WB definition of Governance

  • method through which decisions are made and authority in country is exercised
  • method through which power is exercised in mgmt of country’s economic, social, human and geographic resources for development
  • exercise of political, economic and administrative authority to manage a country’s activities at all levels
  • governance comprises institutions and processes through which citizens articulate their rights, meet obligations and mediate differences

Need for governance

  • entropy
  • sustain society
  • weaker section interest
  • welfare
  • strict implementation of rule of law in both letter and spirit
  • ensure constitution

Administrative meaning

  • latin: ad+ministrate
  • expected to serve interest of organizations
  • public orgs: eg civil services, they’re expected to maximize welfare of people, which is objective of government in public orgs
  • governance is neutral term - only process of making decisions and implementing
    • can be bad too

Bad governance

  • weaknesses in decision making or implementation
  • absolute monopoly of state over resource allocation
  • high secrecy in decision making, implementation
  • corruption
  • misuse/abuse of power
  • nepotism, favoritism
  • prejudices
  • absence of citizen participation in decision making, implementation
  • centralization of power
  • absence of rule of law
  • complete absence of accountability mechanisms within administrations
  • failure of regulatory authorities to prevent emergence of monopolies
  • inability to resolve conflict w/o resorting to violence

Good governance

Background

  • post WWII: decolonization
  • multilateral institutions (WB, IMF) provided financial assistance to poorer countries
  • due to bad governance, failure to repay debt from member countries
  • Washington Consensus: conditions to provide fresh financial assistance
  • 1992: WB introduced Good Governance as part of loan and aid conditions
    • focus on reforming functioning of political & administrative systems of member countries
  • later, UN developed UNDP

8 features of Good Governance

  1. Transparency (eg RTI)
  2. Accountability (RTI, eGovernance)
  3. Participation (Citizen charter, Gram Sabha, eGovernance)
  4. Consensus oriented (GST)
  5. Rule of Law
  6. Economy & Efficiency (PM Gati Shakti)
  7. Inclusiveness & Equity
  8. Responsiveness (PMGKAY during Covid)