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INSULZA URGES DECENTRALIZATION TO BE ACCOMPANIED WITH TRANSFERENCE OF RESOURCES FOR LOCAL GOVERNMENTS TO FUNCTION PROPERLY

  February 28, 2008

The Secretary General of the Organization of American States (OAS), José Miguel Insulza, today underscored the importance of the decentralization processes carried out in the nations of the Americas, as they favor governance and support the strengthening of democracy in the region, core principles of the policies of the hemispheric body. In this regard, he stated that their success depends on the transference of resources.

Opening a seminar at OAS headquarters on “The Consequences of the Decentralization Process and the Challenges to Democratic Governance,” Insulza said that “the issue of decentralization, at the regional level of larger countries, as much as at the municipal level of all the States, is a very fundamental political problem of our time that has to do with the demand of democracy on one hand and with the demand of results on the other.”

The Secretary General noted that such processes involve practically all actors of a democratic society, and are “seen as a way to reduce the gap between the government and the people, and in another sense as a way to bring about more efficient government management based on decision-making at a smaller scale where it’s better suited to resolve problems.” He also pointed to the need to further evaluate these issues to see if they have produced results for citizens and to study pending challenges.

Insulza said that key questions related to the decentralization processes should be raised to evaluate “if norms have in fact been dictated to grant powers to local governments in particular areas, and if resources have been allocated for them to meet those duties.” The Secretary General explained that despite the progress achieved in this issue, some governments still do not rely with the necessary resources to adequately confront the problems related with education, health and the environment, among others.

“There is no decentralization without resources; on the contrary, the authorization of norms that allow local communities to elect their representatives, granting them greater legitimacy, if they are not accompanied by a method of automatically transferring resources, they are only good for creating misgovernment, disorder and conflict because they have authorities that, although legitimate, do not have resources to meet their duties,” emphasized Insulza.

The Secretary General said that these decentralization processes have brought about positive and negative aspects that will be debated during this forum which is being organized by the OAS Secretariat of Political Affairs. He also noted other related issues that deserve urgent attention, including “the persistence of poverty and high levels of inequality and social exclusion; public insecurity due to crime and violence; a degradation of the environment is becoming unsustainable in several nations; and a deficit of governance related with the inefficiency of our political apparatuses, with a very weak accountability system and also with weak systems to allow the participation of citizens in public processes.”

Also participating in the seminar are Dante Caputo, Under Secretary for Political Affairs, Victor Rico, Acting Director of the OAS Department of State Modernization and Governance, with presentations from government specialists and other institutions such as the Inter-American Dialogue, the Inter-American Development Bank (IDB), the Instituto de Fomento de Asesoramiento Municipal of Costa Rica, la Facultad Latinoamericana de Ciencias Sociales (FLASCO), and the International Institute for the Environment and Development among others.

Several panels will be held during the event, which will study the impact on local development of remittances by migrant populations; local income generation, competitiveness and globalization; the environment and natural resource management; decentralization policy and strengthening local governments in Costa Rica; public security; social security; social policies and access to educate, health and poverty alleviation programs; and accountability and the creation of public spaces for deliberation and decision-making.



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Reference: E-058/08