THE POLITICAL-PROCESS OF DECENTRALIZATION IN PERU, 1985-1990

This paper, using Peru as a case study, argues that the most potent factor in the implementation of decentralization in developing countries is 'political' in nature and operation. The legislative process of decentralization under President Alan Garcia's regime went through three major steps, controlled by his party, APRA (Alianza Popular Revolucionaria Americana,): (1) The 1986 Bill of the Basic Law of Regionalization; (2) The 1987 Basic Law of Regionalization; and (3) The 1988 Modified Law of Regionalization. Why did Alan Garcia push for decentralization, unlike his predecessors? The 1985 elections produced Garcia, a populist demagogue, and a loose political party system dominated by APRA. However, the legislation of decentralization was possible paradoxically because Garcia, who was desperately looking for a political issue to distract people's minds from his misgovernment, needed to control APRA for a regional power base after 1990. Thus, the whole decentralization process was highly politicized, and Garcia's strategy was 'successful' in that regional governments came to be controlled by APRA after the 1989 and 1990 regional elections. The Peruvian case shows how far decentralization can be used for personalistic or partisan interests in a fragile democracy.