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Support to Regional Policy Implementation
Details
Locations:Georgia
Start Date:Jul 1, 2012
End Date:Jul 1, 2015
Sectors: Inst. Devt. & Cap. building, Public Administration, Social Development
Categories:Consulting services
Funding Agencies:
Date posted:Jun 6, 2013
Description
Support to Regional Policy Implementation is three year project designed to reduce regional disparities within Georgia that is recognized as a key objective by the Government of Georgia. Local Self Governments in Georgia were significantly reformed by the 2005 organic law on Local Self-Government (LSG), which was introduced only in late 2006, after local elections were held. While the new organic law introduces a series of territorial and administrative changes to the benefit of local authorities’ increased efficiency, the decentralization process still faces serious challenges. Local authorities have limited administrative capacity and financial resources to be able to effectively plan and implement programs and budgets conducive to economic development.
The project “Support to Regional Policy Implementation” has two inter-related components:
a. Policy formulation
b. Regional development management
The project will help enhance Georgian regional development policy effectiveness by supporting the Ministry of Regional Development and Infrastructure (MRDI) and other relevant stakeholders and support regional policy formulation in the context of better approximation of Georgia with EU policies. PMCG in collaboration with consortium will develop integrated strategic approach for regional development policy via clear coordination and hierarchy of strategies, clear policy priority by deciding the allocation of limited resources. Team will help inform regional development policy decisions by preparing a series of sector investment scenarios. On the basis of a medium-term prediction of available funds for regional development in Georgia, the project will model development impact in terms of objectives, such as employment generation, improvement in competitiveness, contribution to achieving GDP growth, economic output and labor productivity in the short (investment induced demand), medium and long term (structural adjustment), according to various investment scenarios (balance of investment in human resources, infrastructure, productive sector). Particular emphasis will be placed on “integrated” and best practice development approaches, e.g. the combination of education/training, science/business and infrastructure development, including the so called “triple helix” approach, i.e. cooperation initiatives of science/research, public and private sectors, but also approaches to polycentric development, inter-municipal cooperation, etc.
In the terms of regional development management the project will assist the MRDI to improve good governance for the use of investment funds for regional development. This will be delivered through know-how transfer and development of systems for transparent, accountable and well coordinated management of funds, on a competitive and participative basis. The team will design and set up systems, tools and procedures in for coordinating, financial controlling, monitoring, evaluating and auditing the delivery of financial development instruments (such e.g. grants, loans, technical assistance) in accordance with developing transparent process for funding and ensuring genuine partnership with relevant stakeholders.
Eventually, as the development policy needs an adequate data and information base, PMCG in collaboration with consortium will assess EU standard data requirements vis-à-vis the current status, as well as improving the economic statistical data base and information system in line with EU standards.
The Project Objectives
The project’s overall objective is to contribute to a balanced socio-economic development throughout Georgia.
The specific objectives/purposes of the project are:
• Increased capacity at national, regional and local level to plan and implement integrated regional development policy as laid down by the State Strategy for Regional Development of Georgia for 2010-2017 and its 2011-2014 Action Plan;
• More effective and transparent planning and spending of Georgian funds for development;
• Facilitated implementation by the Government of Georgia of the Regional Development Reform programme supported under a Financing Agreement signed by the European Commission and the Government of Georgia.
Components and Results (Outcomes)
The project has two components and the results expected from it are:
Component 1 - Policy Formulation and Strategic Planning
• Increased institutional capacity of the MRDI and other relevant stakeholders to support integrated regional development;
• Improved coordination between the MRDI, other relevant ministries and national institutions, sub-national bodies, and donors;
• Increased understanding among main actors involved in regional development policy formulation of EU standard regional development policies and concepts;
Component 2 – Regional Development Management
• Regional development management systems and procedures created and implemented in line with accepted EU good governance & best practice methods;
• Strengthened institutional capacity for effective use of national funds for regional development;
• Increased capacity to collect and analyse relevant statistics in relation to the regional development;
• Increased efficiency of regional development management.
Activities
Component 1 - Policy Formulation and Strategic Planning
1. Review all relevant policies and strategies related to regional development and make proposals to enhance consistency between them, in particular between national and sub-territorial levels.
2. Raise awareness of regional development policy good practice through seminars, publications, etc.
3. Develop scenarios of medium term investment options at national and regional level and undertake ex-ante impact assessment of these scenarios in relation to jobs, growth, etc.
4. Assist in updating the State Strategy for Regional Development 2010 - 2017 and related Action Plan 2011 – 2014 in order to identify clear policy options and select priorities based upon available funding (and implementation capacity).
Component 2 – Regional Development Management
1. Raise awareness of EU standards for regional development funds management systems through a series of seminars for MRDI and other relevant national level stakeholders.
2. Create and/or improve systems relating to
a. A management system for transparent delivery of funds and/or other support to beneficiaries on a rational, competitive and fair basis;
b. A monitoring system at both programme and project level including, for example, separation of functions, avoiding conflict of interest, risk assessment, etc.
c. Regular progress reporting and publicity standards including visibility and information management, e.g. web site, newsletter, brochures, etc.
3. Enhance data and information base by assisting in design and establishment of a statistical/analytical baseline for evaluation of regional competitiveness, monitoring and evaluation in line with EU Standards by:
a. Facilitating close cooperation between GEOSTAT and EUROSTAT in order to establish up to date tools and methods for collecting and analysing relevant socio-economic statistical data in line with EU standards;
b. Assisting relevant inter-institutional working groups in producing a detailed information needs analysis and recommendations to set up the most appropriate information system; and
c. Assisting in establishing methodologies and systems for creating and updating the data base and exchange of data on regional development.