Private Sector and Community Safety in Latin America and the Caribbean
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1 Private Sector and Community Safety in Latin America and the Caribbean Flávia Carbonari World ldbank Sustainable Development Department Latin American and the Caribbean Region ICPC Colloquium, February, 2012
2 Outline of Presentation 1. Context 2. World Bank s Approach to Community Safety in LAC 3. Public Private Partnerships and Community Safety: a Guide to Action 4. Private Sector engagement in the UPP Program Rio de Janeiro, Brazil 5. Challenges & Limitations of Private Sector Engagement in Prevention
3 1. Context
4 Homicide rates by country, LAC (UNODC 2011) Source: UNODC Context World Bank s Approach and activities in LAC The Guide on Public Private Partnerships and Community Safety Case study: UPP Program in Brazil Ch ll & O t iti f Pi t S t Challenges & Opportunities for Private Sector Engagement
5 Costs on Welfare and Public and Private Expenditures Firms security costs and losses due to crime as percentage of firm sales (2006) 4.5% 3.9% 4.5% 37% 3.7% l Salvador E Guatemala a Honduras Nicaragua 3.1% Panama 2.5% 5 CA coun ntries Latin Ame erica 2.8% Security costs Losses Source: Crime and Violence in Central America: A Development Challenge. World Bank 2011.
6 2. World Bank s Approach to Community Safety in LAC
7 Key Areas of Work Analytical work Operational engagement Advisory services/technical assistance Capacity building Strategic partnerships
8 3. Public Private Partnerships and Community Safety: Guide to Action
9 Public Private Partnerships and Community Safety: A Guide to Action World Bank and InstitutoSou da Paz (2010): Public private partnerships and citizen security in Latin Lti America and the Caribbean ICPC (2005): Sharpening the Lens: Private sector participation in crime prevention Bogota Chamber of Commerce: Practitioner s Bogota Chamber of Commerce: Practitioner s Perspective
10 Why a guide dedicated to the private sector? Affected by violence and crime, companies are engaging in prevention Unique q position to contribute to the welfare and security of communities: New player that can bring innovation Transfer of knowledge Resources Political power Potential to increase sustainability of project Companies seeking new ways to contribute Initiatives that can be built upon Lack of reference materials to support them in this area
11 Types of private sector involvement in prevention
12 Trends of private sector engagement in community safety in LAC Most operate at the local level Type of participation: Most mixed participation andinvolving cash donation Partners: Preference to donate and participate in projects led by CSOs Beneficiaries: Emphasis in vulnerable communities and youth Types of projects: community mobilization, education, training
13 How can the public sector and civil society organizations engage the private sector in specific interventions? Safety audits and mapping Mapping the business network Mobilizing the private sector Establishing the partnership Monitoring & Evaluation Accountability mechanisms
14 4. Private Sector Engagement in the UPP Program, Rio de Janeiro
15 The Case of the UPPs in Rio de Janeiro Context t Two decades of drug trafficking control of slums (favelas) in the city Lack of basic services and state presence High levels of crime and violence, stigmatization a divided city Upcoming events and massive investments created the perfect momentum for a coordinated new effort to restore citizen security
16 The Case of the UPPs in Rio de Janeiro UPPs Police Pacification Units (2008) Permanent presence of new and specially trained police within the selected favela communities Disarmament of the drug traffic, reduction and control of crime and violence. Social UPP Phase II Coordination mechanism that maps government, private sector, and civil society programs/interventions and channels them towards specific goals Long term social ildevelopment of the favelas.
17 Importance of the Private Sector for UPP efforts Financial i resources (equipment, police training, i social il activities) Ensure that the program would be resilient to political changes Mobilization of media and citizen support New approach: from handouts to beneficiaries to investment in potential consumers
18 Private sector involvement in pacified favelas 95 initiatives as of December 2011 (in contrast to 7 in 2008) Types of Intervention 63 mixed Main Beneficiaries 40 targeted the entire community, 26 specifically youth Most common types of projects 46 focused on education and access to information 31 on productive inclusion and income generation 30 on cultural and sports activities 13 focused directly on security: 7 targeted the police, 3 conflict resolution Partners 75 carried out in partnership with the government (municipal, state, or federal)
19 Private sector incentives to invest in UPPs areas Unique opportunity to play an active role in the development of the city Access to new consumer markets Opportunity for regularization of services Invest in potential labor force for booming sectors of the economy
20 5. Challenges and Limitations of Private Sector Engagement in Prevention
21 Challenges and limitations Challenges Lack of private sector knowledge about community safety Reluctance to be associated with perceived negative causes Expectations of immediate results Lack of trust in the public sector Limitations Not part of the private sector mandate Pi Private interests t
22 Conclusions Private sector is a new key actor, in a unique position to contribute tib t to prevent and reduce crime and violence Need to disseminate practices that have worked and promote knowledge exchange Multiple opportunities for further engagement
23 Thank you
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