Official Portal for MLGRD
Programmes & Projects

Local Government Capacity Support Project (LGCSP)

Local Government Capacity Support Project:
-          Is a us$175.0 million government of Ghana-world bank initiative targeting 46 metropolitan and municipal assemblies (MMAs).
-          Is to be implemented over a five year period.
-          Is modeled on the performance akin to the Functional organizational assessment tool (FOAT)/District development Facility (DDF) initiative
LGCSP seeks to:
-          Strengthen the metropolitan and municipal assemblies (MMAs) for accountable local governance and improved service delivery,
-          Provide an integrated package of support to build the capacity of the MMAs.
-          Build on the incentive-driven approach to enhancing MMA performance through the district development facility (DDF) PERFORMANCE grant,
-          Target key reform areas namely: budgeting, reporting, and auditing systems, revenue management, asset management; and social accountability
-          The objective of this project are to support the government efforts to:
-          Strengthen its intergovernmental fiscal framework;
-          Strengthen local public financial management and accountability for improved infrastructure and services in MMAs; and
-          Improve its citizen’s engagement with MMAs and their perceptions of urban management.
-          Ministry of local government and rural development(MLGRD)
-          Ministry of finance and economic planning (MOF)
-          Local government service secretariat (LGSS)
Component 1: Strengthening The Fiscal Framework For Decentralization
This component will support the establishment of a predictable and transparent fiscal framework for local governance, through assisting MOF to:
-          Develop the intergovernmental fiscal decentralization framework;
-          Introduce local government public financial management reforms in five key areas (Budgeting, reporting, auditing, revenue and asset management ) and manage the overall system of intergovernmental fiscal relations; and
-          Support the management capacity of the fiscal decentralization unit of MOFEP through the provision of technical advisory services and training.
Component 2: Enhancing Decentralized Urban Service Delivery
This component will support selected MMAs to improve their management capabilities in the identified key reform areas in component 1, through two subcomponents:
-          Performance based annual urban development grant (UDG) TO 46 MMAs to finance prioritized development projects within their medium term development plans; and
-          Strengthening the capacity of participating local governments through technical advisory services and training to improve their performance in the five key public financial management reform areas.
Component 3: Stimulating Demand For Accountable Governance And Services Delivery.
This component will:
-          Generate civil society demand for financial information from MMAs (e.g. budgets and audits);
-          Foster more effective engagement of civil society with assemblies on this information (i.e. helping civil society to understand it and provide a forum for exchange and debate around the information);
-          Strengthen the capacity and engagement of citizen  representatives on the budget and service delivery issues; and
-          Assist the development of media network with strengthen knowledge and capacity to report on local government financial management issues.
Component 4: Institutional And Project And Management Support
-          Component 4 will provide support to MLGRD in fulfilling its role in supporting the decentralization process Specifically related to fiscal decentralization and urban development.



P.O.Box M50 Accra
Ghana, West Africa

GP Digital Address GA-110-9895



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