16 Table 2: Local People in Decision-Making: The Premises...19 Table 3: Conditions for Effective Decentralization...24 Table 4: Analytical Framework...25 Table 5: Characteristics of households in Rwanda...37 Table6: Ubudehe at the Cellule level...38 Table 7: Ubudehe at the Household level

5 Abstract This thesis assesses how and under what conditions can decentralization processes enhance local peoples involvement in local development initiatives and local decision-making? A general overview of decentralization was given focussing on its main components, political or democratic decentralization, administrative decentralization and fiscal decentralization. One needs to consider these three components for an effective decentralization, as they are all interlinked. Given the research question, the main attention was given to democratic decentralization. It is claimed to offer citizens the possibility of increased participation in local decision-making process. It refers to a system where political powers have been partially transferred to sub national levels of government 1. Democratic decentralization was argued to foster participation in decisionmaking, and give the possibility to local people to be represented in the public offices. Furthermore, it empowers local communities, giving them the voice in decision-making. Finally democratic decentralization helps to hold local officials accountable. A number of conditions were identified, which presage an effective decentralization, particularly the participation of local people in local development initiative and local decision-making. In order to test whether the theoretical requirements are applied in reality, a case study of an African Country was provided. The Rwandan decentralization process and Ubudehe program, the last foster the participation of local people in local development initiatives and local decision-making. The special aspect about this country is that it has managed to fit the theoretical requirements of decentralization in local reality i.e. cultural aspect being considered. Most of the conditions were identified in this case, however, accountability mechanisms were found to be an issue i.e lack of strong competitive political parties, controlled media, lack of a strong civil society etc. although it is rather impossible to generalize the achievements of Rwanda and Ubudehe program. The findings of the analysis were recommended to Burundian decentralization attempt. This country was chosen for its comparable similarities to Rwanda i.e. Culturally, historically, language, ethnical composition and tensions. 1 Europe Aid. (2007). Supporting Decentralization and Local Governance in Third Countries, p.15 5

6 1. Introduction The rational of this thesis is to assess how and under what conditions can decentralization processes enhance local peoples involvement in local development initiatives and local decision-making? Decentralization is a rather complex concept. It can be generally defined as the transfer of public authority, resources, and personnel from national level to sub national jurisdiction 2, or the transfer of authority to plan, make decisions or manage public functions from the national level to any organization or agency at the sub-national level 3. Decentralization is argued to be the main axis of development policy in many African countries. This is either the result of external pressure through conditions imposed by international development agencies 4, i.e. the world Bank has embraced decentralization and good governance as the majors reforms on its agenda 5, or it is the result of growing pressure of the demands made by the African populations in favour of democratization 6. The other reasons that could explain decentralization in many developing countries are the structural adjustment programs that aimed at reforming the public sector in the 1980s and the transition toward more democratic and competitive state that started in the 1990s 7. A number of claims support decentralization process. It can improve service delivery by making it more efficient. On one hand, sub-national government are said to be closer to the people, have a good information and understanding of local context. On the other hand government institutions are more available to the citizens, thus they can make demands for a better services and can reward and punish local politicians i. e through elections 8. Furthermore, decentralization can improve governance by empowering people and integrating people s need and interests. This is achieved trough interaction between citizens and elected local government and trough institutional frameworks for the participation of local actors. As a result people will fill better connected to local 2 Ndegwa, S. (2002). Decentralization in Africa: A Stocktaking Survey. World Bank, p. 1 3 Mills, A. et al. (ed), Health System decentralization. Concepts, Issues and country experience. World Health Organization, p. 89 in OECD. (2004). Lessons Learned on Donor Support to Decentralization and Local Governance, p.16 4 Ouedrago, H. (2003). Decentralization and local Governance: Experiences From Francophone West State. Public Administration and Development, p. 1 5 World Bank. (2000). Entering the twenty-first century. Oxford and New York: Oxford New York press in Bardhan. (2002). Decentralization of governance and development. Journal of Economics Perspectives, P, Ouedrago, H. (2003). Decentralization and local Governance: Experiences From Francophone West State. Public Administration and Development, p. 1 7 Ndegwa, S. (2002). Decentralization in Africa: A Stocktaking Survey. World Bank, p. 1 8 Grindle, M. (2007). Going Local. Princeton University Press, p. 7 6

7 government and be able to have an influence on local affairs concerning them 9. Decentralization can also improve equity in poverty targeting and resource distributing. However as it will be later developed these benefits are also subjected to some constraints. Once again, the focus on this thesis will be how and under what conditions can decentralization processes enhance local peoples involvement in local development initiatives and local decision- making? In order to answer this question this thesis will first decorticate decentralization concept in general in order to provide a clear understanding of its different components and how they interact. Furthermore, the emphasize would be placed on democratic decentralization, which addresses directly the involvement of local peoples in local development initiatives and local decision- making. In order to analyze whether what is advanced by theories on democratic decentralization processes coincide with reality, especially the involvement of local peoples in development initiatives and in local decision- making, this thesis will provide a case study of the Rwandan decentralization process. Rwanda is a country in Sub Sahara Africa, which witnessed genocide in The genocide was a result of ethnical divisions ideology between Hutu and Tutsi, the major ethnics groups. These divisions resulted in genocide in 1994 where systematic massacre of 800,000 Tutsis and moderate Hutus was committed in less than 100 days 10. Following a study conducted by the World Bank, bad governance, extreme poverty and exclusive political processes have been identified as some of the main underlying causes of the genocide 11. In order to remedy this situation, the government of Rwanda adopted the national decentralization policy in May 2000 to achieve three main goals: good governance, pro-poor service delivery and sustainable socioeconomic development 12. In short, the national decentralization policy, is primarily based on enabling local people to participate in initiating, making, implementing and monitoring decisions and plans concerning them, taking into consideration their local needs and priorities 13. The involvement of the local peoples in development initiatives and local decision-making in Rwandan decentralization process is encapsulated in Ubudehe Program, which received the United Nations Public services Award (UNPSA) 14 in The program, is inspired by an ancient tradition that 9 Ibid Musoni, P. (2004). Organizing Decentralized Governance For Effective Grass-roots Service Delivery: Rwanda s Experience, p.4 12 Rusuhuzwa, T. (2007). Leadership, Policy-Making, Quality of Economic Policies and Their Inclusiveness: Case of Rwanda, p Ibid 14 The United Nations Public service Awards is the most prestigious international recognition of excellence in public service. It rewards the creative achievements and contributions of public service institutions that lead to a more effective and responsive public administration in countries worldwide. Through an annual competition, the UN Public Service Awards promotes the role, professionalism and visibility of public service 7

8 is widely rooted in Rwanda's culture, that of performing daily tasks as a community to lighten the burden 16. In short, the word Ubudehe was selected to present a quick mental image of people working in collective action; to solve problems of local people, by local people, for local people 17. The main objective of the program is the reduction of poverty through a bottom-up and decentralization process with focus of creating local spaces where people take decisions about things that affect their life directly 18. The Ubudehe program helps the citizens to identify problems in their community and gather together collectively to resolve them. Given the fact that the Rwanda is a developing country with fewer resources, the EU mainly funds the program. The Projects are selected by villagers, approved at district level and financed by the government at the national level, with funds transiting via a decentralized administration. In few words, it is with the idea of promoting and enforcing participatory people centered initiatives, foster democracy and peaceful co existence that ubudehe program was created. The Ubudehe program will be analyzed with a focus on its structure and functioning, and this will be compared to conditions advanced by theories on effective decentralization and the involvement of local peoples in development initiatives and local decision-making. Achievement and challenges of this program will be identified and these will shed a light on the key conditions under which decentralization enhances people s participation in local development initiatives and decisionmaking. Although this may seem too ambitious, the research will give guidance on how to proceed in the program and provide recommendations and advices on how in many ways comparable country to Rwanda i.e. Burundi could also learn from this experience. The analysis of the program will be based on official evaluations done by independent audits between 2001 and Furthermore, the analysis will look into the program self evaluations and also on the assessments done by other international organizations and the Rwandan Government. The overview and the comparison of the different assessments will help to identify the strength and weakness of the program; from this it is possible to deduce some recommendations. However, it is rather important to point out that a generalization on findings of this study cannot be made, as the success and failure of a program or country initiatives depend on factors and conditions specific to that country. Thus, one should see the recommendations that are provided as being relevant to Rwandan context, and also to countries that are in many ways comparable to Rwanda. i.e. Burundi. Burundi, was chosen for it has a lot of similarities with Rwanda, historically, culturally, linguistic and ethnical 15 European Commission. (2008). 25 success stories of development cooperation at local level, p Ibid 17 Hitayezu, F. & Mehrotra, N. (2008). Ubudehe exploring collective actions. Action aid, p Ibid 8

9 tensions etc. In few words, one can assume that the conclusions here provided will be informative to the Burundian context as well. Before analyzing the program there is a need to explain the concept of decentralization and its different components. This will be done in the following paragraph. 2. Decentralization: An ambiguous Concept Decentralization is not a new concept, the term is used in development policies since the 1950s, i.e. in the post colonial Africa, it was attempted in some countries without success due to autocratic regimes, which used decentralization as mean to consolidate their power. Decentralization promoted during this period focussed essentially on the re-organization of the state and task division within the public sector. The main changes in the current approach to decentralization, which date from the 1990s are: the local democracy with local elected body enjoying relative autonomy, local governance based on the civil society and citizens participation in decision making, local economy development i.e. pro-poor decentralized service delivery ect 19. Providing different definitions and approaches of what is meant by decentralization would be rather ambitious for this thesis and it is not its main objective. From a policy perspective, it is worth to point out that different approaches exist on this process, for example the French and British approach decentralization process quite differently. In the Anglo-Saxon tradition, decentralization has more broad political connotation as devolution of resources and powers of the central state to local or private decision-making bodies 20, while the French tradition has a more legal approach state recognition of the existence of autonomous local government endowed with specific competencies and managed by autonomous bodies 21. For the purpose of this thesis, the British approach remains more relevant, as since the end of the genocide the Rwandan government has enjoyed a strong political and economic support from the British government. Although Rwanda does not have any colonial link with England, it was allowed to join the commonwealth in It may be the case that both approaches French and British are applicable to Rwanda context, for when Rwanda decided to decentralize in 2000 it was still under Francophonie. But, further research is needed to confirm this assertion. Given the strong political and economic ties that have developed between Rwanda and England since the end of the genocide in 1994, this thesis will approach decentralization through the British perspective. The other reason to use the British approach is that it argues communities to be the main actors in decentralization. 19 Europe Aid. (2007). Supporting Decentralization and Local Governance in Third Countries, p.7 20 Ouedrago, H. (2003). Decentralization and local Governance: Experiences From Francophone West State. Public Administration and Development, p Ibid 9

10 One should be aware that these definitions are not neutral but reflect different normative approach to decentralization process. In the British approach the main actors are the local institutions, communities, NGOs, associations, cooperatives while in the French approach focuses more on the government players at the local level. On this issue of different meaning of decentralization, the European Union points out that in the reality of many developing countries, the practice and the process of decentralization can differ substantially given the historical and cultural context 22. Thus one should not assume that a definition followed by a given country in its approach to decentralization is enough to determine its practice and process. Disciplinary specialists have tendency of compartmentalising decentralization i.e. economists focus more on the fiscal organization and economic development, politicians are concerned more intergovernmental relations, local elections and accountability mechanisms and grassroots organizations look more on the issue of potential political empowerment benefits of decentralization 23. It is important to point out that these are all important aspects in decentralization process and for a better understanding of decentralization, one should not see them in isolation. Thus, to help the reader understand the different aspects of decentralization, this thesis will provide an overview on the major dimensions of decentralization namely: political, administrative and fiscal and their linkages. 3. Major Dimensions of Decentralization and their Connection The major components of decentralization political, administrative and fiscal are the terms used to classify the different types or dimensions of decentralization. One should not see each dimension in isolation for they are complementary. This part will provide a clear idea of each dimension and how they are related to each other. The first one is political or democratic decentralization, it is claimed to offer citizens the possibility of increased participation in local decision-making process. It refers to a system where political powers have been partially transferred to sub national levels of government 24. Political or democratic decentralization is most of the time seen as the best method for decentralizing a government. It helps to foster democracy and participation of citizens in local affairs and increase accountability of local office holders. Political or democratic decentralization is sometimes referred to as devolution 25, which is 22 Europe Aid. (2007). Supporting Decentralization and Local Governance in Third Countries, p Smoke, P. (2003). Decentralization In Africa: Goals, Dimensions, Myths and Challenges. Public Administration and Development, p Europe Aid. (2007). Supporting Decentralization and Local Governance in Third Countries, p Devolution is an arrangement or a process in public administration in which distinct bodies are created by law, separate from the central administration, and in which local representatives either elected or appointed by the 10

11 a statutory transfer of authority and responsibility for specific sectors to local bodies 26. The second component is the administrative decentralization, which aims at transferring decisionmaking authority, resources and responsibility from the central government to the sub-national government 27. It is a part of the civil services reforms and is considered to be a narrowest form of decentralization. Because, the local institutions to which responsibilities are assigned on are not based on the political representation 28. Administrative decentralization is also sometimes referred to as de-concentration 29. The third component is fiscal decentralization which refers to the resource reallocation to sub-national levels government, including the delegation of funds within sector ministries to the de-concentrated level 30. The implementation of these three components of decentralization can be subjected to some constraints. Political or democratic decentralization assumes the participation of the citizens in decision-making; however, this can be handicapped by the lack of educated citizens in developing countries. This may have an impact in understanding the organization local affairs and voicing and organizing their concerns. The administrative decentralization can fail if the structures and relation between the sub-national government are not well designed and also if the local level lacks resources and capacity. The fiscal decentralization assumes the collection of tax and financing of local needs at the local level, but, in most developing countries there is less resources at the local level and corruption represents a threat to the less resources available. population are (progressively) given powers to decide on a variable range of public matters and (progressively) gain access to resources which can be utilized at their discretion. The political base is the locality, and powers are devolved. The main objectives of devolution are political reshaping the political landscape by redistributing power and in so doing deepening democratization and local participation. It is a long-term institutional transformation process. But it also seeks to improve overall government performance in the delivery of key services and functions by bringing government loser to the people. Devolution exists if local entities have substantial authority to hire, fire, tax, contract, expend, invest, plan, set priorities and deliver service c_final_en.pdf 26 Blair, H. (1998). Spreading Power to the Periphery: An assessment of Democratic Local Governance. USAID Program and Operations Assessments Reports No.21, p Smoke, P. (2003). Decentralization In Africa: Goals, Dimensions, Myths and Challenges. Public Administration and Development, p Europe Aid. (2007). Supporting Decentralization and Local Governance in Third Countries, p A process in public administration in which a field office, or official, or a central department or Ministry acquires some degree of delegated authority to make decisions or otherwise regulate operations. The Office or official is accountable to the central department or ministry for these decisions. The main objectives of de-concentration are (I) to improve administrative efficiency, (ii) to enhance service delivery and (iii) to ensure adequate central government representation and supervision at provincial and local levels. De-concentration occurs when local entities act largely as the local agents of central government, manage personnel, expend resources allocated to them by central government authorities and remain accountable to higher levels in the hierarchy doc_final_en.pdf 30 Europe Aid. (2007). Supporting Decentralization and Local Governance in Third Countries, p.15 11

12 These three components of decentralization are interlinked. Thus, in designing, implementing and evaluating decentralization processes, it is important to consider these linkages. On the one hand, poorly articulated roles in local government combined with a deficiency of resource as a result of a not well functioning fiscal decentralization may handicap the local governments and undermine the incentives for local officials and elected officials to perform efficiently 31. On the other hand, if local people participate in decision-making process and at the end they don t see any result due to the lack of resources and the power to deliver services by local government, local peoples may loose the incentives to participate in decision-making and just stop caring about local affairs 32. This is a short overview of the three key components of decentralization and their relations, it does not do full justice to the complex relationships. However, it provides the main point of considering the linkages when designing, implementing, evaluating decentralization. These linkages are not enough for a successful decentralization. There are other prerequisites for a successful decentralization and they are rather are essentially in the process of answering the research question. Therefore, the following part will present the prerequisites for decentralization. 4. General Prerequisites for decentralization This part presents the main prerequisites for an effective decentralization. They are classified under four main categories: Institutional and Legal Conditions Political Conditions Economic and Human Resources Conditions Cultural and Social Conditions 31 Smoke, P. (2003). Decentralization In Africa: Goals, Dimensions, Myths and Challenges. Public Administration and Development, p Ibid 12

13 4.1 institutional and Legal Conditions Under this category a number of conditions are presented. The first one is a Strongenabling framework, in the form of constitutional recognition of local government and strong laws indicating their roles and responsibilities and the overall division of work 33. It is argued that when there are laws and institutions, which assign clear responsibilities and division of work to local government, decentralization will be more effective 34. However, Smoke points out that there are some cases where local government have performed well without this requirement to be fulfilled. The second condition is the Historical Development and Context 35, this refers to the fact that it is important for proponent of decentralization to consider the historical development and context of a given country when advocating for decentralization. Thus, it is essential to analyze whether decentralization has always been part of country s administration or is a rather new approach, a reform from a central based approach of governance to a decentralized system. The assumption here is that in the countries where decentralization has always been a part of their system or once was, it is rather easier to introduce it again or involve the local peoples in the process. For, citizens are already familiar with the concept. But, in the case it is a completely new approach, it would require more efforts and training. The third condition is Decentralization by design 36, the OECD reports based on a study of 19 countries reveals that countries with positive result had a decentralization by design, this means that the government has initiated the process and believes in the benefits of decentralization, strongly backed the process and strengthened empowerment at the local level. In this context, the role of the local government changes from mere provision of services to promoting-socio economic development 37. The fourth condition is the Policy coherence 38 ; it is argued that decentralization policies are more successful when they are part of broader agenda of government reforms, i.e. economic liberalization and democratization. Thus, some degree of coherence between different policy and actors involved is of high relevance. 33 Smoke, P. (2003). Decentralization In Africa: Goals, Dimensions, Myths and Challenges. Public Administration and Development, p Ibid 35 Stephen, J. & Tiderman, P. (2004). Local level service delivery. Decentralization and Local Governance: Comparative Study of Uganda, Kenya and Tanzania Education, Health and Agriculture Sectors. Word Bank, p ibid, p Ibid 38 OECD. (2004). Lessons Learned on Donor Support to Decentralization and Local Governance, p.24 13

14 4.2 Political Conditions The political will, this refers to the commitment of the government and the central bureaucracy (civil servants) to decentralization. The political will can come from the central government or forced to it by public pressure for democratization. Crook identifies political will as the main prerequisite to a successful decentralization. After comparing a number of African countries, he points out that in many African countries the ruling elites use decentralization to create and sustain power bases at the local level and that central bureaucracy may not co-operate just because it wants to retain power 39. Thus, political will is one thing, but one should always look to the ideology and intention behind government commitment to decentralization. Transparency and participation 40, this refers first to the flow of information from central government to the local government, from local to the central government, and from local and central governments to citizens. An OECD study on 19 countries reveals that the good performers in decentralization have a good flow of information, i.e. through media in South Africa and regular government statements in India 41. The participation refers to the involvement of the population in decentralization process. This participation of population goes beyond the voting obligation and embraces the creation of democratic institutionalized channels at the local level, which allow the involvement of the population in local affairs. Furthermore, civil society plays an important role in this process, by putting pressure on the governments to provide information and control their action. Moreover, civil society participates and contributes in service delivery and the implementation of national development plan. In short, transparency and participation touch the aspect of accountability, which is very important. It is only when both central and local government are held accountable that decentralization can be sustained 42. Strong competitive political parties, Crook in discussing the decentralization success of India and Brazil, mention an important factor, which is political motivation from strong competitive political parties 43. Competitive Political parties can mobilize the electoral coalitions in favour of specific policies. They can help to educate people on the advantages of decentralizations or help to ensure a well functioning of decentralization through critics and supervision of local authorities. Thus, competitive party elections are key factor in decentralization process 39 Crock, R. (2003). Decentralization and Poverty Reduction In Africa: The Politics of Local-Central Relations. Public Administration and Development, p Ibid, p Ibid, Ibid, Crook, R. (2003). Decentralization and Poverty Reduction In Africa: The Politics of Local-Central Relations. Public Administration and Development, p

15 4.3 Economic and Human Resources Conditions The ability of a country to carry reform, 44, this ability depends on many factors, the availability of resources at the local level. This aspect remains a challenge for many developing countries, as resources are limited at the local level and corruption becomes a threat for the less resources available. At this point the assistance by international development agencies, donors, become important, by proving funds and technical support. The other factor is c) human resource capacity, which refers to educated people that can be active at the local level, and help in the implementation, design and evaluation of decentralization. This is also a challenge for developing countries due to the high number of uneducated people. Furthermore, the willingness may be there but the lack of resources can handicap decentralization process 4.4 Cultural and Social Conditions It is essential to think about cultural and social realities when thinking about decentralization, especially concerning the participation of local people in decision-making aspect. Thus, it is important to adjust to existing local institutions by adapting the institutional mechanism desired by the state to local realities. Societies are constructed to provide a legal and institutional framework adapted to their economic, social and cultural needs 45. If states try to ignore the preexisting institutions or try to replace them, this may result in confrontation between what is promoted by the government and the institutions familiar to local peoples. It is therefore important to know how to take the internal dynamics of the local institutions into account 46. A study on decentralization in different countries in West Francophone Africa came to the conclusion that b) indigenous customs and institutions demonstrate a surprising vitality in adapting to evolving conditions 47. In short, those promoting decentralization should also learn how to support traditional institutions that may enhance decentralization purposes. 44 OECD. (2004). Lessons Learned on Donor Support to Decentralization and Local Governance, p Ouedraogo.H (2003). Decentralization And Local Governance: Experiences From Francophone West Africa. Public Administration And Development Ibid 47 Ibid 15

16 Table 1: General Conditions for Effective Decentralization Institutional and Legal conditions Political Conditions Economic and Human Resources Conditions Strong enabling Political Will The ability of a Country to Frameworks carry Reforms Historical Development Transparency and Availability of Resources and Context Participation Decentralization by Design Strong Competitive Parties Human Resources Capacity Policy Coherence Cultural and Social Conditions Adapting the Institutions Mechanisms by the state to Local Realities Endogenous Customs and Institutions demonstrate a surprising vitality in adapting to evolving conditions One should not see the conditions presented here as the absolute truth. Although they may contain some element of truth, they can also be misleading. It is therefore important to approach these prerequisites with caution; further research may provide more conditions needed for a better decentralization to take place. In addition, looking to the above prerequisites it becomes questionable whether decentralization is a good choice for developing countries, most of the time they lack a good institutional design, the politics and fiscal institutions are not developed. The previous parts provided a general overview of what decentralization is, now the main focus of this thesis, how and under what conditions can decentralization processes enhance local peoples involvement in local development initiatives and local decision- making will be assessed. Involving local peoples in local decision-making and development initiatives has to do with democratic decentralization. Therefore, in order to answer the research question this part will look on how democratic decentralization argues the involvement of local peoples in local decisionmaking and development initiatives and the conditions and characteristics necessary for this to happen. 16

17 5. Democratic decentralization First of all a clear definition of what is meant by democratic decentralization is given. Blair defines is it as the devolution of meaningful authority to local bodies accountable and accessible to their citizens who enjoy full human and legal rights to political liberty 48. Although this is the definition provided in most of the literature on democratic decentralization reviewed here, this definition is rather ambiguous. Therefore, this research will go with the following more explanatory definition: Democratic decentralization is the development of reciprocal relationships between central and local governments and between local governments and citizens. It addresses the power to develop and implement policy; the extension of democratic processes to lower levels of government, and a measure to ensure that democracy is sustainable. Democratic decentralization incorporates both decentralization and democratic local governance In short democratic decentralization does not refer only to the political choice at the local level in terms of citizens electing their local leader. It goes beyond this aspect and entails also the possibility for local government and communities to have a strong influence in the making, implementation, monitoring, and evaluation of decisions that concern them 51. Now that the definition is given, it is relevant to look why is important to involve local people in the local decision-making and development initiatives as is argued by this definition democratic decentralization. 48 Blair, H. (1998). Spreading Power to the Periphery: An assessment of Democratic Local Governance. USAID Program and Operations Assessments Reports No.21, p. VI 49 Democratic local governance is autonomous level of local government, vested with authority and resources, that function in a democratic manner. That is, they are accountable and transparent, and involve citizens and the institutions of civil society in the decision-making process. Democratic local governance looks beyond local government administration and service delivery to institutions and structures that enable people to decide things and do things for them. It emphasizes the presence of mechanisms for fair political competition, transparency, and accountability, government processes that are open to the public, responsible to the public, and Governed by the rule of law Barnett, C et al. (1997). Democratic decentralization. Research Triangle institute, p Kauzya, J. (2007). Political Decentralization In Africa: Experience of Uganda, Rwanda and South Africa. Discussion paper, United Nations, p.4 17

18 5.1 Local people in decision-making: The premises The main premise is that democratic decentralization can enhance participation in decision making of all people especially those that were marginalized by local politics processes 52. The reasoning here is that the government comes closer to the people through decentralization, and if local people are involved in decision-making, this will increase their participation in politics. Consequently, the participation will give them representation in the public offices i.e. local notables, businessmen; labor leaders will find a place in local councils 53. However, this may present a problem, there is a risk that if only local elites gain representation on local government councils, they may serve only own their owns interests. Thus, representation should be seen, as encompassing all people, in the way that local elites do not dominate government local councils. Representation can also give a voice to marginalized people in the community i.e. Women or ethnic minority. Blair in his study on decentralization in six different countries points out that in general minority groups and women have gained representation in local councils 54. On this aspect he mentions that care should be taken not to mistaken the numerical strength of these minority on local governments council and the way their participation and influence in decisionmaking on the same local-councils. Representation will also result in empowerment of local communities; empowerment should be seen as significant voice in public policy decisions that affect their futures 55. Therefore, local policy decisions outcomes resulting from this process would be more efficient in terms of providing more appropriate infrastructures, better living conditions ect. It is also argued that the policy outcomes from empowered local communities can contribute to poverty reduction in the community. However, the research on a correlation between democratic decentralization and poverty reduction is rather weak. The main reasoned advanced for this is that when decentralization occurs local elites get most of the power and keep benefits to themselves or maintain the distribution pattern that existed before decentralization 56. Finally, the participation in decision-making encourages local people to hold local official accountable, this is achieved by government introduction of citizen s oversight in government affairs or control through regular 52 Johnson, G. (2001). Local Democracy, Democratic Decentralization and Rural Development: Theories, challenges and Options for Policy. Overseas Development Institute (ODI), p Blair. (2000). Participation accountability at the Periphery: Democratic Local Governance In Six Countries. World Development, p Ibid 55 Ibid 56 Ibid, p.25 18

19 elections 57. This was a summary of the main premises of democratic decentralization and the involvement of local people in decision-making. These premises will be later tested in the case study to see to what extend they are found to be true in the real situation. Table 2: Local People in Decision-Making: The Premises Participation in decision-making Representation in the Public Offices: -Voice to marginalized people.i.e Women and Ethnic minority Empowerment of Local Communities Hold Local Government accountable The following part will discuss the conditions and characteristics that underline a better democratic decentralization and implicitly the involvement of local people in development initiatives and local decision-making. Some of the conditions are similar to the ones earlier provided as general conditions to decentralization. To avoid tautology reference will be given to the details already provided in case of similar conditions are presented. In short, the main purpose of the coming section is to point out those conditions that are more relevant to an effective participation of local people in development initiatives and decision-making. 6. Democratic Decentralization: Conditions & characteristics The categorization of conditions used in this part will be similar to the categorization applied in the case of general conditions for effective decentralization. The first category, Institutional and Legal conditions remains exactly the same as earlier used, that is why it will not be further developed in this part: Institutional and Legal Conditions Political conditions Economic and human Resources Conditions Cultural and Social Conditions 57 Blair. (1998). Spreading Power to the Periphery: An assessment of Democratic Local Governance. USAID Program and Operations Assessments Reports No.21, p. 6 19

20 6.1 Political conditions The Political Will, this conditions is similar to the one identified under the general conditions for effective decentralization process. The Willingness of central government bureaucracy, civil servants may chose not to co-operate for they want to keep power at the central government level. It is therefore important that they support the process of democratic decentralization and facilitate the process of transferring power, authority, functions, responsibilities and the needed resource 58. If the local government is not facilitated in its work and is rather handicapped by the bureaucracy of the central government, the involvement of local people in decision-making can be negatively affected. In most developing countries local government do not dispose enough resources and have to rely on the central government for support. Therefore, there is a need for co-operation between all levels of governance. In the case where local peoples are involved in decision-making, formulate objectives and they do not get any result due to the fact that the bureaucracy of the central government handicaps their local government, this may discourage them to take part in the process of decision-making. However, one can argue at this point that the popular pressure may induce civil servants to change their behaviour. One should be aware that the last statement is just an assumption and needs some academic and empirical back up. Accountability mechanism in Democratic Decentralization, government employees must be accountable to elected representatives, and representatives must be accountable to the public 59. It could be argued that bureaucrats are accountable to the citizens, however it is better to view this complex relationship from bureaucrat to elected representative to citizens. For, it is the elected representative who must in the end sanction the bureaucrats and it is the population who exert control over the representatives through elections 60. However, this is the theory, the reality maybe different due to different factors. For example, the central government can transfer less authority to the local level, thus, keeping control on the local level. Consequently, this will undermine the authority at the local level, making it difficult to discipline for example bureaucrats in case they fail to their duties. Another factor could be the unwillingness of government employees to be decentralized. Most of the time they are ambitious and do not want to be posted in small towns. Even if decentralization occurs they lobby arrangement to keep ties with their line 58 Kauzya, J. (2007). Political Decentralization In Africa: Experience of Uganda, Rwanda and South Africa. Discussion paper, United Nations, p.6 59 Blair, H. (1998). Spreading Power to the Periphery: An assessment of Democratic Local Governance. USAID Program and Operations Assessments Reports No.21, p Ibid 20

21 ministries. Such arrangements will work as insulation against local control. This will have on impact on accountability of bureaucrats towards the representatives and thus citizens 61. It is just pointed out that accountability is very important in the process of democratic decentralization and the involvement of local people in development initiatives and local decision making. However, this statement would not be complete if we don t also identify some mechanisms on how to ensure accountability in this process. It is a fact that there are different ways to ensure accountability. However, this thesis will present six mechanisms which were repeatedly used in the most literature consulted on this aspect, and also for they are judged to be rather representative of many mechanisms that can be used to ensure accountability Mechanisms for accountability in Democratic Decentralization a) Free faire elections, they are the most direct mechanisms to ensure that those elected are accountable to the citizens. They are essential instruments for popular control; if the citizens are not satisfied with the incumbent representatives they can sanction them by not reelecting them in the next election. This is possible when the whole system is democratic and occurs regularly 62. b) Strong and competitive political parties, they are an important engine to enforce accountability. The party in power can have an incentive to evade accountability, however, opposition parties have incentives to point out the wrong doing of the incumbent government, particularly at the local level or central level 63. This system works when opposition party are strong at the local level. However, following a study of Blair in different African countries, also supported by Crook and Ouedraogo 64, most African countries lack of strong opposition party at the local level. c) Strong civil society, it is defined generally as a realm that exists between the state and the citizens, it is a part of the society that is distinct from the state and market 65. Its role in the accountability is to serve as a watchdog over the state and service providers 66. However, this depends on the political environment in a given country, whether civil society is strong or weak or whether civil society exists at all and if it is able to take on these roles. d) The media, they can 61 Ibid 62 Blair, H. (2000). Participation accountability at the Peripheriy: Democratic Local Governance In Six Countries. World Development, p Blair, H. (1998). Spreading Power to the Periphery: An assessment of Democratic Local Governance. USAID Program and Operations Assessments Reports No.21, p Ibid Crook. (2003). Decentralization and Poverty Reduction In Africa: The Politics of Local Central Relations. Public Administration And Development, pp Ouedraogo.H (2003). Decentralization And Local Governance: Experiences From Francophone West Africa. Public Administration And Development. 65 Michael, E. (2004). Civil Society. Blackwell Publishing LTD. Cambridge, p Blair, H. (1998). Spreading Power to the Periphery: An assessment of Democratic Local Governance. USAID Program and Operations Assessments Reports No.21, p

22 make political news public and enhance transparency. If the public have the information of what their government is doing they can hold it accountable 67. In this way media help uncover what the government bodies have done wrong. However, this also depends on how independent the media are in publishing information, if they are not subject to censure and on how objective in their work they are. d) Public Meetings concerning local problems and decisions 68. The local government at the community level or district level can organize them. The law can require them and for example the local government can subject budget process to public hearings. It is also a way to incorporate public local opinion in local governance and in decision-making. In some cases before taking a decision public meetings exist that help to involve local people in decision-making, this is done before i.e. a project is undertaken and also during the work to evaluate to progress and at the end as a general evaluation, this give an opportunity and power to citizens to hold constantly representatives accountable to their commitment. e) Complaint and formal Grievance procedures, these are mechanisms that allow local people or committees representing local people to monitor the work of elected officials and to redress grievances against them. i.e. if the elected are failing to their duties the local people should be able to launch a complaint against them. This will depend again on the power local people have and whether the procedure formally exists and if it is enforceable. 6.2 Economic and Human Resources Conditions The conditions presented in table 1 on the economic and human resources conditions are also relevant here. However, more information is provided concerning the role of donors in democratic decentralization. Assuming that the local governments lack of resources, donors can support local socio-economic development initiatives through funding 69. They can also take care of the cost related to engaging local people in political actions i.e. Transportation, communication ect. Finally they can also encourage and support poor and marginalized people to take part in collective action 70. They can also help the poor to voice their concern; this can be achieved by connecting them to groups of advocacy, which are more effective in political lobby 71. Donors can also 67 Ibid, p Ibid 69 Johnson, G. (2001). Local Democracy, Democratic Decentralization and Rural Development: Theories, challenges and Options for Policy. Overseas Development Institute (ODI), p Ibid 71 Jonson, g. (2001).Local Democracy, Democratic Decentralization and Rural Development: Theories, challenges and Options for Policy. Overseas Development institute, p.14 22

23 contribute to the creation of a favourable legal and political environment. This involves technical support for framing relevant legislation and policy or establishing networks between national associations of local government from donor and partner countries 72. Furthermore, donors can provide assistance to start implementation of decentralization. This can be achieved through training programs for government stuff and various levels of councils. Donors can also help to deepen and sustain decentralization, for example through funds and cooperation at the local government between donor local governments and partner countries local governments 73. However, it is also argued that donors interventions can also create some problems. For example they can threaten the sustainability of the projects. Partner countries can rely too much on external support without building mechanisms to sustain the programs. One can argue that too much and too long support by donors induces local government to think more in short term. The uncoordinated donors intervention can also handicap the progress of community development initiatives. If, there is no communication and coordination between donors and if the partner country government cannot ensure coordination of donor interventions, donors may finish funding the same projects leaving some other problems in the community untouched. 6.3 Cultural and Social Conditions The conditions presented in table 1 concerning the cultural and social conditions for effective decentralization are also relevant in this case. The new condition added here are the Society and Grassroots Cooperation, this concern especially the community leaderships; they must have the will and the ability to mobilize the community and receive and utilize the power and the authority for socio-economic development of the people 74. The society and grassroots will is needed to ensure a good functioning of democratic decentralization. It can also help to avoid that the local leader abuse power and behave as dictator and jeopardise the local people participation in decision making. 72 OECD. (2004). Lessons Learned on Donor Support to Decentralization and Local Governance, p Ibid 74 Kauzya, J. (2007). Political Decentralization In Africa: Experiences of Uganda, Rwanda, and South Africa. United Nations, Discussion Paper, p

24 Table 3: Conditions for effective Democratic Decentralization Political Conditions Economic Conditions Cultural and Social Conditions Political Will Donor Support Society and Grassroots Co-operation Central Government Bureaucracy Will Accountability Mechanisms: a) Free Fair elections, b) Strong c) Competitive Political Parties, d) Strong Civil Society, e) Media, f) Public Meetings, g) Complaints Formal Grievance Procedures Once again, one should be aware that some of the conditions provided in table 1, are also relevant for table 3. This table points out what has been added as conditions for effective democratic decentralization, particularly in the context of involving local people in local development initiatives and local decision-making. In short, it has been established that the involvement of local people in development initiatives and local decision making is to be considered under democratic decentralization. The main premises of democratic decentralization have been presented and the conditions underlying its success also outlined. It is therefore time to test the theoretical information on a case study: The Rwandan decentralization policy and Ubudehe program, which involves local people in development initiatives and decision-making. However, before that, it is rather important to put together the main conditions already identified. The summary provides general conditions on which the case study will be tested. No new conditions are provided; the following table puts together the conditions earlier identified for effective decentralization and the conditions for democratic decentralization. 24

25 8. General Conditions for Effective Decentralization, local people participation in development initiatives and local decision-making Table 4: Analytical Framework Institutional and Legal Conditions Political Conditions Economic and Human Resources conditions Cultural and Social conditions - Strong enabling framework - Political Will and Central & Government Bureaucracy Will The ability of a Country to Carry Reforms: - Availability of Resources Adapting the Institutional - Mechanisms by the State to Local Realities - Human Resources Capacity - Historical development and context -Accountability: a) Free Fair elections, b) Strong c) Competitive Political Parties, d) Strong Civil Society, e) Media, f) Public Meetings, g) Complaints Formal Grievance Procedures - Donor Support - Endogenous Customs and Institutions demonstrate a surprising Vitality in adapting to evolving Conditions - Decentralization by Design - Society and Grassroots Cooperation - Policy Coherence 25

26 7. Rwanda Decentralization Policy: The role of Local People in Local Development Initiative and Local Decision -Making To have a better understanding about the context of the case, the first part will present some the general facts on Rwanda, what the country has achieved since 1994 since the end of the genocide. This should be seen as background information necessary to understand the context in which, the involvement of local peoples in development initiative and local decision-making was contracted. Furthermore, this part will go on and provide an overview of the Rwandan decentralization process and its linkage with other policies. This is provided, because Ubudehe program was created under the decentralization policy. It is therefore important to have a clear understanding of the decentralization process in order to understand the place and function of the Ubudehe program. 7.1 Rwanda: A general introduction Rwanda is a small country located in East Africa; its neighbour s countries are Uganda in the North, Burundi in South, Tanzania in East and Republic Democratic of Congo in West. Rwanda is an underdeveloped agrarian based economy, with about 90% of the population engaged in mainly subsistence agriculture and some mineral and agro-processing. In 2009, Its GDP was estimated at $5,07 billions, made up by agriculture: 41.7%, industry14.1%, services 44.2% 75. Rwanda is a Presidential Republic, with clear separation of the executive, legislative and judiciary. The country has four main levels of governments: central government, four provinces plus Kigali city, and 30 districts (Akarere). Below districts are two additional administrative levels: 416 sectors (Imirenge) and 2150 cells (Imidugu) 76. The main challenges for Rwanda are, the diminishing agricultural productivity and arable land distribution. Although important, the agriculture sector remains unproductive and the distribution of land is diminishing due to a high rate of birth. Rwanda is a land-locked, with long distances to the ocean ports; this raises both the transport cost for both export and import. Furthermore, Rwanda has an arrow economic base, its main productivity are Tea and Coffee, thus not sufficient for economic growth. Another issue is the weak institutional capacity, it is a fact that great progress has been achieved in the past years, however, it a lot still need to be improved, especially effective governance, skilled human resources, financial facilities. In addition, since public revenues cannot totally finance expenses, Rwanda has to rely more on continued debt relief 75 Central Intelligency Agency. (2010). The world factbook 76 Mailan, M. (2008). Putting aid on budget: A case study of Rwanda, A study for the collaborative Africa Budget Reform Initiative (CABRI) and the strategic Partnership with Africa (SPA). Mokoro, p. 2 26

27 and grant financing by donors. Finally, Rwanda witnessed genocide in 1994, which exacerbated a number of development constraints that existed before The genocide was a result of ethnical divisions ideology between Hutu and Tutsi. These divisions resulted in genocide in 1994 where systematic massacre of 800,000 Tutsis and moderate Hutus was committed in less than 100 days 77. In few words, the consequences of genocide have devastated Rwanda s social, political and economic fabric. In attempt to address these problems and transform the economy, Rwanda has designed from 2002 a set of policies with the expectation of transforming the country from an agrarian subsistence economy into sophisticated knowledge-based society. These policies are presented in a framework called Vision The main objectives of these policies are: a) to transform Rwanda into a middle income country-with per capita income about 900USD b) focus on the agriculture, industry and services c) to reduce population living under poverty line to 25% by 2020, d) to average the population growth rate at 2.7% until 2020, e) increase the rate of literacy to 90% in 20020, f) to increase the average life expectancy to 55 years 78. This was a short introduction to Rwanda and its challenges. The following part will discuss the Rwandan political culture and some of the reforms that have been put in place by the government to strengthen leadership and economic growth in Rwanda. 7.2 Rwanda Political and Economic Reforms Since the end of the genocide in 1994 the main focus of the Government of Rwanda (GoR) has been to transform Rwanda in a modern, strong and united nation, politically stable and without discrimination between its citizens 79. Therefore, since the end of the genocide in 1994, national reconciliation, stability and unity have been the main focus in Rwanda. However, it is claimed that in this process the focus is more on the consensus building centred only on the themes identified by the GoR rather than voluntary participation, which would allow divergent political views. In short, it is argued this attitude puts a limit on voluntary participation of political parties, and undermines the possibility of a strong political opposition, the African Peer Review agrees on this aspect (APRM) 80. The justification given by the Government of Rwanda (GoR) is that it aims at preventing the possible ethnic divisions that caused the genocide of It is also claimed that this political situation does not allow for criticism towards the government Vision Ibid 80 The APRM is an instrument voluntarily acceded to by Member States of the African Union as an African selfmonitoring mechanism. It is a mutually agreed instrument for self-monitoring by participating Member States. 81 Brewer, S et al (2008). Accountability, ownership, and development policy: analyzing the impact of civil society Engagement on Aid Effectiveness. Millennium challenge Corporation. Princeton university, P

28 Furthermore, the political sphere is criticized of having tight control on the media; once again the reasons as the GoR points outs is the role played by the media during the genocide. Media were used as a tool for disseminating the genocide ideology. In short, it is claimed that there is no competition/will to promote media diversity 82. However, one should not take these criticisms for granted, as more research is needed to confirm them. But, APRM, which Rwanda is a member, has mentioned these criticisms in its reports on Rwanda. Rwanda has recently re-elected President Paul Kagame for a next seven years mandate. During the presidential campaign, most of the critics above mentioned were toned by the media and other international organization (Human Right Organizations). However, it is not the focus of this thesis to discuss of these issues. Despite these criticisms, Rwanda government has undertaken some reforms; at the national level the GoR has achieved some political and institutional reforms. These reforms include the nomination of an Ombudsman, Auditor General, Electoral Commission, Commission for Reconciliation, Supreme Council of Judiciary, Agacaca courts for transitional justice for persecuting genocide perpetrators at national level. In a post conflict situation, the GoR has been effective in the process of restoring the state credibility. However, some critics persist concerning the functioning and the status of some of the reforms, for example the Auditor General, which is an independent national institution responsible for the audit of state finances, it is seen as the most competent in keeping the Government accountable. However, the office remains under the control of the executive, this is viewed as being a weakness for the effective functioning of this institution 83. Furthermore, the GoR has also undertaken also economic reforms, especially for budget process and transparency. According to Lienert 84 and the United Nation Economic Commission for Africa (UNECA), Rwanda is on the way to become compliant with the best practice for budget transparency 85. Thus, a number of information on the public finance is available to the public, documents such as the PRSP (poverty reduction strategy policy), now called the Economic Development Poverty Reduction Strategy (EDPRS), quarterly budget execution reports are available to the public, trough government websites 86. Hence, There is a clear communication and formal links between the line ministries and the parliament throughout the budget process. 82 Ibid 83 Brewer, S, et al. (2008). Accountability, ownership, and development policy: analyzing the impact of civil society Engagement on Aid Effectiveness. Millennium challenge Corporation. Princeton university, P Lienert, I. (2004). Choosing a Budget Management System: The Case of Rwanda. International Monetary Fund (IMF), p United Nations Economic Commission for Africa (UNECA). (2005). Assessing Public Financial Management and Accountability in the Context of Budget Transparency in Africa. UNECA Development Policy Management Division, p Ibid, p.31 28

29 Further, a computerization of national-level expenditure exists, which makes data more available 87. However, during the research of this thesis, it has been clear that there is a lack of data due to poor resources and trained people. Concerning the planning and the fiscal management, GoR has also achieved some progress. There is a link between macro-economic framework and the objectives identified in the Economic Development Poverty Reduction Strategy (EDPRS) 88, the key tool making this link is the Medium Term Expenditure Framework (MTEF) 89, it was introduced in 2000 and became an important planning tool, the MTEF was associated with the shift towards program- based budgeting and result -based budgeting. However, since 2004 the MTEF has weakened, but the Ministry of Finance and Economic Planning (MICOFIN), has set out clear objectives to revive it 90. Another link is between planning and budgeting at sector level, but only two sectors have developed a sector strategy, which is used as the basis for the preparation of their budget request: Health and Education. Finally, there is a connection between the planning and budgeting at district level; the district development plans are in line with the EDPRS priorities. Districts produce performance contracts, which outlines their objectives for the coming year. These contracts are signed by each district in collaboration with the President of the Republic and are evaluated quarterly. However, this process was considered not to be well functioning in terms of time and content, improvement were expected from However, due to space limitation and the focus of this thesis the functioning of this process cannot be assessed. This part has presented in few words the political, and economic reforms that GoR has undertaken to ensure stability of the country and economic growth. This is provided as general information and should be seen as background information or contextual information on the Rwandan decentralization policy. Furthermore, this part discuss in general the situation of the media and opposition parties, these were earlier as part of mechanisms that can help to ensure accountability in democratic decentralization. The following part will discuss decentralization policy in general. One should be aware that Rwandan decentralization was 87 Brewer, S et al. (2008). Accountability, ownership, and development policy: analyzing the impact of civil society Engagement on Aid Effectiveness. Millennium challenge Corporation. Princeton university, P Rwanda s Economic Development and Poverty Reduction Strategy (EDPRS) provide a medium term framework for achieving the country s long term development aspirations as embodied in Rwanda Vision 2020, the seven year Government of Rwanda (GoR) programme, and the Millennium Development Goals MTEF is the integration of policy, planning and budgeting within a medium term perspective. An MTEF typically consists of a top-down resource envelope consistent with macroeconomic stability and broad policy priorities and a bottom-up estimate of the current and medium term cost of existing national programmes and activities and an iterative process of decision-making that reconciles these costs with available resources Mailan, M. (2008). Putting aid on budget: A case study of Rwanda, A study for the collaborative Africa Budget Reform Initiative (CABRI) and the strategic Partnership with Africa (SPA). Mokoro, p Ibid, p.5 29

30 designed by the government to to provide a structural arrangement for government and the people of Rwanda to fight poverty at close range, and to enhance their reconciliation via empowerment of local population 92 and this following the genocide of This confirm already one of the general conditions to decentralization, Decentralization by design (ref p. 9) 8. Rwanda Decentralization Policy At the end of the genocide in 1994, the GoR sought to decentralize governance and let people have a strong say in determining their socio-economic destiny. Thus, the proposal for decentralization came from above. In may 2000 the GoR adopted a national decentralization policy and has managed to decentralize the political and socio-economic systems in order to strengthen good governance, increase pro-poor service in quantity and quality, and sustain socio-economic development 93. The decentralization policy came to address a situation that was viewed as not conducive to development. After the independence, Rwanda inherited a politico-administrative structure, which is highly hierarchical, centralized and authoritarian. In this context development initiatives were always seen as an external, imposed act with little or no contextual base, and no sense of local ownership. The majority of the population were not involved in making of decision that concern their livelihood. As a result the population was in general passive and dependent on the central government. There was a lack of transparency and accountability on the management structures at the local levels 94. This situation was not prepuce to economic and social development, as the concerned people's energies were not adequately mobilized to initiate, plan, and implement development action based on locally identified needs. Therefore, a new approach was needed which would identify closely the needs of the population and involve them in this process, the decentralization process. In short, the main objective of the decentralization policy is to is to ensure political, economic, social, managerial / administrative and technical empowerment of local populations to fight poverty by participating in planning and management of their development process 95. It is important to point out at this point that priori to the implementation of decentralization policy other projects had been undertaken throughout the country which provided the background for the decentralization policy to be realized. For example, grass-root consultations 92 Kauzya, J. (2007). Political Decentralization In Africa: Experiences of Uganda, Rwanda, and South Africa. United Nations, Discussion Paper, p Rusuhuzwa, T. (2007). Leadership, Policy-Making, Quality of Economic Policies and Their Inclusiveness: Case of Rwanda, p Republic of Rwanda. Ministry of local governance and social affairs. (2000). Implementation strategy for national decentralization policy, p.4 95 Ibid, p. 6 30

31 were taken countrywide in The results of these consultation indicated that people wanted to have a say in the conduct of the affairs of the state 96. Moreover, the Rwandan decentralization policy aims at strengthening accountability and transparency, by making authority at the local level directly accountable to the community they serve, this would be achieved through linking the taxes people pay and the services they finance. In this context fiscal decentralization is very crucial for the success of the whole decentralization process. In few words as the decision -making is moved to the local authorities they need resources/funds to finance programs that arises form their decision. Therefore, fiscal decentralization started in Rwanda in 2006, most of the resources being transferred to the district level. The Common Development Fund (CDF) was created to support expenditures in district. It receives its revenue both from the government and other partners. In theory the government should allocate 10% of its domestic resources. However, till 2008 only 5% of domestic resources were allocated Annually to the CDF 97. Furthermore, the decentralization policy aims at enhancing the sensitivity and responsiveness of public administration at the local level. In this context, management, financing and control are placed at the local level; this contributes to certain extent at strengthening organizational and capacity structure. Finally the decentralization policy also seeks to develop economic planning and management capacity at the local levels and to enhance effectiveness and efficiency in the planning, monitoring and delivery of services 98. These were the main objectives of the decentralization policy, but, how is the policy being undertaken in order to achieve the objectives planned, the decentralization implementation program (DIP) was divided in three phases and they will be briefly discussed. 96 Musoni, P. (2004). Organizing Decentralized Governance For Effective Grass-roots Service Delivery: Rwanda s Experience, p.6 97 Mailan, M. (2008). Putting aid on budget: A case study of Rwanda, A study for the collaborative Africa Budget Reform Initiative (CABRI) and the strategic Partnership with Africa (SPA). Mokoro, p Ibid 31

32 8.1 Rwandan decentralization policy phases The first phase ( ) created democratic and community development structures and attempted to build their capacities. In this perspective, local councils were elected, relatively skilled personnel were deployed in the local governments and participatory people centred initiatives were established 99. It is in this context that community based organizations involved in the development were created, for example Ubudehe Program. The main challenges during this period were: Inadequate capacity and in competencies at all levels, Inadequate utilities and economic infrastructure in decentralized units, Limited and unpredictable funding, Weak institutional coordination at all levels, Inadequate appreciation of the principles and values of decentralization among elected leaders, and other actors 100 The second phase was from was meant to strengthen and expand the decentralization process by focusing on the service delivery to communities through wellintegrated accountability network. This was done by empowering communities through better participation and involvement in the planning and management of matters concerning them. Following a study of ACCORD 101 (Agency for Co-operation and Research Development), conducted in 2006, the main challenges of the decentralization policy during this period were related to the lack of the sufficient financial provision, resulting to the problem of unpaid workers. The other problem is the lack of general capacity of implementing staff, it was pointed out that the project funding, implementation, negotiation with donors, management of the projects, are done at the district level and that the power remains in the hand of the district. As a consequence leaders do not feel accountable to communities, for the latter are not involved in the decision- making process and are not empowered to came their rights 102. The same report a stress that if no measures were taken to address these issues, there was a risk that the power remains in the district hands, hence, not involving the community. During this period although the political will existed there was some problems with civil servants will. To deal with the situation the GoR launched campaigned through seminars and workshops to 99 Rusuhuzwa, T. (2007). Leadership, Policy-Making, Quality of Economic Policies and Their Inclusiveness: Case of Rwanda, p Republic of Rwanda. Ministry of local government, community development and social affairs. (2004). Rwanda five-year decentralization implementation program ( ): poverty reduction and empowerment through entrenchment of democratic decentralization, p MukarubugaC. (2006). The experience of social forums against poverty. The case of Rwanda. ACORD, p Ibid 32

33 sensibilise civil servants. This culminated in some change in review of decentralization policy, making service delivery and local governance more effective 103. Unfortunately, it wasn t possible to analyze what was changed and whether civil servants really facilitated the decentralization process. However, on one hand looking to the general critics of the political system in Rwanda that it does not allow political opposition, one can therefore assume that civil servants do not have more freedom and space to oppose government policy. On the other hand, one can also assume that civil servants in Rwanda have understood the promise of decentralization and supported it. However, These two scenarios are both assumptions and still needs empirical research to be verified. Thus, for the moment this thesis relied on the information provided by the government and other independent evaluation, all pointing out that civil servants lack resources but do supported government efforts for decentralization. The third phase runs from , its main goal is to reach sustainable economic growth and social development and its purpose is to achieve equitable, efficient and effective pro-poor services and local development in an environment of good governance. 104 This decentralization implementation policy (DIP) is related to Rwandan decentralization strategic framework (RDSF), adopted in August Both DIP and RDSF are aligned to the EDPRS (Economic Development Policy Reduction Strategy). The current DIP has been elaborated to implement the RDSF and addresses all the SAs (strategic areas) of the RDSF. There are five SAs and constitute critical conditions for the consolidation of the Rwanda decentralization process: Effective management and implementation of Decentralization Policy Citizen participation, transparency and accountability Efficiency and effectiveness of Local Governments in local economic development, poverty reduction and service delivery Fiscal and financial decentralization Monitoring, evaluation and management information system 106 The current DIP cover a rather broad range of activities and outputs, however, its main focus is to strengthen local government (LG) capacities and empowering local stakeholders to fulfil 103 Kauzya, J. (2007). Political Decentralization In Africa: Experience of Uganda, Rwanda and South Africa. Discussion paper, United Nations, p Republic of Rwanda. (2008). Rwanda Decentralization Implementation Program (DIP). Ministry of local government, community development and social affairs, p The Rwanda Decentralization Strategic Framework (RDSF) has been developed to guide the Implementation of the Government of Rwanda s policy of decentralization as set out in the 2000 Policy Paper. The RDSF serves as the overall framework of reference for current and future interventions Towards decentralization in Rwanda Republic of Rwanda. (2007). Rwanda Decentralization Strategic Framework. Towards a sector-wide approach for Decentralization implementation. Ministry of local government, community development and social affairs, p. 5 33

34 their role in local development and service delivery. Furthermore, The Program will primarily focalize on developing human resources in LGs, providing them with better logistics and infrastructure, as well as enhancing dissemination and use of national guidelines 107. It is claimed that in this DIP the local governments would be given an important role in its implementation. For, they are the main beneficiaries of the program, and they also share the responsibilities for the execution of the identified project. This involvement of local governments is ensured through the Joint Action Development Forum (JADF) 108, the District Council, and the Community Development Committee (CDC) at national level. Through their representations in the Decentralization Cluster (DC) 109, the Local Government Consultative Forums (LGCF) 110 and the wider National Decentralization Stakeholder Forums (NDSF) 111. The DIP is also connected to other sector in the country at the national and local level in order to reinforce and harmonize current national systems and institutional frameworks. This also helps to foster, better implementation and management of the decentralization process at all levels of governance 112. Therefore, It is relevant to present in short these linkages. It is important to have a clear picture of these linkages. i.e. Policy coherence was identified as one of the conditions decentralization policy process in general. Thus, briefly what are the connections between DIP and other ongoing programs? 107 Republic of Rwanda. (2008). Rwanda Decentralization Implementation Program (DIP). Ministry of local government, community development and social affairs, p Since 2001 Rwanda experimented with multi-actor forums for participatory governance. The Joint Action Development Forums (JADF) are used for planning and monitoring, promoting cooperation between the private sector, civil society and the public sector to advance development at the local level. In 2007 the JADF was made official policy The Decentralization Cluster comprises technical representatives of all organizations (Government; including decentralization focal points and CDF, development partners and civil society) supporting DIP implementation through the DIP basket fund or other related technical and financial. final_for_publishing.pdf 110 The Local Government Consultative Forum will be responsible for assuring alignment of DIP Interventions with core local government and community needs for decentralization management Support. It will also serve to exchange information and best practices between different level of Government The National Decentralization Stakeholders Forum (NDSF) is chaired by the Minister in Charge of Local Government, Good Governance, Community Development and Social Affairs (MINALOC). It is a platform for a wide range of stakeholders to review and ensure dialogue is permanently maintained on implementation of the National Decentralization Policy. final_for_publishing.pdf 112 Republic of Rwanda. (2008). Rwanda Decentralization Implementation Program (DIP). Ministry of local government, community development and social affairs, p

35 8.2 DIP and the linkages to other local and National level At the district level, the DIP is particular linked to District Development Plans (DDPS) 113. The DDPS are tools at the district level which helps to identify, outputs, activities and deployment of resources by the districts to the MTEF (medium term expenditure), the annual budget, action plan. The DDPS are complementary to sector strategies, the RDSF at the national level and the DIP at the local level 114. Furthermore, the DIP is linked at the local level by the District Capacity Building Plans (DCBPs) 115. In short, the DIP is in charge of the overall organization of the DCBPs. At the local level the DIP does not only focus on the District level, it provides also incentives to enable the district to fortify the capacities of lower levels of the administration (Sector, Cell and Village), as well as those of the Citizens, so they can play an active role in local governance and benefit from their rights and liberties 116. At the national level the DIP is linked to the EDPRS and the Public Financial Management (PFM) action plan 117. The DIP contains parts of the PFM action plan such as the implementation of fiscal and financial decentralization and the reinforcement of the grant transfer mechanisms 118. It would be rather interesting to go further and analyses the overall design of the DIP. However, due to the focus and limitation of this thesis it is rather impossible, to do justice to the whole program. But, it is worth pointing out that, the DIP has a clear mechanism of monitoring and evaluations, which involves all levels of government and other stakeholders, namely NGOs and civil society. However, as it will be later argued, monitoring and evaluation remains a challenge in general in Rwanda. In conclusion the national decentralization policy in Rwanda, aims primarily at enabling local people to participate in initiating, making, implementing and monitoring decisions and plans concerning them by taking into account their local needs and priorities. It is in this context that Ubudehe program was created, to promote and enforce participatory centred initiatives. The following part will focus on this program under the decentralization policy, which in short involves 113 The District Development Plans (DDPs) set out a District s long-term vision, goal, objectives and explicit strategies focused on their achievement Republic of Rwanda. (2008). Rwanda Decentralization Implementation Program (DIP). Ministry of local government, community development and social affairs, p The District Capacity Building Plans (DCBPs), which are a new instrument, aimed at directly reinforcing the overall capacities of Local Authorities, so that they are able to successfully implement their District Development Plan and meet their development objectives Republic of Rwanda (2008). (2008). Rwanda Decentralization Implementation Program (DIP). Ministry of local government, community development and social affairs, p The PFM reform s central aim is to modernize Rwanda s PFM infrastructure, regulatory framework, policies and systems at central and local government levels. final_for_publishing.pdf 118 Republic of Rwanda. (2008). Rwanda Decentralization Implementation Program (DIP). Ministry of local government, community development and social affairs, p

36 local people in local development initiatives and decision-making. The main attention will be on the structure and functioning of the program, the intention is to find out how it ensures the involvement of the citizens in making, implementing and monitoring decisions and plans concerning them. 9. UBUDEHE PROGRAM The Ubudehe is the traditional Rwandan practice and cultural value of working together to solve the problems 119. The meaning of this word is rooted in Rwanda culture, the literal origin of the word ubudehe describe the practice of digging fields before the rains come and the planting seasons arrive, this word was chosen as reminder that collective action and participatory development are very rooted in Rwandan society 120. In short it is a Rwandan traditional cooperative mechanism. The GoR restored this mechanism to reduce poverty and also as a support for community rebuilding in the wake of the Rwanda genocide and civil war in The main objective of the program is to revive and enhance the collective action at the community level. Thus the program aims at putting in place a durable system of intra-community cooperation trough collective action which creates communal discussion forums for implementation of long-run development activities 121. The result expected from this are: to foster ownership, trust and confidence between the members of the community. To achieve this result citizens are initiated to self-evaluation process. This process allows communities to assess themselves what their needs and priorities are. Thus, bringing community together in this way strengthen community spirit, which was destroyed by the divisive ideology leading to the genocide in The first initiative of this program began in Butare one of the country s provinces with an amount of US $ 1,9 million given by the EU, following a positive evaluation in 2003, the program was rolled out nationwide in Furthermore, the EU has funded the two other phases of the program ( and ). This analysis will focus on the period , it is based on the different evaluations done in this period, such analysis will help to understand how the program improved through the time and what are the current challenged and achievements. From this, one can formulate some recommendations. 119 Republic of Rwanda. (2002). Ubudehe to fight poverty. Ministry of local Government and social affairs. 120 Hitayezu, F. & Mehrotra, N. (2008).Ubudehe exploring collective actions. Action aid, p Delegation of the European Union In Rwanda. (2003). Audit Evaluation of the Ubudehe mu Kinyarwanda Ubukene poverty Reduction Programme. KPMG Business Advisory Services, p Ibid 36

37 9.1 Involving the citizens. Ubudehe is targeted to the lowest level of administration Imidugu. In order to help effectively identify the categories of poor in Rwanda the government has identified six categories of households, the following table provides more data. Table 5. The characteristics of households in Rwanda Source: The Government of Rwanda Poverty Reduction-strategy Paper, June 2002, p.15 The government has identified these six categories of households in order to help the communities assess categories of poverty in their cellule/village. From these categories the population can develop an action plan on how to tackle poverty in their communities. The Ubudehe process is made of two processes, one at the cellule level and the other at the household level. The following table identifies briefly the ten steps followed at the cellule/village level. 37

38 9.2 Ubudehe at the Cellule level Table 6. Ubudehe at the cellule level Step 1: The training by the Common Development Fund (CDF) of facilitators aiming at supporting the community in their Ubudehe approach Step 2: With the support of those facilitators the community share their understanding of poverty, its causes and consequences and also determine the categories of poverty/wealth in their community and how they categorize in this context Step 3: Mapping exercise by community who establish their community in detail: household s heads, social categories, type of shelter, existing development and social infrastructures, landmark in the cells or villages such as water points, schools, roads, ect Step 4: The community members identity and analyze problems they are facing, prioritizing five of them through preference scoring. From this list of five priorities, the community identify the most important one for collective action, list the related activities to be carried out, determine the corresponding resources needed and all members endorse the strategy/action plan by signing off Step 5: Community members than elect a Management or Executive Committee to implement the process and a Control Committee to provide any corrective action. The members of the Cells Committee Development, responsible for the committee development are also members of those committee Step6: The community establish the rules, which will govern their project, i.e. the number of families that will have to work on it, the timing of the project, the sanctions in case the rules are not respected. Step 7: The community opens a specific Ubudehe bank account at the Union Banques populaires for the project to be implemented. This account is opened with the funds originating from contributions of the community itself, which, as emphasized by the CDF, this develops a spirit of appropriation and mutual control Step 8: The strategy/action plans of all the villages are consolidated at the Sector level, which performs a relevance testing, before being forwarded to the District level. Step 9: The District consolidates approved activities from all the Sectors, prepares a summary and forwards this to the CDF to release funds to the village account Step 10: After receiving the funds, the project is implemented with the contribution in kind of the targeted beneficiaries. Source: European Commission. (2009). Evaluation et analyze ECOFIN conjointe des programmes Ubudehe et APPUI AU DISTRICTS du DPRPR (Decentralized Program for Rural poverty Reduction), p. 15 As mentioned in the table, community trainers who are representatives of the community itself facilitate the above process. The trainings are provided by the help of the common development fund (CDF) 123. A first group is trained at the district level and in turn this group provides training at the cellule level. The training focuses on various topics such as the approach to development, understanding poverty from local perspective, understanding local problems, their prioritization and developing solution or understanding households poverty 124. The training aims at fostering 123 The Common Development Fund (CDF), is a Government owned fund set up to support the implementation of decentralization policy, a policy which the Government of Rwanda considers as the main strategy to achieve good governance and sustainable economic development, and as a weapon of higher caliber to fight poverty. The Common Development Fund (CDF) has the mission of financing Districts and Kigali City development efforts, with at least 10% of the annual national revenues allocated to the Fund European Commission. (2009). Evaluation et analyze ECOFIN conjointe des programmes Ubudehe et APPUI AU DISTRICTS du DPRPR (Decentralized Program for Rural poverty Reduction), p

39 sustainability of the entire program at the grassroots level. During the period a total of 30,328 people have been trained by the campaign Ubudehe, and during the first phase, , a total of 18,758 were trained 125. The other step that needs more clarification is the opening of the account by the community and the transfer of the money to the cellules/ villages accounts. The following graphic gives an overview on how the transactions are conducted, Figure. 1 Ubudehe Funds Flow Source: Ubudehe voice of the poor with hope. Presentation of Ubudehe initiatives in Rwanda at United Nations Public services award 2008 ceremony. New York As the graph shows the EU and the GoR transfers the funds to the National Bank of Rwanda, on the CDF-Ubudehe account, as the CDF is in charge of managing the entire process of Ubudehe. Each village has an account at the Union des Banques Populares Rwandaises (UBPR). Once the action plan provided by the community have been approved, the cash are released on their account, and the implementation of the projects can starts. In , 14,043, were given to Ubudehe. In this period a total of 25,383 were funded (8,461 community funding and 16,922 households projects). In period 1, 229, were committed and paid. A total of projects were funded (14,837 community funding and 14,922 households funding) 126. Furthermore, the funding allows only a maximum of Franc Rwandais (FRW) per cell/village, which is equivalent of 900. In order to have an idea of how this process function, it is relevant to illustrate with an example. This example is outlined in the Poverty Reduction Strategy 125 Ibid, pp European Commission (2009). Evaluation et analyze ECOFIN conjointe des programmes Ubudehe et APPUI AU DISTRICTS du DPRPR( Decentralized Program for Rural poverty Reduction), p

40 Plan assessment done in 2002 by the GoR in collaboration with the EU. However, in this thesis, a summary will provide in form of table. An example of Ubudehe process in Sholi Source: The government of Rwanda (2002). Poverty Reduction strategy, p , in Dunbar.J (2004). Ubudehe & The Kecamatan Developments Projects. Case study and comparative analusis, p. 9 This part gave an insight on how poverty is assessed by the community and how the funds rich the community, the following part will present briefly the Ubudehe process at the household level. 40