Download PDF (4.08 MB) - ReliefWeb

90
terms of foreign exchange; at the same time, imports become less expensive in domestic
currency and undermine incentives for local production, including in agriculture. Countries
with weak systems for regulating international trade—those with a lack of transparency
in customs procedures; gaps in communication among customs, the tax administration,
inspection agencies, and the private sector; weak trade infrastructure; and porous
or unsecured borders—are also likely to experience corruption and predatory trade
practices that undermine international competitiveness. The foregoing phenomena are
characteristics of many crisis and post-crisis countries.
Natural resource management. Crisis and post-crisis countries with substantial natural
resources face particular governance challenges. The income generated from natural
resource exploitation can contribute significantly to livelihoods and economic recovery
if channeled toward the public interest, but the combination of easily exploitable natural
resources and a lack of security and rule of law tends to foster corruption and mismanagement.
Inequity in the distribution of gains and benefits from natural resource exploitation
can create social tensions and contribute to conflict.
5.2.4 UNDP’s role in supporting governance in crisis and post-crisis
situations
UNDP’s governance interventions support participatory processes for governments,
civil society, and the private sector to create or contribute to policy, legal, and regulatory
environments that are conducive to inclusive economic growth. In crisis and post-crisis
countries, governance interventions are designed to promote crisis-sensitive reforms of
processes, institutions, and policies to reduce vulnerability, strengthen the asset
base, and develop local capacity to expand livelihood opportunities. These interventions
include capacity development support for the provision of public services to vulnerable,
crisis-affected communities in an effective, equitable, and accountable manner (see section
5.1). Political capital—the ability of individuals to engage with and influence government
policies and processes—is a key asset for livelihoods and economic recovery, as described
in Chapter 1. UNDP aims to help both crisis and post-crisis countries to develop formal,
legitimate, and transparent channels for this influence, which may need to replace existing
informal mechanisms.
UNDP’s long-term presence in many countries and its close working relationship with
governments have created a degree of confidence and trust that often enables UNDP to
support sensitive work on governance. UNDP can leverage its convening role to support
policy advocacy and the development and implementation of national recovery strategies
in cooperation with the government and other partners. UNDP Headquarters offers an
extensive variety of special services that can strengthen the capacity of Country Offices
to contribute to good governance in both crisis and post-crisis environments, including
assistance with programme design and resource mobilization, conflict and disaster-risk
analysis, capacity development assessments and strategies, and the rapid deployment
of international experts.
5.2.5 Governance programming in the assessment and early recovery
stage
The livelihoods and economic recovery assessment conducted prior to the start of programming
should provide considerable information on the governance situation. Ideally,
this information will be expanded and regularly updated through participatory processes
in which national participants play an increasingly prevalent and independent role. Analysis
Livelihoods & Economic Recovery in Crisis Situations