Fostering Regional and Local Development in Georgia

Progetto concluso

Thanks to this project 23 municipalities in 4 regions of Georgia (over 900’000 inhabitants) are able to support citizens and local businesses in setting up economic development initiatives. This in turn will generate additional employment and attract investment to rural areas.

Paese/Regione Tema Periodo Budget
07.12.2017 - 31.03.2022
CHF  3’676’627
Contesto Since 2012, the Government of Georgia has developed comprehensive policies towards decentralization and coherent local development. However, the level of decentralization of competencies and financial resources at municipal level is still limited. Moreover, the proficiency of local authorities in designing and delivering development-oriented and inclusive services remains insufficient. This is further exacerbated by the weak participatory culture on the part of the public, business and non-governmental actors, including civil society organizations (CSOs) and business associations, to get engaged in policy-making and drive up the change. Despite progress in economic development in the past years, economic growth remains unevenly distributed in Georgia, especially between rural and urban (and mountainous) areas, and hence poverty and inequality are on the rise. Fostering local economic development has therefore become a priority in the Government’s decentralization agenda.
Obiettivi People in the regions of Racha- Lechkhumi - Kvemo Svaneti, Samegrelo-Zemo Svaneti, Guria and Kvemo Kartli benefit from stronger local self-government institutions for better economic development and employment generation.
Gruppi target
  • Ministry of Regional Development and Infrastructure (MRDI) of Georgia
  • Public Service Development Agency (PSDA) under the Ministry of Justice of Georgia
  • Regional Policy and Self-Government Committee of the Parliament of Georgia
  • National Association of Local Authorities of Georgia (NALAG)
  • Sub-national authorities in 4 target regions
  • Center for Effective Governance System and Territorial Arrangement Reform (CEGSTAR)
  • Civil Service Bureau (CSB)
  • Business Associations/private sector
  • Civil society organizations
Effetti a medio termine
  • National institutions define and implement policy and institutional frameworks to foster decentralization and enable local economic development (LED)
  • Municipalities and Community Centres are strengthened to deliver relevant services and incentives for the business environment and local economic actors
  • Civil society organizations and local businesses are empowered to participate in inclusive LED planning and decision-making

Risultati principali attesi:  

  • Municipalities and line ministries implement decentralization and local development strategies
  • The National Association of Local Authorities of Georgia (NALAG) develop and advocate for at least 4 policy initiatives supporting LED, and adopted by the Government of Georgia
  • Two Community Centers, based on “one-stop-shop” principle, are established in bordering regions to ease 4’000 inhabitants’ access to diverse public and private services.
  • The municipalities and private sector undertake at least 4 joint pilot initiatives in areas of tourism, agriculture, trade
  • At least 6 municipalities establish performance management systems to improve municipal service delivery
  • At least 25% of the joint pilot initiatives implemented by the CSOs and municipalities address specific needs of women and youth

Risultati fasi precedenti:  

The following results were achieved during the first phase:

  • A revised Local Self-Governance Code was adopted stipulating transfer of some competences and greater fiscal decentralization to municipalities, allocation of 1% salary fund to train municipal staff, establishment of new forms of citizen engagement in local self-governance bodies.
  • 9 Regional Development Strategies and respective Action Plans were approved with respective annual allocations made to the Regional Development Fund reaching CHF 70 mln in 2016.
  • National Training System (NTS), covering local civil servants, was developed and is in line with the civil service reform.

Direzione/Ufficio responsabile DSC
Credito Cooperazione con l'Europa dell'Est
Partner del progetto Partner contrattuale
Organizzazione delle Nazioni Unite (ONU)
  • Programma di sviluppo delle Nazioni Unite

Coordinamento con altri progetti e attori The project will be coordinated with SDC’s rural development projects in Georgia, regional projects on Women’s Economic Empowerment and Climate Adaptation, and with various governance programs run by key international actors (e.g. DANIDA, USAID, EU, CoE, GiZ) in Georgia.
Budget Fase in corso Budget Svizzera CHF    3’676’627 Budget svizzero attualmente già speso CHF    3’641’413
Fasi del progetto

Fase 2 07.12.2017 - 31.03.2022   (Completed)

Fase 1 15.12.2012 - 15.12.2017   (Completed)