Enabling Factors for Better Multiplier Effects of the LEADER Programme: Lessons from Romania

• Main Authors: Alexandru Olar, Mugurel I. Jitea
• Format: Article
• Language: English
• Published: MDPI AG 2021-05-01
• Series: Sustainability
• Subjects: strategy; community-led local development; innovation; cooperation
• Online Access: https://www.mdpi.com/2071-1050/13/9/5184

LEADER is an EU development method that aims to stimulate local actors to cooperate and co-produce ideas and projects that otherwise would not be possible. Therefore, the Local Action Groups (LAGs) should not only focus on implementing the Local Development Strategies but also to actively contribute to the development of their territory. The aim of the present paper is to underline the most important tangible indirect multiplier effects produced by the LAGs in Romania in the 2014–2020 Programming Period and to identify the enabling characteristics and conditions for maximizing such effects in future LEADER actions. The study was conducted using the structured interview as a primary method for collecting data. The results were analyzed using the Principal Component Analysis and Hierarchical Cluster Analysis. The most important multiplier effects were the amount of non-LEADER grants that LAGs managed to attract and the innovation level of the projects supported from LEADER funding. The results show that the performance of LAGs is linked to the size of their team, their experience, and the involvement of their partners. However, not all LAGs managed to generate significant multiplier effects, suggesting that they still lack the experience necessary to successfully implement the method in their territories.