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Good Governance Reforms


The critical challenge to keep India's growth story intact is providing good governance.There may be several challenges to acceleration of growth and identification of these areas and drawing up plans to address them is relatively an easy part.But what is infinitely more difficult is the translation of those policies into action,where the criticality of good governance steps in.It is the quality of governance that separates success and failure in economic development.
Besides other evils,corruption and its proliferation are byproducts of no governance and bad governance.Our governance record in poverty alleviation programmes,development of tribal and backward areas,public distribution system,has been disastrous,which has led to various internal disturbances,public agony and mistrust in the system.With 17% of the worlds population,India accounts for less than 2% of global GDP and 1% of world trade.Hence,we currently stand at the threshold of a unique opportunity regarding governance and public management reform.
the following are key areas in governance:
Governance by the government
Corporate governance
Electoral reforms
Compliance in democracy

GOVERNANCE BY THE GOVERNMENT

We have a reasonably vibrant democracy and a civil society,which enables the procedural aspects of democratic governance to be largely sustainable.However,the substantiative aspect is mostly elusive,with public institutions being inaccessible to a large section of the populace.
Despite a promising institutional context,Indias structures of governance have remained ineffectual in fulfilling the basic needs of her citizens.The biggest danger for the country comes when the governance by the government shows signs of crumbling.
 following are key issues:
·         Administrative reforms to ensure that a transparent structure is in place for good governance
·         Decentralization of power with accountability
·         Cutting down the various strata of approval process in our present bureaucratic set up
·         Optimizing the flowchart of file movement for fast decision making and minimizing corruption
·         An effective Lokpal
·         Proper use of technology to expedite decision making and to reach the last mile with the benefits of governance by the government.

CORPORATE GOVERNANCE

A firm commitment and adoption of ethical practices by an organization across its entire value chain and in all of its dealings with its wide range of stakeholders is what good corporate governance is all about.This can be achieved by readily embracing certain checks and balances.In light of the recent events in India,which have put the spotlight on corporate governance practices of Indian companies
There is a need for any regulatory changes
corporate governance has been reduced to well draft reports on paper
the time has arrived to vet companies on corporate ethics rather than corporate governance

ELECTORAL REFORMS

The central problem of democracy is how we manage our elections in our present political system.
Over the years,the way democracy has been maligned due to the manner it has been practised by several practitioners and political parties.Corruption of unthinkable proportions has crept in into political parties and elections.The issues of imminent importance include:
·         Transparent financial accounts of political parties
·         Transparent funding of elections
·         Political funding only in white and the information should be made public by the receiver and the donor
·         Election spending limit to be increased to rational levels to encourage political parties to disclose
·         Flexible limit of election spending depending on the constituency
·         Right to reject and right to recall need a thorough debate before arriving at a final conclusion.



COMPLIANCE IN OUR DEMOCRACY
IS IT TRUST-BASED OR ENFORCED ?

A functional democracy requires that the law of the land be complied with.On the other hand,the laws need to be such that they are compliable by the majority of the citizens.Trust is a valuable social asset that forms the basis of democracy.It is true that while taxes are the price we pay for civilization - civilization cannot sustain itself without trust.

Way ahead

Any law which is not followed by the majority should be scrapped,to be replaced by a rational compliable law
Non-compliable laws are more profound when the state does not trust its citizens and likes to have these laws as pretext to nail whom it wants to
It only builds distrust among the citizens and the government
The tax system needs to be more trust based for better compliance
The need is to create an encompassing environment where every one pays tax voluntarily
Strive towards voluntary compliance and our laws should encourage it more since voluntary compliance emanates from a trust based taxation regime
The system should guarantee each tax payer certain basic rights and respect,which are internationally recognized
Trust your citizen,and if he betrays your trust,punishment should be certain and exemplary.

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