We are pleased to present to you high-quality analytical material from U-LEAD expert Janez Sustersic.
This policy paper discusses the challenges of the regional development policy within the context of post-war reconstruction and recovery efforts. The process of reconstruction, recovery and modernization presents the regional development policy with three important challenges:
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integrating the regional development dimension into the restoration process,
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designing effective instruments for empowering and supporting regionally and locally driven development initiatives,
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strengthening the horizontal coordination of the RDP with sectoral policies implemented at the state level.
The main message of the policy paper is that the state regional policy should gradually embrace the principles and practices of a place-sensitive approach, following good practices of some EU member states. The place-sensitive approach to regional development policy combines three basic principles:
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differentiation between regions based on similarities and divergencies in their economic, social and resource structure and key development constraints;
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coordination that combines both the top-down and the bottom-up approach to identify regions' potentials and design projects and policy initiatives;
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integrated (multi-dimensional) approach to development interventions in a region, as opposed to poorly coordinated sectoral approaches.
From this aspect, the paper has analysed the current system of planning and coordination for recovery in Ukraine as well as the broader medium-term challenges of vertical and horizontal coordination of the regional development policy. Recommendations are summarized in the paper, too.