SEYCHELLES

Independent since 1976, Seychelles is a unitary republican democracy with a unicameral parliament. The president is the executive head of both the state and the government and is directly elected by universal suffrage for a five-year term. The president appoints a Cabinet of Ministers from among the citizens of Seychelles, with the approval of the Parliament. The unicameral parliament known as the National Assembly currently has 35 members. While 26 members are elected using the first-past-the-post system, up to 9 additional seats are allocated proportionately to all parties participating in the election, on a percentage basis. All members of the National Assembly, whether elected directly or indirectly, hold office for five years. The first multiparty presidential election was held in 1993 after the adoption of a new constitution. The latest presidential and parliamentary elections took place in October 2020.

In December 1991, the government enacted the Local Government Act (LGA) to decentralise government administration and establish a system of local democratic self-government. The LGA divided the archipelago into districts with elected district councils. Elections were held and each Council had a chairperson and five other councillors. The chairperson had the dual role of a legislator in the National Assembly and the executive in the district. However, further to the adoption of a new Constitution in 1993, the LGA of 1991 was repealed in 1994, and the district councils were replaced by district administration offices headed by district administrators responsible to the minister for local government. In the same year, local governments were established as a division of the Ministry of Local Government, Youth and Sports. The division became a department headed by a principal secretary in February 2003.

In 2009, Seychelles embarked on a Local Government Reform Programme aimed at introducing a new local government system. Since then, various actions have been taken to advance the decentralisation process. Two milestones are the new Local Government Act approved by the National Assembly in 2015 and the African Charter on the Values and Principles of Decentralisation, Local Governance and Local Development ratified by the National Assembly in 2019. The Local Government Act 2015 provides for the establishment of a district council in each district. However, on grounds of the costs associated with the election and operation of district councils, the executive has put the Local Government Act on hold in 2018. The African Charter on the Values and Principles of Decentralisation, Local Governance and Local Development aims to “promote the values and principles of decentralisation, local governance and local development in Africa as a means for improving the livelihood of all the people on the African continent”. It was adopted by the 23rd Ordinary Session of the African Union Assembly, held in Malabo (Equatorial Guinea) on 27June 2014.

A Seychelles Local Government Policy was drafted in 2020 but has not been approved yet by the Cabinet.

TERRITORIAL ORGANISATION
MUNICIPAL LEVEL	INTERMEDIATE LEVEL	REGIONAL LEVEL	TOTAL NUMBER OF SNGs (2021)
26 Districts
Average municipal size: 3 500 inh.
26			26

OVERALL DESCRIPTION: Seychelles, has only one level of local government, which is the district administration office (DAO). The DAO operates under the control of the principal secretary of the government ministry responsible for local government. District councils as provided for in the LGA 2015 are yet to be established.

Following the adoption of the LGA 2015, the National Assembly took the decision to introduce seven regional councils on a trial basis for a one year period. Councillors were nominated and an administrative framework was developed to guide the functions of the regional councils. An end-term evaluation conducted at the end of the period revealed a preference for district councils rather than regional councils and the experience was abandoned.

MUNICIPAL LEVEL: Seychelles is divided into 26 districts, 22 of which are located in the main island of Mahe. The districts have an average population of 3 500, with high disparities among districts. Eight districts make up Greater Victoria, the capital city. The district of La Digue, which forms part of the Inner Islands, is the smallest in the archipelago.

The level of development in terms of amenities and infrastructures also vary from one district to another, reflecting the type of socio economic activities predominant in a given district. Districts of Praslin, La Digue and Beau Vallon rely more on tourism development and related infrastructures, while agriculture and fisheries are predominant in the districts of Anse Boileau, Anse Royale, Baie Lazare, Takamaka and Bel Ombre. Districts in the vicinity of Victoria, like Plaisance, Mont Fleuri and St. Louis, remain essentially residential.

The central government provides guidelines and regulations, while ministries, departments and agencies provide the services and the district administration office facilitates the provision of public services at the community level. Statutory services provided are: youth, social, welfare, health, environment and housing.

Main responsibility sectors and sub-sectors
SECTORS AND SUB-SECTORS	Municipal level
1. General public services (administration)	Welfare assistance application by Agency for Social Protection; Social Services by Ministry of Family Affairs and Social Services; Inspection/Registration of Electoral Register by Electoral Commission; Employment Officer by Ministry of Employment and Civil Status; Counselling and animation programme by Seychelles National Youth Council
2. Public order and safety	Police stations
3. Economic affairs / transports
4. Environment protection
5. Housing and community amenities
6. Health	Health centres, hospitals
7. Culture & Recreation	Sports clubs
8. Education	Primary schools, secondary schools, universities
9. Social Welfare

Scope of fiscal data: Districts

Ministry of Local Government, Ministry of Finance

Availability of fiscal data: Low

Quality/reliability of fiscal data: Low

GENERAL INTRODUCTION: The districts are entirely dependent on the central government budget for their operation. An annual budget is allocated to them by the Ministry of Local Government to cover operational costs. They may also receive specific resources from the Ministry to fund community support activities and small-scale projects within their jurisdiction.

ⓘ No detailed data available for this country

EXPENDITURE: In 2020, the unweighted average recurrent expenditure per district was USD 32 200 PPP, or about USD 9 PPP/capita. Personnel expenditure is not included as they are processed and paid centrally. Districts have spent a total of about USD 7 million PPP, or about USD 70 PPP/capita, on community, sports and emergency activities, as well as small community investment projects in 2020. In total, district spending represented less than 0.1% of total public spending.

ⓘ No detailed data available for this country

ⓘ No detailed data available for this country

OVERALL DESCRIPTION: The current assignments for local governance are carried out through the budget allocation to the district administration offices, which are provided by the central government through the Ministry responsible for Local Government.

The district administration offices do not generate revenue through the collection of taxes. The very scarce own-source revenues they can generate come from renting out community facilities.

In 2020, the Ministry’s budget represented on average 1.6% of the national budget allocation and 0.8% of the GDP.

The 2020 annual district allocation ranged from a minimum of SCR 148 610 (~USD 20 000 PPP) to a maximum of SCR 324 680 (~USD 44 000 PPP) per district to cover basic operational expenses.

In 2020, on the other hand, the Ministry of Local Government mobilised a total budget of SCR 51.2 million (~USD 7 million PPP) in support of the districts under four main programmes: (i) SCR 10 million for community life programmes, (ii) SCR 30 million for small community or self-help projects, (iii) SCR 2 million as assistance to district sports teams, and (iv) SCR 9.2 million for minor district emergencies.

The amount of allocation for emergencies, programmes implementation and assistance to registered district sports clubs varies from district to district depending on the number of reported cases (minor emergencies), the requests made for programme development and the number of registered sports clubs per district.

ⓘ No detailed data available for this country

FISCAL RULES: Once the budgets have been allocated to the districts by the Ministry of Local Government, the district administration office exercises the right of control over the allocated budget.

TERRITORIAL MANAGEMENT OF THE CRISIS: In view of the global threat posed by COVID-19, the government of Seychelles established a national inter-sectoral disaster management working group that developed a Seychelles National Preparedness and Response Plan for COVID-19, in collaboration with the United Nations. The plan was launched in March 2020, ahead of the first declared case of COVID-19 on the island. The first pillar of the the plan consists of a set of emergency health measures including: (i) coordination, planning and monitoring of the response; (ii) risk communication and community engagement; (iii) surveillance, rapid response and case investigation; (iv) procedures at points of entry; (v) laboratory capacities; (vi) infection prevention and control; (vii) case management; and (viii) operational support and logistics.

Beyond this health component, the government further developed a multisectoral response including key priorities such as: (i) food security, to ensure sustenance during the crisis; (ii) wage retention and job security for employees in the private sector; (iii) social protection, to ensure the safety of the most vulnerable; (iv) increased security, to prevent the proliferation of crime during the economic downturn; (v) investments in infrastructure, to support economic growth; and (vi) investments in programmes and projects that improve the lives of all citizens.

A revised national budget for 2020 was adopted that addressed these priorities.

EMERGENCY MEASURES TO COPE WITH THE CRISIS AT THE DIFFERENT LEVELS OF GOVERNMENT: The pandemic has had a major direct impact on local communities, vulnerable people and low-income families. These impacts were mainly caused by the devaluation of the national currency against the US dollar, which led to a substantial rise in the cost of commodities. However, the government has intervened to some extent through social support programmes to minimise the impact. Some civil society organisations (CSOs) have also been very active in helping the ones in need.

The local governements were also pro-active in this response phase. Their main role was to coordinate the humanitarian aspect at the local level. The district administration offices have been coordinating programmes, liaising with agencies and ensuring proper mobilisation within the community.

IMPACTS OF THE CRISIS ON SUBNATIONAL GOVERNMENT FINANCE: The COVID-19 pandemic has had a significant impact on the economy. It has resulted in a contraction of 10.7% in real GDP and a record decline of 70% in tourist arrivals in 2020. This was a major blow to the economy, affecting key sectors notably tourism and fisheries. Seychelles, as a small island state, has had to adapt itself to the new realities, hence exercising control over available resources while ensuring the safety and welfare of its citizens.

ECONOMIC AND SOCIAL STIMULUS PLANS: The country has received financial support from several external partners to mitigate the social and economic effects of the pandemic and put it back on a growth trajectory. In addition to the support of the United Nations system in the design and implementation of its response plan, it has received support from the IMF (to address urgent balance of payments and budgetary needs), the World Bank (to strengthen social assistance programmes, offset losses of revenues among hard-hit private sector operators and lessen the tax burden for businesses), and the African Development Bank (1. for immediate emergency response and 2. to support recovery through the financing of the Seychelles Governance and Economic Reforms Support Programme). These three institutions provided loans to the country of USD 31.2 million, USD 15 million and USD 30 million respectively.