Local Funds have been used to pursue a wide range of development objectives, the common element being a competitive grant-giving process to support CSOs. CARE has been involved in managing several programmes, which shared a more specific focus on a range of goals around governance, civil society and rights.

This study emerged from earlier engagement and debates within CARE about a range of competitive funding mechanisms for CSOs and from workshops in 2002 and 2005, the latter building on experiences obtained during an exchange visit to Bangladesh in 2004 held by staff from CARE’s three programmes in Bangladesh, Tanzania and Zambia.

This is not a detailed report of the process and outcomes but instead an attempt to present a synthesis of learning, highlighting:

1. what we set out to learn and why
2. what we did learn
3. obstacles encountered

It looks at the make-up of Local Funds in general, three case studies on the programmes noted above, and findings/recommendations arising from these in terms of strategic objectives for future set-up of Local Funds. We hope that it will be of use to a wide range of development actors, those involved in design, funding and implementation of similar programmes, and those involved in civil society and governance programming more generally.