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UNDP SUPPORTS Lesotho’s MDG-based
Strategy for Growth and Poverty Reduction |
15 November 2007
The Government of Lesotho,
with the assistance of its Development Partners, developed the first
Poverty Reduction Strategy (PRS), 2004/05-2006/07 in 2004. The PRS
was socially-focused, significantly inclusive, and was intended to
make quick gains in poverty reduction where previous planning
approaches had failed. Concurrently, three other important processes
were launched, namely the Vision 2020, the monitoring of the
Millennium Development Goals (MDGs) and the Public Sector
Improvement and Reform Programme (PSIRP). Implemented over the
period 2004/05 – 2006/07, the PRS presented an unfunded programme of
action with the objective of attaining the targets outlined in the
Vision 2020, the National Goals, and Millennium Development Goals.
In view of the fact that the PRS planning framework of the last
three years had expired, and based on lessons learnt during the
implementation, Government initiated a process of updating and
upgrading it into the second generation PRS with the draft title -
the Lesotho Strategy for Growth and Poverty Reduction(LSGPR)
2008/2009-2012/2013. The LSGPR is anchored on MDGs, and, unlike the
first PRS, pins the hope of achieving poverty reduction in Lesotho
on sustained accelerated economic growth. The overriding objective
will be that the LSGPR will be the principal vehicle through which
the country aims to realize its aspirations defined in the Vision
2020 and the MDGs. It will strive to widen the space for country
ownership and effective participation of civil society, and the
private sector.
The LSGPR strongly argues that poverty reduction and the achievement
of the MDGs cannot happen in an environment of declining growth
rates. Economic growth can result in employment and income
generation for citizens, empowering them to make the investment
decisions that will increase their own quality of life. While
significant social sector investment is called for, Government
cannot afford to make the kind of investment necessary over the long
term unless it is financed by a sufficiently growing economy. Social
service expansion can also, only happen in the context of increased
economic activity.
As mandated by the UNDP RBA’s strategic focus on Capacity
Development for Pro-Poor Growth and Accountability, and within the
framework of UNDP’s commitment to assist Governments develop MDG-based
national development plans, UNDP Lesotho’s technical and financial
contribution to the process leading up to the development of the new
MDG-anchored Strategy for Growth and Poverty Reduction has been, and
will continue to be crucial. In July 2007, The Government of Lesotho
requested UNDP to support it to undertake a review of progress made
during implementation of the first Poverty Reduction Strategy
(2004/05-2006/07). This review was to be followed by the development
of the new MDG-based, and growth focused Strategy for Growth and
Poverty Reduction. UNDP Lesotho provided, and continues to provide
support for both processes.
Lessons learnt from past strategic development plans have shown that
a basic weakness with programme implementation has been a lack of a
coherent monitoring and evaluation framework and lack of relevant
data. The Government of Lesotho attaches great importance to the
establishment and implementation of an effective National Monitoring
and Evaluation System (NMES). This has been demonstrated mainly
through the development of the Roadmap for the implementation of the
monitoring and evaluation master plan, which was launched in 2004.
This was done to better coordinate M&E activities while ensuring
improved collection and utilisation of quality information for
effective planning, resource allocation and decision-making. The key
objective of the system was to monitor and evaluate the
implementation of the PRS, MDGs, National Goals and Vision 2020. In
this regard monitoring the implementation of LSGPR and evaluation of
progress made will be done under the National Monitoring and
Evaluation System. Although this system is not fully established it
is envisaged that M&E will be guided by the over-arching principles
of the LSGPR and will be based on challenges and lessons learned in
monitoring the PRS, and the fact that there are new developments
associated with the LSGPR. The entire process is supported by UNDP,
and indeed requires additional support and capacity enhancement.
The NMES is envisaged to be a management tool to enhance
decision-making process at all levels including national, sectoral,
district and local. For this to be effective it must be supported by
an efficient and appropriate information system. This requires a
clear institutional framework to facilitate data collection,
analysis and dissemination. The institutional framework for
monitoring economic growth and poverty reduction should be
participatory and inclusive, to accommodate all organisations that
have a legitimate role to play in this process.
The institutional framework of the NMES uses existing structures,
primarily the Planning and Budgeting Work stream of the Public
Financial Management (PFM) component of the PSIRP. Under this
arrangement, the NMES will promote and operationalise the M&E
functions that fall under the Planning and Budgeting work stream. It
will achieve its NMES objectives by linking data production
activities with national planning and budgeting, in order to achieve
strategic budget allocations for effective implementation of the
LSGPR.
Implementation of the LSGPR requires financial resources. A good
part of these resources is sourced from Development Partners (DPs)
in the form of aid and loans. Currently, aid in Lesotho is
fragmented across different DPs and projects, and there is no
coherent policy to define what should and should not be funded, and
what modalities aid funding should take. This opens the door to
aid-funded arrangements where total programme costs (financial or
non-financial) are higher than they need to be. By taking leadership
of the process, Government can ensure that aid coordination happens
in a way that reinforces Government’s plans and processes, thus
increasing the impact of donor funds and reducing transactions
costs. Given the ongoing process of public sector reform, it is
important to ensure that donor assistance contributes to the
capacity building process rather than bypassing it.
The coordination and management of development aid is thus a key
component of the development agenda of the Government of Lesotho.
All development partners in the country have been mobilised behind
the Poverty PRS, sectoral strategic plans of action, and National
Vision 2020. All have heeded the call to support the PRS and now the
LSGPR and have aligned their support programmes to the frameworks
provided by the various national strategies. It is for this reason
that the coordination and management of aid takes on a more urgent
and prominent role in the country’s development effort. It is also
vital to hasten the implementation of development programmes
supported by aid to achieve meaningful strides towards achieving the
MDGs.
Osten Chulu
UNDP Lesotho |
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