Brazilian Regional Policy: a post-2010 outlook EU-Brazil Regional Policy Cooperation Seminar OPEN DAYS - 8th European Week of Regions and Cities Brussels,

Brazilian Regional Policy: a post-2010 outlookBrazilian Regional Policy: a post-2010 outlook

Brazilian Regional Policy: a post-2010 Brazilian Regional Policy: a post-2010 outlookoutlook

EU-Brazil Regional Policy Cooperation Seminar

OPEN DAYS - 8th European Week of Regions and Cities

Brussels, October 6th, 2010.

MINISTRY FOR NATIONAL INTEGRATIONMINISTRY FOR NATIONAL INTEGRATION


Presentation OutlinePresentation Outline

• The complexity of the Ministry for National Integration – MI, and our institutional mission;

• Resuming the “regional question”: the commitments taken on by MI;

• Post-2010 period: the proposals set out by NPRD Phase 2 (2011 – 2015).


Ministry for National Integration: The MissionMinistry for National Integration: The Mission

• To promote development for the country’s regions, reducing regional inequalities, stimulating social inclusion and citizenship, creating the means for the sustainable use of our rich cultural, environmental, social and economic diversity, in competitive basis (Strategic Planning - 2005);

• Main tool: National Policy for Regional Development – NPRD (Institucionalized on 02/22/2007, through Presidential Decree nº. 6,047).


Ministry for National Integration: Main Ministry for National Integration: Main ResponsibilitiesResponsibilities

• Formulation and execution of the National Policy for Regional Development - NPRD;

• Formulation and implementation of Regional Development plans and programs;

• Setting up guidelines and priorities for regional development funds application (FDA, FDNE, FCO, FNE and FNO);

• Operation of the National Policy for Civil Defense;• Construction of hydric infrastructure works;• Formulation and conduction of the National Policy for Irrigation;

and

• Territorial Planning.


MI Agenda of commitments MI Agenda of commitments (proposed in 2003)(proposed in 2003)

• To restructure the regional development tools and mechanisms;

• To revamp the macro-regional institutional base - SUDAM and SUDENE, as well as to propose the creation of the Center-west Agency;

• To establish the bases for sub-regional operation;

• To set up regional operation criteria for other government policies;

• To establish the Chamber for National Integration and Regional Development Policies; and

• To propose the National Policy for Regional Development and Territorial Planning to address territorial inequalities and diversities.


Regional Development Challenges in BrazilRegional Development Challenges in Brazil

• Despite the vigorous nature of Brazilian economy and the social, the economic transformations and NPRD contributions, the lack of RD policies provoked:

– Considerable (inter and intra)regional inequalities;

– Regional problems: e. g.: continuing migration flows, unequal service provision, etc.;

– Model of “Competitive Federalism” (Fiscal War) in contrast with the desired “cooperative federalism”;

– Lack of articulation of the institutional framework and of the regional development tools.


NPRD – Phase 2 (2011-2015): major proposalsNPRD – Phase 2 (2011-2015): major proposals

• To upgrade from “Government Policy” to “State Policy”;

• To set up a new “strategy for action”: to address the unequal in an unequal manner (although addressing all);

• To define elegible territories and the presumed priorities;

• To set up a new model for Regional Policy financing;

• To implement a new Governance Model.


The “strategy for action” : to address the unequal in The “strategy for action” : to address the unequal in an unequal manner (although addressing all)an unequal manner (although addressing all)

• Options of phase I: – “Specialized” policy (the “concept territories” (Map of Regional

Programs), rule out high income territories (initial option), priority option on the clusters (APLs) as vectors of income and employment generation, etc...;

• Proposed Options for Phase 2:– “Universal and Decentralized” policy (the updated typology for the

“4 Groups”), with emphasis on: » Expansion of social organization, participation and empowerment of

stakeholders in the territories;» Promotion of integration of government agencies and relevant

stakeholders in the territories (challenge of federative cooperation);» Apropriate solutions for each type of territory (e. g.: G1 and G4)


The elegible territories and the presumed prioritiesThe elegible territories and the presumed priorities

Starting point: Policies must be inclusive (albeit with defined priorities – the 3 goals);

Goal A: “convergence territories” (G2, G3, and G4 NPRD typology);

Goal B: “territories with cosolidated competitiveness standards” (G1 typology); and

Goal C: “transition territories from Phase I to Phase 2) – priority on social organization;

“Elegibility Map” 2011 – 2015.


Regional Policy financing modelRegional Policy financing model

• To extend coverage of NPRD development tools (State Funds, parliamentary amendments, etc);

• To provide financial support for small and medium-sized infrastructure in NPRD convergence territories (with NFRD or Pre-salt Social Fund);

• To increase deconcentration of Constitutional Funds allocation for G2, G3 and G4 territories(render $ even more accessible and attractive in those territories);

• To advance in “spreading out” the funds’ operations and expand micro-credit operations, for instance.


Governance Model Governance Model • 4 governance levels proposed for NPRD Phase 2

• Strategic level – National Council for Integration of Regional and Territorial Policies (it defines State strategy – chaired by the President, with government and society stakeholders);

• Tactics Level – Regional Policies Management Chamber (it approves the multi-year Work Plan, annual programming, and coordinates the actions with territorial basis);

• Operational Level – State Committees for Territorial and Regional Policy Management (they manage and carry out the Policies).

• Programming Level – Empowerment for the new institutions (Forums, Agencies, Consortia, etc.).


Challenges for NPRD sustainabilityChallenges for NPRD sustainability• Consolidation as a State Policy (broad discussion of the proposal

for 2011-2015, and submittal to the Congress by the end of 2011);

• Establishment of a National Fund for Regional Development (setting up a new financing portfolio for regional development – Tax Reform Constitutional Amendment);

• Consolidation of RD tools and mechanisms (Regional Programs, Regional Development Plans, Meso-regional Forums, etc.);

• Setting up the new governance model, and

• Institutional strengthening and capacity building for professionals to manage RD (National Program for Qualification in RD).


Lastly, a touch of “philosophy”...Lastly, a touch of “philosophy”...

[...] I conceive that there are two kinds of inequality among the human species; one, which I call natural or physical, because it is established by nature, and consists in a difference of age, health, bodily strength, and the qualities of the mind or of the soul;

and another, which may be called moral or political inequality, because it depends on a kind of convention, and is established, or at least authorized by the consent of men. This latter consists of the different privileges, which some men enjoy to the prejudice of others; such as that of being more rich, more honored, more powerful or even in a position to exact obedience...

(ROUSSEAU,1753) On the origin of the inequality of mankind....


Henrique Villa da Costa FerreiraHenrique Villa da Costa FerreiraSecretary

Regional Development Policies Secretariat/SDR Ministry for National Integration/MI

Telephone (0xx61) 3414-5754

[email protected]

www.integracao.gov.br

Documents

Brazilian Regional Policy: a post-2010 outlook EU-Brazil Regional Policy Cooperation Seminar OPEN DAYS - 8th European Week of Regions and Cities Brussels,