GOOD PRACTICE 58061 NOTE Issue 2 September 2010 SRI LANKA Village Self-Help Learning Initiative Unleashing the Power of Rural Communities T he Village Self-Help Learning Initiative by one family member. Given the success Pilot (VSHLI) sought to introduce and of the pilot, subsequent projects expanded test a direct funding mechanism for the program to 1,000 more villages, coming community driven development (CDD), in a to be known as the "Gemi Diriya" ("the country that had little or no experience with strength of villages"). In 2008, the Gemi these approaches. Past poverty reduction Diriya project was singled out by UNDP programs by the Government generally had as one of 20 outstanding and replicable poor levels of sustainability and economic poverty reduction programs worldwide. viability, using supply side activities that did not involve the targeted beneficiaries Specifically, the JSDF grant financed: in the development of their chosen microprojects, resulting in 1. LocalCapacityBuildingofVillage OrganizationsandPartnerships for a mismatch between needs communities to manage their affairs, and "Bank staff found and investment activities and account for the use of funds through poor asset ownership, and transparent standardized systems. themselves watching maintenance. This required strengthening of local from the sidelines-- governments, and the development of a process that was In 2000, the Japan Social partnerships with federations of village entirely community Development Fund (JSDF) organizations, the private sector, and driven, with youth stepped in to provide NGOs US$ 750,000 to pilot 2. DevelopmentofVillageInformation playing a leading an innovative model of SystemsandParticipatoryMonitoring, role. This reflected providing tools and skills to prepare participatory community the empowerment of local Village Development Plans, carry development in three of Sri community members out standardized monitoring and Lanka's poorest villages. evaluation, and promote accountability who had wholeheart- The goal was to empower for village development projects by edly embraced the vulnerable groups such as measuring progress and results. decision-making and women, youth, and farmers 3. Subprojects which improved the to make effective decisions, diversity of livelihood options and management process" to plan and implement economic activity in the villages. 26 ­The Bank Task Team programs and managing subprojects were developed --micro- their own funds through enterprises and basic infrastructure or participatory development social services, selected through their and partnership among villagers, the state, VillageDevelopmentPlans. and civil society. Some key features of this pilot defined The VSHLI pilot, for the first time, enabled the success of the community-led villagers to organize, identify needs, and implementation of this grant: implement their own development projects. The pilot started in three and expanded · The success of the project hinged on to 12 villages, benefiting 3,140 households, the ability to mobilize over 80% of each represented in a "village company" households to become due-paying members of an autonomous Village The Japan Social Development Fund (JSDF) was established in June 2000 by the Government of Japan (GoJ) and the World Bank as a united mechanism for providing direct assistance to the poorest and most vulnerable groups in eligible World Bank group member countries. 1 http://www.worldbank.org/jsdf Organizations (VO), legally registered as joined their Village Organizations.Vulnerable youth people's companies, where officers were and women comprised 66% of decision-making democratically elected annually to manage the positions at the village level, and were empowered organization. to drive their own · The Village Self-Help development. Youth model was embedded ProjectData became interested in within an ethical Implementing Agency: Mahaweli Authority of Sri Lanka the development of framework of "10 their villages rather than Grant (TF026603) Amount: $750,000 GoldenRules" which migrating to urban areas emphasize good Implementation Period: 04/03/2001 to 03/31/2005 governance, equity, The VO is left to transparency, and cost function by itself and efficiency when dealing with public finances may contract technical expertise using its Capacity (see table below). BuildingFundand/or receive support from technical · The participatorynatureofdecisionmaking project field teams from the project. Village in the project led to improved targeting of organizations are responsible for prioritizing and the poor and governance, transparency and managing local development needs and funds, accountabilityat the village level. including investments in infrastructure and economic · Villagersgainedconfidenceandvoicein livelihood. A long-term process of capacity and decidingandimplementingtheirdevelopment institutional development supports the development priorities and benefited from extensive and sustainability of Village Organizations and their infrastructure and income-generating activities. self-financing federations, as well as promoting · Implementation problems were solved mainly partnerships with the private sector and responsible through communitybrainstormingandproblem local governments. solving. · The project contracted NGOs to carry out A new cadre of CommunityProfessionals(CP) was initial information campaigns in villages, to introduced and about 55 villagers were trained facilitate participatory planning, and support and employed in this new capacity, to drive village formation of the VOs and training of its officers. self-help activities. This was a new opportunity for NGOsexitedaftercompletingthepreparation employment among villagers who were previously institution-buildingactivities. unemployed. The CPs carries out various tasks, mainly: Improved Governance and Opportunities for the Poorest · Check compliance of villages with the "10 Golden Rules" when implementing Village The majority of community members (77%), Development Plans. identified as the poor and poorest households Village Organization's 10 Golden Rules 1 We Contribute to Our Development Everyone in the village must contribute time, money and labor to develop and implement activities to improve living conditions in the village 2 We Practice Self-Help We must learn to manage our affairs by ourselves in a sustainable manner 3 We are Accountable to the Village We have full freedom in our decision-making process and management for our Actions of financial resources and must be accountable for our actions 4 Good Governance is Key to Success The Village Organization is built on the principleof trust among all villagers and with partners and other villages A breach in trust may result in a loss of funds 5 We Develop our Village Step-by- Development is a gradual process, one step at a time, planning what we Step can afford and manage with success 6 We Apply Cost-Effectiveness Economy is of the essence when using public funds, avoid waste, and Criteria treat village funds as your own. 7 We are Open and Transparent in Everyone has access to all information related to village activities, and Our Dealings any misuse of funds is reported immediately and penalized 8 We Uphold the Principles of Equity Ensure that all village members, especially the needy (the landless, the and Inclusion unemployed, and women) participate and share in the development process and its benefits 9 We Act in a Timely Manner and We must implement activities according to the schedule and maintain Ensure Quality quality standards 10 We Seek Help When Needed Before problems grow to be unmanageable, seek timely support from partners, Community Professionals and NGOs 2 http://www.worldbank.org/jsdf · Identify knowledge or skill gaps that need agencies. The value of goods traded is in excess of external assistance from other villages with Rs. 360 million (US$3 million) and has benefited over experience or from the project team and build 29,000 rural households, of which 83 percent are community-to-community networks among the poor and poorest households. · Build community member confidence by sharing with them their own experiences of how others Households in the project area also diversified may have resolved problems and facilitated their income, moving from a dependency on knowledge exchange subsistence agriculture and wage labor to operating both on-farm and off-farm enterprises. As the In response to the need for trained community project intentionally targeted both young and old, members six district and one national Community households now benefit from a diversified stream of ProfessionalLearningandTrainingCenterswere income. established. These centers are self-sustaining from fees and contributions collected. Through skills development training and off- farm employment poor women and formerly Access to Credit for the Poor unemployed youth are contributing substantially to the welfare of households. About 22,000 people Youth and women, who make up a have benefitted from skills development activities. disproportionately large percentage of Sri Their services, as Community Professional, are Lanka's poor and unemployed, were the primary being demanded by other village communities and beneficiaries of the JSDF project. Before the programs. project, about 70% of households in the project villages had no access to credit and marketing More recently, the project has partnered with facilities. Now, almost 20,000 self-organized Cargill's, a growing retail chain in Sri Lanka, to savings and production groups have been set up provide an Accelerated Skills Acquisition Program and are actively mobilizing savings. About 147,000 (ASAP) for youth in project villages. This training households have benefited from the savings and targets youth before they are placed in jobs, to credit funds established. build their interpersonal and professional skills. Savings groups have used their cumulative savings of US$2.25 million to leverage credit equal to about Access to Information Technology ten times that amount, and have invested $17.6 million in more than 125 types of income-generating The VSHLI project used information and activities. They have also attracted funding and communication technology to link villagers to technical assistance from 15 major private sector each other, the government, and the market. The agencies. Information Technology SHED (ITSHED) Program, which won the Manthan Award South Asia for "best e-content for development" in the e-enterprise and Improved infrastructure and services livelihood category, was piloted in about 30 villages and is now scaling up to over 1000 villages with the Investments in local infrastructure have allowed for help of federations and community professionals. partnerships between communities and the private sector, better market linkages and access to basic In support of ITSHED, and coinciding with the services. These included drinking water access government's Year of English and IT, Village systems, rural roads and bridges, and ICT centers. Organizations used capacity building funds to For example, in the village of Madumasgulla, the train 400 youth in information and communication construction of a bridge allowed safe crossing of a stream that in turn provided access to schools, increased trade and land values. In Pitakanda village, the construction of a village access road allowed for a five-fold increase of trading vehicles entering the village. Community infrastructure and services are now PILOTVILLAGE delivered through a mechanism that is equal to or ORGANIZATIONMEMBER better than traditional programs, yet costs about 30 to 40 percent less. SenarathJayaweeraisaself-employedamemberofasmall VOgroupundertheGemidiriyaProject.Priortohismem- bershiphisincomewasinsufficienttofeedhisfamily.After Increase in agriculture and other income earning joiningGemidiriya,histechnicalandmarketingskills,and opportunities knowledgeofinformationtechnologyimproved,resulting inincreasedincome.Hepresentedhisbamboo productions Farming families in the project area have produced attheRuralLivelihoodExpo2005TradeFairandExhibition over 2 million kilograms of produce for markets heldinIndia in partnership with private companies and state 3 technology so they can strengthen and maintain andyouthensures transparency, sustainability the Village Community Information Centers that are and better targeting. Youth Circles have emerging throughout the project area. been especially successful in ensuring ethnic integration and inclusion of ethnic minorities. · The holisticapproachtodevelopment Lessons Learned demonstrated by this grant is yet another example of where inclusiveparticipationhas · The inexperience of the targeted communities ledtosuccessfulprojectimplementationand in organizing, setting and following unfamiliar povertyreduction. rules, and absorbing abstract ideas, required intensive support from the Bank team. The pilot was a new way of implementing projects and Follow-on Projects changed attitudes in the country and within the Bank. One of the greatest lessons to come out of the · Inexperiencedoesnotequalalackof Village Self-Help Project was that a relatively small capability, and most success is achieved when but skillfully targeted investment, which relies on communities themselves are fully in charge of broad partnerships and local autonomy, has the the focus and methods of their development. potential to expand and impact millions of lives. · BuildingacadreofCommunityProfessionals The initial JSDF funding was a quick response to (CP)from local community members is key a perceived need. Its focus on community-driven to the success of a CDD program. The CPs development unleashed the enthusiasm and drive of promote and facilitate community driven people who had become entrenched in poverty, but approaches while building confidence and who still had the spirit to fight their way out of it, acting as problem solvers. given sufficient resources and support. · Community Professionals with a stake in their community's development have a comparative The success of the VSHLI and the follow-on advantage and are bettersuitedtomobilize Gemidiriya projects have influenced the Sri theircommunityandensuresustainability Lankan Government's other poverty programs-- when compared to external facilitators who "Gamaneguma" and "Samurdhi"--to adopt the lack local knowledge, and frequently leave CDD approach. Subsequently, the World Bank the community without sustainable support approved an Adaptable Program Loan (APL) for mechanisms on completion of the project. US$181 million as part of a 12-year program (two IDA · Simpleandclearprinciples --participation, Credits totaling US$116 million approved to date, inclusion, transparency, accountability and cost with Government counterpart funding of US$25 sharing--agreed up-front with communities million). This longer-term commitment to reducing ensure the commitment of key stakeholders. poverty will expand coverage to an additional 5,000 · Definingclearoperatingguidelines,processes village communities for Community Development andprocedures, codified in a Community and Livelihood Improvement. With strong economic Operational Manual, helped each Village growth rates, a peace agreement, and the continued Organization succeed while enforcing success of a large number of Gemi diriya villages, transparency and accountability. Sri Lanka is on track to achieving most of the · Capacitybuildingismoreeffective if it is done Millennium Development Goals by 2015. through learning by doing, exposure visits and experimentation. · Communitymicro-financingactivitiesnot onlymobilizedsavingsandcreditbutalso setinmotionasocialprocess for managing a rural financial institution that is run by the communities themselves. · Communitycontroloffundsleadstomorecost- effectivesolutions, resulting in at least a 40% WEGAMA VILLAGE ORGANIZATION Infrastructure Project: reduction in investment costs. Diyadulla Kandura Drinking · Regular, systematic, intensiveandskilfuluse Water Project ofsocialaccountabilitytools by communities ensures effective implementation and good Key Resources governance at the local level. · Active participationandleadershipofwomen See http://www.itshed.net The Japan Social Development Fund -- JSDF Good Practice Notes seek to share achievements, knowledge and lessons learned from the implementation of JSDF projects over the past decade. The JSDF is a partnership between the Government of Japan and the World Bank to support innovative social programs that directly meet the needs of the poorest and most vulnerable groups in developing countries. JSDF projects meet four basic requirements: Innovative, introducing new approaches to development; Responsive to the needy, by directly meeting the needs of vulnerable, marginalized, and disadvantaged groups; Rapid response activities that deliver short-term results and benefits to targeted beneficiaries; and Community capacity building activities that empower local governments, NGOs, and disenfranchised groups, while promoting stakeholders participation and ownership. 4 http://www.worldbank.org/jsdf