A Study On Financial Management Of WB Project From The Perspective Of The Polycentric Governance Theory

The Polycentric Governance theory is the inheritance and development of the Governance Theory,and it has practical guiding significance for the management of national and international affairs.The world bank is the earliest practitioner of the Governance Theory and has rich experience in governance.The CN-Sustainable Development in Poor Rural Areas is an attempt that the WB empower the communities in the poverty alleviation.The financial management of the project fully reflects the Polycentric Governance Theory,including the organization structuring of the financial management,the division of responsibilities and the cooperation between the multi-organization.This paper analysis the effect of the financial management in the process of the polycentric governance,including the financial and economic effect,the effect of the poverty alleviation,and other social effect.In addition,the paper finds out the problem:the lack of the experience about the polycentric governance,the weak consciousness of public administration in the communities,and the crisis of confidence between the multi-organization.Finally,from the perspective of the Polycentric Governance,the paper summarizes the inspiration and experience on the Chinese social governance and project management.In term of the WB project,there are a lot of researches about the performances of the project management in the previous researches,but there is little researches on the financial management,which is the smaller module in the process of the project management.In addition,since the Polycentric Governance Theory(PGT)was introduced into China there has been a history of more than 20 years.And combining with the Polycentric Governance Theory,the domestic scholars research the problems focusing on the field of the society,education,environment governance and so on.In this paper,the case study,to a certain extent,belongs to the category of social governance,but at the same time,it is not only limited to the domestic social governance,because it is the development assistance project of international non-governmental organizations(Word Bank).Based on this,this paper analyses and summarizes the experiences taking the CN-Sustainable Development in Poor Rural Areas as the case,providing a reference for not only the Chinese domestic social governance but also the performance in the international affairs.The project of CN-Sustainable Development in Poor Rural Areas was started by the world bank in 2010 and closed in 2015.The project was implemented in 25 poor villages in Shanxi,Chongqing and Henan provinces.Its management model is the "Community driven Development" and the "Participatory approach",in which the villages and the villagers are empowered in the financial management of the whole project,that is,the Word Bank and the Chinese government empowered the rights of allocating the resources and using the project funds to the grass-roots communities.The financial management organization of the project consists of five-levels project management offices,including province-level,city-level,county-level,township-level,and village-level.This paper expounds the organization structuring,the division of the responsibilities and the cooperation mechanism among the five-levels organization in the project areas.And analyzes some aspects of the effects in the financial management,including the economic benefits,poverty alleviation effect,and the enhancement of the institutional management capability.In terms of the economic effect,profiting from the"CDD" and "Participatory approach" the cost of project was reduced by a wide margin,the lives and income level was improved substantially,and the communities acquire the ability of the sustainable development.The poverty alleviation effect is also significant,the poverty rate is cut by 52.8 to 29.5 per cent.In terms of the community management,not only the ability of self-governance,but also the ability of cooperation among the government and the social organization is enhanced greatly.But the problem is also found in the financial management,and in some project areas,concerning about the safety of the funds,the government organizations don’t empower the rights of using the funds to the communities completely,so the effect of the model of the CDD in the process of financial management is diluting.Based on the above analysis and the results,the paper finally summarizes the experience not only about the social governance but also the participatory in the international affairs for China.For achieve the better effect of domestic social governance,the government and social communities should understand the essence of the multi-center governance,dealing with the relationship between the government and the society.The society should improve the construction of the organization and the relevant system arrangement reasonably.And the public should cultivate the public spirit of participating to the social public affairs.China is now the world powers,especially in recent years,because of the establishment of Asian Infrastructure Investment Bank and the "One Belt and One Road",China will be more involved in international affairs.For example,as an international non-government organization,the AIIB will be involved in many international projects.how to manage the huge project funds is an important thing to the international non-government.So the successful experience of the world bank is worth learning.Based on the specific projects in the target country,not based on the government,the international non-government should develop the most appropriate management measures and decentralize the rights of government,to achieve "good-governance" effect among multi-center management organizations.