consolidated capacity development needs assessment …...local economic development and inclusive...

CDNA Report – Hpa-an, Myanmar EWEC Project and MDP Department: LED component

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Consolidated Capacity Development

Needs Assessment (CDNA) Report of

Hpa-an, Myanmar

LED Stocktaking &

Capacity Development Needs Assessment

East-West Economic Corridor / GMS

Mekong Institute, Thailand July 2014


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Profile of Myanmar (Facts and Figures)

Location - South-eastern Asia

Area - 676, 578 (Square kilometers)

Population (Estimated) - 59.11 million1

Capital & population - Naypyitaw, 1.06 million (2011)

Administrative divisions - 7 states and 7 regions

Landmark - Shwedagone Pagoda

Currency - Kyat (MMK)

Economic indicators (2011) GDP

(Million current US$) - 55,320

GDP per capita (Current US$) - 1,144

GNI: Gross national income per capita (current US$),

2011 - 880

Tourist arrivals at national borders (000), 2011

(Includes tourist arrivals through border entry

points to Yangon) - 391

Life expectancy at birth - 67.9 (Females)

(2010-2015, years) 64.1 (Males)

Seats held by women in National parliament, 2012 - 6.0 %

Source: World Statistics Pocketbook | United Nations Statistics Division

[All figures and data are from the above, except one which is mentioned in the footnote.]

Ministry of Agriculture and Irrigation, Settlement and Land Records Department, Myanmar and FAO,

“Report on Myanmar Census of Agriculture, 2010”

Profile of Kayin State (Facts and Figures) Location - East longitude between 96 degrees 10 minutes and 19 degrees 25 minutes

Area - 30,383 (Square kilometers)1

Population - 1,895,0002

Capital - Hpa-an

Landmark - Zwegabin Mountain

Districts - 4 districts (Hpa-an, Kawkareik, Myawaddy & Hpa-pun)

Townships - 7 townships

Main Economy - Agriculture, livestock and industry

Gross Domestic Product - USD 974.69 million, 2013-2014

Proximity - Thailand to the East, and Bago Region and Mon State to the West, Mon

State to the South, Kayah and Shan State to the North

Source: (1) Planning Department, General Administration Department, Settlement and Land Records

Department, Myanmar and (2) Ministry of Agriculture and Irrigation, Settlement and Land Records

Department, Myanmar and FAO,“Report on Myanmar Census of Agriculture, 2010”

http://unstats.un.org/unsd


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Contents

Abbreviations ........................................................................................................................................................... v

Figures .................................................................................................................................................................... vi

Tables ...................................................................................................................................................................... vi

Acknowledgements ............................................................................................................................................... vii

Executive Summary .............................................................................................................................................. viii

1. Introduction and Background ......................................................................................................................... 1

1.1 Objectives of the LED Stocktaking and Capacity Development Needs Assessment .............................. 1

1.2 Research Hypotheses ............................................................................................................................. 3

1.3 Brief Description of the Socio-economic Situation in the Kayin State ................................................... 4

2. Research Methodology ................................................................................................................................. 10

2.1 Overview of Research Approach .......................................................................................................... 10

2.2 Description of Research Tools Applied................................................................................................. 10

2.3 Research Preparation and Implementation ......................................................................................... 11

2.4 Details about Respondents .................................................................................................................. 12

3. Detailed Research Findings ........................................................................................................................... 13

3.1 National LED Framework ...................................................................................................................... 13

3.2 Local LED Framework ........................................................................................................................... 15

3.3 LED Policies (at province/state level) ................................................................................................... 16

3.4 LED Practices (at province/state level) ................................................................................................. 21

3.5 LED Results (at provincial/state level) .................................................................................................. 22

4. Research Findings on LED Capacities ............................................................................................................ 23

4.1 Findings from Interviews ...................................................................................................................... 23

4.2 Compass Workshop Findings ............................................................................................................... 24

4.3 Findings from CDNA Survey ................................................................................................................. 27

4.4 Conclusions on Capacity Development Needs in LED .......................................................................... 35

5. Conclusions and Recommendations ............................................................................................................. 36

5.1 Conclusions on the Current State of LED in Kayin State....................................................................... 36

5.2 Recommendations on improving LED .................................................................................................. 38

5.3 Recommendations on selected sub-sector development .................................................................... 38

5.4 Recommendations on LED Capacity Development .............................................................................. 39

Annex 2: LED Stocktaking and Capacity Development Needs Assessment Research Preparation and

Implementation – TIMELINE ............................................................................................................................. 42

Annex 3: Participants in Individual Interviews by Department/ Organization/Enterprise................................ 42

Annex 4: LED Stocktaking in Kayin State, Myanmar (Individual Interview Guidelines)..................................... 43

Annex 5: Structure of Compass Workshop for Assessing LED Practices, Results and Capacity Needs ............. 49

Annex 6: Agenda of the Compass Workshop on LED Stocktaking & Capacity Development Needs Assessment50

Annex 7: Workshop List of Participants on LED Stocktaking & Capacity Development Needs Assessments ... 51

Annex 8: LED Stocktaking and Capacity Development Needs Assessment East-West Economic Corridor/ GMS52

Annex 9: GDP Growth Rates in Alternative Approach ...................................................................................... 56


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Abbreviations

AEC - ASEAN Economic Community

ADB - ADB Asian Development Bank

AFMD - Agriculture Farm Mechanization Department

ASEAN - Association for South-East Asian Nations

BDS - Business Development Service

CCI - Chamber of Commerce and Industry

CDNA - Capacity Development Needs Assessment

DOA - Department of Agriculture

EWEC - East-West Economic Corridor

FESR - Framework for Economic and Social Reforms

GAD - General Administration Department

GMS - Great Mekong Sub-region

GOM - Government of Myanmar

ID - Irrigation Department

IOM - International Organization for Migration

JICA - Japan International Cooperation Agency

KSDC - Kayin State Development Committee

KNU - Karen National Union

LED - Local Economic Development

LNGO - Local Non-government Organization

MADB - Myanmar Agriculture Development Bank

M&E - Monitoring and Evaluation

MI - Mekong Institute

MoAI - Ministry of Agriculture and Irrigation

MoC - Ministry of Commerce

NGO - Non-government Organization

INGO - International Non-governmental Organization

PH - Post Harvest

SEZ - Special Economic Zone

SLRD - Settlement and Land Records Department

SME - Small and Medium Enterprise

ToT - Training of Trainers

UNDP - United Nations Development Programme

UNHCR - United Nations High Commissioner for Refugees

UN Habitant - United Nations Human Settlements Programme


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Figures Figure 1: LED Stocking (Hypotheses)............................................................................................................. 4 Figure 2: Map Showing Greater Mekong Sub region East-West Economic Corridor ................................... 5 Figure 3: Republic of the Union of Myanmar ............................................................................................... 6 Figure 4: Ethnic Groups living in Kayin State (Percent) ................................................................................. 7 Figure 5: Availability of Land by Type, Kayin State, 2014-2015 .................................................................... 8 Figure 6: Planned GDP Growth, Myanmar, 2011-2012 to 2015-2016 ........................................................ 17 Figure 7: Stakeholders who are involved in Kayin State LED Process ......................................................... 26 Figure 8 : Respondents by level of education ............................................................................................. 28 Figure 10: Respondents receiving training or coaching in specific skills important for LED ...................... 32 Figure 11: Availability to attend training course by available days ............................................................ 35

Tables

Table 1: Cultivated Crops by Type, 2010-211, 2011-2012 (In thousand acres) ............................................ 7

Table 2: Availability of Land by Type , Kayin State, 2014-15 ........................................................................ 8

Table 3: School Enrollment in Kayin State, 2011-12 and 2014-15 ................................................................ 8

Table 4: Planned GDP Growth from 2011-2012 Fiscal Year to 2015-2016 Fiscal Year .............................. 17

Table 5: Main Responsibilities in Current Position ..................................................................................... 28

Table 6: Participants by Type of Phases of LED Process ............................................................................. 29

Table 7: Participation in a Training Course by Types of Training ( of Conceptual/ Approaches) ............... 30

Table 8: Last Training Course of such kind attended by year ..................................................................... 30

Table 9: Respondent’s perception on their own knowledge of some concepts/approaches .................... 31

Table 10: The three skills that respondents feel they are particularly weak .............................................. 32

Table 11: Self-Assessment on some conceptual/approach statements ..................................................... 33

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Acknowledgements

The Mekong Institute gratefully acknowledges the contributions of the numerous

individuals and organizations involved in “Capacity Development Needs Assessment of Hpa-an, Myanmar”. This report is the result of team efforts of people who leant their expertise in all stages of this assessment cycle.

Special thanks go to Mr. Lawson Sein Tun, the national consultant and MI’s RLED-EWEC Myanmar Field Office team who played instrumental role in this project during all the stages of

desk review, conducting need assessments, interpreting results and preparing the report. MI is sincerely grateful to Mr. Christian Schoen, the international consultant, who

provided his extensive guidance in designing the assessments and providing the invaluable comments to the report.

Acknowledgements are also due to the individuals from government agencies, non-

government organizations, enterprises and local community from Hpa-an province, Myanmar who have participated in the assessment.

Mekong Institute would like to recognise and acknowledge with thanks the financial

support of Swiss Agency for Development and Cooperation (SDC). This report marks as a significant milestone in the project implementation of “Capacity Development for more Inclusive and Equitable Growth in the Greater Mekong Subregion” on the East-West Economic Corridor (EWEC) in GMS. Sanjay Gathia Program Manager- Mekong Development Program Mekong Institute July 2014


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Executive Summary

The overall purpose of the research is to document and assess the information collected

that can give us an indication of the LED framework, policies and practices and, most importantly to understand the needs for capacity development for a more inclusive and equitable growth of Greater Mekong Sub-region (GMS) with the goal in contributing to rapid local economic development and inclusive growth along East-West Economic Corridor (EWEC) of the GMS.

The research work is being conducted through desk review of available sources of

information. Interviews of LED and related stakeholders were being conducted to obtain their perceptions on LED framework, policies and practices. In order to obtain the current LED results, a Compass Workshop was conducted with relevant stakeholders from the government departments, private enterprises, and NGOs which are contributing to the local economic development.

To assess LED capacities among officials involved in Kayin Sate LED process, an

institutional analysis and LED Actor Mapping was conducted using individual interviews and the Compass Workshop. In assessing current knowledge, skill, and attitude of LED officials individual analysis and a CDNA Survey was conducted. In order to identify capacity needs of these officials internal assessment was also conducted .

After receiving the Training on LED Research Framework and Methodology which was

conducted at Mekong Institute from January 14 to 18, the National Consultant developed research work plan and the activities involved desk review, conduct of individual interviews as per research matrix, CDNA Survey and Compass Workshop in Hpa-an, capital of Kayin State, Myanmar. Work began on 20 January 2014 and ended on 19 March 2014.

After years of conflict the economy of Kayin State has been very weak, particularly the agriculture sector, and there is a severe lack of motivation in the agriculture sector. In addition to the problems of conflict, the State has been encountering frequent floods in the rainy season and scarcity of water for its agriculture in the dry season.

Maize has market potential for farmers and there is high demand for the product from

animal feed factories in Thailand. Other crops such as green gram, sesame and groundnut could easily find market if quality product and value change development is assured.

About 93 percent of respondents in the CDNA survey say they are involved in LED

processes with 60 percent in the implementation process and 50 percent in the sensitization process. The majority of those who are directly involved are government officials.

Fiscal decentralization has improved things better as local government is able to have

some opportunity of making decision and things move faster, and grassroots community


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benefit from such progress. However, decision making power final responsibility is still with the national level authority. There is a relevant national LED strategy and programs for sub-national territories.1 But sub national level needs both financial and technical support from the national level.

Government departments at state level like DOA, Department of Trade Promotion,

especially Chief Minister’s office, Myanmar banks, and other organizations like KSD, NGO, INGO, CCI are the institutional drivers. It is found that local stakeholders shared vision, understanding and participation in development of LED. This is done through discussions and sharing experiences and information in weekly and monthly meetings. Stakeholders have been sensitized and awareness has already been raised. Thus local stakeholders take ownership of the LED process, as they initiated the activities themselves and implemented the activities themselves.

The private sector is taking increasing role and initiative in LED (e.g. it is involved in the

set up of industrial zone and infrastructure development). But some feel that members of the private sector are working on individual basis, and needs to be more mobilized and organized to participate in LED. Currently there are initiatives to improve local tourisms in Kayin State. Value factors include better services for tourists through hotel services, transportation services, guide services, entertainment services and so forth. However, Kayin State still lacks the technology to refine its goods and value chain development, hence needs further greater efforts and external help.

There are attempts to do LED in an eco-friendly way. For example, when a company is to

enter into an agreement with the State Government, it needs to do the social and environmental impact assessment. Only after the clearance is received, the State Government would let the companies to work in the local area. There are measures taken for local people to be sensitized in order to increase participation. For local officials and those who are direct stakeholders, the Chief Minister exhorted them to participate in LED initiatives in official meetings, and for the public the CM in his rounds of field visits to townships and villages informed the people about the importance of people participation in LED activities. For both the government officials and the people a committee called Planning and Implementation Committee lead the sensitization initiatives.

LED activities design includes agriculture, livestock, fisheries, trade promotion, and

infrastructure development including capacity development. The focus area is agriculture. Under the leadership of the CM’s office, relevant stakeholders come together to work together. At its annual planning sessions or at appointed meetings LED stakeholders come together to discuss their respective plan and how they could find synergies between LED activities.

LED actors, specifically among the government officials do have to some extent

understanding of LED. Non-government LED actors could have a lesser understanding. It is

1 Framework for Economic and Social Reforms, 2012, Myanmar.


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generally perceived that there is no gender discrimination issue in Myanmar society, It is however necessary to improve LED actors’ capacity on mainstreaming gender to keep abreast of the changing world and gender issues.

Major difficulties and constraints that affect the results of LED mentioned include 1)

Peace and stability, 2) Shortage of manual labour, 3) Shortage of agricultural inputs, 4) Lack of technology know-how, 5) Lack of investment, 6) Inadequate infrastructure (transportation, communication, electricity services), 7) Loan takers unable to repay loans, 8) Unstable agricultural harvest prices, 9) Poor land quality, 10) Due to more income gained as migrant workers, people do not want to work in local areas and in traditional livelihoods such as agriculture and livestock.

Appropriate measures for controlling floods in the rainy season and provision of

adequate water for crops cultivation in summer should be developed and addressed by the government with the assistance of external help.

There is an urgent need to improve its infrastructure if local economic development is to

be achieved. State Parliamentarians should lobby for further fiscal decentralization so as local

government will be able to have increased opportunity of decision-making. Kayin State has a considerable natural resources and a potential for improving its economy through agricultural, livestock and trade promotions. If State level actors have increased decision making power in LED, and its resources in both skill and financial are adequate, then it could perform effectively and efficiently in its LED initiative processes.

The State Government should enlarge its institutional drivers outside its sphere of

authority to include members from non- government organization for increased participation and inclusiveness in LED initiative process. Untimely rains and floods in rainy season are the main constraints and difficulties in maize farming. Appropriate measures for controlling floods in the rainy season and provision of adequate water for crops cultivation in summer should be developed and addressed by the State Government with the assistance of external help. Additionally, Local KED actors need to constantly upgrade their understanding of their economic reality and of LED through the cooperation with international capacity building organizations.

To spur the increasing role of private sector in LED process, the government needs to devise the strategy to mobilize them as well as to enable them to be better organized in LED participation process. Kayin State LED stakeholders should continue to cooperate with other states and regions to increase its effectiveness and impact. Myanmar has now opened up for cooperation with the outside world, and both the Myanmar Government and the international organizations should take this opportunity to work together for a ‘Win Win’ approach thereby advancing the development of Myanmar, particularly the Kayin State which is recognized for having immeasurable potential economic growth in the near future.



1. Introduction and Background

Myanmar is one of the poorest countries in Southeast Asia. A recent survey shows that

the poverty head count index declined from 32 per cent to 26 percent index between 2005 and 20102but the overall incidence of poverty is still very high. Poverty incidence is around twice as high in rural than urban areas, with the result that rural areas account for almost 85 percent of total poverty. Other indicators of human development are also low relative to other countries in Southeast Asia – life expectancy for example is only 62.7 years and the mean years of schooling for adults is only 4 years. Myanmar has made some progress towards achieving its Millennium development Goals. However, Myanmar’s performance matches that of other ASEAN nations on only a small number of indicators (gender parity in education, for example). In general Myanmar is striving to keep up with its ASEAN neighbours as well as the progress made in other developing countries.

HDI Ranking in ASEAN

HDI Rank Countries HDI Index

26 Singapore 0.866

33 Brunei 0.838

61 Malaysia 0.761

103 Thailand 0.682

112 Philippines 0.644

124 Indonesia 0.617

128 Viet Nam 0.593

138 Lao PDR 0.524

139 Cambodia 0.523

149 Myanmar 0.483

Source: UNDP, Human Development Report 2012.New York.

Though Kayin State was spared from the worst poverty conditions, due to conflicts and

insecure conditions poverty incidence had risen from 11.8 (in 2005) to 17.4 (in 2010). Due to the State Government’s efforts the GDP of the State has improved in recent years. If peace and political stability could be achieved it would enhance the LED processes positively and the expectations of the population could be achieved.

1.1 Objectives of the LED Stocktaking and Capacity Development Needs Assessment

The objective of Mekong Institute’s ‘Capacity Development for a More Inclusive and Equitable Growth Project in the Greater Mekong Sub-region is to promote equitable and inclusive growth in the GMS. The Mekong Institute (MI) in partnership with the Swiss Agency for Development and Cooperation (SDC) has been implementing this project in six border provinces along the East-West Economic Corridor (EWEC) of the GMS.

2 Ministry of National Planning & Economic Development, Myanmar, Sida, UNICEF, and UNDP Myanmar, “Integrated Household

Living Conditions Survey in Myanmar (2009-2010)-Poverty Profile, June 2011



To achieve the development result, the project will enhance the capacity of four target groups: a) Farmer groups/associations, b) SMEs clusters/Biz Networks, c) Local Economic Development Government Officials, and d) Business Development Services Providers. These target groups will serve as MI local partners to work with the project target population, i.e. a) smallholder farmers and b) local SMEs, toward the following four Operational Outcomes:

1. Farmers in the selected pilot locations increase their income through organizing in farmer groups, employing modern farming practices and integrating into regional/global value chains (RVC/GVC)

2. Agriculture-based SMEs in selected pilot locations increase their profit and employment through organizing in SMEs cluster/networks and integrating into regional/global value chains

3. Men and women participate in local economic development processes and Government officials render inclusive public services in an accountable and transparent manner

4. Business Development Services Providers along EWEC (public agencies, business membership organizations, private service enterprises and civil society) deliver demand oriented business development, trade and investment services effectively

The EWEC has been chosen because it encompasses less developed provinces and towns

within Myanmar, Thailand, Lao PDR, and Vietnam. For this first phase of the project, six sites (provinces) have been selected as the demonstration sites. They are:

1. Khammouane of Lao PDR and Nakhon Phanom of Thailand including twin border towns: Thakhek and Nakhon Phanom

2. Quang Tri of Vietnam and Savannakhet of Lao PDR including twin border towns: Lao Bao and Dan Savanh

3. Kayin State of Myanmar and Tak of Thailand including twin border towns: Myawaddy and Mae Sot. In order to achieve operational outcome #3, which is “Men and women participate in

local economic development processes and Government officials render inclusive public services in an accountable and transparent manner”, it is vital that local and provincial LED planning agencies are capable of facilitating participatory local economic planning where women and men have active role and meaningful participation in the whole LED process.

Recognizing the intervention of capacity development program should be tailored

according to the specific needs of each area’s context, the Capacity Development Needs Assessment in Hpa-an, Myanmar was conducted to investigate LED framework, policies and practices and, most importantly, help to identify capacity development needs in the field of LED.



1.2 Research Hypotheses

Considering the situation of Kayin State which has just emerged from six decades of civil strife and the four waves reforms3 undergoing in Myanmar, the following assumption were made.

The current Economic and Social Reforms undertaking provides the state government more authority in local economic development planning and implementation process.

The LED practices are expected to be “top-down” in approach especially in planning process due to the legacy of centralized planning system.

Institutions and government officials lack sufficient capacity to facilitate participatory LED process.

The participation of non-government sector is still weak in LED

Due to political instability (peace building process is still ongoing), disaster prone geography (frequent flood in the rainy season and scarcity of water in the hot season), the weak infrastructure development, and inadequate organizations to assist the technological and technical requirements, to political instability there is lack of motivations among locals including famers to do business initiatives and intensive cultivation in Kayin State.

3 . political and democratic reforms, socio-economic reforms, governance and administrative reforms, private

sector development



The following figure illustrates the assumptions of the researcher regarding the needs and problems to overcome whilst achieving the local economic development in Kayin State, Myanmar.

Top down approach exist

Natural disaster

Labour shortage

Improvement of Infrastructure

Less market information & opportunities

Farmers lack motivation to

cultivateDecentralization

of budget appropriation

Severe lack of capacity

Absence of relevant

organization

Modern farming technology necesary

LED Stocktaking (Hypotheses)

See PSP (2010), Climate Change and Private Sector Development, August 2010

intra-firm effort toimprove efficiency,

quality, flexibility, responsiveness;

business strategy

Micro level

Meso leveltargeted interventions to

strengthen the competitiveness

Macro levelstable, efficient economic,

political and legal framewrk conditions

Meta leveldevelopment-oriented patterns of political

and economic organization

capacity to formulate visionsand strategies

collective memory

social cohesion,social capital

value systemswhich encourage

learning and change

social status ofentrepreneurs

shared focus at competitive economy

efficient, predictable processes

budgetary policy

rules andregulations

SME promotion

start-up promo

technologyextention

businessnetworking

real estatedevelopment

infrastructure

skills development

incentives

formal andinformal co-operation, networks,alliances, collectivelearning

Figure 1: LED Stocking (Hypotheses)

1.3 Brief Description of the Socio-economic Situation in the Kayin State

Introduction Myanmar is the largest country in mainland Southeast Asia with an estimated

population of around 60 million people. It is a home to a diverse group of ethnic nationalities, comprising up to 135 groups, living on a strategic geographic location bordering with the world’s two most dynamic and vast economies—China and India. Enriched with a vast amount of natural resources, Myanmar has significant agricultural potential given appropriate reforms.

For more than two decades, Myanmar has been undertaking comprehensive initiatives

towards economic and social reforms. Right after her abrupt transition from a planned socialist economy in 1988, various efforts at economic and political opening have boosted foreign investment and private sector involvement in the country. These reforms broadly transformed the socialist economy into a market economy; however, the legacy of isolation and conflict undercut the progress towards realizing the country’s fullest potentials. Given this background,



the current government, democratically elected in 2010, has come up with its strongest commitment to chart a new direction for the country.4

The Kayin State situated on the ASEAN-Asia Road, is endowed with natural resources

with abundant fertile land for agriculture. It has an estimated population of 1.895 million5and has a land area of 11730.85 square miles. The Kayins is the majority ethnic group (61%), followed by Burmans (15.4%), Mons (11.9%), Shans (10.0%), and the remaining 1.7 % belongs to other national ethnic groups like, Kachins, Kayahs, Rakhines, etc.

Map Showing Greater Mekong Sub region East-West Economic Corridor

Figure 2: Map Showing Greater Mekong Sub region East-West Economic Corridor

4 Framework for Economic and Social Reforms, Myanmar, 2012

5 General Administration Department, “Kayin State Socio-economic Development Projects, 2014-1015”

Kayin

State

(Myan

mar)



Figure 3: Republic of the Union of Myanmar

Kayin State



Figure 4: Ethnic Groups living in Kayin State (Percent)

Administratively, Kayin State is divided into 4 districts with 7 townships. It is proximate to Thailand which has a healthy and vibrant economic situation; and investors are interested to invest in Kayin State area. With the development of better infrastructure the state could look forward for better economic opportunities.

Status of land utilization

There are 75,077,743 acres of land in Kayin State and about 11,418,000 acres are cultivable land. Out of that cultivable land only 1.083 % is utilized for cultivation. Cultivated land by type of crops for the years 2010-2011 and 2011-2012 are shown below.

Type of crop 2010-2011 2011-2012

Acres Acres

Rice (Rainy season) 44,850 50,000

Rice (Summer) 20,000 8,500

Maize 37,433 37,511

Groundnuts (Winter) 26,562 27,698

Total 128,845 123,709

Table 1: Cultivated Crops by Type, 2010-211, 2011-2012 (In thousand acres)

Source: Settlement and Land Records Department, Myanmar

Type of land Acres (in thousands)

Net cultivable land 1016.4

Vacant land 13.3

Cultivable vacant land 112.1

Forest land 2235.1



Table 2: Availability of Land by Type , Kayin State, 2014-15

Source: Settlement and Land Records Department, Myanmar

Gross Domestic Product (At current price)

The Gross Domestic Product of Kayin State as at 2011-2012 was USD 785.65 million at current price, and by 2013-2014 is estimated at USD 974.69 million and is expected to be USD 1153.854 million in 2014-2015, an increase of about 18.4 percent in a year.6 Education

Level of school Year

2011-12 (Expected)2014-15

Primary School 95.19 96.77

Middle School 41.98 48.89

High School 19.34 20.61

Table 3: School Enrollment in Kayin State, 2011-12 and 2014-15

Source: Central Statistical Organization, Myanmar

6Ministry of National Planning and Economic Development, Planning Department

Other forest land 3173.6

Other land 957.3

Total 7507.8

Figure 5: Availability of Land by Type, Kayin State, 2014-2015



School enrollment in Kayin State seem to cover about 95 percent for primary school children, with only less than half of the middle school going children being enrolled, while a much lesser proportion of them do not have the opportunity to go to high school. In addition to the State Government’s Education Department’s endeavor to improve education status of the State, 6 companies from the private sector have been contributing to the construction of 125 new primary school buildings in 2011-2012 fiscal year. Continued joint efforts for the construction of new schools at all 3 levels of Basic Education and increased recruitment of new teachers and other staff for fiscal year 2012-13 is planned and the implementation process is underway.7

Health

Under-five mortality rate in Kayin State was about 42.2 per thousand live-births in 2011-2012 but it is expected to decline to 35.5 in 2014-2015.8 The State Government plans to upgrade two of its rural health centers to Station Hospital in 2014-2015 fiscal year. Similar upgrading of hospitals in Hpa-an (the capital city of the State), Myawaddy, and Kawkareik are being implemented for the fiscal year 2013-14.

Telecommunications

The number of telephones used per 1,000 population was estimated to be 9 in 2011-12 fiscal year and expected to increase to 226 in 2014-15 fiscal year. In 2014-2015 fiscal year MUTS/LTE mobile phone lines are expected to be installed.

Rural Development Measures

As part of rural development measures the Progress of Border Areas Development Department of the State Government plans to build roads connecting strategic areas for both economic and social development in 2014-2015 fiscal year. Providing reliable and affordable access to rural infrastructure services dramatically increases rural people’s access to market and social services, which are essential for rural poverty reduction in Myanmar. At this point of time Kayin State has 48 bus lines with total vehicles of 337 for transportation within the state and outside the state. There are 48 roads with a total length of 1005.4 miles within the Kayin State. There are 21 electricity supply services stations in Kayin State. Development of water supply services

There are 2,063 villages in Kayin State, and to date (fiscal year 2012-13) only 27 percent of the villages enjoy adequate water supply. It is planned that water supply services will be extended to rural villages of Hlaing Bwe township, Kya-in Seikkyi township, Leik Tho sub-township and Pha-pun townships in 2014-2015 fiscal year. International organizations such as

7 Nationally there are technical and vocational schools, such as technical colleges, commercial schools, machinery and training

schools, weaving schools, lacquer ware technology colleges, forestry training schools, machinery repairs and training

schools, cooperative training schools, handicraft schools, industrial training schools, etc., In Kayin State there are nurses

training school, technical high school, weaving school, and each year the number of students attending these vocational

schools have increased over the years. 8 Central Statistical Organization, Myanmar



JICA, UNDP, UNHCR, and UN Habitat have committed to contribute to installing water supply services in fiscal years 2013-14 and 2014-15.

Environment Protection

There are 2 industrial zones in Kayin State, one in Myawaddy and another in Hpa-an. As a measure of protecting and conservation of environment atmosphere the Hpa-an industrial zone was built surrounded by Myaing Galay, Kyone Pako, Htilone and Mi Thayaung Forest Parks. Treatment of waste water from these industrial zones will be made to produce normal water and not to harm the environment in the next fiscal year.

The State Government is working closely with private companies such as UMH Agro

Industry & Toyota Tsusho Corporation (Japan) to grow Jatropha in Hpa-an UMH Industrial Park as one of the measures for conserving the environment.

Peace Building

The most important measure is to continue the course of peace building among the ethnic groups and the government. It is hoped that relentless efforts between the Union Government, State Government and the KNU would yield political stability, a critical factor for people focused economic reforms and local economic development.9

2. Research Methodology

2.1 Overview of Research Approach

To obtain information on LED framework, policies and practices research work is being conducted through desktop research of available sources of information. Interviews of LED and related stakeholders were being conducted to obtain their perceptions on LED framework, policies and practices. In order to obtain the current LED results a Compass Workshop was conducted with relevant stakeholders from the government department, private enterprises, and NGOs which are indirectly contributing to the local economic development.

To assess LED capacities among officials involved in Kayin Sate LED analysis, planning,

implementation, M&E at different levels, an institutional analysis and LED Actor Mapping was conducted using individual interviews and Compass Workshop. In assessing current knowledge, skill, and attitude of LED officials individual analysis and CDNA Survey was conducted. In order to identify capacity needs of these officials internal assessment was also conducted. (See Annex 1 for Research Approach Chart).

2.2 Description of Research Tools Applied

Desktop review was initially conducted to understand better the status of current LED System at national and local level and the results that accrued. Secondary data collection and relevant documents were compiled from different sources such as IMF Office in Yangon, UNDP

9 General Administration Department, Kayin State Socio-economic Development Projects in 2014-2015



Office in Yangon, Help Age International in Yangon, Ministry of National Planning and Economic Development in Naypyitaw (Capital of Myanmar) and different government departments (DOA, ID, Department of Livestock) in Hpa-an (Capital of Kayin State). This process was conducted by the national consultant and his 4 team members.10

The team also conducted interviews with 18 persons from 13 government departments,

organizations and enterprises between 10 February and 14 February 2014 in Hpa-an, the capital of Kayin State. There were about 40 questions and the questions were adapted from the Research Matrix which included 6 parts, namely 1) National LED Framework 2) Local LED Framework, 3) LED Policies (at sub-national level), 4) LED Practices (at sub-national level), 5) LED Capacities, and 6) LED results. (Please see Annex 4 for Individual Interview Guidelines on LED Stocktaking in Kayin State, Myanmar)

The Compass Workshop for LED was conducted in Hpa-an, capital of Kayin State,

Myanmar at the Assembly Hall of the State Department of Agriculture on 15 February from 9:00 a.m. to 2:30 p.m. It was attended by 30 individuals with representatives from government departments, farmers, private enterprises, researchers and local non-government organizations. (Please see the agenda in the annex 6, list of participants in annex 7, and structure of workshop in annex 5)

The CDNA Survey was conducted on the 30 participants who attended the Compass

Workshop. The questionnaire was in Myanmar language. (Please see the original English Version in Annex 8.)

2.3 Research Preparation and Implementation

After attending the training on Research Methodology, LED Stocktaking & Capacity Development Needs Assessment, East-West Economic Corridor / GMS at Mekong Institute Khon Kaen, Thailand during 15-17 January 2014, the research plan was developed by the national consultant from 20 to 22 January 2014. Preliminary desk review of available data and mate rials was conducted between 23 and 26 January 2014. A team of 2 associate researchers, 2 documenters and 1 data analyst was mobilized and engaged. During 23 to 26 January 2014, the team travelled to Naypyitaw (Myanmar’s capital) and Hpa-an (Kayin State’s capital) to collect relevant data and information.

From 27 to 31 January secondary data collection was continued and the team

translated interview questions guidelines, CDNA Survey questions, Compass Workshop related materials and developed data entry templates from 1-8 February. On 7 and 8 February 2014 a

10

Research team members: 1) Saw Joseph Htoo, Research Associate and long time rural development specialist (agriculture)

with UNDP, 2) Daw Swe Swe Thein, Research Associate and a long time technical specialist (Self-help groups) with UNDP,

3) Aung Kyaw Kyaw, field data collection and compilation, 4) Saw Caleb Keh Blut, intern, data entry operator &

documenter [All team members are part-time research workers at Survey, Research & Consultancy Services, L Sein Tun &

Associates Co. Ltd.]



training was conducted for the research team and the data analyst for field data collection in project site (Hpa-an).

From 9-16 February data collection in the field including individual interview, CDNA

Survey and Compass Workshop were conducted in Hpa-an, Kayin State. From 17-23 February 2014 data and information received from the field was compiled and processed by the research team at Yangon. Report writing began from 24 February to 10 March 2014, and finalized by 16 March 2014.

2.4 Details about Respondents

The National Consultant and his team members conducted interviews on 18 persons from 13 organizations and enterprises. Nine respondents were from government departments, 2 from NGOs, 6 from private enterprise and 1 from joint public-private enterprise. The interviews were conducted between 10 February and 14 February 2014 in Hpa-an, the capital of Kayin State. The government officials hold responsible positions, 7 state-level (Deputy Directors) and 2 Assistant Directors, 2 directors of NGOs, and 7 senior officials (Board of Directors) of a private enterprise. All are university graduates with 56 percent in the age range of between 30-49 years, and the rest are over 50 years of age. They have considerable years of experiences in their current positions, and respond to the interviews very carefully and attentively.

The CDNA survey was conducted among the 30 participants of the Compass Workshop,

the majority being men (24 persons), while only 6 women participated in this survey. More than half of the participants (53%) were in the range of age 30-49 group, while 43 percent were in the range of age 50 years and over, indicating that most participants were senior people with responsible position in the respective organizations. In fact 70 percent were government officials, while 30 percent were from non-government organizations. Participants were 67 percent state level officials, 10 percent were district level officials and 13 percent were township level officials. The remaining 10 percent were personnel from NGOs, private companies and representatives of farmers, indicating a fairly representative participation involving different sectors of the community.

Most of the participants were well educated with 57 percent being university graduates

with 7 percent having post-university graduate education, 10 percent having vocational training, while 23 percent had secondary and primary education and 3 percent had some other kind of education. (Please see the workshop agenda in Annex 6 and list of participants in Annex 7. Details of participants of the Workshop were the same as the CDNA survey respondents.)



3. Detailed Research Findings

3.1 National LED Framework

In May 2012 the Government of Myanmar (GOM) announced a “second stage of reforms” 2012, focusing on the social and economic transformation of Myanmar. In accordance with this vision and guidelines, the Framework for Economic and Social Reforms (FESR) was developed which outlines policy priorities for the government in the next three years while identifying key parameters of the reform process that will allow Myanmar to become a modern, developed and democratic nation by 2030. In this regard, FESR is an essential policy tool of the government to realize both the short-term and long-term potential of Myanmar.

Of all 12 chapters included in FESR, Chapter 4, 5, 6, 7, 8 are particularly relevant to LED

as it deals with macro-economic policies and address a wide range of other policy conditions conducive to achieving people-centered development and inclusive growth.11

Myanmar as an ASEAN member is committed to hasten the establishment of the ASEAN

Economic Community (AEC)12 which aspires to transform the region to a single market and production base by 2015. The GOM is working hard to establish the necessary fundamentals and framework which includes passing the new, flexible Foreign Investment Law, floating the official currency, implementation of a stock exchange and amending macro and micro investment law to achieve the goal for integrating into the AEC in 2015. On the ground, missing infrastructure, and energy and water supply deficiencies are being addressed with the help of foreign countries. China, India, and Southeast Asian countries like Thailand, Cambodia, and Vietnam are being targeted as key trading partners, with special economic zones (SEZ) and deep-sea ports as part of the strategy.

Yet many challenges are continued to confront Myanmar and one of the biggest

challenges Myanmar is facing now is meeting the expectations to increase its gross domestic product (GDP) by the time the ASEAN Economic Community (AEC) is launched in 2015. Myanmar possesses the lowest per capita GDP among the 10-member ASEAN bloc, at US$875 (850,753 kyat).13 Thus, while Myanmar government officials are feeling that they are making progress, some businessmen are concerned that with the entry of AEC their business will be overshadowed by bigger corporate from outside the country.14

11 Framework for Economic and Social Reforms, Myanmar, 2012 12

An ASEAN single market and production base shall comprise five core elements: (i) free flow of goods; (ii) free flow of services; (iii) free flow of investment; (iv) freer flow of capital; and (v) free flow of skilled labor. In addition, the single market and production base also include two important components, namely, the priority integration sectors, and food, agriculture and forestry (ASEAN, “ASEAN Economic Community Blueprint, 2008”).

13 Nyein Chan Win and Thet Mon Htun, ,Eleven Media/Asia News Network, “Myanmar prepares for ASEAN economic

integration”, December 27, 2013 14

Nyein Chan Win and Thet Mon Htun, ,Eleven Media/Asia News Network, “Myanmar prepares for ASEAN economic integration”, December 27, 2013



Local Economic Development (LED) in Myanmar is generally understood as the activities and efforts of the local level government and the people in collaboration with the private sector, where all including local communities and the private enterprises are supposedly participate in the action.

On the question of “What is the progress of fiscal decentralization?”, only 9 respondents

from the government departments were able to respond. Two-thirds of those who responded are of the opinion that fiscal decentralization has improved things better as local government is able to have some opportunity of making decision and things move faster, and grassroots community benefit from such progress. One-third is of the opinion that things have improved a little better but sub national level officials do not have adequate skill to fulfill its roles and duties.

It is observed that line structures of national agencies play a role in LED. Each line

ministry is responsible for planning and implementation process of their respective work, which would contribute to local economic development thereby reducing the poverty conditions. Planning Department is the focal point for such role. The national agencies or ministries play not only a coordinating role for the departments under them, but also make final decision with regard to LED decisions making for their respective ministries. There is coordination among departments, where partial ‘bottom up approach’ is used at the coordination meeting and there is progress in line ministries support for LED.

Almost all interviewees agree that sub national actors have increased decision making

power in LED, except one who said that it does not have complete authority but that decision making power responsibility is confined to national level authority. The interviews reveal that 46 percent or less than half of the respondents believe that the resources are adequate enough to do LED effectively and efficiently, while more than half believe that the resources are not adequate (They need skill improvement e.g. technology and capacity development training ( this group also believes that the financial resources are not adequate)

All agreed that there is a relevant national LED strategy and programs for sub-national

territories. But it is perceived that sub national level needs encouragement and support from national level. For instance, Fisheries Department has been working 12 years in Kayin State and yet it feels that its work is not progressing as planned.

All interviewees believe that there are national attempts to coordinate cooperation

between LED institutions in different territories, but they feel that more has to be done in this respect. For Kayin State to cooperate with other states and regions, it needs peace and stability.

National level trying to identify lessons learned and good practices and upscale them to other territories: It is also found that national level is trying to identify lessons learned and good practices and upscale them to other territories however Kayin State is short of adequate support from the national level ( through KSD training).One respondent however commented



that though there is sharing experiences and lessons learned, it needs to work more broadly and comprehensively on this.

3.2 Local LED Framework

The township level authorities in developing local economic plan, would consult with the grass root community level and submitted this plan to the district level, and then to the State Level. However, the State Level has the power to make the final decision on the final stage economic plan for the State.

The State Government is the central institution in developing the local LED framework

for the State, and the institutional drivers of LED in the location are government departments at state level like General Administration Department, DOA, Department of Irrigation, Department of Livestock, Settlement and Land Records Department, Myanmar Agricultural Development Bank, etc and other non-government organizations such as KSD, CCI, NGO, INGO, are the institutional drivers for LED.

Some influential personalities in Kayin State like monks (For example, Thamanya

Sayadaw, Ngwe Nan Phyu Monastery) also provided support through building roads which in turn serve as a driving tool for trade development. Paddy Associations and Rice mill Associations are involved as LED stakeholders or intermediaries.

All stakeholders are confident that LED could leverage additional domestic and donor

resources, partners and initiatives to ensure continued efforts and sustainability through formation of relevant committees (e.g. farming committees) or sector-wise committees and at different levels of state, district, township and village levels to monitor the activities of LED, and through trust building, transparent engagement, networking and co-operations the leverage could be effective.

Regarding how LED process and effort is internally organized to assure its effectiveness

(Interaction among LRED actors, Governance patterns), the stakeholders are of the view that the following measures are needed to assure effectiveness:

To have a well-organized and managed structure of finance and administration.

To have a well-organized system of sharing responsibilities

To have a good system of monitoring and evaluation system at every level of activities (State, township, village)

To have working group committees in every sector of the LED activities (e.g. Agriculture or farming committee)

To organize trainings to enlarge knowledge as necessary

To mobilize and organize business men and form LED committees systematically

To have organized, staffs rule and related regulation, planning, and reporting system.



3.3 LED Policies (at province/state level)

Economic Policies The Kayin State Government in consideration of its multi-sectoral socio-economic

development, and to come out from its current socio-economic conditions to improved conditions, has adopted the following 4 points of economic policies:15

1) To enhance agricultural development and establish a modern industrial state with multi-sectoral development

2) Proportionate growth among districts and townships 3) For the public to enjoy on specific socio-economic development 4) To establish quality statistical database

The State Government is now taking effective measures to improve the agricultural

sector through the utilization of modern mechanized equipment, quality seeds, modern agricultural technology and through giving out agricultural loans.

Likewise the GOM is setting up industrial zones and Special Economic Zones in all parts

of the country including Kayin State (Hpa-an industrial zone and Myawaddy industrial zone) in order to establish a modern industrial country. It is also working to improve multi-faceted development through efforts for political, economic and social stability, and to rebuild the infrastructure.

For the proportionate growth between regions and states it is working on the

development of the regions and states (including Kayin State) through the implementation of development projects. Some of the projects are supported by international organizations, foreign governments and UN agencies.

Its vision is that all the people of the country would benefit from such development

work, especially in the area of economics, education, health, transport and communication. The Kayin State has just emerged from long years of conflict, and local economic development is a new endeavor and effort by the State Government and the people including the private sector.

15

Ministry of National Planning and Economic Development, Planning Department, 2012



SN. Fiscal Year Growth (%)

1 2011-2012 6.0

2 2012-2013 6.7

3 2013-2014 8.9

4 2014-2015 9.0

5 2015-2016 9.2

(Source: Department of Planning)

Shared vision, understanding and participation in development of LED by local stakeholders, the expected achievements and the accompanying policies

Local stakeholders shared vision, understanding and participation in development of LED, the expected achievements and the accompanying policies. This is done through discussions and sharing experiences, knowledge and information in weekly and monthly meetings. Stakeholders have been sensitized and awareness has already been raised. Local stakeholders initiated the activities themselves by taking ownership of the LED process.

Locally formulated LED visions, objectives and activities relevant and realistic to the situation on the ground (Fit with institutional and economic situation. Fit with stakeholders’ needs.)

Locally formulated LED visions, objectives and activities are generally relevant and realistic to the situation on the ground. Efforts are being made to fulfill the ground needs. Visions are to provide quality of life for the people, but peace and stability on the ground is a crucial requirement.

Nonetheless, on account of the instability and different needs of the people, sometimes the efforts were not produced desirable results. For example, efforts to grow maize have only resulted in unsatisfactory yields because farmers' acceptance of their responsibility for LED is lacking. Over the time, drawing on experiences and lesson-learned, it is hoped that the LED vision and activities will address the needs of people more effectively. Further review and revision are required to improve the relevancy. LED intervention logic in the pilot site coherent and realistic

About 69 percent of the interviewees are of the view that LED intervention logic in the pilot site is coherent and realistic. Five out of 13 of them think that there is no need to readjust some intervention logic whereas 4 of them believe the needs to be readjusted.

The researcher observed that the selection of logic is at an early stage and still needs to

be tested and readjusted accordingly to minimize the weaknesses. Particularly, there is a need

Figure 6: Planned GDP Growth, Myanmar, 2011-2012 to 2015-2016

Table 4: Planned GDP Growth from 2011-2012 Fiscal Year to 2015-2016

Fiscal Year



to update farm technology; to review the traditional cultivation of sugarcane replacing with improved quality seeds. The consumption of locally produced rice is low in the local area owing to the low quality. Thus, there should be intermittent meetings or workshops to review LED intervention logic and update it in line with the needs and problems encountered by people. It is also necessary to form farmers group and create market approach logic.

Current allocation of resources between economic, social and infrastructure development

The Union Government allocated its annual budget for the State and due to the recent reform process the State Government is increasingly enjoying a more independent spending and management of the State Budget.

Only 9 respondents respond to this question as the remaining respondents are not

aware of budget allocations. Most of them believe that trade, infrastructure, telecommunications and electricity services received the most while social services such as education and health receives very little. A more equitable allocation should be provided in the national constitution. If there is peace and stability allocations between economic, social and infrastructure could be more proportionately allocated. Although both the national and state level authorities share a common understanding on the allocation of resources, the public continue to lack awareness. Priorities of current LED

Trade Promotion, Agriculture, Livestock and, Fishery sectors are the priorities of current LED. Usually these priorities are identified by the State Government. The study is conducted by the Planning Department, Ministry of National Planning and Economic Development. The preferred support and transaction mechanisms are technology transfer through demonstration and training, financial support through low interest loans through ‘Poverty Reduction Programme’16 under Ministry of Progress for Border Areas and National Races Development Affairs and Ministry of Livestock and Fisheries . Target groups are the poor, especially farmers. Strategic allocation of resources

For Kayin State, the Chief Minister heads and coordinates the allocation of resources. Less than half (46%) of the respondents believe that resources have been allocated strategically to each LED initiative and used efficiently. In fact 31 percent of the interviewees perceive that the allocation of resources is still weak and need to be revised. They claim that implementation personnel should be well qualified so that resources for each LED initiative could be used more efficiently. Role of the private sector in LED

About 85 percent of the interviewees perceive that the private sector is taking increasing role and initiative in LED (e.g. it is involved in the set up of industrial zone and

16

Currently, the Government is implementing ‘Poverty Reduction Programme’ with the Ministry of Livestock and Fisheries as its focal point and in collaboration with different government departments. In this process the General Administrative Department under the Ministry of Home Affairs provides coordination and administrative support.



infrastructure development; and Hpa-an Myawaddy road is being built through Daw Na Mountain Range). As local economic development could not only be singly implemented by the Government the participation of private sector is crucial . But some assert that members of the private sector are working on individual basis, and needs to be more mobilized and organized to participate in LED.

Although farmers committees are formed at different levels cooperate with other

members, there is absence of organizations such as Livestock Association, Rubber Producers Association, etc. which could provide one voice and through which they could participate in the LED processes.

Extent of LED actors trying to seek synergies with other development activities at local level

State Government provides leadership and other LED actors seek synergies with other development activities at local level, i.e. social development, and infrastructure development. But this cooperation is yet to be observed if it will be successful. They have raised awareness for all (the general public) to participate in the LED activities. Different committees with identified responsibilities have been formed and all are organized to participate for ‘inclusiveness’.17 They have successfully developed cultivable land by converting vacant land to cultivatable land. For this the government departments led the initiatives which are supported by other actors. They tried to improve the food security conditions18of the poor farmers, reduce their debts and help improve the household economy of the farmers. They formed farming committees at different levels and participate in the activities and cooperate with other members and share the responsibilities. LED actors in the private sector also provide advice and financial support.

Cooperation with other provinces or districts on LED on-going initiatives to increase its effectiveness and impact and areas for improvement for cooperation

There is cooperation with other states and regions on Kayin State LED on-going initiatives to increase its effectiveness and impact. Some of the areas of cooperation are increased production and storage of fishes, production of fine woods, construction, electricity supply services, increased agricultural production, increased water resources supply services, industrial production, improvement of tourisms, extraction, production and refinement of minerals, local food production, etc. Extent to which external organizations and donors are supporting LED in the pilot site

External organizations such as EU, World Bank, ADB, SwissAid, Japan Nippon Foundation, WFP, IOM and other INGOS including Mekong Institute directly or indirectly are providing support for LED in the pilot site. Currently out of 26 NGOs, 2 are working on livelihoods, where as the rest are intervening in the social sector such as education, health and

17

The word ‘inclusiveness’ is generally understood to be the participation of all members of the public sector and the

community, irrespective of their race, religion, gender and social status. 18

There is no Government’s definition of ‘Food security’, but generally understood to be the lack of and access to food through

a certain period of months



resettlement sectors. ADB is supporting the building of road, SwissAid is providing support to peace groups, EU is providing support in capacity development, JICA is providing assistance in agricultural technology, demonstration plots and agricultural inputs, and other INGOs provide support in health, education and raising livestock. Gender and gender related issues adequately and appropriately considered in LED interventions

Average Myanmar generally perceives that there is no gender discrimination in Myanmar. However, the participation of women in either businesses or economic activities is still low. But in social matters gender and gender related issues are appropriately considered. There are policies, facilities or institutions in place specifically benefitting women. Today there are many organizations working in the advancement of Myanmar women. For example, National Strategic Plan for the Advancement of Women (NSPAW) has been developed by GOM and is used as a guide and framework for the Gender Situation Analysis. There has been increasing Women’s Participation in Decision Making at different levels of Myanmar society (household, community, different levels of public administration, different departments and ministries, and in different levels of business management). Different non-government actors and stakeholders (UN Agencies, Civil Society Institutions and NGOs) collaborate between themselves and with the Government in serving the cause of gender equality and women’s enhancement.

The Convention on the Elimination of All Forms of Discrimination against Women

(CEDAW) was adopted by GOM to act appropriately to ensure that women and men have equal rights in regards to voting, participation in the formulation of government policies, participation in non-governmental organizations and representation of their governments at the international level (United Nations, 1979, Article 7 and 8).

It must also be noted that recent emergence of gender and women’s rights mechanisms

such as Myanmar National Committee on Women’s Affairs (MNCWA), Myanmar National Working Committee for Women's Affairs (MNWCWA) and Myanmar Women’s Affairs Federation (MWAF) has contributed to increased reports of gender-based violence incidences in Myanmar. In recent years there were many non-governmental organizations working for women’s rights and for the protection of women. Topics not receiving sufficient attention

About half of the respondents are not aware of the topics not receiving sufficient attention. Those who responded to the question bring the topics of business retention, protection of workers’ rights (Occupational hazards), vulnerability to climate change, and environment issues (waste water treatment) being some of the highlighted issues. Resilience and adaptation to climate change in LED

Kayin State is a disaster prone region which encounters frequent floods in the rainy season and scarcity of water for its agriculture in the dry season. There is a severe lack of motivation in the agriculture sector. In addition to the problems of conflict, the State has been



encountering frequent floods in the rainy season and scarcity of water for its agriculture in the dry season. According to a recent study, among the household population 19.8 % are engaged in agricultural activities, 7% in casual work and about 18% are engaged as migrant workers. The remaining population is dependents and those who are still in schools.

In response to it, there are climate change resilience measures and adaptation for LED.

For example digging proper and systematic drainage, formation of self-reliance groups and rice banks, technology to prevent and maintain seeds and fertilizers, development and implementation of programmes to help farmers to grow crops again after floods, State Government developed programmes to help flood victims (food and shelter), Myanmar Insurance Bank provides support as a measure of compensation in the event of natural disasters (Floods, Storms, Fire, etc.). All the above mentioned activities are part of the government policy to provide resilient measures against natural disaster.

3.4 LED Practices (at province/state level)

The State Government takes the central role in leadership of the LED initiative processes. It takes measures to inform the rural population on local economic development and the approaches and priorities given, especially to the rural population who are largely poor. This happens in government officials’ tour and sectoral trainings to increase participation.

For government officials and those who are direct stakeholders, they are sensitized

through official meetings and trainings. For both the government officials and the people a committee called Planning and Implementation Committee lead the sensitization initiatives. At meetings and occasional trainings the concept of LED was raised and participation encouraged. To be practical the State Government provides advice and material support.

The analysis of the local economy is usually done by the respective government

departments for their particular development sectors for each fiscal year. In doing so local officials and local population were consulted. The State level officials would hold meetings with district and township level officials to get data and information from them, and conduct analysis with them. The office of the Chief Minister coordinates the results of the respective reports to come up with the State Report on LED initiatives.

Such report analysis is specifically to gauge the progress of physical implementation;

financial expenditures and the cost-effectiveness of LED initiatives. Sometimes, the Government of Myanmar in collaboration with external help conducted the necessary assessments and analysis.19

The local economic potentials have been first identified and strategies developed by the

State’s respective government departments and later coordinated and produced in the State Annual Development Plan for utilizing the potentials. Each year the State’s respective

19

Ministry of Progress of Border Areas and National Races Development Affairs, and JICA, “An Assessment of

Multi-faceted Development of National Races Areas in South-East Myanmar



government departments are required to submit their work plan to the State Government. Relevant departments like DOA, Department of Livestock, Trade Promotion, etc. in consultation with their local colleagues would identify their work plan in the coming year, thereby identifying local economic potentials and its strategies of work.

The link between the LED potentials and the aspirations of local communities is rather

weak but the State Government is making attempts in linking LED potentials with the demand of local communities, and the situation has somehow improved. For instance, the government department would visit rural villages and conduct meetings to identify the needs of the local communities and provides necessary technology and material inputs. There are attempts to do LED in an eco-friendly way by taking consideration of the concerns of the local people. For example, when a company is to enter into an agreement with the State Government, it needs to do the social and environmental impact assessment. Only after the clearance is received, the State Government would let the companies to work in the local area.

LED initiatives in Kayin States have just been taken up and therefore the impact of LED evaluation has not been properly conducted . The Planning Department with the leadership of the CM office normally conducts the evaluations and monitoring work. If it feels its capacity is not adequate it could look for external help. The respective planning department in each state and division prepare their evaluation reports and these reports are combined into one at the national level by the Planning Department at Naypyitaw (Seat of the Government). However, an effective M&E System is yet to be developed. Technical training in this respect is necessary.

LED activities design includes agriculture, livestock, fisheries (including aquaculture),

trade promotion, and infrastructure development including capacity development. The focus area is agriculture. Under the leadership of the CM’s office relevant stakeholders come to work together, with an attempt to find synergies between LED activities. This is a partial Bottom up to Top Down Approach, where each respective government department mentioned above would submit what LED activities they would like to conduct, (depending on the resources available) and with these, different departments would come together to find synergies, and discuss how best to work and support each other.

3.5 LED Results (at provincial/state level)

GOM has estimated that Myanmar20 achieved a GDP growth rate of 10.4 percent in 2011, while the IMF has estimated it at 5.3 percent. According to the IMF, inflation has decreased from a double-digit rate in 2009-2010 to 6.4 percent in 2011 from 8 percent in previous year, and it is likely to even decrease further to around 4.2 percent this year.

The Gross Domestic Product of Kayin State as at 2011-2012 was USD 785.65 million at

current price, and by 2013-2014 is estimated at USD 974.69 million and is expected to be USD

20

Myanmar is expected to face only weak inflationary pressures in the rest of 2012-13, mainly due to the combined effects of falling global food prices and a surplus of agriculture produce; however, such a scenario could be abruptly changed by unforeseen shocks or disasters (Framework for Economic and Social Reforms, Myanmar, 2012, page 25, 2.2 “Economic Stability and Growth”)



1153.85 4 million in 2014-2015, an increase of about 18.4 percent per annum.21 The growth rate in alternative approach is also shown in Annex 11.

A ceasefire agreement was reached between the GOM and rebel groups in Kayin State

in 2012. It is hoped that the progress on peace building will bring increased agricultural and livestock production, improvement of infrastructure and improved trade promotions which would benefit the population more, and the benefits accrue equally to men and women.

Major constraints in LED activities include uncertainty of peace and stability, natural

disasters, shortage of labor, agricultural inputs, technology, and investment resources. Inadequate infrastructure, unstable markets and inadequate employment opportunities are indirect constraints for LED initiatives. Without the peace agreement there is no guarantee for secured livelihoods let alone development, and therefore this factor needs focused attention to be addressed. Natural disasters seem to hit Kayin State now and then and farmers are disheartened by such incidences. The State Government in cooperation with international organizations is taking appropriate action to prevent floods, and to provide rehabilitation services in case of natural disasters. Due to uncertainty of security, unstable market for their agricultural products and the constant threat of natural disasters, many young people have gone to Thailand to work resulting in shortage of labour inside the State. But these people still remain poor and do not have adequate money to invest into their agricultural work. After years of distancing themselves from agricultural work, there is a general lack of agricultural knowledge including the up to date technology. Thus, with the hope that the ceasefire agreement continues to hold, the farmers should receive continued support including adequate investment and technology knowledge for their agricultural work.

Local rural population’s expectations are land rights, secure livelihoods environment,

increased income, and increased opportunity for employment, opportunity to have their agriculture mechanized, to have adequate agricultural technology and inputs, specifically adequate water resources for farming. With the gradual improvement in the infrastructure and external investment into the State, there is every hope that local economic development would be realized in the near future fulfilling the expectations of the State’s population.

4. Research Findings on LED Capacities

4.1 Findings from Interviews

LED Actors proper understanding of LED, its principles and objectives Individual interviews, CDNA survey and Compass Workshop findings reveal that LED

actors, specifically among the government officials do have to some extent understanding of LED, its principles and objectives. They have been trained in key principles, like participation, facilitation, bottom up approach, inclusiveness, market orientation, and they would asses them

21

Ministry of National Planning and Economic Development, Planning Department



according to the already identified indicators. Non-government LED actors could have a lesser understanding. LED actors mastering key LED instruments and understanding of the LED process cycle

Ten out of 13 interviewees say LED actors know and understand the use of LED instruments and they have an understanding of the LED process cycle, however a few say that they still need to learn more. Three out of 13 believe that they do not master key LED instruments yet. Overall it seems that LED actors in Kayin State have to some extent a general understanding of the LED process cycle, and they are more familiar with the implementation process but may lack to some extent in mastering the key LED instruments.

Local officials having sufficient set of soft skills to fulfill their LED tasks, such as moderation skills, presentation skills, organizational skills etc.

Most interviewees say that local officials need to improve their capacity in set of soft skill to fulfill their LED tasks, such as moderation skills, presentation skills, organizational skills, etc.

LED actors participation in training activities on participatory planning, LED, VCD, BDS and related fields

All interviewees reply that LED actors participated in training activities on participatory planning, LED, VCD, BDS or related fields. The trainings are conducted either by the respective government departments or organization. However, it is perceived that LED actors need more training on LED, VCD and BDS. Local actors constantly upgrading their understanding of their economic reality and of LED

Local actors are constantly upgrading their understanding of their economic reality and of LED through constant trainings, workshops, departmental meetings, sharing knowledge at group discussions, exposure trips, excursion trips, and study tour trips. In addition to the State Government’s organizing these kinds of activities, international organizations such as INGOs and UN agencies also support the local actors through these kinds of training. As the status of peace and stability improves it is hoped that more trainings and workshops could be conducted widely throughout the state.

4.2 Compass Workshop Findings

The meeting was attended by three high state level officials and the administrative staff of the Chief Minister’s (CM) office. In the workshop, The CM exhorted on the following points:

1. To always focus on the practicability of the MI project’s activities, and consideration of capacity building and sustainability of the project activities

2. To prioritize and focus on the benefits of the farmers 3. To gradually change from manual farming to mechanized farming. (e.g. the farmers have

to know storage technology and to focus on safe storage from unexpected rains) 4. MI should consider and monitor the fluctuation of market price of the maize and use

market oriented approach.



5. In developing the capacity of farmers, MI should consider more on capacity building of the farmers and to focus on practical field work (such as to provide farmers with quality seeds, proper use of fertilizer, and the use of mechanized farming practices, etc.)

6. It would be good if MI encourages and promotes value chain activities. From the above Chief Minister’s exhortation it is obvious that Kayin State officials,

farmers and businessmen have their respective professional and occupational capacity to some extent, but it is recognized that they are in need of further capacity building.

Findings from the workshop

After much discussion it was decided that the number one topic, “Promotion and increased cultivation and production of maize in the Kayin State” would be the main topic to be discussed.

Stakeholders who are involved in the LED process are found to be: 1) Department of Agriculture 2) Farmers 3) Private Enterprises 4) Irrigation Department 5) CP Co. Ltd. 6) Settlement and Land Records Department 7) Trade Promotion Department 8) Department of Water Resource and Utilization 9) General Administration Department 10) Mekong Institute 11) Department of Border Areas and National Races Department 12) Local Agricultural Supervision Committee 13) Shops selling agricultural equipment and related tools and inputs 14) Private Enterprises 15) Agriculture Farm Mechanization Department 16) Manual field workers

Out of the 30 participants of the workshop 70 percent were from government

departments and 30 percent were from non-government organizations, private enterprises and common farmers. All the participants were able to participate actively in the workshop proceedings quite well reflecting the fact that the participants were intellectually able to understand the definitions and concepts of LED process. But there is still a need to improve their capacity in respect of other related matters which are discussed more fully in the subsequent section on “Findings from CDNA Survey”.



Stake Holders who are involved in Kayin State LED process

Gen. Admin Dept.

Natl. Planning & Eco. Development

KSDC Shops Selling Agri. Equipment /tools

CCI

Local Agri. Supervision Committee

CPMoAI,

DOA, ID, AFM, SLRD

MoC

Dept. of Trade Promoion

MADB Farmers

Mekong Institute

Dept. of Border Area & Natl.

Races Development

Coordination & Admin Support


Info Share

Collaboration

Land & Water

Finance

Labor Contribution

Collaboration

Collaboration

Collaboration

PovertyReduction


Manual field workers

Figure 7: Stakeholders who are involved in Kayin State LED Process

Stake Holders who are involved in Kayin State LED process Abbreviations Gen. Admin. Dept. : General Administration Department Natl. Plan & Econ Dev : National Planning & Economic Development Department MOC Dept. of Trade Promotion : Ministry of Commerce, Department of

Trade Promotion KSDC : Karen State Development Committee CCI : Chamber of Commerce and Industry MOAI : Ministry of Agriculture and Irrigation DOA : Department of Agriculture ID : Irrigation Department AFM : Agricultural Farm Mechanization



SLRD : Settlement and Land Records Development MADB : Myanmar Agriculture Development Bank CP : CP Co. Ltd. The conduct of this Compass Workshop has produced important information on the

Kayin State LED efforts through participation, trust building, the spirit of subsidiarity, market oriented approach, sustainability and inclusiveness. With the reference to constructive comments and participation being practiced it is hoped that the ultimate objective of growing maize in Kayin State as part of increased agricultural production for local economic development would be successful.

Through the above efforts, there is likelihood that the objectives of EWEC project, “ the

participation of women and men in local economic development processes and Government officials rendering inclusive public services in an accountable and transparent manner”, will become a reality.

4.3 Findings from CDNA Survey

This survey was conducted among the 30 participants of the Compass Workshop, the majority being men (24 persons), while only 6 women participated in this survey. More than half of the participants (53%) were in the range of age 30-49 group, while 43 percent were in the range of age 50 years and over, indicating that most participants were senior people with responsible position in the government or private enterprises and non-governmental organizations. In fact 70 percent were government officials, while 30 percent were from non-government organizations. Sixty Seven percent of the participants were state level officials, 10 percent were district level officials and 13 percent were township level officials. The remaining 10 percent were either personnel from NGOs, private companies and representatives from farmers, indicating a fairly representative participation involving different sectors of the community and government officials.

Most of the participants were well educated with 57 percent being university graduates

with 7 percent having post-university graduate education, 10 percent having vocational training, while 23 percent had secondary and primary education and 3 percent had some kind of education.

A considerable portion of the survey respondents hold high positions with 47 percent

holding director or deputy director positions, with 10 percent holding officer positions, and 40 percent holding other positions. About 3 percent did not mention their positions, probably due to being farmers.

Many of them (36.7%) have had more than 10 years of holding their current position,

while about 33 percent have been holding their present position between 1-2 years. About 20 percent are holding their current position for less than 1 year, while 3.3 percent have held their current position for 5-10 years.



Figure 8 : Respondents by level of education

Main responsbilities in current position About 5 respondents (17%) mention their duties and responsibilities in the area of

‘agriculture’. Each of the remaining 25 respondents mentioned different duties and responsibilities as shown in the following table.

SSN. Responsibilities/Activities Frequency Percent

1 Agriculture& related activities 11 36.7

2 Bank activities& financial support activities 2 6.7

3 Office work 3 10.0

4 Planning &Data collection on Agriculture Sector 2 6.7

5 Management & marketing 6 20.0

6 Entrepreneurs and industrial enterprises 1 3.3

7 Village development 2 6.7

8 Family income generation/livelihood 1 3.3

9 Land use activities 1 3.3

10 River water pumping & distribution 1 3.3

Total 30 100.0

Table 5: Main Responsibilities in Current Position

The above activities reflect the fact that the respondents involved in local development work either as officials and employees of the government departments or as simply community members. Most of them are involved in agricultural and related activities. In fact 93 percent



said they are involved in local economic development work, while only 7 percent perhaps are involved in related farm work. Participants by type of phases of LED Process

Phases of LED Process Participants

(Number)

Participants

(%)

LED Sensitization 15 50.0

LED Analysis 8 26.7

LED Intervention Design 7 23.3

LED Strategy Development 7 23.3

LED Implementation 18 60.0

LED Monitoring and Evaluation 11 36.7

Table 6: Participants by Type of Phases of LED Process

Most participants (93%) say they are involved in the LED process with 68 percent from the government sector and 32 percent are from non-government sector. Most of the participants (60%) who participated in the LED process say they participate in the ‘LED implementation process‘ followed by those participating in the ‘Sensitization’ process (50%). Those participating in the ‘Strategy Development’ and ‘Intervention Design’ are the least, as perhaps it requires greater knowledge of these processes and only those in the executive level would be able to do that. It is quite surprising to note that about 37 percent are involved in the ‘Monitoring and Evaluation’ process. LED Practices

Respondents describe the current LED practices in their province/district/commune as follows:

76.7 percent of the respondents perceive that ‘Bottom up’ system are practiced, while 13.3 percent perceive that ‘Top down’ system is still being practiced. 10 percent of the respondents say they do not know.

90.0 percent of the respondents perceive that ‘participatory approach’ is being practiced, while about 7 percent perceive that non-participatory approach is being practiced. 3 percent say they do not know

90 percent of the respondents perceive that ‘market oriented approach’ is being practiced, while about 10 percent perceive that ‘non-market oriented’ approach is being practiced. 10 percent say they do not know

73.3 percent of the respondents perceive that LED practices are regularly practiced while 10 percent perceive that its ‘irregular’. 17 percent say they do not know

30 percent of the respondents perceive that LED practices are ‘Rapid’ while 40 percent perceive that it’s a ‘lengthy’ process. 30 percent say they do not know.

30 percent of the respondents perceive that LED practices are ‘short term’; while 53 percent perceive that it’s a ‘long term’ process. 17 percent say they do not know.



93 percent of the respondents perceive that LED practices are ‘gender sensitive’, while 7 percent perceive that it’s a ‘gender un-sensitive’ process.

67 percent of the respondents perceive that LED practices are ‘sustainable’, while 3 percent perceive that it’s an ‘unsustainable’ process. 30 percent say they do not know

80 percent of the respondents perceive that LED practices are ‘inclusive’, while 10 percent perceive that it’s a ‘not-inclusive’ process. Another 10 percent say they do not know.

Participation in a training course by types of training (of Conceptual/Approaches)

SN. Conceptual/Approaches No. of

respondents

Percent

1 Good Governance 7 23.3

2 Enabling Environment 5 16.7

3 Entrepreneurship Development 2 6.7

4 Local Economic Development (LED) 5 16.7

5 Other economic development concepts 2 6.7

6 Project Management 2 6.7

7 Public-private dialogue (PPD) 2 6.7

8 SME Promotion 2 6.7

9 Start-up Promotion 1 3.3

10 Trade Promotion 1 3.3

11 Value Chain Development (VCD) 1 3.3

Total 30 100.0

Table 7: Participation in a Training Course by Types of Training ( of Conceptual/ Approaches)

Respondents mentioned 11 types of training, with ‘Good Governance’ having the highest percentage (23%) followed by LED (17%) and ‘Enabling Environment’ (17%). Very few mentioned having attended the remaining 8 types of training. None mentioned having attended training on ‘Cluster Development’, ‘Investment Promotion’, BDS and ‘Cross-Border Trade’. Last training course of such kind attended by year

Year Number of respondents Percent

2010 3 14.3

2011 2 9.5

2012 6 28.6

2013 8 38.1

2014 2 9.5

Total 21 100.0

Table 8: Last Training Course of such kind attended by year



Out of 30 respondents only 21 remembered the year of such training they have attended. Trainings were attended as recent as early this year and on a higher number in 2013 and 2012. (See above table)

Respondent’s perception on their own knowledge of some concepts/approaches

SN.

Concepts/approaches Low Reasonable Advanced Total

Count Count Count

1 SME Promotion 12 6 12 30

2 Cluster Development 12 4 14 30

3 Good Governance 2 9 19 30

4 Enabling Environment 2 10 18 30

5 Entrepreneurship Development 15 4 11 30

6 Trade Promotion 12 5 13 30

7 Cross-border trade facilitation 18 4 8 30

8 Investment Promotion 12 3 15 30

9 Start-up Promotion 13 6 11 30

10 Business Development Services 15 3 12 30

11 Public-private dialogue 8 12 10 30

12 Project Management 8 11 11 30

13 Socio-economic development plan 8 11 11 30

Table 9: Respondent’s perception on their own knowledge of some concepts/approaches

Respondents’ assessment shows that they have advanced knowledge of ‘Good governance’ (63%), followed by ‘Enabling environment’ (60%), ‘Investment promotion (50%), and ‘Cluster development (46.7%). For ‘Advanced knowledge’ on ‘Cross-border trade facilitation’ they seem to be lacking on it (26.7%). Respondents’ level of knowledge on all issues seems to be low (between 40% and 60% of the respondents), except on ‘Good governance’ and ‘Enabling environment’, ‘Investment promotion’ and ‘Cluster development. Regarding knowledge on ‘Socio-economic development Plan’, since most of those who are involved in it are government officials, about 37 percent of the respondents say they have advanced knowledge, with another 37 percent say they have reasonable knowledge, while about 26 percent say their knowledge on this subject is low.

Respondents therefore need to improve their knowledge on ‘Cross border trade

promotion’, ‘Business Development Services’, ‘Entrepreneurship development’, ‘SME promotion’, and ‘Cluster development’.

Among the types of trainings received by respondents ‘Process facilitation skills’

constitute the highest percentage (33%), followed by ‘workshop moderation skills’ (30%), and ‘Report writing skills’ (26.7%). ‘Interviewing’ and ‘Networking’ skills are the least respondents received.



The respondents’ receipt of training or coaching for all specific skills important for LED are inadequate and need to be improved, ‘Interviewing’ and ‘Networking’ skills should be prioritized for further improvement.

Figure 9: Respondents receiving training or coaching in specific skills important for LED

The three skills that respondents feel they are particularly weak

Skills Number Percent

Workshop moderation skills

16 53.0

Interviewing skills 15 50.0

Proposal writing skills 13 26.0

Process facilitation skills 10 33.3

Networking skills 9 30.0

Training/teaching skills 9 30.0

Presentation skills 5 16.7

Team working skills 5 16.7

Workshop organization skills

3 10.0

Report writing skills 3 10.0

Table 10: The three skills that respondents feel they are particularly weak

‘Workshop moderation skills’, ‘Interviewing skills’ and ‘Process facilitation skills’ are the areas that most respondents feel they are particularly weak. Most respondents are comfortable with ‘Workshop organization skills’ and ‘Report writing skills’.



Self-Assessment on some conceptual/approach statements

Statement

I agree fully I somewhat

agree I disagree Don't know

Total

Count Per-cent

Count Per-cent

Count Per-cent

Count Per-cent

I have a high level of motivation to develop my location

29 96.7 1 3.3 0 0 0 0 30

I am able to design and manage an LED process in my location

12 40.0 16 53.3 0 0 2 6.6 30

I have a good overview of tools for all phases of LED

7 23.3 19 63.3 2 6.6 2 6.6 30

I have a pool of consultants/ officers at hand to support me in LED

6 20.0 14 46.7 4 13.2 6 20 30

I master different workshop formats / tools that I can use if needed

7 23.3 13 43.3 3 10 7 23.3 30

I am confident when presenting an LED action plan at a higher level

8 26.7 16 53.3 2 6.6 4 13.2 30

I have a structured way of organizing workshops/events

4 13.2 17 56.7 6 20 3 10 30

I always find adequate questions when trying to get information

4 13.2 20 66.7 3 10 3 10 30

I am experienced in providing training on development subjects to adults

4 13.2 15 50 8 26.7 3 10 30

I am confident when networking with enterprises in my location

17 56.7 11 36.7 2 6.6 0 0 30

I am experienced &knowledgeable when facilitating cross-border trade

2 6.6 12 40 8 26.7 8 26.7 30

The voice of the poor should be heard in LED

25 83.3 3 10 1 3.3 1 3.3 30

I clearly favor bottom-up planning over top-down approaches

26 86.7 2 6.6 2 6.6 0 0 30

Table 11: Self-Assessment on some conceptual/approach statements



Regarding the respondents’ perception on their motivation, skills, knowledge and approaches related to LED the following findings are found over different questions related LED process:

The majority of the respondents fully agree that they have a high level of motivation to develop their location (96.7%)

Regarding the ability to design and manage an LED process in their location, only about 40 agree with the statement. More than 50 in fact disagree with the statement reflecting the fact that the respondents are not well equipped with such knowledge

About 23 percent of the respondents are confident of having” a good overview of tools for all phases of LED”, while about 63 percent of respondents somewhat agree that they have a good overview of the tools for all phases of LED.

About 67 percent of the respondents say they have a pool of consultants/ officers at hand to support them in LED, while 33 percent disagree with the statement indicating that only two-thirds of the respondents have consultants at hand to support them in LED work

But they are less confident that they master different workshop formats / tools that they can use if needed. Only 23 percent agree with this statement with 43 percent saying they somewhat agree with this statement

Only 27 percent of the respondents say they are confident when presenting an LED action plan at a higher level. About 53 percent say they somewhat agree on this indicating 80 of respondents are capable of presenting LED Action Plan

Only 13 percent of the respondents say they fully agree that they have a structured way of organizing workshops/events reflecting that there are very few persons who could organize workshops or events, while 57 percent say they somewhat agree on this. It seems that 30 percent are not well versed on this subject

On the statement that, “I always find adequate questions when trying to get information”, very few are confident, only 13 percent agree to the statement, while 67 somewhat disagree

Also, very few are experienced in providing training on development subjects to adults (13%), with 50 percent somewhat agree on this. Quite a large proportion, 37 percent say they do not have such experience.

About 57 percent of the respondents are confident when networking with enterprises in their location, while 37 percent somewhat agree on this. This indicates that the majority of the respondents are confident in networking with enterprises

Very few are experienced and knowledgeable when facilitating cross-border trade (7%). In fact more than half of the respondents say they do not have experience and knowledge in facilitating cross border trade

Quite a large proportion of the respondents (83%) believe that ‘the voice of the poor should be heard in LED

Also, quite a considerable proportion of the respondents (87%) ‘clearly favor bottom-up planning over top-down approaches’



It must be noted that while a great majority of the respondents have a high level of motivation to develop their location they still lack many of the knowledge, experience, skills and experience of LED approaches, especially on ‘Cross-border trade’, in ‘providing training on development subjects to adults’,‘ having a pool of consultants/ officers at hand to support in LED process’, ‘in mastering different workshop formats / tools’, and in ‘having a structured way of organizing workshops/events’.

The survey finds that 93 percent of the respondents are personally interested in

participating in an LED training and coached LED exercise, and the number of days they will be availble is shown in the following chart. The majority say that they are available only for 5-7 days.

Figure 10: Availability to attend training course by available days

4.4 Conclusions on Capacity Development Needs in LED

Government departments are the institutional drivers for LED initiatives in Myanmar. Currently the private sector only has a complementary role in LED initiatives processes. It also reveals that LED actors, specifically among the government officials do have to some extent an understanding of LED, its principles and objectives. The survey reveals that the actors are particularly weak in ‘workshop moderation skill’, ‘interviewing skill’, process facilitation skill’, ‘networking skills’, and ‘training/teaching skills’. Particular attention on these capacity developments should be provided. Since, the participation of non-government sector is very much in need for local economic development efforts, personnel from NGOs and private enterprises should also be provided training on LED, its principles and objectives.

The CDNA finds that on the respondents’ perception on their own knowledge of some

concepts/approaches, they have very little knowledge on ‘cross-border trade promotion’, ‘business development services’, ‘start-up promotion’, ‘entrepreneurship development’, ‘trade promotion’, ‘SME development’, ‘cluster development’, and ‘investment promotion’. Future



trainings should consider integrating these concepts and approaches to help improve LED initiative processes.

LED training for local government officials at a lower administrative level, such as

district, township and village tract as well as businessmen and personnel from other private enterprises on such level should consider simplifying the curriculum on a level which they could understand and comprehend.

Participants and interviewees who were involved in this research have expressed the

difficulties in the process of implementing LED, and yet do not seem to understand that in order to overcome these constraints they should come together to participate and make coordinated efforts. Relevant topics and curriculum on this issue should be developed in the training programme.

The actors generally have a high level of motivation to develop their location and believe

in the voice of the poor, and who favor ‘bottom up’ approaches. This is a good groundwork for improving the LED capacity needs of those who are already involved in the initiative processes.

5. Conclusions and Recommendations

5.1 Conclusions on the Current State of LED in Kayin State

The researcher readdressed the assumption established prior to conducting the CDNA. The findings unfolded the current state of LED to be concluded as follow.

Assumption Findings

The current Economic and Social Reforms undertaking provides the state government more authority in local economic development planning and implementation process.

It is found that GOM has already laid out framework and policies to render more discretion to the state government in managing local economic development. The Framework for Economic and Social Reforms (FESR) mentioned that GOM is developing measures to enhance equitable sharing of resources among various states and regions as well as other local governments. However, the explicit answer to the budget amount allocations was not received. Policies and framework which address the extent of responsibilities and accountabilities transfer to the state government are not clear at the time being.

The state government is obviously taking central role in

LED initiatives identifying local economic potentials, policies and activities in partnership with relevant stakeholders. It is focusing on the agricultural sector through the utilization of modern mechanized equipment, quality seeds, and modern



agricultural technology and through giving out agricultural loans. The development intervention of the national government is, on the other hand, still in place in the case of setting up industrial zones.

The LED practices are expected to be “top-down” in approach especially in planning process due to the legacy of centralized planning system.

The practice of LED deems to be moving towards partial bottom-up approach although there remains a tendency of ‘Top Down Approach’. The national government formulates economic policies which the region and state administrations are expected to adhere to. The State Government is coordinating the collaboration between organizations and agencies for local economic development. Similarly, the district and the township level administrations are subjected to the policies laid down by the State Government. Though the lower administrative levels are supposed to prepare their LED plans, the State Government is empowered to make the final decision for the State Level.

Institutions and government officials lack sufficient capacity to facilitate participatory LED process.

The government officials are confident that they have understanding on LED objectives and some LED key principles. The efforts are made to sensitize LED concepts and encourage the participation of people in the LED process by visiting the village to facilitate participatory LED process. Yet analyzing the interviews, the level of understanding of LED objectives and principles are found to be varied, especially the understanding of the government officials from local administrative level are still weak. The state government officials also still need to improve their capacities in LED key principles, like participation, facilitation, bottom up approach, inclusiveness and market orientation.

The participation of non-government sector is still weak in LED

The participation non-government sector is already in place in Kayin State. In partnership with the local government, both private sectors and civil society organization have been involving in social-economic development and infrastructure development activities. They have taken up the LED initiatives themselves as well. However, it is found that the understanding of LED among non-government sector is relatively low as well as the LED initiatives of private sector are not coordinated enough.

Due to political instability (peace building process is still ongoing), disaster prone

The statement is found to be true. These factors are major hindrances required to be solved to achieve LED in Kayin State.



geography (frequent flood in the rainy season and scarcity of water in the hot season), the weak infrastructure development, and inadequate organizations to assist the technological and technical requirements, there is lack of motivations among locals including famers to do business initiatives and intensive cultivation in Kayin State.

5.2 Recommendations on improving LED

It is very necessary to revitalize the agriculture sector through provision of appropriate e technology and other inputs and support, and last but not least to instill motivation among the farmers. It is also observed that farmers need help in financial resources to overcome investment constraints in their agricultural work. Despite the fact that the Myanmar Agricultural Development Bank (MADB) provides agricultural loans to farmers, it is not adequate. Alternative financial sources should be sought in encouraging the farmers to become more motivated in their work.

The identification of local economic potentials is an area where the private sector could

best make contributions, and it is recommended that the private sector make increased efforts to join hands with the State Government in identifying local economic potentials and to link it with the aspirations of local communities. Local LED actors should take the initiatives in value chain development through concrete projects and trainings.

A relaxation of policies for external organizations to engage more in local economic

development with emphasis on livelihoods development, with the State Government providing infrastructure support and related services is highly recommended.

5.3 Recommendations on selected sub-sector development

The main crops grown in Kayin State are rice, green gram, maize, sesame, groundnut, sugarcane, sunflower and black gram. Maize is the second largest crop grown and produced, and due to its promising market and price stability, it is recommended that the Kayin State continues to pursue this course.

Recent experience indicates that delayed or untimely rains and floods in rainy season

are the main constraints and difficulties in maize farming. This could have a long-term psychological adverse effect on the minds of the farmers affecting their production. Appropriate measures for controlling floods in the rainy season and provision of adequate



water for crops cultivation in summer should be developed and addressed by the State Government with the assistance of external help.

Adequate and effective monitoring of maize farming by relevant mechanism should be

conducted to correct errors or to provide necessary needs in the farming process, to which experience has shown to be rather weak.

‘Contract farming’ adopted by farmers and CP Company in Kayin State seems to be

working well, and this course of action should be continued. Technological advice and provision of necessary inputs and even increasing financial resources to the farmers by relevant stakeholders should be considered.

There is an urgent need to improve infrastructure if local economic development is to be

achieved. Myanmar is still in the process of economic and social reforms and is not ready yet to fully engage in integration with neighboring countries. Kayin State could be a testing case for Myanmar in its integration into the AEC. For instance, adopting the BOT system (Build-Operate-Transfer)22 which is an alternative procurement concession in which the public sector grants to a private company the right to develop and operate a facility or system for a certain period, and at the end of concession period, transfer ownership and operation of the facility back to the government.

5.4 Recommendations on LED Capacity Development

LED actors, specifically among the government officials have been trained in LED principles to extent, but further training on LED key principles should be provided to government officials and other non-government stakeholders. As there is no effective monitoring and evaluation system is not place for LED activities, it is advisable to build capacity of LED actors in this area likewise. A training of trainers (ToT) would be a good strategy to enlarge capacity to exercise the LED. The MI should provide regular technical backstopping as well as monitoring and evaluation measures during the training processes. To understand and master the key LED instruments, MI should provide practical demonstration and on the job coaching to LED stakeholders.

In conclusion local actors should constantly upgrade their understanding of their economic reality and of LED through regular trainings, workshops and study tour trips. International organizations such as INGOs, UN agencies and other international organizations should also support the local actors through provision of trainings in the required areas and other relevant support.

It is equally important that the State Government increase its engagement with Mekong

Institute in its efforts to improve LED initiatives processes. As the status of peace and stability

22

PPP in Infrastructure Resource Center (The World Bank) , extracted from “http://ppp.worldbank.org/public-private-

partnership/agreements/concessions-bots-dbos#overview”

http://ppp.worldbank.org/public-private-partnership/agreements/concessions-bots-dbos#overview

http://ppp.worldbank.org/public-private-partnership/agreements/concessions-bots-dbos#overview



improves it is hoped that more trainings and workshops could be conducted widely throughout the state to foster the LED Capacity Development.

Myanmar has just now opened up for cooperation and collaboration with the outside

world, and both the Myanmar Government and the international organizations should take this opportunity to work together for a ‘Win Win’ approach thereby advancing the development of Myanmar, particularly the Kayin State which is recognized for having immeasurable potential economic growth in the near future.



1: LED Stocktaking in EWEC Countries – Research Approach



Annex 2: LED Stocktaking and Capacity Development Needs Assessment Research Preparation and Implementation – TIMELINE

DATE ACTIVITIES REMARK

20 – 22 January 2014

Planning of research, data collection and other preparation

23-26 January 2014 Visit to Naypyitaw (Capital city) and Hpa-an (State capital) for secondary data collection

27-31 January 2014 Secondary research-Data collection and compilation and desktop review of documents

1-8 February 2014 Translation of interview questions guidelines, CDNA Survey questions, and Compass Workshop related documents and materials Development of data entry template for the above

9-16 February 2014 Data collection in the field (Primary + Secondary data collection) including individual interview, CDNA Survey and Compass Workshop

Project site

17-23 February 2014

Processing of data & information National Consultant office based

24 February – 10 March 2014

Data analysis and report writing National Consultant office based

11 – 16 March 2014 Revise report Prepare for presentation

17-19 March 2014 Draft report presentation

Annex 3: Participants in Individual Interviews by Department/ Organization/Enterprise

SN. Name Position Department/Organization/

Enterprise

Remark

1 U Myint Oo Dy. Director Department of Agriculture State level

2 Daw Aye Aye Myint Bank Manager SME Bank State level

3 U Soe Than Aye Dy. Manager Department of Trade Promotion State level

4 Dr. Nyunt Wai Dy. Director Department of Fisheries State level

5 U San Oo Asst. Director Industrial Supervision & Inspection

Department

6 Daw Maw Maw

Khaing

State Manager Agriculture Development Bank

7 U Win Naing Oo Asst. Director Water Resource Utilization Department

8 U Aung Lwin Dy. Director Department of Mechanical Farming State level

9 Daw San San Yee Dy. Director Planning Department State level



10 U Nyunt Swe Dy. Director Irrigation and Dam Department

11 Dr. Zaw Maung CEO Kayin State Development Committee

12 U Saw Than Soe BoD Kayin State Development Committee Chairman,

Rubber

Enterprises

13 U Saw Than Mya BoD Kayin State Development Committee Refined

Wood

Factory,

Industrial

Zone

14 U Kyi Soe BoD Kayin State Development Committee Wood

Enterprises

15 U Kyaw Min Htun BoD Kayin State Development Committee Cooking Oil

Enterprises

16 U SoeThein Secretary Chamber of Commerce and Industry

17 Saw Min Zaw Oo Project

Coordinator

Palay Thanar Development

Organization

18 Saw Eh Dah Nyunt Director Social Services & Development

Department, KBC

Annex 4: LED Stocktaking in Kayin State, Myanmar (Individual Interview Guidelines)

Evaluation Subjects & Questions Indicators Sources of data Method

1. National LED Framework

What is the progress of fiscal decentralization?

Decentralization of revenue as% of total revenue country Decentralization of public spending

CSO Statistical Abstract Constitution (President office website) State Budget Law

Desktop Research

Do line structures of national agencies play a role in LED? Do sub-national actors have full decision making power in LED? Do they have the resources (skills, motivation, finance) to do LED effectively and efficiently?

Decentralization of relevant public institutions for RED

30 ministries MoH, Border Areas Affairs Naypyitaw Directory Both Policy and Implementation

Desktop Research Interviews in pilot sites

Are there a relevant national LED strategy and programs for sub-national territories in place?

Existence and relevance of economic development strategy and programs for sub-national territories

FERS NCDP National Comprehensive Plan, 20 year plan, up to 2030

Desktop Research

Are there national attempts to coordinate cooperation between LED institutions in different

Coordination and complementarity between LED institutions in different

Township Dev Committee/Township Planning




territories? territories Office/Secretary of the committee

Is the national level trying to identify lessons learned and good practices and upscale them to other territories?

National Referrals academics, producers and disseminators of knowledge relevant to understanding and policy development, and capacity building for LED


Do LED initiatives in the location receive adequate political, technical and administrative support by the national level?

Extent to which national partners have provided political, technical and administrative support

Local institutions Interview government dept, civil societies

Desktop Research Interviews

2. Local LED Framework

Who are the institutional drivers of LED in the location? Who else is involved as LED stakeholder or intermediary? Is there a clear understanding of roles and responsibilities by all parties involved?

Budget in local institutions allocated to LED LED activities of local institutions

Local institutions BMOs NGOs Government has at least proposal, Planning Dept of Kayin State has such proposed plan Donor money/ODA/Foreign loans

Desktop Research Interviews LED actor mapping

How effectively has LED leveraged additional domestic and donor resources, partners and initiatives to ensure continued efforts and sustainability?

Comparison of the local investments in LED and related investments of partners and other initiatives

Local institutions NGOs Donor Reports Myainggyingu, Thamanya Sayadaw led in the construction of roads in Kayin State E-W Economic Corridor (begins in Danang, Vietnam to Mawlamyine dockyard)


How is the LED process and effort internally organized to assure its effectiveness? How do people/organisations cooperate to improve the performance of the local economy?

Interaction among LRED actors, Governance patterns

Local Institutions Local enterprises NGOs How it is organized in Kayin State Regional Development Plan Township Development Committees, where Planning Dept staff acts as secretary

Desktop Research Interviews LED actor map Internal Assessment

3. LED Policies (at sub-national level)

Do local stakeholders have a shared vision, understanding and

Statements of actors on vision and ownership.

Local Institutions (Intv& compass)




participation in development of LED, the expected achievements and the accompanying policies? Have local stakeholders taken ownership of the LED process?

Local resource contributions to LED design and implementation

Local enterprises (Intv& compass) Local farmers (Intv&compass) NGOs (Intv& compass)

Compass Workshop

Are the locally formulated LED visions, objectives and activities relevant and realistic to the situation on the ground?

Fit with institutional and economic situation Fit with stakeholders’ needs (Govt has targets)

Local Institutions Local enterprises NGOs

Interviews Compass workshop Internal Assessment

Is the LED intervention logic in the pilot site coherent and realistic? What needs to be adjusted?

Plausibility of LED intervention logic


Desktop Research Interviews Internal Assessment

How are resources currently allocated between economic, social and infrastructure development?

Budget allocation 1)Central govt 2) Central govt loan to state/region 3) Revenues received by state

Local Institutions Local enterprises NGOs Planning dept has info & data

Desktop Research Interviews Compass Workshop Internal Assessment

What are current LED priorities (sectors, target groups etc.), how are they identified and who identifies them (i.e. local stakeholders, local, regional or national officials)? What are preferred support and transaction mechanisms (e.g. market mechanism)?

Focus of LED projects Local Institutions Local enterprises NGOs


Have resources (funds, human resources, time, expertise etc) been allocated strategically to each LED initiative and used efficiently and cost-effective?

Cost of interventions compared to (potential) impact Procedures in place to be cost-effective (i.e. bidding, cost-sharing, charging for market services etc.) Financial contributions of private sector

Local Institutions Review of budget

Desktop Research Interviews (How to use resources-govt has plans)

What is the role of the private sector in LED? Is the private sector only a beneficiary of LED or is it actively involved in delivering LED, e.g. for good business reasons or as per its CSR policy on community engagement?

Private sector investment/engagement in LED initiatives Examples of CSR (corporate social responsibility) [Example: Private sector builds roads, schools, health centers, etc.]

Local institutions BMOs (e.g. UMFCCI, Myawaddy Border Merchants Asso.) NGOs


To what extent do LED actors try to seek synergies with other development activities at local level, i.e. social development, and

Coordinated/joint activities with other projects/other donor projects/ government projects in the pilot sites

Local institutions BMOs NGOs

Interviews Compass Workshop [3 D Fund,



infrastructure development? To what extent is LED related to value chain development, e.g. local/national tourism value chain development? Is there cooperation with other provinces or districts on LED on-going initiatives to increase its effectiveness and impact? What are areas for improvement for cooperation?

Coordinated/joint activities with other projects/other donor projects/ government projects in neighbouring locations

Projects intervention for Human trafficking, narcotics eradication link with LED]

To what extent are external organisations and donors supporting LED in the pilot site and how are they regarded by local actors?


Interviews Compass Workshop

To what extent are gender and gender related issues adequately and appropriately considered in LED interventions? Are there policies, facilities or institutions in place specifically benefiting women?

Gender mainstreaming in LED

Local Institutions NGOs


Which topics are not receiving sufficient attention (e.g. business retention, entrepreneurship, gender, green jobs, CSR etc.)? Are there attempts to do LED in an eco-friendly way? Does climate change resilience and adaptation play a role in LED? [First provide your ideas and then ask them which portion are they weak?]

Sustainability and other concerns in LED initiatives [Exploitation in jobs] Entrepreneurship [innovations) eco-friendly way [ecological friendly way} Safety in work place Job creation: Is it environment safe Social welfare factor taken care of Prevent human trafficking Ask client which sector do they want to focus?



4. LED Practices (at sub-national level)

In order to increase participation are local people sensitized for LED? If yes, how?

Availability of awareness raising events

Local enterprises Farmers NGOs


Is proper analysis conducted of the local economy or selected sub-sectors and local population interest understood before LED interventions are designed/planned? If yes, what analysis methods are used? Who is involved in the analysis; who makes the decisions on the outcome of the analysis and

Availability of analysis studies Participation in analysis

Local institutions Local enterprises [only observation] Farmers NGOs

Desktop Research Interviews [But there could be some analysis done by Govt side]



thereafter the policy development in LED?

Have local economic potentials been identified? If yes, is there a local LED strategy addressing the utilization of potentials? Is the local LED potential linked with the aspirations of local communities in LED? Are there unique opportunities that are not yet recognised nor exploited?

Congruence between LED strategy and potentials Time availability for experimentation and implementation

Local institutions Local enterprises Farmers NGOs

Desktop Research Interviews [Govt: must have some planning, e.g. tourism potentials, cable to be installed in Hpa-an, Myawaddy Border Pass – Kyaik tee yo, Yangon –BKK through Kayin state]

Are the timeframe for LED project implementations and sequencing of project activities logical and realistic? If not, what changes are needed to improve them?

Time frames Local institutions NGOs

Interviews Compass Workshop

What is done to evaluate and assess the impact of LED? Who does it? Are M&E results reviewed when designing new LED interventions? How effective is the M&E system?

Availability and quality of M&E system

Local institutions NGOs


What LED activities have been designed and planned? Is there any sector-focus or other focus in the location? Is there an attempt to find synergies between LED activities?

List and sequence of LED activities Cooperation between implementers of LED activities

Local institutions NGOs


How have gender considerations been mainstreamed throughout the LED process cycle (analysis, design, planning, implementation, M&E)? Has LED, where appropriate, adopted approaches and mechanisms to ensure its relevance to women as well as men?

Extent to which improving gender equality is explicitly addressed in LED project studies/assessments/ strategies/activities

Local institutions Enterprises/farmers NGOs

Document review Interviews

5. LED Capacities

Have LED actors a proper understanding of LED, particularly its principles and objectives? How do they assess key principles, like participation, facilitation, bottom up approach, inclusiveness,

Statements of LED officials and partners

Local officials BMOs NGOs

CDNA Interview Internal Assessments [Org in LED activities to be self-



market orientation? assessed]

Do LED actors master key LED instruments? Do they have an understanding of the LED process cycle



CDNA Interview Internal Assessments

Do local officials have sufficient set of soft skills to fulfil their LED tasks, such as moderation skills, presentation skills, organisational skills etc.




Have LED actors and implementing partners the capacity to mainstream gender in LED?

Statements of LED officials and beneficiaries on gender mainstreaming

Local officials Enterprises/farmers NGOs


Have LED actors ever participated in training activities on participatory planning, LED, VCD, BDS or related fields?


Local officials BMOs

CDNA Interviews

How do local actors make sure that they constantly upgrade their understanding of their economic reality and of LED? Is there on-going training?



CDNA Interviews Internal Assessments

What do LED actors consider their most urgent capacity needs in LED?


Local officials BMOs

CDNA Internal Assessments

6. LED Results

What are the economic and financial results of LED?

Growth of GDP, development of poverty rate, development of average income, development of tax income etc. [Govt plan to reduce poverty. Must have plan and targets]


Document review Statistics review Review of budget Compass Workshop Interviews

Have quantity and quality of LED results produced so far been satisfactory? Do the benefits accrue equally to men and women? Are the beneficiaries and external partners satisfied with the quality of tools, technical advice, training and other activities delivered through LED?

How quality compares to international standards How beneficiaries and officials assess quality Extent to which outputs are benefiting men and women


Document review Interviews Compass Workshop

What are the major difficulties and constraints, both inside and outside the location that affected the results of LED?

Statements of local officials and beneficiaries on difficulties and constraints Negative effects of internal and external factors on LED activities and progress


Document review Interviews Compass Workshop



Annex 5: Structure of Compass Workshop for Assessing LED Practices, Results and Capacity Needs

15 February 2014

Objectives In the framework of the research effort “Analytical assessment of current Local

Economic Development (LED) policies and practices in 3 pilot sites” along the EWEC various research tools will be applied. Apart from desktop research, interviews and a Capacity Development Needs Assessment survey (CDNA), also one workshop is planned to be conducted. The researchers propose to use a simplified variety of the Compass of Local Competitiveness for this purpose.

In the context of the overall research goal, the specific objectives of this Compass

workshop format variety can be summarized as follows:

Identify past and ongoing LED activities in the province/state (either sub-sector specific or for the whole economy)

Identify LED achievements resulting from these LED activities (assessed from the view point of local stakeholders)

Align the overarching objectives of local stakeholders about what they want to achieve jointly with their LED initiative

Identify critical success factors (CSF) that need to be in place in order to achieve the joint objective

Assess whether the past and ongoing LED activities are in line with the joint LED objective

Draw conclusions on LED capacity needs from the Compass workshop results and discussions

define future activities to boost the local economy (or a selected sub-sector) [optional, if time allows and local actors are highly motivated]

Workshop Invitees There was a balance between public and private actors at the Compass workshop. The

following types of participants were invited to take part in the workshop (30 Participants + 5 consultancy team members+ 3 MI Myanmar staff totaling 38 participants):

Representatives of economic sub-sectors, managers/owners of small and medium companies

Representatives of relevant business associations and chambers

What is the impact LED needs to deliver to keep local men and women happy? What are the expectations of the target groups/beneficiaries?

Statements of target groups/beneficiaries

Enterprises/farmers BMOs NGOs

Interviews



Some selected farmers

Selected representatives from lead authorities in the State and, district level

Officers from State and district level involved in any phases of an LED process (sensitization, analysis, planning, intervention design, strategizing, implementation, M&E).

Representatives of banks and / or micro finance institutions from State and district level

Representatives of NGOs in the State Compass Workshop for LED Assessment The elaboration of this specific Compass of Local Competitiveness involved the following

steps: 1. Opening and Introduction 2. Participants present themselves 3. Explain the objective of the workshop 4. Explain the structure of the workshop 5. Explain the Compass (keep flipchart with explanation visible at all times) 6. Framing: What exactly are we talking about? (keep result visible) 7. Look back: What LED activities have been taken so far and what has been

achieved? 8. Objective: What are the overall objectives of LED in this province/state? 9. Revisit framing 10. Brainstorming on and organization of critical success factors (CSF) 11. Organize CSFs into quadrants 12. Prioritize CSFs, quadrant by quadrant (Pareto) 13. Matching of CSF with past ongoing activities 14. Conclusions and Way-forward 15. End of main workshopp

Annex 6: Agenda of the Compass Workshop on LED Stocktaking & Capacity Development Needs Assessment


15 February 2014, Hpa-an, Kayin State, Myanmar

TIME ACTIVITY REMARKS

8:30 to 8:40 AM Welcoming remark and introduction to MI activities in

Kayin State

Dr.Thet Thet Mar, Mekong

Institute

8:40-8:50 AM

Introduction to the Workshop

Opening words

Overall objectives of the workshop

Lawson SeinTun

National Consultant

8:50-9:00 AM Presentation of the participants Participants



9:00-9:15 AM Coffee Break

9:15:00-9:25 AM Introduction to the workshop structure & procedures Lawson SeinTun

9:25-9:30 AM Explaining the Compass tools Lawson SeinTun

9:30 –9:45 AM Framing: Clarifying the objective of the exercise

9:45 -10:15 Noon Identifying the activities and achievements Moderator/participants

10:15 – 10:45 AM Clarifying the overall objective Moderator/participants

10:45 - 11:00 AM Revisit framing Moderator/participants

11:00- 11:45 AM Critical success factors Moderator/participants

11:45-12:30 Noon Lunch Moderator/participants

12:30-1:00 PM Matching Moderator/participants

1:00-1:30 AM Conclusions and Closing Lawson SeinTun/

participants

Annex 7: Workshop List of Participants on LED Stocktaking & Capacity Development Needs Assessments


15 February 2014, Hpa-an, Kayin State, Myanmar

SN. Name Position Department/Organization/

Enterprise

Remark

1 U Myint Oo Dy. Director Department of Agriculture State level

2 U Tin Win Dy. Director Department of Industrial Crops State level

3 U Aung Thaw Myint Asst. Director Department of Agriculture State level (Plant

protection)

4 Daw Khin Myo Aye Asst. Director Department of Agriculture State level (Seed)

5 Daw Aye Aye Cho Asst. Director Department of Agriculture State level (Land

use)

6 U Than Win Asst. Director Trade Promotion Department

7 U Zaw Thein Oo Asst. Director Department of Agriculture Township level

8 Dr Nyunt Wai Dy. Director Department of Fishery State level

9 U Naing Aung Dy. Director Department of Land Records State level

10 U Tun Tun Oo Township Officer Department of Agriculture

11 U San Oo Asst. Director Industrial Supervision &

Inspection Department

12 U San Win Asst. Township Officer Department of Agriculture

13 Daw Maw Maw Khaing State Manager Agriculture Development Bank

14 U Win Naing Oo Asst. Director Water Resource Utilization

Department

15 U Aung Lwin Dy. Director Department of Mechanical

Farming

State level

16 U Khun Than Tun Asst. Director Department of Agriculture



17 U Khun Maung Maung Asst. Director Department of Agriculture

18 Daw San San Yee Dy. Director Planning Department State level

19 U Maung Maung District Officer Department of Agriculture

20 Daw Aye Aye Myint Asst Bank Manager Joint Private and Government

Bank

21 U Thar Win Farmer Kyone Payae

Village

22 U Yarzar Myo Manager CP Co. Ltd

23 U Saw Nay Hla Farmer

24 U Htein Lin Farmer

25 U SoeThein Secretary Chamber of Commerce and

Industry

26 U Win Thaung Farmer

27 U Kyi Soe Private Businessman

28 Daw Aye Nanda Kyaw Village Tract

Administrative Officer

29 Saw Min Zaw Oo Project Coordinator Palay Thanar Development

Organization

30 Saw Eh Dah Nyunt Director Social Services & Development

Department, KBC

Annex 8: LED Stocktaking and Capacity Development Needs Assessment East-West Economic Corridor/ GMS

CAPACITY DEVELOPMENT NEEDS ASSESSMENT FOR LED SURVEY FORM

What is the purpose of this survey?

On behalf of the Mekong Institute in Khon Kaen, Thailand in cooperation with the provincial/state government of …….. we are currently surveying the capacities of officials on province/state, district and commune/township/village level working in public and private organizations in the field of Local Economic Development (LED). The results of this Capacity Development Needs Assessment will be used to design and offer LED training courses at different administrative levels in your province/state. The objective of this research project is to improve LED policies, LED practices and ultimately LED results in the pilot province/state.

It will take you around 15 minutes only to fill out this questionnaire. The information

you provide us will be aggregated with the results of the other 30+ interviews in your location. Please answer all the questions in this questionnaire, as only complete questionnaires will be considered valid and further processed. Please contact the research team that is assigned to distribute and collect the questionnaires in your location, if you need clarification on specific terms used.



What is Local Economic Development (LED)? LED is understood as a participatory analysis, planning, strategizing and implementation

process wherein local public and private stakeholders jointly work together to strengthen competitiveness, improve conditions for economic growth, employment creation and income generation at the local level. LED is about mobilizing people and making them work together to trigger change in a locality. LED is targeting different types of enterprises (incl. farmers) in order to strengthen their competitiveness, which are existing enterprises, start-ups and external investors. Depending on current local priorities and conditions, an LED process can have different focus, which usually changes over time. For instance, an LED process can focus on strengthening local enterprises (business retention), attract external investors (investment promotion), helping new enterprises (start-up promotion), particularly supporting SME (SME promotion), stimulating cross-border trade (trade promotion), strengthening the business environment (enabling environment) and others. In each of these fields, LED is based on a set of key principles, which typically are participation, local ownership, trust building, subsidiarity, market orientation, sustainability and inclusiveness.

You are all working in the field of LED in one way or another. This questionnaire tries to

find out about the specific tasks in LED that you are fulfilling, what competences are needed for that and what additional knowledge and experiences you should ideally obtain to improve your performance and quality of work and thus contribute to enhanced employment creation and income generation in the future.

THANK YOU VERY MUCH FOR YOUR PARTICIPATION IN THIS RESEARCH EFFORT! PROVINCE/STATE…………...................……………………………………………………. DISTRICT.……………………….………………………………………………………………. COMMUNE/TOWNSHIP/VILLAGE………………………………….…………………….…..

1. Level of Highest Education of Interviewee: Primary Secondary Vocational School

BASIC INFORMATION:

Date of Interview:………./ ….……/……….

Name of Respondent: ......................................................................................................................

Age: ………………………………………………… Gender: Male Female

Organization:…………………………………..........

Type: Government Non-Government

Province/State Level District Level Commune/Township/Village Level

Tel No: .............................................................................................................................................

Address: ..........................................................................................................................................

Name of Interviewer: ......................................................................................................................



College University Post-graduate Other:............................................... 2. Position of Interviewee: Officer Vice-Director Director 3. Exact name of the position in the organisation……………………………………………………………..... 4. Years in the Position: < 1 1 – 3 3 – 5 5 – 10 >10 5. Main responsbilities in your position A) ……………………………………………………………………………………………………. B) ……………………………………………………………………………………………………. C) ……………………………………………………………………………………………………. 6. Do you personally participate in the process of LED? Yes No 7. If yes, in what phase(s) of the LED process do you participate? (Multiple answers allowed) LED Sensitization LED Strategy Development LED Analysis LED Implementation LED Intervention Design LED Monitoring & Evaluation 8. How would you describe the current LED practices in your province/district/commune (For each pair of opposite characteristics pls. decide which better describes current LED practices. If you cannot decide, please tick “don’t know”)? Bottom-up Top-down Don’t know Participatory Non-participatory Don’t know Market-oriented Non-market oriented Don’t know Regular (yearly) Irrregular (every few years only) Don’t know Rapid Lengthy Don’t know Short-term Long-term Don’t know Gender sensitive Gender Unsensitive Don’t know Sustainable Unsustainable Don’t know Inclusive Non-inclusive Don’t know 9. Did you ever participate in a training course in one of the following concepts/approaches? Local Economic Development (LED) Value Chain Development (VCD) Cluster Development Good Governance/ Enabling Environment Entrepreneurship Development Trade Promotion Cross-border Trade Facilitation SME Promotion Investment Promotion Start-up Promotion Business Development Services (BDS) Public-private dialogue (PPD) Project Management Other economic developmen concepts:..................................................................... 10. When was the last training course of such kind that you attended? ..............year



11. Do you receive regular training/knowledge upgrade on economic development? yes No 12. How would you assess your level of knowledge/expertise of the following concepts/approaches? SME Promotion Low Reasonable Advanced Cluster Development Low Reasonable Advanced Good Governance Low Reasonable Advanced Enabling Environment Low Reasonable Advanced Entrepreneurship Development Low Reasonable Advanced Trade Promotion Low Reasonable Advanced Cross-border trade facilitation Low Reasonable Advanced Investment Promotion Low Reasonable Advanced Start-up Promotion Low Reasonable Advanced Business Development Services Low Reasonable Advanced Public-private dialogue (PPD) Low Reasonable Advanced Project Management Low Reasonable Advanced Socio-Economic development plan Low Reasonable Advanced 13. Have you ever received training or coaching in specifc skills important for LED? Process facilitation skills Workshop organization skills Presentation skills Workshop moderation skills Interviewing skills Team working skills Networking skills Proposal writing skills Training/teaching skills Report writing skills 14. What are the three skills that you feel are particularly weak in (maximum three answers)? Process facilitation skills Workshop organization skills Presentation skills Workshop moderation skills Interviewing skills Team working skills Networking skills Proposal writing skills Training/teaching skills Report writing skills 15. Please read the statements below and answer according to your self-assessment Statement I agree

fully I agree somewhat

I disagree I don’t know

A I have a high level of motivation to develop my location

B I am able to design and manage an LED process in my location

C I have a good overview of tools for all phases of LED

D I have a pool of consultants/ officers at hand to support me in LED

E I master different workshop formats / tools



that I can use if needed

F I am confident when presenting an LED action plan at a higher level

G I have a structured way of organising workshops/events

H I always find adequate questions when trying to get information

I I am experienced in providing training on development subjects to adults

J I am confident when networking with enterprises in my location

K I am experienced & knoweldegable when facilitating cross-border trade

L The voice of the poor should be heard in LED

M I clearly favor bottom-up planning over top-down approaches

16. Would you be personally interested in participating in an LED training and coached LED exercise? yes No 17. If yes, how many days would you be available for such a training/exercise event? (only one answer) 5 days 5-7 days 8-10 days

Annex 9: GDP Growth Rates in Alternative Approach

Along with interactive discussion and analysis, GDP for Kayin State based on GDP figures of

Planning Department was worked out again by U Kinetin (Economist) and Economics Advisor to L Sein Tun and Associates (Survey, Research & Consultancy Services) in the following steps.

(1) GDP deflator is calculated by using IMF’s GDP at constant price (Row B of Table A-1) and current price in local currency (Row A of Table A-1). Deflator is the result of the GDP at constant price divided by the GDP at current price (Column C of Table A-2).

(2) GDP figures of the Planning Department are divided by the GDP deflator so as to

transform nominal GDP (Column B of Table A-2) to real GDP (Column D of Table A-2). (3) In order to convert GDP in local currency to GDP in USD, exchange rate of each year’s

average is worked out. The year average exchange rate (Column E of Table A-2) is the result of GDP at current price in local currency (Row B of Table A-2) divided by GDP at current price in USD (Row C of Table A-2).

(4) Then, real GDP in local currency (Column D of Table A-2) is converted into real GDP in

USD (Column F of Table A-2) by using year average exchange rate (Column E of Table A-2).

Table (A-1) Data to work out Deflator and Exchange Rate

# Subject Descriptor Units Scale 2010 2011 2012 2013 2014

A Gross domestic product, constant prices

National currency

Billions 39,872.55

42,228.50

44,915.23

47,976.68

51,278.75



B Gross domestic product, current prices

National currency

Billions 39,846.69

43,368.39

47,433.05

53,501.06

60,797.33

C Gross domestic product, current prices

U.S. dollars

Billions 49.628 56.17 55.273 59.427 64.957

Table (A-2) Calculation of Real Gross Regional Product (GRP) for Kayin State, Myanmar, 2011/12 to 2014/15

Fiscal Year

Nominal GRP (Kyat million)

Deflator (GDP Deflator)

Real GRP (Kyat million) (2010 as the base year)

Year Average Exchange Rate

Real GRP (USD million)

(A) (B) (C) (D)=(B)/(C) (E) (F)=(D)/(E)

2011/12 771509.9 1.03 751232 772 973

2012/13 943413.0 1.06 890012 858 1037

2013/14 957147.4 1.12 858315 900 953

2014/15 1133085.4 1.19 955687 936 1021

Source: International Monetary Fund, World Economic Outlook Database, October 2013 (5) After that, average annual growth rate during 2011/12 to 2014/15 is calculated by using Compounded Annual Growth Rate (CAGR) formula as below: CGAR (t0,tn) = (V (tn)/V (t0))

1/tn-t0-1

i.e. V (t0): start value, V (tn): finish value, tn-t0: number of years (6) In application of the formula above, there is 8.35 percent annual growth rate when real GDP in local currency increases from Kyat 751232 million to Kyat 955687 million within three years period from 2011/12 to 2014/15. (7) At the same time, there is only 1.62 percent annual growth rate when real GDP in USD increases from USD 973 million to USD 1021 million within three years period from 2011/12 to 2014/15. (8) The gap between annual growth rate in local currency and in USD is the result of exchange rate depreciation (decrease of Kyat value) from 772 Kyat per USD in 2011/12 to 936 Kyat per USD in 2014/15. The rate of depreciation is 21 percent within three years.

consolidated capacity development needs assessment …...local economic development and inclusive...

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