Christiane Loquai ECDPM/Institute for Development Studies, University of Bochum

1. Decentralisation and poverty reduction in a ‚non-performing‘ state: The case of the Republic of Guinea Christiane Loquai ECDPM/Institute for Development Studies, University of Bochum OECD/DAC Workshop on Decentralisation and Poverty Reduction Paris, 29-30 September 2004

2. Contents • Introduction • Decentralisation and poverty reduction • The role of external assistance • Perceptions on impacts of decentralisation • What scope for action? • Conclusions and outlook

3. The relevance of the Guinean case • National decentralisation programme in the context of liberalisation and transition to democracy (1986) • Decentralisation presented as a central pillar of national poverty reduction strategy (HDR, PRSP, Memorandum 2004) • Decentralisation process highly dependent on external support (ODA, NGOs, emigrants) • Shows dilemmas of support to decentralisation in a ‘non-performing’ state.

4. Some facts about the Republic of Guinea Pop.: 9.2 mio (est. 2004) Ethnic groups: 40% Peul, 30% Malinké, 20% Soussou, 10% smaller groups Urbanisation: 27.9% (2001) Nat. resources: water, bauxite, gold, diamonds, water etc. GDP per cap.: 430 US$ (2002) 2100 PPP US$ (2001) HDI ranking: 160/177 (2002) Political system: semi-presidentialRepublic, de- centralised unitary state, ‘virtual democracy’ Source: World Fact Book 2004

5. Political institutions and culture marked by historical experiences • 1958 ‘le non’ and independence from France • 26years of dictatorship and relative isolation under Sékou Touré (Socialist Republic) • 1984 military coup: military government under the Lansana Conté promises transition to democracy • 1993 Conté wins first multi-party presidential election ….. • 2001 Change of constitution referendum: Conté President for life?

6. Introduction • Decentralisation and poverty reduction • The role of external assistance • Perceptions on impacts of decentralisation • What scope for action? • Conclusions and perspectives

7. The ‚poverty-paradox‘ • Guinea has abundant natural resources, but remains one of the poorest countries in the World • HDI-ranking 1992-1994: lowest of the World, 2003: 157/173 • 40.3% of the population live in ‘absolute’ poverty (1995 household survey) • Guinea belongs to the category of HIPICs

8. Thenational decentralisaton programme • 1985 discours programme • 1986 reform of territorial administration • 1988-92 decentralisation/devolution: • 303 Rural development communities • 33 + 5 urban communes • City of Conakry (spec. status) • 1990 democratic constitution • 1991, 1995, 2000 municipal elections • 2000 efforts of fiscal decentralisation?

9. Territorial Administration and Local Government Collectivités locales (‘local governments’) Planning mechanisms (concertation, coordination) MADT Regional decentra-lisation committee Governor (7) Regional dev. committee’ Non-operational Prefecture (33) Dec. service providers (health, educ. Rural dev etc.) Prefectoral dev. committee Administrative council tutelle Urban commune (33+5) CRD (303) tutelle Su-prefect (302) Source: based on UNCDF 1999

10. Local government before the constitutional referendum Urban communes CRDs CRD President Municipal council Community council Mayor Secretary general Community sec. Administration Administration District level Neighbourhood level District councils Neigh. councils: Quartiers: urban electorate Villages: rural electorate

11. Articulation of linkages • Discours programme (1985): improvement of living conditions • Municipalities and CRDs received broad for ‘self-administration, socio-economic development and local infrastructure • National Human development reports • “Guinée vision 2010” • Formulation (and implementation) of the PRSP

12. Introduction • Decentralisation and poverty reduction • The role of external assistance • Perceptions on impacts of decentralisation • What scope for action? • Conclusions and perspectives

13. The role of external assistance • Important source of finance, technical advice and expertise • A window of opportunity • Diversity of approaches, views and channels of assistance • Since mid-nineties: support for integrated municipal development and capacity building for decentralised service provisioning • Country-wide efforts to strengthen local governance and decentralised service providers • Testing and replication of institutional innovations for participatory, more inclusive and accountable local governance

14. Conceptualisation and documentation of linkages between support to decentralisation and poverty reduction • Mapping of poverty situation at the local level • Pro-poor performance targets/conditionalities • Increased exchange of experience and co-ordination in the context of • PRSP-formulation • the new ACP-EU partnership agreement • The context of crisis

15. Introduction • Decentralisation and poverty reduction • The role of external assistance • Perceptions on impacts of decentralisation • What scope for action? • Conclusions and perspectives

16. Impacts of decentralisation and related external support How to assess effects and impacts ? • Perceptions on impacts vary in line with concepts, perspectives and expectations • Interest in evaluation of impacts on poverty is very recent • Reliability and relevance of data? • Hesitations to criticise assistance when it arrives at the local level

17. Positive effects and impacts • Institutional innovations • Changes of institutional landscape • ‘Liberation’ of local initiative • Emergence of ‘civil society’ and private sector at the local level • Experiences with participatory local governance and self-administration • Mobilisation of local resources and decentralisation of aid

18. Positive effects and impacts (cont.) • Improvement of access to basic socio-economic infrastructure and services • Resistance against re-centralisation and demand for good (local) governance Challenges • Problems identified in the 1990s largely remain • Reactionary tendencies and ‘atmosphère de fin règne’ • Worsening political, economic and social crisis

19. Introduction • Decentralisation and poverty reduction • The role of external assistance • Perceptions on impacts of decentralisation • What scope for action? • Conclusions and outlook

20. What scope for action? • Return to authoritarian role: the example of the 2003 presidential elections • Increasing corruption, insecurity and economic decay • Efforts to reverse decentralisation? • Success of new generation of programmes in support of municipal development and local governance

21. Local government after the constitutional referendum of 2001 Prefect CRDs Urban communes CRD President Municipal council Community council Mayor Sec. general Community sec. Administration Administration nomination vote Neighbourhood level vote District level District councils Neigh. councils: Quartiers: urban electorate Villages: rural electorate

22. Consequences of the change of constitution • Confusion on legal framework and institutional consequences • Resistance against nominations of local councillors in rural areas • Erosion of trust • Doubts on effectiveness and sustainability of support to decentralisation and local governance • Political dialogue and suspension of aid

23. Menu of options National level • Coordinate political dialogue • Harmonize conditionalities • Grant performance based support? Sub-national/local level • Coordinate and exchange experiences • Decentralise project management structures • Allow for flexible and simple project design • Strengthen systems of checks and balances • Communicate on consequences of political dialogue to local stakeholders!

24. Introduction • Decentralisation and poverty reduction • The role of external assistance • Perceptions on impacts of decentralisation • What scope for action? • Conclusions and outlook

25. Conclusions and outlook • There is evidence on positive effects and impacts of support to decentralisation especially in rural areas • Project design, institutional set-up and experience of human resources are important factors of pro-poor outcome • Need for a more realistic risk assessment and time for testing approaches • Continue to provide assistance for local governance/partnerships