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English - IFAD

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Chapter 3 The importance of addressing risk 99<br />

used to preserve or reconstruct vital services after conflict, they are often<br />

implemented by NGOs rather than government, which can, over the long term,<br />

undermine the process of creating an environment of reduced risk for poor rural<br />

people through solid public services and legitimate public institutions.<br />

Beyond state fragility and conflict, poor governance more broadly can be a factor<br />

of risk, particularly when lack of accountability and corruption – or the misuse of<br />

public power and resources for private or political gain – are widespread.<br />

Unaccountable public authorities and institutions introduce an element of<br />

unpredictability into public life that can significantly increase transaction costs<br />

associated with market investments and contracts, access to services and utilities,<br />

and practices of citizenship. These affect particularly poor rural people due to their<br />

lack of power, but lack of accountability can also increase the costs and risks faced<br />

by the less poor and the wealthy – including private investors. Lack of public<br />

accountability by government authorities and institutions can increase the risks that<br />

poor rural people face when deciding, for instance, whether to invest in a piece of<br />

land over which they hold customary (or even formal legal) entitlements, how to<br />

“Regrettably, we perceive – and that<br />

makes me feel angry – that teachers<br />

in charge are not of a high quality…<br />

And those who live in rural areas suffer<br />

from this… when you go to a distant<br />

village, you realize that the teachers<br />

don’t comply with their work.<br />

They only stay two or three days, and<br />

are not concerned about training<br />

themselves. The level of health, justice<br />

and education doesn’t reach everyone<br />

equally… I get angry that such things<br />

happen in our country.”<br />

Elsa Espinoza Delgado,<br />

female, 23 years, Peru

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