From institutions to action: Strengthening implementation capacity and development creation at the local level

The session was co-chaired by Assoc. Prof. Dr. Luong Thanh Cuong, Vice President of the Academy of Public Administration and Governance (APAG), and Assoc. Prof. Dr. Sirisak Laochankham, Dean of the College of Public Affairs and Policy (COPA), Khon Kaen University, Thailand.

The session focused on clarifying the key conditions for translating policies, strategic orientations, and institutional reforms into tangible development outcomes; sharing international experience in strengthening local leadership and implementation governance; and discussing in depth solutions to promote development-oriented local governments as Viet Nam advances system transformation and implements its two-tier local government model.

Viet Nam’s two-tier local government model

In his presentation, entitled “The Two-tier local government and the imperative to strengthen implementation capacity and development creation in Viet Nam,” Dr. Tran Anh Tuan affirmed that the two-tier local government model represents a breakthrough reform aimed at streamlining the administrative apparatus, eliminating intermediate administrative levels, and shifting from traditional administrative management towards development-oriented governance, with citizen satisfaction as the key measure of performance. At the heart of this model is the comprehensive strengthening of decentralization and delegation of authority, guided by the principle that “local matters should be decided, implemented, and accounted for by local authorities.” This requires the Government to shift from “rowing” to “steering,” thereby creating an enabling ecosystem for development.

To ensure the effective operation of this model, Dr. Tran Anh Tuan emphasized the need to strengthen local governments’ implementation capacity and ability to enable development through five core capability areas: institutional capacity; governance and management capacity; civil service and talent management capacity; resource capacity; and digital transformation capacity. Among these, governance and management capacity plays a decisive role; mobilizing and expanding resources is a prerequisite, while digital transformation serves as a breakthrough tool for optimizing operational efficiency.

He also proposed that the Government focus on strategic analysis and policymaking rather than performing tasks on behalf of local authorities. Meanwhile, People's Councils at all levels should reform their oversight practices to become effective institutions for controlling the exercise of power and enabling development. These efforts should be closely linked to a position-based civil service system to attract and make effective use of talented individuals in service of the country.

Lessons from 30 Years of Decentralization and Devolution in the Philippines

Prof. Dr. Alex Brillantes Jr. shared insights drawn from three decades of implementing the Philippines’ Local Government Code, covering the period from 1991 to 2021, and broadened the discussion through comparative perspectives from across ASEAN.

He noted that decentralization in the Philippines has delivered significant achievements while also facing persistent limitations. The Local Government Code of 1991 created a more enabling policy environment that strengthened leadership capacity, encouraged civil society participation, and fostered outstanding local governance models, exemplified by Valenzuela, Quezon, and Ormoc. Nevertheless, the system continues to face challenges, including insufficient coordination between central and local government agencies, institutional fragmentation, shortcomings in fiscal allocation, and uneven implementation capacity.

Meanwhile, ASEAN countries have adopted different approaches to decentralization. Indonesia has implemented a far-reaching decentralization model often referred to as the “Big Bang”; Cambodia combines deconcentration with delegation of authority; while Thailand retains a dominant role for deconcentrated central government agencies.

Drawing on these experiences, Prof. Dr. Alex Brillantes proposed a governance reform framework aligned with the United Nations principles of the “5Es and A”: Economy, Efficiency, Effectiveness, Equity, Ethics, and Accountability. The framework seeks to advance the Philippines’ national vision, AmBisyon Natin 2040, and the Sustainable Development Goals (SDGs). Policy implications include clarifying the functions and responsibilities of different levels of government; strengthening performance-based fiscal transfers; enhancing institutional capacity at both central and local levels; and considering federalism as a strategic option for reinforcing local autonomy.

Development-enabling government: From governance capacity to development results

Representing Chandler Governance Group, Mr. Heng Whoo Kiat delivered a presentation entitled “Development-enabling government: From governance capacity to development results.” He emphasized the importance of changing the mindset underlying public administration. Rather than measuring the extent of government intervention, a development-oriented government should focus on effective implementation capacity to sustain economic growth. This fundamental relationship was illustrated through the Regional Government Success Scorecard (RGSS), a tool applied in Indonesia. Evidence from its application showed that local governments able to optimize their institutional structures, financial resources, and operational processes could achieve significant improvements in investment attraction, social welfare provision, and residents’ quality of life.

According to Mr. Heng Whoo Kiat, translating governance potential into tangible development outcomes requires public authorities to focus on redesigning implementation processes. This can be achieved by reducing administrative procedures, accelerating the integration of digital platforms, and improving the quality of frontline public services. Successful examples include Singapore’s ServiceSG integrated service centres and Malaysia’s fast-tracking of industrial approval mechanisms. In particular, amid rapidly changing global conditions, governments cannot limit their efforts to optimizing current operations. They must also build future-readiness around three pillars: (1) anticipation, through horizon scanning and proactive risk prevention; (2) adaptability, through continuous learning; and (3) agility, through piloting new policies and experimenting with innovative approaches, including regulatory sandboxes.

These orientations and solutions are brought together systematically in the MADE framework, which comprises four progressive steps: Map & understand — clarify roles and institutional arrangements; Assess & learn — evaluate and measure capacity and risks; Act & Deliver — take decisive action to deliver results; and Evolve & adapt — continuously adapt and develop. This framework provides a structured pathway for the public sector to continuously improve and reinforce its role as a solid foundation for the country's sustainable development.

Thailand experiences with decentralization and devolutions

Sharing Thailand’s experience in decentralization and devolution, the two experts examined the country’s flexible approaches to distributing authority and administrative responsibilities. They outlined the shift in public administration from a centralized, top-down model towards a governance approach that places citizens at the centre. Greater decentralization plays a crucial role in bringing local authorities closer to citizens, thereby strengthening accountability, enhancing transparency, and improving the ability to respond flexibly to practical crises, including natural disasters and disease outbreaks. The effectiveness of this approach is illustrated by Khon Kaen, where local authorities have used digital platforms to broaden community participation and promoted a multi-stakeholder partnership model known as PPPE, creating opportunities for local development initiatives.

However, decentralization continues to face significant systemic barriers. Pressures towards the recentralization of power, limited fiscal autonomy as local revenue falls short of targets, and stringent inspection and auditing mechanisms have fostered risk aversion and weakened the willingness of local leaders to innovate. To address these bottlenecks and sustain effective governance, the presentations proposed a comprehensive set of measures, including restructuring the administrative apparatus to optimize resources, expanding fiscal autonomy, accelerating digital transformation in public services, and, in particular, establishing policy sandboxes to protect and encourage grassroots innovation.

Development-enabling governance in in Yala, Thailand

From a practical perspective, Mayor Pongsak Yingchoncharoen shared lessons from Yala’s urban governance model in his presentation, “Local governments create development: ASEAN experience and reference value for Viet Nam.” His presentation highlighted the proactive and decisive role of local governments in addressing modern urban challenges, ranging from disaster risk management to climate change response.

Experience in Yala demonstrates that local development capacity is closely linked to the ability to foster innovation and digital transformation. Through technology innovation competitions such as the “Yala Smart Disaster Solution Hackathon,” the city government has mobilized community knowledge to develop smart disaster prevention solutions and improve emergency response. At the same time, Yala has focused on developing green infrastructure and promoting clean-energy public transport, including the establishment of electric vehicle charging stations, while continuing to improve residents’ quality of life.

Beyond infrastructure and technology, Yala has leveraged its local strengths to promote sustainable economic development. The city government has proactively built a brand for local agricultural specialties, such as Yala durian, organized agricultural market networks through initiatives such as Yala Market, and developed major cultural and sporting events, including the Yala Marathon, to attract tourists and promote the city’s image. The Yala model demonstrates that local governments can become key drivers of development when they effectively combine smart technologies, the green transition, and the economic and cultural strengths of their local communities.

In his concluding remarks on Plenary Session 2, Assoc. Prof. Dr. Luong Thanh Cuong valued the insightful and comprehensive contributions made by domestic and international scholars and public managers. The discussions clearly demonstrated that, to translate institutions into action, local governments need to focus on removing procedural bottlenecks, improving the quality of human resources, and proactively accelerating the application of digital technologies. Furthermore, the rich practical experiences of the Philippines, Thailand, and other ASEAN countries provide valuable references for Viet Nam as it continues to refine its two-tier local government model, thereby strengthening implementation effectiveness and its capacity to enable sustainable development in the new era.