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Rural Growth Programme


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RGP Steering Committee Meeting, 16 June 2010

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Rural Growth Programme

  1. 1. Rural Growth Programme RGP Steering Committee Meeting, 16 June 2010
  2. 2. Current situation <ul><li>Economic transition period </li></ul><ul><li>Financial crisis </li></ul><ul><li>Lower export opportunities </li></ul><ul><li>Reduced volume of remittances </li></ul><ul><li>Low agriculture productivity </li></ul><ul><li>The Political Context </li></ul><ul><li>Law on public self-action (2008) </li></ul><ul><li>New law on local self-governance (2009) </li></ul><ul><li>Law on local state power (2004) </li></ul><ul><li>Law on gender equality (2005) </li></ul><ul><li>Food and vegetable strategy (2010) </li></ul>] . [
  3. 3. Trust Fund <ul><li>Support to implementation of DDPs </li></ul><ul><li>Focusing on economic development based on agreed criteria </li></ul><ul><li>Open tendering process </li></ul><ul><li>Cost sharing from state and non-state funds </li></ul><ul><li>Transparency and accountability </li></ul>
  4. 4. Target areas
  5. 5. RGP Purpose <ul><li>Goal: To improve the local environment for economic growth, income generation and employment creation in Sughd region, northern Tajikistan </li></ul>
  6. 6. RGP Components <ul><li>Rural economic development through improved: </li></ul>Local Planning <ul><li>Target: Government, private sector, civil society </li></ul><ul><li>Focus: Impl. & monit. of plans in line with NDS/PRS </li></ul>Business Advisory/Extension services <ul><li>Target: Producers, farmers, MSMEs </li></ul><ul><li>Focus : Appropriate, professional, and sustainable services </li></ul>Vocational Training <ul><li>Target: Unemployed, migrants, women </li></ul><ul><li>Focus: Meeting regional & int’l demands </li></ul>Micro Finance Services <ul><li>Target: Producers, farmers, MSMEs, poor, women </li></ul><ul><li>Focus: Variety of products and services </li></ul>Business Associations <ul><li>Target: Member focused associations </li></ul><ul><li>Focus: Adequate and responsive services </li></ul>
  7. 7. Competitive Advantage <ul><li>. </li></ul><ul><li>Governance </li></ul><ul><li>Advantage: Close partner of national government </li></ul><ul><li>Activities: Strengthen capacities of governance system and support to local economic development </li></ul><ul><li>Micro Finance </li></ul><ul><li>Advantage: Experience and leader in promoting private sector and microfinance development </li></ul><ul><li>Activities: Expand services and ensure micro-meso-macro linkages </li></ul>Advantage: Link between field experience & policy-making processes
  8. 8. Other RGP Partners <ul><li>Ministries and State Agencies (MEDT, MoA, MoLSP, State Investment Committee, etc ) </li></ul><ul><li>IOM – Labour migration components; </li></ul><ul><li>All Hukumats and 60% of Jamoats in Soughd oblast; </li></ul><ul><li>Business and Dekhan Farms Associations; </li></ul><ul><li>Micro-finance Institutions (MLF,MLO,MDO); </li></ul><ul><li>Extension service agents; </li></ul><ul><li>MSMEs; </li></ul><ul><li>NGOs (on competitive basis); </li></ul>
  9. 9. RGP Coverage Areas
  10. 10. Beneficiaries <ul><li>Direct: Smallholder farmers, entrepreneurs, business associations, extension service agents, VTIs, MFIs; </li></ul><ul><li>Indirect: rural population of Soughd oblast, especially women; </li></ul>
  11. 11. <ul><li>Approx. 30% of the population </li></ul><ul><li>Poorest region in Tajikistan </li></ul><ul><li>Significant industry and trade potential </li></ul><ul><li>Sughd Oblast incorporates : </li></ul><ul><li>Zeravshan Valley </li></ul><ul><li>Ferghana Valley </li></ul><ul><li>Cross-border trade and development </li></ul><ul><li>Opportunity to apply ABD comprehensively: </li></ul><ul><li>Governance: Oblast and national linkages </li></ul><ul><li>Private Sector: value-chain/value-adding aspects </li></ul><ul><li>Micro-Finance: MLFs development, fund size </li></ul><ul><li>Cross-Cutting issues: incl. Conflict resolution etc. </li></ul>Why Soughd? <ul><li>Proposed RGP Implementation Zones: </li></ul><ul><li>UNDP & DFID: Ayni and Khujand Area Offices, covering Sughd Oblast (i.e. Zeravshan/Ferghana Valleys), expanding from 3 Hukomats/24 to 14 Hukomats/60% of Jamoats; </li></ul>UNDP Area Offices
  12. 12. RGP Outputs & Lead Agencies Good Governance Private Sector Development Microfinance
  13. 13. Budget <ul><li>Total budget = $ 18.7 Million </li></ul>DFID $ 12 Million UNDP $ 3 Million GTZ $ 3.7 Million
  14. 14. Activities – Good Governance <ul><li>Strengthening the capacity for development planning, implementation and monitoring </li></ul><ul><li>Public sector reforms </li></ul><ul><li>Private sector and civil society participation </li></ul><ul><li>Supporting infrastructure and government transactional services </li></ul>
  15. 15. Activities – Business/Agriculture <ul><li>MSME promotion along the value chain, particularly in the F&V sector </li></ul><ul><li>Training and advisory services for businesswomen </li></ul><ul><li>Developing agricultural extension services </li></ul>
  16. 16. Activities – Private Sector <ul><li>Development of the business associations and their apex institutions </li></ul><ul><li>Strengthening Associations of Dekhan Farmers (ADF) </li></ul><ul><li>Private sector and civil society participation </li></ul><ul><li>Supporting infrastructure and government transactional services </li></ul>
  17. 17. Activities – Vocational Training <ul><li>Support to local vocational training scheme </li></ul><ul><li>Labour migration rights and policies </li></ul>
  18. 18. Activities – Micro and Rural Finance <ul><li>Linking MSMEs in F&V sector to financial services </li></ul><ul><li>Micro-financial Institutions (MFIs) Development </li></ul>