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PIA 2501

PIA 2501. Foreign Aid Donors and Development The International Dimension. Logistics-1. March 24: Donors and Development: The International Dimension March 31: Structural Adjustment, Policy Reform and Public Private Partnerships April 7: No Class, Preparation for Presentations.

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PIA 2501

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  1. PIA 2501 Foreign Aid Donors and Development The International Dimension

  2. Logistics-1 • March 24: Donors and Development: The International Dimension • March 31: Structural Adjustment, Policy Reform and Public Private Partnerships • April 7: No Class, Preparation for Presentations

  3. Logistics-2 • April 14: Group Reports, Distribution of Final Exam Questions. Course Evaluation • April 21: Final Exams Due

  4. Foreign Aid: Terms • International Assistance • Foreign Aid- Loans vs. Grants • Technical Assistance- Contracts • Bilateral vs. Multi-lateral

  5. Foreign Aid vs. Technical Assistance • Current bias to international trade • Governance and Nation Building • Millennium Challenge Account • Back to the future • Get the LDC economy back to the 1950s • Dependent development • Is it dependent and is it development?

  6. Foreign Aid vs. Technical Assistance • The utility of the rational actor model for foreign aid- Can we escape bureaucratic politics • Impact of culture • Corruption, clan and ethnicity • Clans in Somalia and taxi drivers in Washington • Impact of Intellectual systems and ideologies influences and beliefs • Impact of Standard Operating Procedures

  7. Divisions Within the World • Before 1989 • North: Industrialist/ Developed Agriculture • Regime Type Democratic or not • Socialist vs. Capitalist • South: LDC limited agric. Industry • Underdeveloped Socialist or primitive capitalist • Crony capitalism • Patron-client

  8. Divisions Within the World • Today • Capitalist Developed States, North America, Parts of East Asia, Western Europe including settler states vs. “Everybody else” • Millennium Challenge Account- Choose 15 poor, most market friendly countries.

  9. Administrative Reforms The New Orthodoxy In Foreign Aid

  10. Administrative Reforms • Stabilization and Conditionality Requirements- Free Trade and Open Currency Public Sector Reform

  11. Administrative Reforms Reform of the bureaucracy a. Cutback the civil service the infamous 19% first cut b. Individual Consultants and Contractors work with investments and the service/commercial sector

  12. Administrative Reforms 1. Strategic Planning and Management 2. Deregulation 3. Performance Management 4. Merit Recruitment 5. Decentralization: Development of Local Government and Support for Civil Society

  13. Multilateral Issues: An Overview • The Problem of Debt • Stabilization vs. Conditionality • Public Sector Reform Policy Reform • IMF vs. World Bank vs. Bilateral Donors vs. UNDP • Bridging Loans • Sectoral Loans and Grants • Project Grants • International Requirements vs. domestic political response

  14. Concepts and Terms • Neo-Orthodoxy • Heterodoxy • Stabilization • Conditionality • Public Sector Reform

  15. Major International Relations Terms • International Relations • Structural realism; realpolitik • Balance of power • Bipolarity vs. Multi-polarity • Transnationalism

  16. Major International Political Economy and Development Terms • Political Economy • Hegemony • Dependency Theory • Structuralism • Regime • Indigenization • Complementarity • Import Substitution • Dependent Development

  17. Ghana Democracy and Governance Program

  18. USAID Ghana Activities • Economic Growth • Health • Basic Education • Democratic Governance

  19. Ghana USAID Activities • Source: USAID/Ghana Country Strategic Plan (2004-2010) • Date Published: May 2003

  20. USAID Country Plan-Ghana • Seek eligibility for Millennium Challenge Account Investment (poor, per capita income below $1,415 • Qualify- Good governance, market friendly-16 indicators • Goal: Support Accelerated Economic Growth • In place in 15 countries, 2005 or 2006 • Fully up and running, 2008 at $5 billion per year • Focus: Infrastructure

  21. USAID Country Plan-Ghana • Democratic Governance: SO 5 (Strategic Objective) • Note: Currently no focus on civil service reform • Two components: National and Local

  22. Ghana Democracy and Governance-National Level • Historically- Electoral Processes. • Legislative Reform: Long term PSC (Personal Services Contractor- Legislative Specialist) • National Civil Society Development

  23. Local Level: Democracy and Governance Source: ASSESSMENT REPORT: “Government Accountability Improves Trust” (GAIT) Date: December 8, 2003 Non-Competitive Contract: Public Administration Service

  24. Assessment Team: Mixed Team • Kwesi Appiah: Ghana Consultant • Robert J. Groelsema: USAID Washington (D&G) • Avril Kudzi: USAID Ghana (D&G) • Ted Lawrence: USAID Ghana (Legislative Specialist) • Elsie Menorkpor (USAID Ghana (Education Specialist) • Louis A. Picard (Team Leader)

  25. Decentralized Governance: Status • Current Contractor: Cooperative League of the United States of America (CLUSA) • Operates in the U.S. as National Cooperative Business Association • Assessment Report: Submitted December 8, 2003

  26. New Grant: Cooperative Agreement- 2004-2007 • RFA (Request for Application) published December 18, 2003 (Competitive Bid) • Applications Closed: February • Grant Awarded: Estimate- April, 2004 • 3-6 year grant up to $11 million

  27. Goal of GAIT* • Promote Partnership between Civil Society Organizations and Local Government • Institutional Structure: Creation of District Level Civic Unions to facilitate communication • Concern: Sustainability of structures after project completed *Government Accountability Improves Trust

  28. Nature of GAIT Activities • Training and Workshops • Technical assistance to Civic Unions and Local Governments • Support public (town hall) style meetings • Key: Activities support interface of LG and CSOs

  29. Decentralized Governance and E-Governance • Leland Initiative Money: Ended in 2003. Two or three centers established. Not clear that this was mission priority • Assessment Report: Recommended Local Government/Civil Society “One Stop Shop” for dissemination of information • Possibly Operated by Civic Unions

  30. E: Governance • Tele-cottage Model- widely used in Demnets (Democratic Network Organizations) in Eastern Europe • Technical Assistance (poss. Peace Corps volunteer) • Simple, on line publication and education programs (Logon- South Africa)

  31. E-Governance • simple publications, posters, public information presentations • simple software programs designed to demonstrate basic principles of governance • Includes the use of advocacy, information rights, the functioning of district government bodies and administrators and the functioning of committees

  32. Other Donors: Civil Service Reform UNDP- Normally bids, provides technical assistance World Bank- EOP (Expression of Interest) invitation to bid (RFP) DANIDA (Denmark), CIDA (Canada), DFID- (UK), GTZ (Germany) interested in Governance Private Foundations: McArthur, Gates, Ford Foundation- re. E-Governance

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