For the SDC, local economic development is not just an economic matter but a cooperative approach which provides an excellent tool for bringing together different interest groups to agree on local cooperation that can help create jobs and income, in addition to improving governance.

SDC focus

Moreover, local economic development can also strengthen governance at national level. In countries like Kosovo or Burkina Faso, the SDC conducts local economic development activities which have been implemented simultaneously in several towns. This has enabled municipalities (or rather territories, because each town has close links with its peri-urban and rural hinterland) to exchange information and experience that are specific to them. This has led to better cooperation among local authorities and thus added weight to the local dimension in dialogue with central government.

Background

Local economic development brings together various stakeholders from civil society, as well as the public and private sectors. Its goal is to promote cooperation so as to develop a given area. Cooperation is a key factor in governance. Local economic development (LED) triggers a political process in which the protagonists have to negotiate the priorities bearing in mind the limited human and financial resources at their disposal.

Forces that drive the economy

Economic considerations drive the private sector. Cooperation on creating public goods, such as improved framework conditions for investment, calls for a private-public collaboration that is built into concrete projects ("We'll build the road, and you'll build the factory. You tell us what's not right about the investment climate, and we'll put it right."). In this way, combined LED efforts create new business prospects. The public sector needs the private sector for local economic development.

In virtually every country, it is the private sector that creates most jobs and generates income, and jobs and income are a priority for the public sector's customers and voters. Poverty reduction and – perhaps more important for a civil servant – re-election of the mayor and his staff depend on the generation of income.

Governance as a process

Civil society, like local associations, should also be part of planning and implementing development projects in which the economic dimension is obviously not the only issue at stake. The State and local government do not cover all the ground. So the three stakeholder groups – the public and private sectors and civil society – negotiate and cooperate on the basis of concrete information derived from evaluating the strengths and weaknesses of the local economy, as well as the opportunities and risks involved. This dynamic exchange between partners improves governance at local level.

Current projects

Object 949 – 960 of 971

GEDAP III Ghana Electricity Sector Support Project

01.05.2014 - 30.06.2022

This project supports Ghana's efforts to provide national access to electricity. It does so by financing the extension of the electricity distribution network, and by strengthening the managerial, commercial and technical capacities of main sector public actors. The project also promotes energy efficiency and the development of renewable energies.


Municipal Infrastructure Programme MIP III / IV

01.05.2014 - 31.12.2021

The so called Municipal Infrastructure Programme (MIP) has the objective to improve access of the population of six medium sized cities in Albania to safe drinking water and to provide adequate sanitation through sewerage disposal.


National Solid Waste Management Program for Egypt

01.03.2014 - 31.12.2023

The National Solid Waste Management Program aims at supporting the establishment and implementation of effective policy, legislation and institutional arrangements for municipal solid waste management in Egypt, coupled with the implementation of related infrastructure.


Energy Efficiency Zhytomyr

01.01.2014 - 31.12.2022

The project aims at improving the municipal infrastructure and its energy efficiency. To do so, the district heating network will be rehabilitated, capacity will be built and the awareness about energy efficiency and renewable energy will be raised. The project will accompany Zhytomyr on its way to becoming an energy-efficient city.


Sanad Fund

01.01.2014 - 31.03.2028

The Sanad Fund is an investment vehicle, that provides debt and equity financing to banks and microfinance institutions. The ultimate beneficiaries are micro, small and medium-sized enterprises. The Middle East and North African region is the main target region of the Sanad Fund.


Kocani Waste Water Treatment Project

01.09.2013 - 31.12.2021

The project will finance the building of a waste water treatment plant in the city of Kocani. It will improve the water quality of one of the main rivers in the country. The project contributes to the sustainable development of the Kocani region through protection of the natural resources. This will promote the economic development of the region.


Improved Water and Wastewater Services Program - Phase II

01.07.2013 - 31.12.2023

The Improved Water and Wastewater Services Program - Phase II (IWSP II) plans to increase the coverage of water supply systems and wastewater treatment infrastructure in four Governorates of Upper Egypt (Qena, Assiout, Minya, Sohag).


Local Economic Development, Phase I

01.01.2013 - 31.12.2023

SECO is supporting a local economic development programme in selected municipalities in South Africa located in the Kwa-Zulu Natal Province.


Improving Healthcare Hazardous Waste Management in Dakhaleya Governorate, Egypt

01.01.2013 - 31.12.2022

The Healthcare Hazardous Waste Management Project will realize one important aspect of the Egyptian National Strategy for Hazardous Medical Waste Management: the establishment of centralized incineration facilities including the required capacity building and training. The experience made with the project shall be fed back into the future discussion to revise and upgrade the strategy and into a policy dialog to improve health care waste management in Egypt.


North Tajik II Water Supply Project

01.01.2013 - 31.12.2021

Urban water supply in Tajikistan is in bad condition due to the lack of maintenance since the break-up of the Soviet Union. This project aims at improving the water supply in four cities in the North of Tajikistan through the combination of three components: physical investments, corporate development and consumer participation.


Competitive Industries and Innovation Program

03.10.2012 - 31.03.2022

Competitiveness strategies have recently gained renewed attention by focusing on specific industries. They target policies and public investments, catalyze private investments, and foster innovation systems with a view to growing those industries and therefore supporting job creation.


Partnership on Sustainable Urban Development - Phase II

01.07.2012 - 30.06.2023

The WB Trust Fund for Sustainable Urban Development - Phase II, is a continuation of the existing strategic cooperation with the World Bank on sustainable urban development. It will support cities in developing countries to sustainably plan and manage urban development with the help of evidence provided by the program.

Object 949 – 960 of 971