Component 3 of the LGPA focuses on civic and private sector engagement. Local economic investment and growth cannot prosper without active local business participation. Local economic growth is generated mainly by small and medium-sized businesses already established in a community. These businesses need visibility, cost-effective access to public services, and accessibility and collaboration with local officials. Within many Albanian municipalities, business groups and associations are forming that are in addition to traditional chambers of commerce. These organizations can represent member interests, identify common issues and problems, and facilitate collaboration with city development/planning staff. LGPA is supporting the development of such associations, and assisting in developing channels of effective engagement with municipal officials.

Decentralization of governmental authorities and resources also presents an opportunity to promote transparency and accountability. Local governments are closer to citizens, and there are more opportunities for citizens to hold local officials accountable. LGPA is harnessing the resources of watchdog and civic monitoring groups to monitor local public expenditures in different sectors, using such tools as Public Expenditure Tracking Surveys (PETS), focus groups, and public hearings.

Finally, LGPA is continuing to carry out the Local Government Survey that was previously initiated with USAID support.

With assistance from the LGPA, target municipalities are strengthening the involvement of local civil society groups, special interest groups, and business in the local government process.  This has been initiated by including the civic and private sectors in Local Economic Growth Committees, establishing participatory budgeting mechanisms, and creating local government outreach tools such as newsletters and websites. Transparency of target municipalities has been increased through open council meetings, open processes for purchasing, leasing and disposing of municipal assets, and an open budget process.

Component 3 activities are supported by the LGPA's small grants program funds. The small grant funds are used to overcome constraints to achieving project objectives at the municipal level, and to act as seed money to initiate activities key to spurring local economic development or improving municipal service delivery.

For more information regarding this component, please contact Laureta Memo, Civic & Private Sector Engagement Team Leader, lmemo@lgpa.al; 069 20 33 823.