Strengthening Municipal Governance through Performance-based Budget Allocation in Bangladesh

In Bangladesh, pourashavas are an alternative destination to large cities. With the influx of urban residents within the next decades, governments and development partners must lead pourashavas toward sound and balanced urban development.This publication details results from the Urban Governance and Infrastructure Improvement (Sector) Project which aimed to improve infrastructure of pourashavas (secondary towns) in urban transport, drainage, water supply, sanitation, municipal facilities, and solid waste management through a performance-based budget allocation strategy. The project strengthened the technical and financial capacity of pourashavas and raised awareness on the importance of paying taxes and tariffs. Citizen empowerment made decision making in pourashavas more participatory and inclusive, leading to more transparent and accountable town management.