• The Decentralization and Local Development Support Program (DLDSP) assists the GOY on defining and implementing decentralization reforms with the objective of enhancing the effectiveness of local government to promote local development and alleviate poverty.
• The DLDSP was initiated in 2003 by UNDP-Yemen with the technical support and guidance of UNCDF .It is executed by the Ministry of Local Administration (MOLA).
• The program’s initial focus (2003-2004), was on 6 pilot districts in 2 governorates where enhanced procedures for Public Expenditure Management (PEM) were introduced.
• During its second phase (2005-2007), the DLDSP expanded its scope of activities both geographically and substantively. By the end of 2005, the program expanded to 28 districts in 6 governorates and then to 48 districts in 8 governorates by the end of 2006.
• Substantively, the program deepened its understanding of decentralization policy , local authority institutional structures and systems , as well as the administrative and service delivery capacities. Lessons learned were used to inform the formulation of the National Decentralization Strategy (NDS) and the design of the National Program (NP) for its implementation .
• The number of donors supporting the program, has reached 9 by the end of 2006 with ongoing negotiations with others to join during 2007. The current annual program budget has reached $4.5 Million and it is expected to increase significantly as the program expands in 2008.

• The Ministry of Local Administration
• The Inter-Ministerial Committee for Supporting Decentralization
• 8 Governorates and 48 District Local Authorities

48 Districts (of 333) in 8 Governorates (of 22) covering 3.83 Million inhabitants out of a total of 20 Million.

N/A

• An operating system, procedures and manuals at the District level (and for the Governorate this year with a focus on strategic planning) for basic administrative functions and for Public Expenditure management
• An Institutional Development Strategy for MOLA and an action plan for its implementation to be launched this year.
• A District level MIS tracking development outcomes and recording service coverage rates and local revenues and expenditures
• A comprehensive analysis of the LA system covering policy and legal framework, institutional structures and systems, functional assignments and fiscal decentralization policies
• A National Decentralization Strategy setting the foundation for an integrated National Programme
• The beginnings of a SWAP for local development in which donor interventions are aligned in support of the LA system,

• Adopting the National Decentralization Strategy and approving the National Program.
• Aligning the institutional structure and capacities of the MOLA to implement the National Program.
• Securing the support of the Ministry of Finance to reform fiscal decentralization policies.
• Securing the support of the Ministry of Civil Service to reform local-level HR development policies.
• Sealing the agreement between MOLA and the various sector ministries on sector decentralization modalities and functional assignments for each level of governance.
• Aligning donor sector interventions with the local authority system to implement decentralized service delivery
• Securing donor commitment to co-finance the capacity development and investment components of the National program beginning in 2008.
• Clarifying implementation modalities/arrangements between UNDP and UNCDF in a manner that ensures efficient and reliable support to DLDSP programme activities especially as the programme transitions into the National Programme phase.

• Finalize the adoption of the National Strategy
• Develop (detailed design) the integrated National Programme
• Continue piloting the SWAP for Local Development and mainstream it under the National Programme once launched
• Implement the MOLA ID strategy
• Secure donor support for the implementation of the National Programme
• Develop and implement an effective partnership agreement between UNDP CO and UNCDF
• Address specific procedural difficulties (on contracting, procurement, etc.) related to DLDSP activities resulting from inefficiencies of UNDP CO operations.
• Correct the positioning of the DLDSP within the UNDP CO as a programme not a project – the relationship between the Programme (UNCDF) and national counterparts and donors.