For over two decades, I have worked extensively on projects with the World Bank, USAID, and the State Department across the Middle East, serving as a project director and regional advisor. My journey within the international development sector has provided me with firsthand insights into the challenges and opportunities of implementing initiatives in the MENA region. This diverse experience—spanning the public sector and collaborations with private sector entities, NGOs, and donors—has shaped my deep understanding of the critical need for effective localization.
Today, I share these insights with Washington’s development and policy community through my role at my consulting firm, Jabi Consulting. With a proven track record of mobilizing efforts to localize development solutions—including forging partnerships with governments, the private sector, and international donors—I aim to support the ongoing push by current and future administrations to move beyond short-term programs and achieve sustainable, systemic impact across the MENA region.
This article draws on my extensive expertise to offer actionable recommendations for advancing localization efforts in the Middle East.
USAID’s Policy Framework (2023) articulates a vision for advancing sustainable and locally driven development, marking a shift from traditional programmatic aid to fostering resilience and reducing dependency on donors. While this agenda has been a priority for many within USAID over the years, it has often been presented under different strategies and frameworks. Localization—the practice of empowering local actors and systems to lead development efforts—has long been central to this vision. However, its application in the Middle East and North Africa (MENA) presents unique challenges and opportunities.
In the MENA region, localization is especially critical given the pressing need to address challenges such as conflict, displacement, food insecurity, civil wars, and democratic decline. At the same time, the overlapping priorities of national security, humanitarian aid, peacebuilding, stabilization, and long-term development create a complex environment for implementing USAID’s localization agenda. Despite USAID’s global commitment to increasing direct funding to local actors, which reached 9.6% of its total budget in 2023, the MENA region achieved only 3% of this targeted funding for the region. Moreover, direct funding to the region has steadily decreased since 2020. This disparity underscores the difficulties USAID faces in translating its localization goals into practice in the region.
The challenges to localization in MENA are multifaceted. Political instability and ongoing conflict make it difficult to establish the trust necessary for effective partnerships with local actors. Many local organizations in the region lack the institutional capacity to meet USAID’s stringent accountability requirements, and the complexity of USAID’s funding processes often proves overwhelming for smaller, under-resourced entities. Additionally, the historical reliance on international implementers has sidelined local actors, creating skepticism about their readiness to assume leadership roles in development projects.
Despite these obstacles, USAID missions in MENA are actively working to bridge these gaps. By mobilizing partnerships with private companies, non-governmental organizations, and multilateral institutions, USAID aims to expand its reach and foster systemic change. Development diplomacy is playing a key role in these efforts, as USAID leverages its resources and relationships to align global efforts, catalyze action, and advocate for meaningful reforms. However, the road to successful localization in MENA remains fraught with challenges that demand a nuanced and context-specific approach.
To enhance localization efforts in MENA, USAID must prioritize building the capacity of local organizations, streamlining its funding mechanisms, and fostering trust through sustained engagement and transparency. Investing in long-term capacity building can equip local actors with the tools they need to meet USAID’s operational and financial standards. Simplifying funding processes can help reduce the burden on smaller organizations, enabling them to focus on impactful work. Additionally, addressing systemic barriers to equity and prioritizing the inclusion of marginalized groups, such as women and youth, can create more equitable and sustainable development outcomes.
Localization in the Middle East is not merely a policy objective but a vital strategy for fostering resilient, independent local systems that can withstand crises and drive progress. USAID’s emphasis on context-specific, inclusive approaches reflects a commitment to lasting impact. While the challenges are significant, the potential for transformative change is even greater. With thoughtful adjustments to its project cycle and deeper engagement with local stakeholders, USAID can realize its localization agenda in MENA, empowering local actors to take ownership of their development journey and contributing to a legacy of resilience, equity, and sustainability in the region.
Why USAID Localization Efforts Struggle to Achieve Scale in the Middle East
1. USAID Project Cycle Constraints
The USAID project cycle, driven by the logical framework (logframe), evaluates success by ensuring taxpayer funds achieve intended outcomes. However, the logframe layers—inputs, outputs, outcomes, and long-term impacts—become less controllable as they progress. While inputs and outputs are achievable within project lifetimes, systemic changes at the outcome and impact levels require extended effort beyond typical project durations. This short-term focus hampers meaningful localization, as implementers prioritize immediate results over sustained systemic impact.
2. Corruption Challenges
Corruption remains a significant obstacle. Over the past decade, Arab states have stagnated in their rankings on Transparency International’s Corruption Perceptions Index (CPI). The region averages a score of 34/100, with severe cases in countries like Syria (13) and Yemen (16). Corruption undermines citizen trust and access to essential services, complicating localization efforts. Additionally, local actors frequently cite USAID’s stringent reporting requirements and administrative burden as barriers to participation, highlighting a cultural mismatch that takes years to bridge.
3. Co-creation Without Cost Sharing
USAID emphasizes cocreation, where local actors collaborate during project design and gradually work toward funding. However, many local organizations lack the financial resources to participate effectively. Without cost-sharing mechanisms that recognize their time and effort, cocreation becomes an unattainable goal for most, limiting the pool of local partners and perpetuating reliance on established international implementers.
4. Complex Regulatory Framework (FAR)
USAID’s regulatory and compliance framework is a product of decades of meticulous refinement. However, navigating these regulations demands significant effort and expertise. Local actors struggle to meet these requirements, often seeing them as insurmountable barriers. A solution lies in engaging diaspora professionals who understand both USAID regulations and local contexts. By offering FAR training and guidance in local languages, these dual-knowledge experts could significantly reduce barriers and save costs.
5. Cultural Perceptions of Time and Data
Time and data are perceived differently in the Middle East compared to USAID norms. While DC-based implementers work with rigid deadlines and extensive data for performance enhancement, local actors often operate with a more flexible approach. Education alone is insufficient; sustained engagement is needed to align these differing work cultures. A two-way exchange, where both sides learn from each other, could foster greater mutual understanding.
6. Data as a Tool, Not Just Auditing
In many Middle Eastern contexts, data is viewed primarily as a tool for financial audits or security purposes. Changing this perception to position data as a means of improving performance and learning requires a cultural shift. Missions in the region need to prioritize educating local actors on data’s broader value and embed data-driven practices into projects.
7. Conflict and Security Constraints
Local actors often face complex relationships with local militias, who control access to aid and resources in conflict-affected areas. These dynamics create challenges for localization efforts, as sustaining operations requires managing delicate negotiations with non-state actors. USAID must incorporate conflict-sensitive approaches and provide sustained support to help local actors navigate these realities while maintaining their autonomy.
Localization is not just about handing over responsibility; it requires addressing deep-seated systemic, cultural, and operational barriers. USAID’s localization efforts in the Middle East must adapt to these realities by extending project timelines, simplifying compliance, fostering partnerships, and investing in capacity-building for local actors. Only then can sustainable, locally led development become a reality.
Recommendations to Boost Localization in the Middle East
- Shift the Approach to Collaboration Instead of primarily educating local actors on how to work with USAID, focus on understanding how they operate, identifying what works for them, and finding common ground. Localization should prioritize adapting to local systems rather than enforcing a one-size-fits-all model.
- Expand the OTI Model for Conflict Settings The Office of Transition Initiatives (OTI) effectively supports local actors in conflict areas through small grants with mitigated risk. Develop similar models that scale this approach, offering larger grants while strengthening local capacity. This will enhance localization efforts, particularly in challenging contexts.
- Integrate Scale and Sustainability from the Start Embed scalability and sustainability into project design from the outset. Develop a standalone localization theory of change that operates alongside, but independently of, project-specific goals. This ensures localization is treated as a long-term strategy rather than an afterthought.