1. Implementation of decentralisation support: Donors as change agents Harmonisation, Decentralisation and Local Governance

2. Session Overview 1. What is needed to effectively support LGD? LGD as a complex and open system. How to support these? How to support LGD through sector support? DPs as change agents

3. Session Overview 2.Three focused discussions Policy dialogue Capacity development Financing modalities for Local Governments

4. LGD as a complex and open system Decentralisation as an open system

5. LGD as a complex and open system broader state reforms are needed Broader Societal Reform State reform Governmentality

6. LGD as a complex and open system Building innovation capacity for social change Learning Alliances Policy Dialogue Multistakeholder engagement Action Research Knowledge networks Social Learning Interactive Knowledge Processes Researchers Policy Makers Entrepreneurs Community Leaders Practitioners Activists Citizens Media Educators Politicians Context To Improve Shared Understanding Collective Action

7. How to support? Supporting decentralisation and local governance in third countries, EuropeAid, 2007

8. How to support? Supporting decentralisation and local governance in third countries, EuropeAid, 2007

9. How to support - Key Principles for Balancing support Central level Local level Capacity development support at all levels Stimulating execution of discretionary powers Apply principles of subsidiarity Propose new accountability mechanisms Involving different actors Recognising specificity of sectors Supporting sector ownership & donors coordination

10. How do you think change takes place? Paradigms 1. Change as power plays and conflicts of interests  getting everyone on the same wavelength is a change in itself 2. Change can be planned, rational design of change process 3. Change happens if you guide people in the right direction and reward them for changing (creating incentives) 4. Change is the result of organisations and society learning continuously 5. Change is autonomous and everything is in motion: chaos thinking, network and complexity theory. No one can influence change

11. So what competencies do you need as a change agent? 1. Ability to operate in complex arena of interests 2. Technical expertise, rational and causal thinking 3. Design appropriate carrots and sticks to change peoples behaviour 4. Establish continuous learning in collective settings 5. Understand irrationalities, underlying drivers and patterns

12. Change: Control or Emergence?

13. Donor organisations as agents of change Capacities to act as a change agent Capacity to ensure coordination, complementarity and coherence Adapting management approaches, processes and procedures Becoming a learning organisation Supporting decentralisation and local governance in third countries, EuropeAid, 2007

14. Our capacity to change issues Day 1 discussion – changing the mouvement of the iceberg. Budget uncertainty hampers predictability and continuity of support Human factor: Competencies to bring about change? Sector support and decentralisation mutually enforcing? Harmonisation & Alignment: DPs mandates HQ-national office differ DPs accountable to their respective parliaments – we need to come with quick and sexy results Learning approach à la Madagascar too risky. Room for learning and innovation? Our vision to change? Political Economy analysis - do we have the same perceptions about change?

15. Group work 1. Three focused discussions 1. Policy dialogue 2. Capacity development 3. Financing modalities for Local Governments

16. How to bring about change? Policy dialogue How can policy dialogue trigger change? Policy dialogue How can policy dialogue trigger change? Capacity development How can capacity development sustain this desired change? Capacity development How can capacity development sustain this desired change? Funding modality How can funding modalities support this desired change? Funding modality How can funding modalities support this desired change? How can donors be agents of change?

17. Questions for plenary How can donors be an agent of change? How can policy dialogue trigger change? How can capacity development sustain changes? How can funding modalities support these changes?

18. Thank you for your attention!