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Local Economic Development
Local Economic Development (LED) is a spatial approach that IED projects take to support income and employment opportunities in specific territories. This choice is motivated by the fact that the territories have distinct characteristics and that the place is relevant for economic development processes. LED integrates both economic and governance perspectives which are closely interlinked. Central actors in LED are: Government at all levels, in particular local government; Private Sector including employers, industry associations, etc; Civil Society. LED shares quite a few characteristics with the Market Systems Developoment (MSD) approach in terms of a systemic, multi-stakeholder perspective to economic development. The IED network together with the Democratisation, Decentralisation and Local Governance (DDLG) network prepared a stocktaking on LED providing an overview on the LED approach as well as case examples from SDC projects.
Working Aids
SDC
[2.4 MB]
The document brings together knowledge on Local Economic Development (LED) with current experiences of delivering LED within SDC. It aims to support design, implementation and steering of LED initiatives within SDC. After getting some initial understanding of what LED is this guidance will help you to deepen your understanding of the implications of LED for programme management within SDC’s Project Cycle Management (PCM).
SDC
[639 kB]
The summary paper of the e-discussion recognizes that there are important synergies between work in local economic development and in democratization, decentralization and local governance (DDLG). LED is a relevant approach for SDC as the approach integrates inclusive economic development and local governance, two priority topics for SDC. LED allows SDC to have a closer connection to an area and its local communities. LED is a way to empower people and include them in decision-making, which can reduce causes for conflicts.
[145 kB]
This paper presents the context and background of local economic development (LED). The paper defines LED, looks at the development policy context and operating environments and addresses how donors are responding within a rapidly changing global environment. The paper also summarises lessons learned and the arguments for and against undertaking strategically planned LED as operational approach for employment creation, improvements in governance processes and poverty reduction.
Case Studies
S4J
[5.4 MB]
This case study describes how "Skills for Jobs "(S4J) launched and developed an apprenticeship system that meets the requirements of the private sector and describes the results in terms of graduates being more employable. This case also highlights how the program developed an appropriate monitoring system and how the program assesses the impact of this intervention, while dealing with attribution in this challenging context. We hope that different programs and stakeholders will be inspired by the learning acquired in the S4J program, both in terms of designing and managing sustainable interventions in VET and in terms of the ways in which an appropriate Monitoring and Results Measurement system helps to manage interventions and report credible impact.
SDC, InovAgro
[456 kB]
Innovation for Agribusiness (InovAgro) is in the final year of implementation. Along three phases, spanning 10 years, the Project has facilitated the development of the agriculture markets by innovating, testing, and adapting market systems business models which increase the inclusion of, and benefit, to male and female smallholder farmers. The successful models are then scaled-up. This case study captures the experience of InovAgro’s work on creating a better enabling environment for the seed industry to increase its competitiveness for the benefit of SHF in Mozambique. As such its impact will extend beyond the project’s limited geographic area, reaching the entire country. The case study is based on a comprehensive review of project documentation, interviews with key stakeholders, and the author’s first-hand experience.
SDC
[459 kB]
This case study is part of a comparison of the M4P framework and the Sustainable Livelihood Approach. It reviews and positions the two dominant frameworks or approaches with each other and describes a possible series of steps to further examine each with a view to enhancing them as frameworks for analysis and action.
Springfield Centre
[183 kB]
This case study is one of a series exploring the application of the M4P approach to different fields of private sector development. A consideration of business environment issues features prominently in M4P approaches, where an understanding of how the “rules of the game” influence whether market are pro-poor or not is the starting point for intervention, .it draws on a range of small-scale or pilot activities to improve the business environment in Indonesia and Russia.
Katalyst
[283 kB]
This case study is part of a series of case studies which illustrate the potential of the market development approach and the challenges faced in its implementation. This case study looks at a variety of market development interventions undertaken by Katalyst in Maize, its impact on market actors, their business models and the maize farmers. Katalyst and Winrock International had a partnership whereby Winrock’s knowhow on maize was combined with Katalyst’s market development approach. Issues related to such partnerships are also brought up in this case.
Relevant News
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17 Oct 2022
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09 Feb 2022
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13 Sep 2021
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09 Mar 2021
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11 Mar 2020
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29 May 2017
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18 May 2017
17 October 2022
You can now find the new MSD tool library on BEAM Exchange's website. The library offers: - Easy access for MSD practitioners at all levels of expertise
It provides an entry point for individuals who are new to the MSD approach. It amplifies useful tools and facilitates dialogue by sharing contact details of tool authors. - Tool classification and categorisation
It helps users find the tool they need quickly using filters that search by tool type, theme and programme area. - Regular updates including the latest innovations
The library will be kept up to date through stocktaking and curation, approximately every two years.
09 February 2022
Practical Insights on Local Economic Development organized by SDC’s Inclusive Economic Development (IED), and Democratisation, Decentralisation and Local Governance (DDLG) Networks. Content: Presentation of the new SDC guidelines on developing local economic development programmes and more .... go to event
13 September 2021
The Innovation for Agribusiness (InovAgro) Project is in its final year of implementation (extended one year due to the COVID-19 pandemic). Along three phases, spanning 11 years, the Project has facilitated the development of the agriculture markets by innovating, testing, and adapting market systems business models which increase the inclusion of, and benefit to, female and male smallholder farmers (SHF) in 11 districts in the three provinces of Northern Mozambique. This case study captures the experience of InovAgro’s work in promoting a more efficient and transparent system of agricultural output marketing. InovAgro’s output marketing vision is: to create deep, viable and sustainable output marketing channels that give opportunities for SHFs to sell their produce and increase their household income.
>> short version (4 pages) >> Case study (24 pages)
09 March 2021
Members of the Associação Verde In Nampula Province, climate change and water scarcity are a challenge for farmers, especially for the ''Associação Verde’’, a women's association in Monapo that produces vegetables and seedlings in trays, for sale in the local market to guarantee the livelihood of their families. Using accessible irrigation solutions, the Horti-Sempre project, implemented by Swisscontact and financed by SDC, promoted the installation of a mixed gravity and drip irrigation systems to the association´s plots. The system adhered by the “Associação Verde” will allow maximizing production at all seasons of the year and reducing the effort to keep its crops irrigated. The irrigation project was budgeted at CHF 5 780 and the ‘’Associação Verde’’ contributed 42% of the total cost. With this system, the association will be able to use the greenhouse to its full capacity and produce between 20,000 to 22,000 seedlings per month, as well as its own and the association's fields. Association member and technician present the misting irrigation system to the district Administrator Irrigation field dayThe launching of this system took place during the irrigation field day in Nacololo community, where 8 different types of irrigation systems and practical solutions were presented. Among the systems presented were pressurised systems such as drip, micro-spray, misting, santeno and laser-jet spray; also, on display were different types of pumps (solar electric pumps, fuel-powered motor pumps, and hand and pedal pumps), used for gravity irrigation, as the lay-flat or irrigation by furrows and ridges. Most of the different irrigation technologies and solutions on display were new to most participants.
11 March 2020
A regional Training on Local Economic Development (LED) was organized in Pristina in November 2019 for NPOs in WBA, Eurad and HQ participants, by the WBA Advisor on E+I. The objectives of the regional Training on LED was to get an idea about what the methodological approach to LED could be for the WBA region, to identify issues related to LED and of interest to WBA and to discuss specificities that need to be taken into account when identifying a new intervention. It also paid special attention to the ongoing research question of better linking linking local economic development and local governance processes. >> more
29 May 2017
Increasing use of market systems approaches in international development has led to a growing demand for skilled practitioners and high-performing teams. However, the current system of training and building capacity falls short of meeting the needs of programmes. This constraint threatens to undermine the effectiveness and credibility of the approach. This paper is structured into three main parts: (i) the problem and the context; (ii) an analysis of possible solutions and (iii) recommendations. Find this policy brief of the BEAM Exchange here.
18 May 2017
Technology innovation can be a great enabler for development in low and middle-income countries. This course presents a methodology and an approach to develop impactful innovations that have the power to foster sustainable development. This course is not just about coming up with a nice idea, or designing a nice prototype, but more importantly, about sustainably deploying it at large scale.It fosters an entrepreneurial approach, as you will learn how to design business models that are relevant to address development-related challenges. It encourages co-creating the solution with the key stakeholders involved, including the affected populations. Whether you are from an industrialized or a developing country, whether you are employed in a company, an NGO, an international organization or a government. Whether you are an academic, an independent entrepreneur, or simply a passionate individual, this course is for you. You will learn how, as an innovator, you can help solve important issues that burden those living in poverty. For more information, click here or watch the video teaser.
Relevant Events
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03 Jul 2023
Hotel Grenzfall, Berlin, Germany
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01 Jan 2022
03 Jul 2023 in Hotel Grenzfall, Berlin, Germany
03 July to 11 July 2023
03 July to 11 July 2023
in Hotel Grenzfall, Berlin, Germany
03 July in Hotel Grenzfall, Berlin, Germany
The Summer Academy is a five-day residential international event on economic development. - At the Summer Academy, participants are introduced to Mesopartner’s approach to Local Economic Development (LED), which brings together experiences and instruments from Local and Regional Economic Development (LRED), Bottom-Up Industrial Policy, Innovation Systems, Complexity Thinking and Market System Development.
- Due to Mesopartner's diverse work globally, participants will benefit from different perspectives from the trainers and the international participants offer unique exposure to multi-cultural perspectives and experience in development economics.
- The Mesopartner Summer Academy will deepen your understanding of systemic economic change processes and enable you to better guide your organisation or project to shape that process.
- Learn how to offer the knowledge that local actors need to address the challenge of innovation and change in a systemic and complexity-sensitive way.
- Learn how to use innovative tools based on local and regional economic development, cluster and value chain promotion, market systems development, strengthening of local innovation systems and related topics.
- Learn how to facilitate development processes and give policy advice.
Learn more and also read what others say about the Summer Academy.
01 Jan 2022
01 January to 31 December 2022
01 January to 31 December 2022
01 January
The training of Mesopartner will help you to deepen your understanding of LED and connected systemic change processes and enable you to better guide your organisation or project to shape these processes. It targets professionals who have already collected some experience in designing, implementing and facilitating economic development processes and building team capacity. >> more
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