The role of decentralization in the development of local economies

Hamed Abdul Hussein Al - Jubouri


There is a great difficulty in developing local economies under the dominion of political dictatorship and economic centralization, making a global trend towards the development of local economies through democracy and economic decentralization.

In the wake of the passing of the global system of globalization, which, through its well-known political and economic instruments such as the United Nations, the International Monetary Fund and the World Bank, has made the world a "small global village" in which capital, goods, services, labor, data and information Cultures, behaviors, etc., at a tremendous speed as a result of the shortening of time and place and the lowest costs, based on the principles of freedom and the removal of borders and others, which believe in globalization and which pushed the withdrawal of the carpet from under the central state in general and economic centralization Special for, and therefore became the economic decentralization is the best for the development of local economies option to suit local needs, for all countries, especially that fall under the banner of globalization.
Development of local economies

The aim of the development of local economies is to strengthen the economic capacity of a local area in order to improve its economic future and the overall standard of living in the region. It is a process in which partners, the government sector, the private sector and civil society organizations, work collectively to provide better conditions for economic growth and job creation [i].

As each region in every country in the world has certain conditions different from other regions can contribute to the improvement or deterioration of their reality and this improvement or degradation depends on the extent of attention to them, and therefore must be given to local development a great deal of attention to be a suitable environment for receiving investments Especially in the light of globalization and multinational companies, which are looking for their investments in areas of advantage in relation to their activity. Receiving investments will be reflected in economic growth and employment opportunities, which means improving the economic and living standards of the local area.

It is not possible to achieve the above objective of the development of local economies without a clear vision of how to manage and achieve that goal, but before clarifying how to manage that goal and achieve it must be reference to the relationship between the political side and the economic aspect, where the economic aspect can not be addressed in isolation from the political aspect because there is a relationship A document between them and one affects the other, but in general that the economic side follows the political side, the more positive the performance of the latter and good effects will be reflected in most aspects, especially the economic aspect in a positive and good also. It should be noted that in developed countries, the political side follows the economic side, unlike the underdeveloped countries, where the economic aspect is dependent on the political side.
Economic Decentralization

Economic decentralization means the transition from economic management centrally by the state through the Ministry of Planning to the management of the economy in a decentralized manner through the market through the interaction of free supply and demand forces, in conjunction with the transfer of the validity of decisions and administrative and economic procedures issued by the state centrally based on the requirements of the national economy in general, To local administrations that place the requirements of local economies on top of their priorities from their local realities.

Economic decentralization effectively contributes to the development of local economies because they are in contact or rather closer to the realities of local communities. They are better informed about what is happening in society than the central administration, and their diagnosis is more accurate and faster in terms of the size and priorities of local needs. Needs through the issuance of decisions and take the necessary actions to implement them, whether political, administrative, economic or other, the local needs of local administrations faster response to the strengthening of local stability and this encourages the development of the local economy because in The absence of stability has not allowed the economy to develop properly.
Democracy and decentralization are the way to achieve the goal

The transition from economic centralization to economic decentralization can not be achieved without a political transition from dictatorship to democracy, from formal democracy to genuine democracy for the democratically transformed countries by establishing the political institutions that democracy requires - elected officials, free and fair elections Freedom of expression, access to alternative sources of information, independent associations, and citizenship).

The absence of the political institutions needed by democracy and the failure to take the necessary measures to truly democratize democracy in the transition, in conjunction with the chaos and political, economic and social problems that follow the disintegration of the dictatorial regime, will result in the birth of a new repressive regime, because some individuals and groups see the fall of the oppressive regime The motives of these individuals and groups may differ, but the results are often similar to that of a new dictatorial regime that is more aggressive than the old dictatorial regime. [3] This undermines the The economic cornerstone is democracy.


Therefore, we must first ensure that democracy is implemented in a real way away from the surface by establishing the political institutions required by the above mentioned and taking the necessary measures to prevent the emergence of a new dictatorship by addressing the chaos and the political, economic and social problems which are in themselves a fertile environment for the emergence of a new dictatorship. Economic decentralization mentioned above, because democracy serves as the paved road for economic decentralization and, at the same time, is the paved road for the development of local economies.

Democracy also gives freedom to individuals to exercise their political rights in terms of nomination, election, freedom of expression, government criticism, access to information, the formation of independent organizations, associations, political participation, etc. Economic decentralization also gives individuals freedom to make economic decisions towards All economic processes, especially the issue of ownership of the means of production, independently of the absence of reparation and coercion exercised by economic centralism under the political dictatorship. Democracy and economic decentralization are the paved road for the development of local economies.

Which helps to move towards real democracy and economic decentralization and the development of local economies and global experiences and global trend towards the mainstreaming of these topics and entrenching in most of the world and this shortens the way for countries that aspire to the application of these topics, led a study on the subject of the development of local economies that are easily achieved in light of Democracy and Economic Decentralization, a joint study of "Cities of Change" at the World Bank in 2004 entitled "Local Economic Development ... Guide to the Development and Implementation of Local Economic Development Strategies and Action Plans" Head of 137 pages.
Partners are walking on the temple road

Having clarified the paved road of democracy and economic decentralization necessary to achieve the stated goal, it is necessary to identify the partners who follow this path and their role in contributing to the development of local economies, whose presence is absent or rather absent from their role under dictatorship, formal democracy, economic decentralization, Free from the roles they should play and which contribute effectively to the achievement of developmental goals in general and local in particular, whether directly or indirectly or indirectly in light of democracy and economic decentralization.

Among the most prominent partners who play a major role in the development of the local economy are the local government sector, the private sector (the business sector) and the local community sector, including the local community organizations. Each of these sectors plays a role that is no less important than other sectors. And work to raise awareness of each of these sectors in turn and how the performance of its role will reflect well on the local economy in general and its reality in particular, because these sectors, such as the series are linked to the impact and influence among them.

The first sector contributes directly to the development of the local economy, such as the private sector, by direct economic activity, in accordance with the principles of market economy of freedom, competition and non-monopoly in all economic sectors such as agriculture, industry, tourism, trade, media, transport, communications, real estate, financial, educational, Contrary to public interests such as monopoly.

The second sector contributes almost directly to the development of the local economy, such as the local government sector, for example, because under economic decentralization it withdraws from economic activity for the benefit of the private sector and its role is limited to supervision and assumes the responsibility of providing a wide range of regulatory and monitoring services for the aforementioned economic activities such as registration, As well as the provision of infrastructure and maintenance, and provide education and training opportunities and provide an appropriate investment environment supportive of the private sector's economic activity in a streamlined manner.

The third sector indirectly contributes to the development of the local economy, such as civil society organizations (non-profit organizations), because they do not engage in economic activity, and even if they practice it, it is not for profit. The business sector also aims to take the role of educating the local community on the importance of developing and developing the local economy. We will reflect on its reality so that it interacts and cooperates with the authorities seeking to activate it through seminars, dialogues and conferences on the importance of local development by linking these and other activities related to the local economy to the media aspect of the second aspect, so that they are disseminated more widely General when everyone 'Culture, to be the local economy as soon as the development of times and with minimal costs.

It also opens a window with specialized research centers to study the role of democracy and economic decentralization in achieving local development to feed seminars, dialogues, conferences and media with the latest specialized studies on the development of the local economy to continue educating the community on the importance of development and development of the local economy.

Finally, it is worth noting that there is a need for a higher committee for each partner independently to ensure that it continues to perform in accordance with the common goal. The presence of a joint high committee of the three partners ensures that the main roles of the partners contributing to the development of the local economy are not diverted. Will be in accordance with a periodic schedule.


https://annabaa.org/arabic/economicarticles/16709