22 JOHAN POST
outset that global processes such as the promotion of privatisation policies produce
different outcomes in different settings (Post et al., 2001). The case material presented
in subsequent chapters emphasises this clearly. In actual fact policies and interven-
tions are strongly influenced by local networks of political and social relations. They
shape both the form the privatisation exercise takes and the socio-economic and envi-
ronmental impacts. The reason why substantial attention will be given to the policy
context, both in this chapter and the next ones, is that it helps to understand the diver-
sity of experiences across Africa, Asia and Latin America.
2.2. URBAN DEVELOPMENT IN AN ERA OF REFORM
The re-awakening of the neo-liberal paradigm in response to global economic crisis in
the late 1970s and early 1980s also evoked a reorientation of ideas on urban develop-
ment in the developing world. Under the auspices of the World Bank in particular the
emphasis shifted to the economically productive role of cities and to the state as a
facilitator or enabler of action by citizens, private firms and NGOs. Cities were once
again seen as engines of growth, and the major challenge was to get things organised
in accordance with free market principles. Urban management became the watchword
and was primarily conceived as arranging for an appropriate division of roles and
responsibilities between public and private (both commercial and social) actors, e.g.
in which each of them would do what they are (supposed to be) best at (Safier, 1992)^1.
Although governments in the developing world have not always committed them-
selves formally to the new convention, most of them did accept the neo-liberal reform
policies that constitute the basis of the urban management approach. Developing
countries have been strongly advised, not to say pressed (through structural adjust-
ment programmes and aid conditionality), to embark on policies to reduce the size of
their civil services, to decentralise administrative power, to increase popular partici-
pation, and to make their administrations more efficient, transparent and accountable.
In many instances these outside pressures were reinforced by local challenges to the
prevailing authoritarian and centralist system. The growing inability of many states in
Africa, Asia and Latin America in the 1980s to perform a socially relevant function
for their citizens seriously undermined their legitimacy. By embarking on policies of
decentralisation, democratisation and participation governments have tried to regain
part of this legitimacy.
- The promotion of enablement can be seen as a somewhat belated attempt to bring earlier ideas on
self-help housing, community based settlement upgrading, and informal sector promotion to its logical
conclusion. The entire structure of institutions, rules, working methods and attitudes must be geared
towards working with these ideas. Furthermore, democratic and participatory government structures
need to be put in place to ensure effective enablement (Post, 1997; Hardoy et al., 2001).