Public sector management is a unique but essential challenge that forms the bedrock of the inclusionary compact between the state and its citizens. Governance requires uniform rules to create decision-making rights and guidelines that define relationships between individuals and organizations and provide opportunities for feedback, accountability, and revision. Getting governance right, particularly in developing countries, requires aligning organizational reforms to local contexts, promoting robust monitoring and accountability systems to prevent corruption, and building on assets as examples of success.
It is crucial to create an enabling legal environment so that citizens may participate in the market and a state can capitalize on its economic advantages. A state aids the creation and expansion of the market through setting rules for commercial policy, supporting private sector development, and intervening at times of failure or crisis. A state’s relationship with a market is highly context specific, with institutional structures changing with time and circumstance. It is in this tense but creative middle ground where a state must balance regulation while promoting competitiveness, legitimacy, and access.
The legitimacy of a state’s monopoly on the use of force determines the stability of the state and its social compact. A state’s security institutions, such as police and the military, and the type of force they use must fall under legitimate guidelines and laws. Institutional checks and balances on the state’s monopoly on the use of force are a critical demonstration of the state’s accountability to the rule of law. State security is a balancing act, where on one end extreme centralization of power may lead to authoritarian uses of violence outside of the law, while losing a monopoly on force greatly delegitimizes the state and often leads to violent struggles between non-state actors and parallel institutions.
Infrastructure serves as the backbone of a state and often is citizens’ primary daily interaction with state services through public utilities such as water, electricity and roads. Robust state infrastructure contributes to a decrease in inequalities, particularly between urban and rural communities, and helps better facilitate security, administrative control, human capital development, and disaster response. Laying a foundation for the market, infrastructure also creates avenues for participation in regional and global economies.
The rule of law is the “glue” that binds all aspects of the state, the economy and society. Each state function is defined by a set of rules that create governance arrangements. The state’s adherence to these arrangements can be seen in the alignment of formal and informal rule sets, the predictability and stability of how the rules are enforced, and the degree to which successive administrations and leaders adhere to the constitution and other laws. The accountability and monitoring mechanisms within the rule of law allow abuses to be identified and for reforms to take place in an organized manner.
The state must invest in all citizens—and all groups of citizens—for the future development and capacity of the state. The effects of this investment are almost instantaneous and have led to the rise of a global middle class. Human capital development has changed the very definition of education in a globalized economy, where new methods of problem-solving and technical skills are critical for a society’s success. Investments in higher education and public health are invaluable tools for a state to address poverty and social immobility, promote competitive industries, and drive innovation.
States have historically played a critical role in the creation of public lending institutions, which can be utilized to pay for their operations and obligations. Effective public borrowing and fiscal management enables states to develop predictable payment mechanisms, increase credibility among citizens and contracted service providers, and build resilience against market shocks. Sound public financial management is perhaps most important in fragile and conflict-afflicted states, where large sums of external funding lead to risks of corruption, mismanagement, and further debt. It is therefore crucial that states not only effectively manage public finances, but also build transparency and accountability mechanisms to better serve citizens.
The creation of citizenship rights that cut across gender, race, ethnicity, religion, class, and location is critical to a society’s prosperity. Using policy and laws to establish equal opportunities strengthens the social fabric and helps shift the dynamic of the state from a formal organization into a community of common sentiment with mutual rights and obligations. By engaging with citizens and addressing barriers to inclusion, states may better bridge contentious relations both among citizens and with the state.
A country’s wealth is made not just of money but also vast arrays of assets from land, water, the environment, extractives like minerals and oil, and other natural resources to “intangible” benefits such as licenses and permits. The way these assets are used sustainably and equitably for the collective good by a state is a measure of its effectiveness. It is imperative that states mobilize all their assets and are prepared for conversations on what defines a public good and how that good is being used.
The ability both to prepare for natural disasters and respond to them is a key measure of state resilience. It is imperative that states not only prepare for natural disasters within their geographic context, but also develop resiliency measures for crises such as drought, famine, and catastrophic weather. Clear frameworks and rules for how states respond to disasters, especially in the immediate aftermath, eases the costs and time for reconstruction and opens opportunities for reforms.
When everything is a priority, nothing is a priority. Effective reconstruction in Ukraine requires well-sequenced plans that translate to consensus around actionable policies, programs and projects. This analysis harnesses insights from other international recovery contexts…
Weaknesses in core government functioning remain a critical impediment to long-term development and reinforce cycles of fragility and poverty. While development portfolios have continued to grow in scope and ambition, the centrality of good governance…
The COVID-19 pandemic has shown the critical nature of effectively addressing state fragility. The goal is well known: forge pathways to self-reliance by building state institutional capacity and delivering inclusive social, economic and security outcomes…
May 1, 2020 The COVID-19 crisis has put the strengths and weaknesses of governments around the world into sharp relief. In their immediate responses to the crisis, governments are being judged by the degree to…
The goal of development in fragile states is well established: to help forge pathways out of fragility towards self-reliance and to deliver inclusive and sustainable social, economic, and security outcomes for citizens. The way to…
Rooted in its experience and expertise in state institutions, ISE has developed asset maps as a reframed perspective in which a country’s assets and opportunities are recognized as tools of progress, not static demonstrations of…
In the allocation of scarce public resources, good budgeting is an art and a skill. It is a core function of government, and as such, it is fundamentally a political process with many competing objectives.…
The conflicts in Syria, Iraq, Yemen, and Libya have caused untold levels of damage, resulted in significant loss of life, decimated the physical assets of the countries, and ripped apart social fabrics. Under the most…
The massive proliferation of data has fundamentally changed the systems of modern governance and development. Leveraging sustainable and cohesive data ecosystems, and understanding the limits of data’s use, are unique challenges for country-led transformations that…
Russia’s 2022 full-scale invasion of Ukraine has severely affected the country’s human capital stock, exacerbating pre-war population decline, skills gaps and labor imbalances. To rebuild communities and bolster domestic resiliency, Ukrainian policymakers and their international…
When everything is a priority, nothing is a priority. Effective reconstruction in Ukraine requires well-sequenced plans that translate to consensus around actionable policies, programs and projects. This analysis harnesses insights from other international recovery contexts…
Singapore has undergone a remarkable transition since gaining statehood. ISE examines the sequence of priorities and drivers fueling its economic growth from a post-colonial city into a center of industry and trade.
Four years after a devastating earthquake, the reconstruction of Haiti remains far from completion. Although billions of dollars in aid have flowed into the country, Haitians feel the outcomes have not matched the promises made.…
Borrowers in developing countries often have restricted access to capital because risk-averse financial institutions refuse to look beyond their overall country risk profiles. The Development Credit Authority (DCA) developed by USAID presents an innovative solution.…
Mozambique is now one of Africa’s fastest growing economies. What were the key steps in its path from Civil War, through one party state system and centrally planned socialist economy, to multiparty constitutional democracy? How…
Crop insurance programs aim to redistribute risk and reduce agricultural sector volatility, helping to mitigate the many environmental and market risks that impact farmers’ incomes. This note examines the potential benefits of crop insurance programs…
This note sets out the role of the United States export-import bank, the official US export credit agency, and explores the significance of its role in filling gaps in international trade finance.
The Caribbean presents a vulnerable combination of several very small states and a propensity to major natural catastrophes such as hurricanes. This combination spurred the creation of the world’s first multi-country risk pool. The Caribbean…
The COVID-19 pandemic has shown the critical nature of effectively addressing state fragility. The goal is well known: forge pathways to self-reliance by building state institutional capacity and delivering inclusive social, economic and security outcomes…
The conflicts in Syria, Iraq, Yemen, and Libya have caused untold levels of damage, resulted in significant loss of life, decimated the physical assets of the countries, and ripped apart social fabrics. Under the most…
The recent increase in the number of major global conflicts calls for a re-examination of how such violence can end and how peace can be sustained. Although peace agreements have a mixed historical success, their…
As a part of the American Academy of Arts and Sciences’ ongoing project on Civil Wars, Violence and International Responses, the second volume of a special issue of the journal Dædalus was released in January 2018 to…
Singapore has undergone a remarkable transition since gaining statehood. ISE examines the sequence of priorities and drivers fueling its economic growth from a post-colonial city into a center of industry and trade.
This note considers the application of a multi-donor trust fund (MDTF) to a possible Syrian transition. Firstly, it considers how an MDTF could act as the primary funding mechanism for short-term emergency support. Secondly, it…
Background Research Paper Submitted to the UN High Level Panel on the Post-2015 Development Agenda The High Level Panel on the Post-2015 Development Agenda set the key task for global development to end extreme poverty…
Mozambique is now one of Africa’s fastest growing economies. What were the key steps in its path from Civil War, through one party state system and centrally planned socialist economy, to multiparty constitutional democracy? How…
This paper develops scenarios for possible Syrian transitions. It identifies relevant peace building lessons from the past, outlines recommendations for members of the international community and pinpoints issues for articulating and implementing a transitional agenda.…
Singapore has undergone a remarkable transition since gaining statehood. ISE examines the sequence of priorities and drivers fueling its economic growth from a post-colonial city into a center of industry and trade.
Infrastructure investment sets countries’ opportunities and constraints. High-quality infrastructure production and ongoing maintenance is vital for the security, economic growth and livelihoods of citizens. Worldwide, inadequate delivery of quality infrastructure impedes nations at all levels…
This note considers the application of a multi-donor trust fund (MDTF) to a possible Syrian transition. Firstly, it considers how an MDTF could act as the primary funding mechanism for short-term emergency support. Secondly, it…
Impediments to foreign direct investment are a key constraint for developing countries seeking economic growth and poverty reduction. For many developing countries, political risk is one of the most significant impediments within this category. The…
The Overseas Private Investment Corporation (OPIC), the US government’s developmental finance arm, mobilizes private capital to simultaneously solve global challenges and advance US foreign policy. This note considers how OPIC helps US businesses unlock emerging…
How did Himachal Pradesh evolve to become one of India’s wealthiest states, with low poverty levels and above-average literacy? The prospect appeared unlikely when 30 princely Hill states merged to form a state characterized by…
This note reviews special economic zones, the variety of fiscal and economic regimes that govern them, and the potential they offer governments. It considers how they can stimulate foreign investment, regional development, technology transfer, foreign…
Recommendations from the World Economic Forum Global Agenda Council on Fragile States The citizens of fragile states are not waiting for change; they now take to the streets demanding inclusion in decision-making and marketplace opportunities.…
Confronted by set of deeply entrenched obstacles, the government of Bihar adopted a carefully structured approach to state-building. In this paper we assess the measures it took to consolidate the rule of law, build key…
Singapore has undergone a remarkable transition since gaining statehood. ISE examines the sequence of priorities and drivers fueling its economic growth from a post-colonial city into a center of industry and trade.
Mozambique is now one of Africa’s fastest growing economies. What were the key steps in its path from Civil War, through one party state system and centrally planned socialist economy, to multiparty constitutional democracy? How…
The story of how Spain transitioned from a military dictatorship to a situational monarchy with a Parliamentary democracy is widely known. This paper scrutinizes the deeper process: how Spain developed its national institutions to build…
Confronted by set of deeply entrenched obstacles, the government of Bihar adopted a carefully structured approach to state-building. In this paper we assess the measures it took to consolidate the rule of law, build key…
Consensus is emerging on the centrality of state-building to development. At an operational level, however, the differing mandates and priorities of different donors are resulting in fragmented approaches – increasing the strain on already fragile…
Current approaches in the Guinea-Bissau reached an impasse as the government struggled to balance competing urgent needs, the population’s desire for tangible change, and longer term institutional reform. This paper suggests a new approach whose…
This paper considers how to resolve Nepalese political stalemate. It argues that progress on constitution-making requires agreement on core constitutional principles to underpin it. It then sets out recommendations to catalyze positive change, overcoming narrow…
This paper considers how, at an ‘open moment’ in its history, Nepal might meet the challenge of moving from slogan to implementation. It suggests national programs have a role to play in facilitating this process…
A state-building strategy must be precisely tailored to its context and the aspirations of the citizens in order to provide the ownership and momentum necessary to expand an open moment into a process of institution…
Russia’s 2022 full-scale invasion of Ukraine has severely affected the country’s human capital stock, exacerbating pre-war population decline, skills gaps and labor imbalances. To rebuild communities and bolster domestic resiliency, Ukrainian policymakers and their international…
When everything is a priority, nothing is a priority. Effective reconstruction in Ukraine requires well-sequenced plans that translate to consensus around actionable policies, programs and projects. This analysis harnesses insights from other international recovery contexts…
Knowledge ecosystems can strengthen resilience in fragile states but these contexts are often some of the most difficult for such ecosystems to operate and thrive. Harnessing interviews with over 30 experts representing 22 unique research…
Singapore has undergone a remarkable transition since gaining statehood. ISE examines the sequence of priorities and drivers fueling its economic growth from a post-colonial city into a center of industry and trade.
Mozambique is now one of Africa’s fastest growing economies. What were the key steps in its path from Civil War, through one party state system and centrally planned socialist economy, to multiparty constitutional democracy? How…
How did Himachal Pradesh evolve to become one of India’s wealthiest states, with low poverty levels and above-average literacy? The prospect appeared unlikely when 30 princely Hill states merged to form a state characterized by…
Recommendations from the World Economic Forum Global Agenda Council on Fragile States The citizens of fragile states are not waiting for change; they now take to the streets demanding inclusion in decision-making and marketplace opportunities.…
How did Singapore transform itself from a breakaway island state few considered viable, wracked with ethnic tension, political and economic problems, to a thriving economic hub and global financial center? Which areas of economy and…
Despite Nepal’s economic potential, disagreement on forming an enabling environment for business is entrenching informal and corrupt rules. This impedes licit businesses, restricting trade and investment. This article proposes how the government should partner with…
The world is now responding to the greatest crisis since World War II and is in the midst of an unprecedented fiscal and monetary response to the COVID-19 pandemic. There are massive amounts of resources…
The consequence of systemic failure in national accountability systems is catastrophic corruption. Such corruption exists in the world, including in conflict-affected and fragile countries, resource rich countries, and aid-dependent countries. This Development Practice Note (DPN)…
The goal of development in fragile states is well established: to help forge pathways out of fragility towards self-reliance and to deliver inclusive and sustainable social, economic, and security outcomes for citizens. The way to…
In the allocation of scarce public resources, good budgeting is an art and a skill. It is a core function of government, and as such, it is fundamentally a political process with many competing objectives.…
This is a powerpoint presentation for the Annual Performance Progress on the Fiscal performance Improvement plan.
This is a follow-up note to the ISE Development Practice Note on the consequences of donor-induced fragmentation, which argued that the way development partners have managed their ODA spending and development programs has resulted in…
This article originally appeared in The Hill on November 2, 2017 By Clare Lockhart and David Thorpe Hurricane Maria left no corner of Puerto Rico untouched, meting out systematic destruction to the island and the lives…
In conflict-affected or fragile states there is often a significant gap between what the state is able to deliver and what the citizens of that state, as well as international partners, expect the state to…
This analysis provides a comparison of fiscal performance improvements over time for Afghanistan and Timor-Leste. It reviews changes in the quality of public financial management systems as revealed by Public Expenditure and Financial Accountability (PEFA)…
Russia’s 2022 full-scale invasion of Ukraine has severely affected the country’s human capital stock, exacerbating pre-war population decline, skills gaps and labor imbalances. To rebuild communities and bolster domestic resiliency, Ukrainian policymakers and their international…
Knowledge ecosystems can strengthen resilience in fragile states but these contexts are often some of the most difficult for such ecosystems to operate and thrive. Harnessing interviews with over 30 experts representing 22 unique research…
Image courtesy of the Movement for Community Led Development. ISE is working with the Movement for Community Led Development, and community-led organizations globally, to discuss, collate and share ways in which community-led development (CLD) and community-driven…
The goal of development in fragile states is well established: to help forge pathways out of fragility towards self-reliance and to deliver inclusive and sustainable social, economic, and security outcomes for citizens. The way to…
Based on pilot townhalls in Afghanistan, this piece examines how citizens can participate in the formulation of the national budget. Initial findings identified citizens’ stronger-than-expected interest with the national budget, and how their engagement can…
Afghanistan’s Citizens’ Charter program is national in scope, which means that the core model of facilitation must be able to adapt to a tremendously broad range of socioeconomic environments. This is particularly important as the…
This brief discusses various aspects of the Citizens’ Charter approach to poverty reduction. These include incorporating a deeper understanding of poverty dynamics into the program’s architecture, engaging provincial and district level authorities and programs, promoting…
Afghanistan’s nomadic and semi-nomadic populations are highly vulnerable and are generally excluded from development interventions. The Citizens’ Charter aims to work with this population to provide key services. This brief sets out key areas that…
Policymakers and the international community continue to struggle with how to deliver essential services, particularly in fragile states, in the context of violent conflict, inequality, pervasive corruption, and weak institutions. Community Driven Development (CDD), which…
When everything is a priority, nothing is a priority. Effective reconstruction in Ukraine requires well-sequenced plans that translate to consensus around actionable policies, programs and projects. This analysis harnesses insights from other international recovery contexts…
Rooted in its experience and expertise in state institutions, ISE has developed asset maps as a reframed perspective in which a country’s assets and opportunities are recognized as tools of progress, not static demonstrations of…
Singapore has undergone a remarkable transition since gaining statehood. ISE examines the sequence of priorities and drivers fueling its economic growth from a post-colonial city into a center of industry and trade.
Governments can most successfully manage their natural resources when they understand the potential of these assets set against the larger economic, social and environmental goals of the country. They can then seek to nurture a…
Mozambique is now one of Africa’s fastest growing economies. What were the key steps in its path from Civil War, through one party state system and centrally planned socialist economy, to multiparty constitutional democracy? How…
The Overseas Private Investment Corporation (OPIC), the US government’s developmental finance arm, mobilizes private capital to simultaneously solve global challenges and advance US foreign policy. This note considers how OPIC helps US businesses unlock emerging…
Recommendations from the World Economic Forum Global Agenda Council on Fragile States The citizens of fragile states are not waiting for change; they now take to the streets demanding inclusion in decision-making and marketplace opportunities.…
Despite Nepal’s economic potential, disagreement on forming an enabling environment for business is entrenching informal and corrupt rules. This impedes licit businesses, restricting trade and investment. This article proposes how the government should partner with…
Consensus is emerging on the centrality of state-building to development. At an operational level, however, the differing mandates and priorities of different donors are resulting in fragmented approaches – increasing the strain on already fragile…
International experience shows the importance of anticipating issues that can make the difference between successful or failed reconstruction following conflicts and disasters. This brief covers issues that will be critical for Ukraine’s recovery, ranging from…
The COVID-19 pandemic has shown the critical nature of effectively addressing state fragility. The goal is well known: forge pathways to self-reliance by building state institutional capacity and delivering inclusive social, economic and security outcomes…
Image courtesy of the Movement for Community Led Development. ISE is working with the Movement for Community Led Development, and community-led organizations globally, to discuss, collate and share ways in which community-led development (CLD) and community-driven…
Photo: World Bank Group This article originally appeared in Abt Associate’s Governance and Development Soapbox Blog By Nelly Mecklenburg and Jessica Mackenzie What does the COVID-19 response and commitments for more effective development in fragile states have…
Effective communications during a pandemic is critical as governments mobilize citizens to take action to protect public health. Done poorly, it can mean an erosion in trust, the immediate loss of lives and longer-term negative…
May 1, 2020 The COVID-19 crisis has put the strengths and weaknesses of governments around the world into sharp relief. In their immediate responses to the crisis, governments are being judged by the degree to…
Relief and development organizations use various methodologies to map populations, households and individuals that are vulnerable to different shocks – economic and resource shocks, natural disasters and climate change, conflict and violence, health crises and…
The world is now responding to the greatest crisis since World War II and is in the midst of an unprecedented fiscal and monetary response to the COVID-19 pandemic. There are massive amounts of resources…
This article originally appeared in The Hill on November 2, 2017 By Clare Lockhart and David Thorpe Hurricane Maria left no corner of Puerto Rico untouched, meting out systematic destruction to the island and the lives…