Revitalizing Local Government Performance Management: Further Dissecting the Role of Socioeconomic Status and Social Mobilization Policy

ABSTRACT

This article examines how socio-economic status and social mobilisation are linked to local government performance management in Nepal. As part of local government reform, Nepal adopted a social mobilisation policy in selected local governments to empower communities for their effective participation. Our results show that socio-economic status and social mobilisation have a significant relationship with performance management. Female literacy, for example, is strongly and significantly associated with performance management, while area has a significant positive relationship but population has only a weak positive relationship. In contrast, poverty has a significant negative correlation. More importantly, mobilisation has a significant, though modest, positive association with performance management particularly in participatory planning and budgeting, fiscal discipline, and administrative management. This indicates that improving the socio-economic status of citizens and their mobilisation for empowered collective action can be one important strategy to improve the performance capacity of local government.