Decentralization and Intergovernmental Relationships

This chapter discusses the issues of decentralization and intergovernmental relations (IGR) and assess their importance in the process of development management. Decentralization is also considered critical for improving the effectiveness of the central government through identification of local needs and demands and incorporating them in the process of management. Deregulation has become a preferred strategy of many governments because it allows autonomy to organizational units to operate without the constraints imposed by regulations. The principle of decentralization in the management of development can be critical for several reasons. One obvious reason is that decentralization of power and responsibilities helps overcome the constraints and difficulties involved in centralized planning. Decentralization has the potential of contributing to the success of political and administrative reforms in a country. Intergovernmental relations have been a key element of the concept of federalism, in which a number of units come together to obtain various benefits.