ABSTRACT

There is a danger that decentralization may be perceived by policy makers, especially donors, as the latest mantra – the magic potion to cure many governance problems. Decentralization is being promoted by well meaning interest groups, often reacting to highly centralized regimes, as well as by influential international agencies, particularly the staff in the multilateral banks. But does it work? What are the essential preconditions for the success of decentralization? These issues are addressed in this volume, with a set of general papers, followed by case studies of countries in particular regions – the European Union (EU); transition economies including China, and major developing countries in Latin America, Africa and Asia.