Community-driven development (CDD) is a development initiative that provides control of the development process, resources and decision making authority directly to groups in the community. The underlying assumption of CDD projects are that communities are the best judges of how their lives and livelihoods can be improved and, if provided with adequate resources and information, they can organize themselves to provide for their immediate needs. CDD projects work by providing poor communities with direct funding for development with the communities then deciding how to spend the money. Lastly, the community plans and builds the project and takes responsibility for monitoring its progress.
CDD programmes are motivated by their trust in people (Naidoo and Finn, 2001) and hence it advocates people changing their own environment as a powerful force for development.
By treating poor people as assets and partners in the development process, studies have shown that CDD is responsive to local demands, inclusive, and more cost-effective compared to centrally-led NGO-based programmes. CDD can also be supported by strengthening and financing community groups, facilitating community access to information, and promoting an enabling environment through policy and institutional reform (Dongier, 2002).
Following from this description, field practitioners at the World Bank have denoted five key characteristics of CDD projects.
Community-driven development is derived from community-based development (CBD) which can include a much broader range of projects. For example, CBD projects can include everything from simple information sharing to social, economic and political empowerment of community groups. However, CDD projects fit on the empowerment end of CBD by actively engaging beneficiaries in the design, management and implementation of projects. The stress on actual control of decision-making and project resources at nearly all stages of a subproject cycle distinguishes CDD from the previous generation of CBD projects. In this continuum of community participation covered by CBD, new-generation CDD projects are located at the extreme right (Tanaka, 2006).