GAPS IN CIVIL SOCIETY PARTICIPATION IN POVERTY REDUCTION STRATEGIES IN MALAWI

1. GAPS IN CIVIL SOCIETY PARTICIPATION IN POVERTY REDUCTION STRATEGIES IN MALAWI MAVUTO BAMUSI Malawi Economic Justice Network

2. Key Areas of Focus • Levels of participation in the Malawi PRSP • Participation in the transition policy document (MEGS) • Involvement of civil society in MGDS • Link between Millennium Development Goals and the second PRSP

3. MEJN • Is a coalition of CSOs promoting participatory economic governance • Civil society defined as entities that not state, private sector and the family • MEJN formalized in 2000 carrying a much broader mandate of the Jubilee campaign • Mobilized CSOs around Malawi PRSP • Project: Economic Literacy, Budget-PRSP Monitoring, Trade Justice

4. Participation in MPRSP • Bumpy start, CS not accepted, information less provided, and CSOs agents of opposition • But MEJN broadened CS participation, lobbied extension of timeframes • MEJN won battles over CS participation in actual drafting, and CS reps were assigned to lead in drafting crucial pillars like human capital development, safety nets, governance, and safety net.

5. Challenges in PRSP formulation • Policy engagement was relatively new to CS • Lack of adequate knowledge and skills led to “participation by mere observation-and then tea break!” • Some government officials took advantage to structurally dismantle and disenfranchise CS with unnecessary use of technical jargon • Macroeconomic Frameworks were the no-go zone area for CS save for a few daring ones

6. Challenges in MPRS implementation • Low access to MPRS information by some CSOs, led to design of non-PRS related projects. • Lack of creativity to find entry points for policy advocacy • Poor coordination between service delivery NGOs and government departments (e.g. more boreholes sunk in one area!) • Gross fiscal indiscipline between 00 & 04

7. More Challenges of implementation • Domestic Debt crisis, PRGF suspended, budgetary support withheld • But, government kept overspending on non-priorities like state residences and presidential portraits • Little developed capacity of CSOs to monitor use of PRSP resources • “Business as usual” mentality in govt. • Non-pro poor policies and behaviors from some members of the donor community (cuts in project grants, structural reforms)

8. BREAKING THE BRIDGES FOR PARTICIPATION • The Malawi PRSP was “shunned” in mid 2004 and was officially “given the boot” in July 2005. • In May 2004, Bingu wa Mutharika (ex-Comesa SG, and ex-World Bank) became president • In Sept. 2004, Dr. Goodall Gondwe (ex-IMF biggie responsible for whole Africa) became Minister of Finance • The PRSP was deemed to be “too focused on social sectors”

9. Malawi Economic and Growth Strategy (MEGS) • Words like “poverty reduction” were taken to be too negative, but “wealth creation” • The private sector was, and is viewed as the redeemer, the messiah and technically, “the engine of growth” • . MEGS was developed behind curtains in full consultation with private sector only (and a few “interested” donors) • MEGS contained sectors of the economy that would spur growth (zero on education, health, safety nets, etc)

10. The Era of Policy Confusion • The period July 2005 and June 2007, (2 fiscal years) has seen government in a policy razzmatazz • National Budgets have been based on the abandoned PRSP, the never launched MEGS, and the bits from the second PRSP which has been under construction • CSOs and some devt. Partners (UNDP) raised fears of the possible “throwing away” of the Millennium Development Goals (MDGs).

11. The Malawi Growth and Development Strategy (MGDS) • Lobbying against the MEGS ushered in the process of development of the MGDS (not to be confused with MDGs!!) • Efforts were started to merge the PRSP and the MEGS • 11 thematic working groups (TWGs) set up • MEJN and other CS networks placed members in all the TWGs • CS took leading roles in selected TWGs like education and governance

12. Other CS roles in MGDS • Through MEJN, participated in actual drafting of the MGDS • MEJN led the participation in the technical costing processed of the MGDS

13. Challenges • Final PRSP review dragged behind formulation of MGDS • An obvious extra emphasis on economic growth activities which may have an effect on resources available for the social sectors • The president has not yet put his signature on the preface of the document! • Smaller number of TWGs systematically constrained wider participation

14. More Challenges on the MGDS • Threatened with serious ownership problems compared with the PRSP (IMF PRGF too influential!) • No wider community level consultation took place, sidelining CBOs and some decentralized government departments • The Ministry of Economic Planning & Devt and Min of Finance have more authority and interface on the policy than other ministries (may affect depth of implementation) • CS continue to face capacity bottlenecks to engage in technical policy dialogue

15. Linkages with the Millennium Development Goals (MDGs) • CS networks are using public resource monitoring findings to influence government commitments to the MDGs • The Malawi 2nd PRSP has a greater and clear focus on MDGs than PRSP 1 • The second PRSP is a modest attempt to translate the MDGs in a localized context

16. Selected MGDS-MDGs Nexus: POVERTY (Goal 1) • The goal of the MGDS is to decrease poverty by 8.0 percent through economic growth, economic empowerment and food security • Designed to reduce vulnerability to economic shocks; • Points at measures to protect those who temporarily fall into poverty through strategies that increase assets for the poor. • Designed to ensure that those who graduate from poverty stay above the poverty line and those above it do not fall into poverty.

17. HUNGER • The MGDS seeks to directly decrease the proportion of the population who suffer from hunger and to improve their nutritional status. Cycles of hunger are a factor in people moving into poverty. Food security is therefore one of the key priorities to receive government funding and policy attention.

18. EDUCATION • The MGDS seeks to increase enrolment to 95 percent and reduce the drop out rate to 5 percent by 2012. At the primary school level it is expected that there will be substantial reduction in absenteeism, repetition and dropout rates and high quality and relevant education. At the secondary and tertiary levels it is expected that there will be increased access and improved quality and relevant education for both sexes and people with special needs.

19. Access to clean water • The MGDS seeks to improve access to clean water and sanitation in line with the MDGs. Malawi intends to increase access to water within 500m distance for all people, and thereby ensuring that basic water requirements of every Malawian are met, while the country’s natural ecosystem is enhanced.

20. CONCLUSION • While progress is being made to align the MGDS with the MDGs, the amount of resources allocated through the budget and the actual implementation will determine true commitment to the development goals. • CS participation in the PRSPs has been experimental. Time has come for CS to be systematic and collect credible evidence. Building knowledge and skills of CS and communities is essential to bridging the participation gaps that have made the story of CS participation in poverty reduction strategies worth re-writing.

21. PARTING SHOT: “African saying” “NOBODY CAN SHAVE YOUR HEAD IN YOUR ABSENCE” –poverty reduction policy processes are about the people. Let the people meaningfully participate. THANK YOU FOR LISTENING