亚开行-蒙古的权力下放、地方治理和地方经济发展（英）-2021.8-94页_1mb

Summary of "Decentralization, Local Governance, and Local Economic Development in Mongolia"

Core Content

This document examines the institutional and policy framework of subnational governance in Mongolia, focusing on the challenges and opportunities for local governments in delivering public services and promoting local economic development. It provides a comprehensive analysis of the current governance structures, financing mechanisms, and the broader implications of decentralization on local development.

Main Views and Key Information

1. Decentralization and Subnational Government (SNG) Role

• Decentralization Policy: Mongolia has implemented a decentralization policy since 2016, aiming to enhance local governance and service delivery.
• Dual Institutional Structure: SNGs operate under a dual structure with a legislative body (hural) and an executive branch (governor and deputy governor), which is common in post-socialist states.
• Hierarchical Levels: Mongolia has three levels of subnational governance: the capital city (Ulaanbaatar), 21 aimags (provinces), and 330 soums (districts). The lowest level includes 151 khoroo (urban wards) and 1,559 bagh (rural wards), though baghs are not fully institutionalized.

2. Constraints in Implementation

• Policy, Legal, and Regulatory Framework: Often unclear or inconsistent, leading to confusion and lack of operational guidance for SNG personnel.
• Institutional Setup: Creates duplication of functions and blurs accountabilities, with elected hurals having a limited role.
• Financing and Budgeting: Despite the 2016 Budget Law reforms, budgetary processes are centralized and rigid, limiting local discretion.
• Equity and Efficiency: There is significant variance in resources per capita between soums and aimags, affecting service delivery equity and efficiency.
• Accountability and Transparency: Overlaps and lack of clarity in institutional oversight roles hinder accountability.

3. Service Delivery and Economic Development

• Public Services: SNGs are responsible for providing services, but central control over many responsibilities reduces their autonomy.
• Local Economic Development: SNGs have limited regulatory and convening powers, which are crucial for economic growth and development.
• Extractive Industries and Environment: SNGs face challenges in regulating extractive industries and conserving the environment due to unclear legal provisions and inconsistent regulations.

4. Recommendations

• Strengthen Policy, Legal, and Regulatory Framework: Develop a clearer and more consistent national framework for subnational governance, including legal provisions for urban SNGs and revising the Local Development Fund (LDF) policies.
• Enhance Institutional Capacities: Implement regular training, induction, and support mechanisms for SNG personnel. Develop practical guidelines and case materials to help with local planning, budgeting, and service delivery.
• Promote Accountability and Transparency: Introduce performance-based grants and annual performance assessments. Provide operational guidance on legal provisions related to transparency and citizen engagement. Support civil society organizations (CSOs) and the media to improve public oversight.

Structure of Subnational Governments

• Capital City: Ulaanbaatar with 9 districts and 151 khoroo.
• Other Areas: 21 aimags and 330 soums.
• Baghs: Rural wards without elected hurals, but used for administrative purposes and mandatory consultations.

Institutional and Legal Framework

• LATUG (Law on Administrative and Territorial Units and Their Governance): Defines the roles and powers of hurals and governors.
• PFM (Public Financial Management): Highly centralized, with budgets and operations of subnational sector departments controlled by parent ministries.
• Accountability: The Law on State Supervision and Inspection (2003) mandates oversight between SNGs and central authorities.

Financing and Budgeting

• Own-Source Revenues: Limited and not sufficient to support local development.
• Fiscal Transfers: Centralized and opaque, with significant disparities in resource allocation.
• LDF (Local Development Fund): Faces issues with clarity, equity, and the formula used for distributing funds, which may penalize more populated areas.

Broader Roles in Local Development

• Urban Development: Challenges include unclear mandates, weak regulatory powers, and inefficiencies in service delivery.
• Local Economic Development: SNGs have limited powers to promote economic growth and face challenges in implementing policies.
• Environmental Regulation: SNGs struggle with regulating extractive industries and managing environmental conservation due to inconsistent laws and weak enforcement.

Conclusion and Future Directions

• Need for Reform: Strengthening the policy, legal, and regulatory framework is essential to enable effective subnational governance.
• Capacity Building: Institutionalizing training and support mechanisms for SNG personnel and officials.
• Accountability Measures: Enhancing transparency and local accountability through performance incentives and better reporting systems.

Key Donor Programs and Appendices

• Appendix 1: Contains detailed data on financing, budgeting, and other local governance metrics.
• Appendix 2: Highlights key donor programs supporting local development in Mongolia.

Tables and Figures

• Tables: Include data on subnational government structure, elected members by party, budget resources, and performance metrics.
• Figures: Illustrate the institutional setup and urbanization trends.

Glossary

• Aimag: Province (first tier of subnational government).
• Soum: District (second tier of subnational government).
• Khoroo: Urban ward.
• Bagh: Rural ward.
• Hural: Elected assembly.
• LDF: Local Development Fund.
• LATUG: Law on Administrative and Territorial Units and Their Governance.
• PFM: Public Financial Management.

Abbreviations

• DLA: Directorate of Local Administration
• EMP: Environmental Management Plan
• LATUG: Law on Administrative and Territorial Units and Their Governance
• LDF: Local Development Fund
• LLA: Local-Level Agreement
• MALA: Mongolian Association of Local Authorities
• MNAO: Mongolian National Audit Office
• MNT: Mongolian Tugrik
• MOF: Ministry of Finance
• NAOG: National Academy of Governance
• NDA: National Development Agency
• NGO: Non-Government Organization
• PBG: Performance-Based Grant
• PFM: Public Financial Management
• SDC: Swiss Agency for Development and Cooperation
• SLP3: Sustainable Livelihoods Project - Phase 3
• SNG: Subnational Government
• UNDP: United Nations Development Programme

This summary highlights the critical issues and recommendations for enhancing subnational governance in Mongolia, with a focus on decentralization, accountability, and capacity building.