Counterbalancing the Development Territorial Disparities in the Implementation of the Community-Led Local Development EU Approach in Romania

Abstract

LEADER is a rural development method based on a participative approach, which was tailored in 1991 as a complement to the traditional common agricultural policy (CAP) measures. One of its most important objectives is to reduce the differences between rural and urban areas by building on local knowledge and potential. The aim of the present paper is to identify what are the most important characteristics of the LAGs that can counterbalance the existing economic disparities in the rural regions. The research was conducted in the northwest development region of Romania (2014–2020 programming period), using the principal component analysis and the hierarchical cluster analysis. Two types of data were collected: indicators of performance, such as the number of projects contracted and jobs created, were used to assess the success of the method, while the territorial and LAG characteristics were used to explain these results. The findings confirm the presence of an unequal distribution of LEADER support in favor of the most urbanized and developed areas. However, the results also show that the experience and economic and administrative capacity of LAGs could help counterbalance the influence of the territorial features previously mentioned, and therefore to reduce the gap between them and the more developed groups.