This document summarizes decentralization policies and experiences in East Asian countries. It discusses three main types of decentralization - administrative, political, and fiscal. While countries pursued common trends of decentralizing power, experiences differed based on levels of subnational government, policy orientation, access to finance, and capacity issues. The case of Japan's long-term decentralization involved initial deconcentration, postwar delegation for development, and recent reforms granting more autonomy to address diverse social needs.
An overview given in this presentation about the local Governance systems followed in many regions with main countries examples,
Although it can not be generalized to over all systems but these are major system followed with changes according to counties and regions creed,social norms and culture etc.
An overview given in this presentation about the local Governance systems followed in many regions with main countries examples,
Although it can not be generalized to over all systems but these are major system followed with changes according to counties and regions creed,social norms and culture etc.
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vision to construct new format of regional autonomy in Indonesia: keeping local authorities democratic through empowerment of local institution
The-12th Indonesian Scientific Meeting, Osaka University, September 6-7, 2003, held and published by Indonesian Student Association (PPI)
Tri Widodo W. Utomo
Department of International Cooperation, Graduate School of International Development, Nagoya University, 1 Furo-cho, Chikusa-ku, Nagoya, 464-0861, Japan
Presentation on "Promoting growth in all regions and the new rural policy 3.0" made at the Seminar on "Innovations and challenges in the management of a regional policy, held in Bratislava, Slovak Republic, 22 February 2017 Presentation by Enrique Garcilazo, Regional Development Policy Division, OECD.
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This PPT delivered to students of Symbiosis School of Economics - Pune describes subject matter of urban public finance and how it is both positive and normative science.
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Fiscal and tax decentralization is a mechanism for constraining the expansionary tendencies of governments. Under this approach, all-over the world central governments do not maximize social welfare and operate like monopolists in order to increase their control over the economy’s resources (Crawford, 2008). Therefore, tax decentralization means fiscal empowerment of the local governments. More specifically, it means devolution of taxing and spending powers to lower levels of government. A key argument supporting fiscal decentralization reform is that it can improve the public sector services and help reducing poverty (Ahmed, 2013) Some authors like Crawford, 2008 and Ahmed, 2013 argued that the benefits of tax decentralization are not as obvious as proponents of decentralization suggest, and there could be serious shortcomings that policymakers should be aware of in designing decentralization policies. Local Government accountability and resource allocation efficiency may not be achieved with decentralization when the scarcity of public sector administrative, financial and managerial capacity is more problematic at the lower levels of government (Collier, 2008). Conflicts between central and local governments as to what should be done are inevitable even if government tries faithfully to serve the interests of its (different) constituents. A choice of perspective is thus essential in approaching issues of tax decentralization. In addition, decentralization may impose constraints to the implementation of national policies and the creation of coordination channels across regions. Therefore, from the above problem, the researcher analyzed the contribution of decentralized tax system and public expenditures.
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Presentation on "Promoting growth in all regions and the new rural policy 3.0" made at the Seminar on "Innovations and challenges in the management of a regional policy, held in Bratislava, Slovak Republic, 22 February 2017 Presentation by Enrique Garcilazo, Regional Development Policy Division, OECD.
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Advanced EC seminar on decentralisation and local governance
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slide2-centralisation
slide3-decentralisation
slide4-difference in both
slide5-types of decentralization
Deconcentration
Delegation
Devolution
slide6-Deconcentration
slide7-Delegation
slide8-Devolution
slide9-benefits of decentralization
slide10-limitation of decentralization
Presentation on "Decentralisation Trends in OECD Countries" made at the Seminar on Implementing Decentralisation and Deconcentration Reforms in Ukraine: Sharing OECD
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Day2 kyoko comparative public policies in perspective (final for may 4) april 23_en.
1. EXECUTIVE PUBLIC POLICY TRAINING PROGRAM
FOR VIETNAMESE GOVERNMENT OFFICIALS
Comparative Public Policies in Perspective:
Decentralized Service Delivery
Kyoko Kuwajima
JICA Senior Fellow
Lee Kuan Yew School of Public Policy
National University of Singapore
1
2. Outline for today
1. Definition and Concept of Decentralization
2. Common but Diversified Decentralization –
Cases of East Asian Countries
3. Long-term Process of Decentralization–
Case of Japan
2
3. 1. Definition and Concept of
Decentralization
• Decentralization = the transfer of power from
central government to lower levels of
government, including responsibility for
planning and management of various
government functions, as well as resourceraising and resource allocation.
Administrative Decentralization
Political Decentralization
Fiscal Decentralization
4. Types of Decentralization (1)
Administrative Decentralization
• Deconcentration = the transfer of authority and
responsibility to central government officials
such as governors or district officers, and
officials located at local branches of central
ministries
• Delegation = the transfer of authority and
responsibility from central government to
subnational governments or specified agencies
5. Types of Decentralization (2)
Political Decentralization
• Devolution = the transfer of functions or
authority from central government to subnational
governments that are governed by locally
elected representatives.
Fiscal Decentralization
• Financing mechanisms that underpin all
forms of decentralization = the transfer of
funds, and sometimes revenue-raising powers
from central government to subnational
governments
5
6. 2. Common but Diversified Experience - East
Asian Countries
General Trend of Decentralization
•
•
•
•
Philippines 1991Indonesia 1999Vietnam (1996- ) 2004Thailand 1997-
Fast Starters: Philippines and Indonesia
Incrementalists: China and Vietnam
Cautious Mover: Thailand and Cambodia
(World Bank (2005) East Asia Decentralizes)
6
7. Diversities of
Vertical Organization
Country
Levels of Subnational Governments
Indonesia
3
Philippines
4
China
Vietnam
4
3
Cambodia
2
Thailand
( 3)
Provinces (33), Special Regions (2) & Capital;
Local Governments: Cities and Districts (440);
Villages
Provinces (79); Cities (112); Municipalities
(1496); Villages (41944)
Provinces(20) and Municipalities (4);
Provinces(58) and Municipalities(5); Districts
(599); Communes (9,082)
Provincial Administration; Elected Communes
and Sangkat (1621)
Provincial Administration; Elected
Provincial(75), District (811) and Subdistrict
Source: World Bank (2005), CLAIR/COSLOG (2009)
Average
population of
first-tier
subnational
governments
(million 2002)
7.0
0.5
40.0
1.3
0.8
0.5
7
8. Diversities of
Decentralization Policy
Country
Policy Orientation
Indonesia
Focus on substantial devolution to cities and districts; limited formal role
at lowest levels; more emphasis on the role of higher levels since 2004
Philippines Focus on devolution to subprovincial units, but provinces pay a
significant role
China
Main focus on deconcentration to provinces and large cities, although
lower levels have larger public expenditure role and elements of de
facto devolution have emerged in some areas; provinces have
considerable regulatory control over lower levels
Main focus on deconcentration with stronger role for provinces,
Vietnam
including regulatory control over subprovincial governments that have
been allocated rights over specific functions, approaching devolution
Cambodia Hybrid: with deconcentration to provinces and devolution to communes;
commune system given greater emphasis but provinces significant in
terms of public expenditure
Hybrid: historical focus on deconcentration to provinces and districts
Thailand
and shift towards devolution to local institutions at levels of
municipalities, districts and subdistricts since 1997
8
Source: World Bank (2005)
9. Diversities of Capacity
(Access to Finance)
Local Collection
Country
Indonesia
Philippines
China
Vietnam
Cambodia
Thailand
Ownsource
revenues
○
◎
◎
○
○
○
Shared
taxes
◎
◎
●
◎
○
◎
Inter-governmental Transfer
Unconditional
transfers
●
●
○
◎
●
◎
Conditional
transfers
Informal
revenues
○
○
●
●
n.a.
◎
◎
◎
●
◎
●
○
Note: ○:Low, ◎:moderate and ●:high refer to the rough proportion of
total subnational revenues attributable to each revenue
Source: World Bank (2005) and other sources
9
10. Issues behind decentralization (1)
• Prodemocracy movement after the collapse of
government more favored subprovincial levels
Indonesia: rivalry between central political elites and
provincial elites led to focus on districts
Philippines: call for grassroots “people’s power” led
to devolution to multiple levels
• Economic reform
administrative/fiscal focus
China: need to manage large and diverse areas; no
formal policy and variation of treatment
Vietnam: balanced growth thr. public adm. reform
10
11. Issues behind decentralization (2)
• Change in political support
progress
stop-and-start
Thailand: 1997 Constitution and comprehensive plan;
favored more role of centrally appointed governors
under Thaksin administration
Indonesia: concern over loose-end led to the return of
more role of provinces by Law 32
• Inconsistencies and unclear division of
functions and authority
Philippines, China & Vietnam : conflate the
accountability of local staff
11
12. Issues behind decentralization (3)
• Limited authority over resource-raising and
allocation and strong central civil service control
Philippines: limited grant remain for non-wage cost
China, Indonesia: tendency of charging illegal
extrabudgetary fees:
tendency of non-transparent staff payment
lack of incentives for lean management
• Limited capacity of local bodies
General tendency: Insufficient coordination between
planning and budgeting; poor collection
Thailand, Cambodia: cautious progress
13. Triangle Strategy for Decentralization
Mission
- National Goal
- Problems to be tackled
Institutional Design
- Rules
Capacity of
Government
- Accountability
Relations
- Political Support
- Financial Resources
- Operational Capacity
- Attitude
14. 3.Long-Term Process of
Decentralization – Case of Japan
• Modern Nation Building (1868-):
Deconcentration and Delegation for
achieving National Minimum
• Post War Period (1945-):
Delegation for social and economic
development
• Decentralization Reforms (late1990s-)
Devolution for dealing with more diversified
social needs
14
15. Modern Nation Building (1868-)
Priorities of Meiji Government:
• Building of Prosperous and Strong State
Aiming at National Integration & Industrialization
Achieving “National Minimum” through Standardized
Provision of Service Delivery
• Centralization and Deconcentration with
Elaborate Local Network
Local Gov’t System created as effective vehicle Tasks
delegated and controlled by M. of Interior
15
17. Post-war Period (1945-)
Thrusts of New Constitution :
• Principle of Autonomy
Complete autonomy in prefectures
Dismantling of Ministry of Interior
Establishment of Local Autonomy Law (1947-)
• Succeeding Delegation from central
government to prefectures
Concern over local management capacity
Retaining control and supervision by upper level of
governments
• Resulted Remarkable Economic Growth
17
18. Contributions to National Development Plans
by centralized inter-government system
Industrial Development
Export Promotion
Advanced
Social
Services
Improving Living Standard
(Urban Development)
18
Source: Kengo AKIZUKI (2005)
19. Post-war Local Government System
to ensure integrated national development
Role of
Planners
Central Ministries
Decision making authority is reserved
by central government : implementation
is controlled and intervened by national
policy
Delegation
Subsidies
Personnel
Exchange
Program
Role of
Implementers
19
20. Overlapped functions (Infrastructure, education and health)
Overlapped tax bases (personal income/inhabitant/corporate income)
Fiscal equalization through local allocation tax and subsidies)
20
Source: Kengo AKIZUKI (2005)
21. Decentralization Reforms since the
late1990s
Changing Environment since the 1990s
•Economic globalization and increasing external threats
•Increase of ageing population
•Persistent government debt
To deal w ith m ore diversified social needs m ore
stringently based on m ore local autonom y
• Comprehensive Decentralization Law
(2000)
Local Autonomy (abolish delegation)
• Local Administration Reform (adoption of
NPM, cooperation among local
21
governments)
22. Triangle Strategy for Decentralization:
case of Japan
Mission
National Integration
National Economic Growth
Meeting diversified social needs
Institutional Design
Deconcentration
Delegation and
Capacity development
for local governments
More local autonomy
Capacity
Fiscal equalization by
subsidies and grants
Building Capacity
through exchange
Fiscal moral hazard