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Presented at: , World Bank October 2008

Presented at: , World Bank October 2008. Strengthening WBG Engagement on Governance & Anti-Corruption: Year One Implementation. Presented by: Brian Levy Head GAC Secretariat. GAC for Development. Principal GAC Purpose: Enhance Development Effectiveness “don’t make the poor pay twice”

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Presented at: , World Bank October 2008

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  1. Presented at:, World Bank October 2008 Strengthening WBG Engagement on Governance & Anti-Corruption: Year One Implementation Presented by: Brian Levy Head GAC Secretariat

  2. GAC for Development • Principal GAC Purpose: Enhance Development Effectiveness • “don’t make the poor pay twice” • Multistakeholder engagement key to GAC reform & development outcome • GAC contributes in diverse ways to development impact • Better procurement: Bali urban infrastructure project • 31% cost savings for infrastructure • Reduced malnutrition: Maharashtra community monitoring pilot • 10 percent increase in healthy children in under one year • Civil service reform in Macedonia • Meritocratic recruitment: 37% (2004); 64% (2007) • Community prioritized & monitored infrastructure in Indonesia • $1.6 billion; 34,000 villages; 30% lower cost; now national poverty program

  3. GAC in Projects, 2008 • Four dimensions of holistic risk management • Upstream diagnosis to identify GAC constraints • ‘Defensive’: strengthened fiduciary controls in design & implementation • ‘Proactive: enhanced transparency, participation, 3rd party monitoring • Informed risk-taking – including high-risk, high-return • Philippines 2nd National Roads Improvement Project • 2nd opinion from special independent procurement evaluator • Capacity enhancement of Dept of Public Works & Highways, including: procurement controls (bid rigging) audit capacity • NGO group, Road Watch, to provide independent oversight on all roads sector contracting • Bank doubles supervision funding • Kenya Aids: NGO transparent, performance-based selection process • India Orissa Rural Livelihoods: Right to Information synergies

  4. Implementing GAC From Country Strategies to Development Outcomes Country Strategies (CGAC) GAC in Sectors GAC in Projects Development Outcomes: Services, Regulations, Control of Corruption

  5. Year One: Mainstreaming GAC in Country and Sector Strategies • The CGAC Process • “A country-team led process to identify, deepen, systematize and mainstream governance engagement” • Model good practice as path to mainstreaming • 27 countries @ $100k (one-third very proactive) • Multistakeholder engagement (50%); diagnostics (75%) • GAC in Sectors • Slower to engage, but important shift by year-end • Peer learning networks (infrastructure; HD; natural resources) • GAC diagnostics support operational agenda-setting • Toolkits, sourcebooks etc • Sectoral example: pharmaceuticals

  6. Cross-cutting: Adding the Demand-side From Country Strategies to Development Outcomes Country Strategies (CGAC) Demand Side GAC in Sectors GAC in Projects Development Outcomes: Services, Regulations, Control of Corruption

  7. Year One: Mainstreaming the Demand-side • CGAC Multi-stakeholder engagement • Bangladesh, Democratic Republic of Congo, Honduras • The Project Demand-side: • Transparency, participation, 3rd party monitoring • Other Year One Demand-side Initiatives • Community of practice • Draft legal guidance • Initial steps to portfolio coding, benchmarking and tracking

  8. Cross-cutting: Adding Country SystemsFrom Country Strategies to Development Outcomes Country Strategies (CGAC) Demand Side GAC in Sectors Country Systems GAC in Projects Development Outcomes: Services, Regulations, Control of Corruption

  9. GAC Mainstreaming: An Integrated Approach • Strengthening Country Systems is a GAC Priority • Country Procurement Systems pilot (year 2 priority) • IEG reviews • Good news on public expenditure and financial management • Mixed findings for civil service reform and decentralization • Governance Council catalyzes reform agenda • Putting it all Together • Country program combines these many elements: “no one size fits all”

  10. Adding Upstream Initiatives Actionable Governance Indicators (AGIs) Global Country Strategies (CGAC) Demand Side GAC in Sectors Country Systems GAC in Projects Development Outcomes: Services, Regulations, Control of Corruption

  11. Year One: Progress on AGIs and Global • Progress on Actionable Governance Indicators • Outreach to foster use of existing AGIs • Public Expenditure and Financial Accountability (PEFA); 73 countries completed; 38 published (up from 6 in 1/08) • New AGIs being developed (Human Resource Management; education; health) • Global GAC Initiatives • StaR • Support for Construction (Cost), pharmaceuticals (MeTA) • Learning – governance and development impact

  12. Priority Implementation Challenges for Year Two • Strengthened quality management vis-à-vis GAC • Regional vice-presidencies, IEG, QAG • Consolidating GAC-focused communities of practice • Strengthen monitoring of GAC-related progress • Coding and tracking demand-side • Framework for country-level progress assessment • Building knowledge and learning platform • Good practice for development effectiveness • ‘Big push’ on country procurement systems => Systematizing and scaling-up good practice is the overall priority

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