About 80% of Benin’s population survive on less than a dollar a day and it is one of the poorest countries in the world. A large proportion of government expenditure is dependent on donor aid. Though, democratic elections, peace and security were major achievements of the 1990s, the political system is still marked by rampant corruption. Major reform projects have advanced very slowly because of the state’s weak capacity for regulation and implementation. The Poverty Reduction Strategy Paper (PRSP) is being drawn up against this background. Many in Benin see the PRSP as another slogan, invented by the development community and picked up by politicians to keep aid money flowing.

Research from the Overseas Development Institute examines the development of Benin’s PRSP over two years (2001 – 2003). Warning against unrealistic expectations from the PRSP approach in Benin the researchers argue that implementation of reforms only happens under pressure from the donors. The country has had a lot of experience with externally-initiated reforms, formulated by foreign experts. The PRSP is the latest in a long line of reforms like this.

The story of the PRSP shows why expectations are low. First, there was a political struggle between ministries about who would take the responsibility for the PRSP exercise. A small Technical Secretariat was finally set up, which then commissioned some studies and initiated consultations involving a total of 600 people. The process was interrupted several times - by presidential elections, the formulation of a five-year plan by the new government and a ten-week strike by government employees. Eventually a draft PRSP was produced but it was heavily criticised by the World Bank and other donors. The government was widely seen to have rushed the process, in order to gain access to debt relief.

The researchers observe that:

• Only a small group of civil servants understand, accept and take responsibility for the PRSP approach to policy-making in Benin. Many others – even in key ministries – do not know much about it. It is seen as donor-driven, and something that has to be done.
• Local and political communities or organisations were only marginally involved in the PRSP process.
• It was for the first time since 1989 that high-level central government staff had toured the country to explain a policy initiative (i.e. held the PRSP consultations). The government has never before discussed its strategic planning in parliament.
• Concerns remain about whether the government has adequate capacity to implement the PRSP. Tremendous effort is being put into budget reform, which is expected to effect PRSP implementation, but local people do not believe that this would change corrupt practices, or result in more money being spent on the poor.

The PRSP approach aims at profound change in the way government policy will influence the economic and social welfare of a country. If this aim is to be met, the researchers recommend the following:

• Donor behaviour and practices should change. These changes should aim to allow policies that reflect the priorities of the government, rather than the un-coordinated preferences of donors.
• In government, poverty reduction strategies must be matched by other reforms. Decentralisation, civil service reform and the eradication of corruption are particularly important.

If the PRSP is to work, assuming responsibility for the process and the outcome (i.e. ownership) and taking part and influencing it (i.e. participation) should be seen as more than just a ‘technical’ requirement. Real political will has to be exercised for this to happen. This implies nothing less than fundamental changes in the nature of the aid relationship, as well as in the way that government does its job.

Source(s):
Chapter Two: ‘Benin.’ in Fighting Poverty in Africa: are PRSPs making a difference, edited by David Booth, London: Overseas Development Institute, by Thomas Bierschenk, Elisabeth Thioléron and Nassirou Bako-Arifari, 2004.

Funded by: GTZ, Japan Bank for International Co-operation, Netherlands Ministry of Foreign Affairs, Norwegian Ministry of Foreign Affairs, Swedish International Development Cooperation Agency, Swiss Agency for Development and Cooperation, Department for International Development (UK)

id21 Research Highlight: 21 November 2004

Further Information:
Thomas Bierschenk,
Johannes Gutenberg University,
Postfach, D 55099
Mainz,
Germany

Tel: 0049-6131-392 2798
Fax: 0049-6131-392 3730
Contact the contributor: biersche@mail.uni-mainz.de

Johannes Gutenberg University, Germany

Elisabeth Thioléron,
Associate,
Overseas Development Institute,
111 Westminster Bridge Road
London SE1 7JD
UK

Contact the contributor: elisabeth.thioléron@oecd.org

Overseas Development Institute, UK

Nassirou Bako-Arifari
National University of Benin,
PO Box 526
Cotonou

Tel: 00229 - 900620
Contact the contributor: bakoarif@hotmail.com

National University of Benin

Other related links:
'Poverty reduction strategies in LDCs: repeating past mistakes?'

'Poverty Reduction Strategy Papers in Africa: are they really making a difference to policies?'

'Mainstreaming the poverty-reduction agenda'

'Climbing the ladder: involving the poor in poverty reduction strategies'

'PRSP Institutionalisation Study: Final Report - Chapter 2: Institutionalising the PRSP Approach in Benin' from the Overseas Development Institute

'IMF/World Bank Poverty Reduction Strategy: effective, participatory and locally owned?'