Decentralization and Governance in Local Governments: Challenges for Efficient Resource Management Oriented to Regional Business Development

Decentralization has emerged as a strategic approach to governance to strengthen the autonomy and efficiency of local governments. This study explores the challenges faced by local administrations in the management of public resources under decentralized frameworks, especially in relation to regional business development. Using a mixed-methods approach, case studies from Latin America are analyzed to identify governance patterns, fiscal constraints, and innovative strategies. The results show that, although decentralization fosters closeness to citizens and agility in decision-making, it also highlights significant disparities in institutional capacities, financial resources, and accountability mechanisms. The findings contribute to the debate on public governance by proposing an integrative model of resource management aimed at strengthening regional economic ecosystems.