USAID/OTI BOLIVIA SUCCESS STORY
March 2007
Programs to leverage funds to help local government improve the delivery of public services are executed by USAID/OTI with the objective of supporting the Bolivian Government's efforts to govern justly and democratically.
USAID-funded technical experts in economic development, social services, and strategic planning are working to help the Prefecture of Tarija expand economic development opportunities for local producers and expand health care services to meet the needs of the region's poor.
Leveraging Funds to Help Local Government Improve Public Services Delivery
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| Representatives from the Prefecture of Tarija's Human Development Division participate in a USAID/OTI-funded capacity-building workshop. |
Located in the Andes in Bolivia's southeastern corner at an altitude of about 6,300 feet, the Department* of Tarija is known for its vast petroleum deposits and export-quality wine. But like much of Bolivia, Tarija suffers from high rates of joblessness and an underdeveloped social services system. However, with support from USAID, the regional government is steadily improving services and providing economic opportunities to its citizens.
Two key technical assistance projects from USAID/Bolivia's Office of Transition Initiatives (OTI) have helped build the Prefecture of Tarija's institutional capacity to carry out its responsibilities more effectively. The first project provided a $20,000 grant to finance the design of an economic development fund (FONDEPRO by its Spanish acronym), helping leverage $5 million in public resources that the department now uses to provide credit for the region's many small and medium-sized businesses.
Recently, representatives from a 1,500-member federation of sugar cane workers visited the prefecture to request economic development assistance. In the past, the local government would have lacked the capacity to respond to the needs of local producers. However, with FONDEPRO's resources, the department was able to provide credit to help the sugar cañedos improve production lines, meet quality standards, and better access the export market.
The second project provided a $17,000 grant that leveraged $12.5 million in public sector funds and generated an integrated operating plan aimed at strengthening regional education and health services. With its increased capacity, the prefecture's Human Development Division, in conjunction with local municipalities and hospitals, recently managed an overhaul of the region's entire health care system. In the past, only children 5 and under enjoyed free health care services. In January 2007, however, the department extended health care coverage to youths up to 19 years of age, and by May, it will expand services to include all the region's citizens. The Department of Tarija's free, universal health care system will serve as a model for improving health care in Bolivia's other departments.
* "Department" is the designation used for Bolivia's nine geographic/administrative divisions.
For further information, please contact:
In Washington, D.C: Russell Porter, Regional Team Leader, 202-712-5455, rporter@usaid.gov
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