Decentralisation for Development

projekt beendet

Context Despite solid economic growth, in 2006 around 64 per cent of Zambians were still living below the poverty line. Due to the inadequate provision of public services, large sections of the Zambian population have still not benefited from the economic upturn. Particularly in rural areas, the lack of opportunities for political participation means it is difficult for people to help shape development-oriented policies. Decentralisation has been at the top of the agenda since the change of government in 2011. However, there is a lack of personnel and organisational capacities to plan and implement this complex reform process.Objective Zambia’s decentralisation policy has strengthened local council administrations for the central role they play in development and service delivery.Approach The programme supports various different partners in developing the capacities they need to the transfer of functions and decision-making powers to local authorities (devolution). At the national level the programme advises the Ministry of Local Government and Housing, the Ministry of Finance and other line ministries. At sub-national level it advises the local authorities of the Southern Province. The programme is cooperating with its partners to address the following issues.• Legislative reform and sector devolution• Monitoring of the decentralisation process• Accountability• Local development planning• Local financial management• Fiscal decentralisationResults achieved so far The programme has supported the revision and development of relevant policies and plans for decentralisation. A new implementation plan was finalised in mid-2013, which sets out the necessary steps in achieving the National Decentralisation Policy. Two of six sector devolution plans have so far been finalised, with direct support from the programme. These plans are being prepared by the line ministries in the sectors earmarked for devolution; they define the specific functions, financial resources and personnel to be transferred.To improve the planning capacities of council administrations still further, the programme has assisted with the countrywide use of geographic information systems (GIS). In three provinces GIS units have received training. These are able to advise councils on the introduction and use of GIS. In several provinces, additional GIS working groups have also been formed. The use of GIS will not only improve capacities for physical planning, it will also have an impact in many other areas of planning, such as strategic planning and financial planning.Council budgets have traditionally covered a period of one year, and focus on the procurement of goods needed. Since 2009, medium-term expenditure frameworks and activity-based budgeting have been introduced, starting with seven councils. In 2012 and 2013, this system was rolled out to include 66 of the country’s 103 councils. The quality of the budgets of the councils advised by GIZ has since been rated as above average by the central government.Following the provision of advice on fiscal decentralisation, grant allocations from the central government to the district level almost doubled in 2013, from 257 to 498 million Kwacha (approx. EUR 62.4 million). For the first time, local councils are now entitled to a share of revenues from income tax (four per cent) and tax on mining (2.5 per cent). A study on the financing of local authorities in Zambia also includes specific reform proposals, some of which will already be introduced in the 2015 budget.The project has advised the partner councils on the cross-cutting issues of gender, HIV/AIDS and participation. More than half of the local authorities supported have now introduced action plans on gender and on HIV/AIDS. Moreover, they have used participatory planning and budgeting mechanisms for the first time, in preparing the 2015 budgets.

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