9. Conclusion and Recommendations

It has been specifically argued in this chapter that centralization and decentralization are not “either–or” conditions. In most countries, an appropriate balance of centralization and decentralization is essential to the effective and efficient functioning of Government. Not all functions can or should be financed and managed in a decentralized manner. Even when national governments decentralize responsibilities, they often retain important policy and supervisory roles. They must create or maintain the “enabling conditions” that allow local units of administration to take on more responsibilities. Central ministries often have crucial roles in promoting and sustaining decentralization by developing appropriate and effective national policies and regulations for decentralization, and by strengthening the local institutional capacity to assume responsibility for new functions. The success of decentralization frequently depends heavily on training for both national and local officials in the decentralized administration.