Decentralisation and community driven management acquire special importance in the context of the ongoing process of globalisation and associated economic reforms, a recent study conducted by the United Nations Development Programme (UNDP) has said. The success of Decentralisation depends critically on the existence of a congenial macro policy framework that ensures the provision of livelihood security for the poor and the ingredients of a 'panchayat-friendly' macroeconomic and policy regime need to be identified.