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With considerable progress made with strengthening of Union Parishads (UP) , a Government initiative to develop an accountable local governance system is gaining momentum. The World Bank is supporting the Government’s Local Governance Support Project (LGSP) with a commitment of US$111.5 million credit that will allow Union Parishads (UPs) to respond better to community needs and deliver services through a transparent fiscal transfer system.
Under this project, the Government will provide increased Annual Development Plan Block Grant directly to Union Parishads (UPs), provided they receive unqualified annual audits and take specific steps in improving the transparency of their budgeting and expenditure process. The project will be implemented in phases, covering around 25% (1000) UPs in its first year (starting in July 2007), and eventually include all UPs in the country in the next four years.
A recently-concluded World Bank Mission found that considerable progress has been made in the provision of core packages for audit support, UP training, IEC campaign for citizens and technical assistance, and steady progress has been made in preparing for the allocation of funds to UPs.Â
In addition, the World Bank will also provide a non-lending technical assistance for local governance policy support. in partnership with the Swiss Development Cooperation (SDC). Under this, government will be able to undertake speedy responses to emerging needs, especially activities supporting policy development in areas of decentralization and strengthening Local Government Institutions. .
March 2007
Contacts:
S.M. Rezwan Ul Alam, (8802) 815-9015, Ext 4242
e-mail: salam3@worldbank.org
For more information on the World Bank in Bangladesh, please visit : www.worldbank.org.bd & www.worldbank.org
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