UNCDF in Bangladesh

UNCDF in Bangladesh

The Challenge

Bangladesh has made impressive economic and social progress in the past decade. Despite frequent natural disasters, external shocks and a poverty line hovering above 56 million people, the country saw a poverty decline from 57% of the population in 1990 to 31.5% in 2010, and is on track to meet the Millennium Development Goal of halving extreme poverty by 2015. While local governance is well established and enshrined in the Constitution, frequent policy and governmental changes continue to create gaps in the existing structures.  Bangladesh ranked at 142 out of 187 nations in the 2014 Human Development Report.

How We Are Helping?

UNCDF has been a long-term development partner of Bangladesh. Over the past three decades UNCDF has helped Bangladesh meet its development challenges by focusing initially on local agriculture, and then, more recently, on decentralization and local service delivery.  

In the late 1990s, UNCDF pioneered a number of decentralization innovations through the joint UNCDF/UNDP Sirajganj Local Development Project. Building on this foundation, the Government in 2007 launched a national decentralization programme, known as the Local Government Support Programme (LGSP), with the aim of improving local governance and local service delivery. As part of LGSP, UNCDF and UNDP supported a Learning and Innovation Component (LGSP-LIC) to enhance the basic service delivery capacities of Union Parishads, the lowest tier of local government in rural Bangladesh. 

Based on the success of LGSP-LIC, which ended in December 2011, UNCDF and UNDP developed the Union Parishad Governance Project (UPGP) and the Upazila Governance Project (UZGP), which scale up promising innovations tested in previous pilots.

Additionally, to address the climate change challenge in Bangladesh, UNCDF is piloting its “Local Climate Adaptive Living Facility” project. Known as LoCAL, it aims to increase climate change adaptation financing while strengthening the capacity of local governments and of the local climate change adaptation planning process through a system of performance-based grants.

In Detail

Project

Union Parishad Governance Project (UPGP)
(covering 400 Union Parishads in seven of the country’s 62 districts)

GoalTo reduce poverty by increasing local government capacities and improving service delivery
How
  • Funding fiscal transfers to eligible local governments for basic local service delivery;
  • Providing incentives for good governance and service delivery performance;
  • Supporting direct mobilization of communities – and in particular women – to prioritize development needs; and
  • Supporting core local government capacity in implementing block grants
Period2011-2016
PartnersGovernment of Bangladesh, UNCDF, UNDP, Danish International Development Agency (DANIDA), European Union, World Bank.
Total project cost and UNCDF contributionUSD 18,391,108
USD 1,500,000
Progress
Budget
Results (including scaling and policy impact)
Project

Upazila Governance Project (UZGP)
(covering 14 upazilas in seven in seven of the country’s 62 districts)

GoalTo reduce poverty by increasing local government capacities and improving service delivery.
How
  • Strengthening Upazila Parishads capacities to achieve effective, efficient and accountable delivery of pro-poor infrastructure and services;
  • Strengthening planning and budgeting system at Upazila level;
  • Designing monitoring and evaluation structures;
  • Providing effective training to local personnel and officials to improve local governance.
Period2011-2016
PartnersGovernment of Bangladesh, UNCDF, UNDP, European Union, Swiss Agency for Development and Cooperation (SDC).
Total project cost and UNCDF contribution$19,312,916
$1,000,000
Progress
Budget
Results (including scaling and policy impact)
Project

Local Climate Adaptive Living Facility (LoCAL)

Goalto promote climate change resilient communities and economies by increasing financing for and investment in climate change adaptation at the local level in least developed countries (LDCs).
How

LoCAL operates through performance-based climate resilient grants that ensure programming and verification of climate change expenditure (PBCRG) at the local level. It uses the demonstration of its effect to trigger further flows for local adaptation, including national fiscal transfers and access to global climate finance for local governments (through their national governments) and for private sector and public/private adaptation initiatives.

Period2014-2018
PartnersEU-GCCA; SIDA; Liechtenstein; UNDP GEF and Government of Benin.
Total project cost and UNCDF contributionTotal of the project Budget is USD 40 Million
USD 800 thousand
Progress
Budget
Results (including scaling and policy impact)

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