Localising SDGs Political dialogue DeLoG , 16th May 2017   DEVCO B2

2015-2030 2000-2015 LOCALISE SWAP

TERRITORIAL APPROACH TO DEVELOPMENT EQUITY Private sector GROWTH SOCIAL COHESION Dissagregated data Improve efficiency use DECENTRALISATION INTERGOVERNMENTAL SYSTEMS INDICATORS LOCAL PERSPECTIVE Political economy National governments TERRITORIAL APPROACH TO DEVELOPMENT PARTNERSHIP Context SDG GOALS IN LOCAL PLANNING Local authorities Spatial redistribution Development friendly Civil society Additional resources AUTONOMOUS ACCOUNTABLE LAs ADRESS INEQUALITY Monitoring

TERRITORIAL APPROACH TO DEVELOPMENT EQUITY Private sector GROWTH SOCIAL COHESION Disaggregated data Improve efficiency use DECENTRALISATION INTERGOVERNMENTAL SYSTEMS INDICATORS LOCAL PERSPECTIVE Political economy National governments TERRITORIAL APPROACH TO DEVELOPMENT PARTNERSHIP Context SDG GOALS IN LOCAL PLANNING Local authorities Development friendly Civil society Additional resources AUTONOMOUS ACCOUNTABLE LAs ADRESS INEQUALITY

NATIONAL LEVEL – EU PROGRAMMES local development 2002–2014 EU support in decentralisation, local governance and

NATIONAL LEVEL – EU PROGRAMMES EU 2014–2020 Programming Cycle: Local Dimension POLICY DIALOGUE Operational & strategic policy dialogue with primary stakeholders of reforms Politically feasible: commitment to territorial development & LA empowerment Pragmatic approach which combines top-down and experimental bottom-up approaches Right aid modality mix…impact on policy, institutional, development …3 types of budget support, smart projects, thematic programme LA-CSO Right aid modality mix…implement existing policy (institutional / development) & improve/innovate existing policy - These two processes may call for different aid modalities and would benefit from being viewed as both distinct and connected (dual track) There is often a partial or evolving national commitment to decentralisation reforms, it is therefore appropriate in DLGTD interventions to distinguish between: Support to national DLGTD policy implementation i.e. implementing existing policy: budget support operation with its attendant package of financial transfers, capacity development and policy dialogue – this operational policy dialogue will assess development results and expected outcomes against the performance assessment framework (PAF)……focus on fiduciary risk & PFM, funds might remain stuck at central level – when national commitment to decentralisation and territorial development are strong but there is a lack of financial resources and capacity bottlenecks… It may effectively contribute to the implementation of the agreed policy. Disbursement conditionalities may create incentives for: translating the national DLGTD policy into detailed and implementable programmes adopting greater discipline in monitoring such programmes and learning from them Or securing, through the involvement of the finance ministry, better sustainability prospects for the DLGTD policy. In many cases, this may reveal issues not only of implementation, but also limitations of the agreed policy itself and corresponding deeper institutional problems. Systemic constraints of the policy and institutional environment are often the root cause. DLGTD interventions should help identifying these constraints and in providing a framework for addressing them… This brings us to support to national DLGTD policy development and innovation – through smart projects. In order to tackle these wider policy and institutional issues, a policy dialogue of a more strategic and forward-looking nature is required instead of the operational dialogue associated with budget support. Focus on supporting national policy development and institutional innovation from the bottom up. Project approaches to support selected issue-driven operations that foster local experimentation of scalable institutional innovations first to make the most of existing policy frameworks and then to demonstrate the need, and build the constituency, for further policy reform. A safe space should be created where innovative policy and institutional solutions can be experimented with locally, with external aid bearing the costs of experimentation and acting as catalyst of local collective action. Both sources feed into a more realistic and strategic policy dialogue and contribute to feasible and incremental policy reforms from the bottom up. Projects targetting the national level from out thematic programme budget line for CSOs and LAs: Promoting a better informed societal dialogue on decentralisation, urban and rural development policies Strengthening the capacity of LA associations to advocate for expanded LA autonomy and accountability ….3 TYPES OF BS: BS According to the European Union’s (EU’s) revised budget support guidelines and a recent methodological note on ‘Providing EU budget support in decentralised contexts’ (EC, 2016), three types of budget support may be considered with regard to supporting decentralisation, local governance and territorial development (DLGTD) - depending on the type of budget support an adapted type of policy dialogue will be adopted that will have an impact on localising SDGs ■■ type 1: budget support to decentralisation reforms and local authority systems development Strategy/legislation adoption Systemic changes: architecture of sub-national systems of governance and public administration, functional assignments, resources across levels of government, human resources management systems and assignment Empowerment of front line service delivery agents Intergovernmental grant systems – LAs as agents for development ■■ type 2: budget support to decentralised service delivery; Deconcentration of programme management responsibilities to sub-national branches of central agencies – sector reform contracts Effective forms of contractual delegation of key planning and implementation tasks to LAs - operationalises the concept of multi-level governance and enables LAs to bring their comparative advantages to bear in the achievement of national goals. ■■ type 3: budget support to place-based development to implement LA territorial development policies/ plans =>To be carried out jointly with the directly affected LAs, the ministry of finance and other relevant central agencies: dialogue on policy, financial transfer, capacity development support measures, performance assessment framework (PAF) / implemented by associated LAs Strong national policy commitment to territorial development High degree of local autonomy Effective mechanisms of LA accountability Well-developed institutions for financial compliance and effective controls Real-world programmes may contain selected elements of any of these types, or may combine them with elements of the other two.

ALL LEVELS: VOICE LOCAL AUTHORITIES (… CIVIL SOCIETY) POLICY DIALOGUE PLATFORMS EU & other stakeholders with a policy impact Structural dialogue for efficient partnerships in development '10-'11 Budapest Declaration - COM 2012, 2013 Policy Forum on Development '14 Latin America, '15 Asia, '16 Africa, '17 Global, '17 Europe tbc CSO Forum '16 – Partnership Forum '17 (CSO – LA) Assisses of Decentralised Cooperation '09, 1st -'17, 5th edition Partnership Framework Agreements Since 2015 With 5 Associations of Local Associations ALAs work can have an impact on global, regional and national levels Global Partnership Initiative 14 on LA in development effectiveness processes