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A Users' Guide to Measuring Local Governance

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3<br />

Good <strong>Governance</strong> for <strong>Local</strong> Development – GOFORGOLD Index<br />

Producer<br />

Independent Direc<strong>to</strong>rate for <strong>Local</strong> <strong>Governance</strong><br />

(IDLG), Afghanistan<br />

His<strong>to</strong>ry<br />

A rapid assessment of the state of reporting<br />

systems at the sub-national level in Afghanistan<br />

was conducted in Oc<strong>to</strong>ber 2007. Findings from this<br />

assessment revealed, inter alia, that reporting is<br />

along vertical lines only, without horizontal sharing<br />

of reports; that there is a standard format for<br />

financial and revenue reports, but that this format<br />

does not prevent under-reporting of revenues;<br />

that existing reporting formats do not reflect<br />

principles of good governance; that reports are<br />

activity-oriented rather than performance- or<br />

results-oriented; that existing reporting systems<br />

do not allow for analysis of sub-national<br />

performance and for local governments <strong>to</strong> be held<br />

accountable <strong>to</strong> local development goals and<br />

priorities; and, that there has been limited donor<br />

support <strong>to</strong> sub-national governments on reforming<br />

reporting mechanisms for improved governance.<br />

The GOFORGOLD indica<strong>to</strong>rs and reporting system<br />

are being developed in response <strong>to</strong> these findings.<br />

Objectives<br />

This <strong>to</strong>ol aims <strong>to</strong> provide a snapshot of governance<br />

at the sub-national level, and more specifically, <strong>to</strong><br />

help moni<strong>to</strong>r the governance situation in the<br />

provinces, districts, municipalities, and villages<br />

against benchmarks and governance indica<strong>to</strong>rs.<br />

More specifically, the national government can use<br />

the GOFORGOLD Index <strong>to</strong> benchmark sub-national<br />

government performance, improve resource<br />

allocation and justify department budgets or<br />

services, as a basis for strategic assistance <strong>to</strong><br />

sub-national government and <strong>to</strong> identify good<br />

local governance and sustainable development<br />

practices. Provinces, districts, and municipalities<br />

will be able <strong>to</strong> indicate where local government<br />

has made progress and where improvement and<br />

support is necessary. It can also be used by a local<br />

government <strong>to</strong> demonstrate accountability <strong>to</strong><br />

citizens and <strong>to</strong> communicate its performance <strong>to</strong><br />

citizens and <strong>to</strong> the central government. Finally,<br />

development partners and donors can use<br />

the Index <strong>to</strong> track sub-national government<br />

performance and the impact of capacity building<br />

initiatives, as well as <strong>to</strong> focus assistance <strong>to</strong><br />

sub-national governments recording low scores on<br />

the Index.<br />

Applicability<br />

GOFORGOLD is expected <strong>to</strong> be applicable <strong>to</strong> all<br />

sub-national levels of government in Afghanistan.<br />

More generally, it could be applied in any country<br />

emerging from conflict, given a distinctive focus on<br />

the local security conditions as one section of the<br />

methodology.<br />

Types and sources of data used<br />

GOFORGOLD will use objective data such as<br />

national and city statistics and regulations, and<br />

available administrative data on population,<br />

budgets and procedures. All data will be converted<br />

in<strong>to</strong> quantitative data of two types – single<br />

numbers (expressed by averages, means, ratios,<br />

percentages) and binary variables (expressed by<br />

0/1 assessments).<br />

Methodology<br />

The GOFORGOLD Index comprises 25 indica<strong>to</strong>rs<br />

(and 60 operational questions) grouped under<br />

seven ‘good governance’ themes – representation,<br />

participation, accountability, transparency,<br />

effectiveness, security, and equity (see Table 6).<br />

Each indica<strong>to</strong>r is complemented by a set of<br />

operational questions. For instance, the indica<strong>to</strong>r<br />

measuring the existence of a formal mechanism<br />

for citizen participation in decision-making is<br />

complemented by an operational question<br />

assessing the decision-making level (municipality/<br />

district/province) at which these mechanisms are<br />

operating (<strong>to</strong> assess the actual impact of citizen<br />

inputs in the decision-making process).<br />

66 UNDP Oslo <strong>Governance</strong> Centre

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