Governance
Governance, in simple words, can be defined as a process that leads to policy-making and policy implementation. Governance in general focuses upon the what, how, and why aspects of development and policymaking.
The World Bank defines governance as the manner in which power is exercised in the management of a country's economic and social resources for development.
UNDP defines governance as the exercise of political and administrative authority to manage a country's affairs at all levels. It comprises the mechanism, process, and institution through which citizens articulate their rights, exercise their legal rights, meet their obligations, and mitigate their differences.
Is governance limited to government only?
Governance is not limited to government. While government includes the legislature, executive, and judiciary, governance includes not only the government but also civil society, NGOs, and private players, media. Focuses purely on citizen-centric administration.
We can say,
- While government is structural, governance is functional.
- While government is rule, governance is goal.
- While government is a decision maker, governance is a process.
- While government is a decision maker, governance is a process.
- While government focuses upon roles, governance focuses upon performance.
- While government focuses upon implementation, harmony, and coordination with efficiency.
- While government focuses upon output, governance focuses upon outcomes.
e.g. Jan-Dhan scheme. The objective of Jan-Dhan scheme was to ensure financial inclusion. However the other objective of Jan-Dhan was also to bring rationalization in welfare schemes and eliminate ghost beneficiaries in meeting social aspirations, which can further bring accountability and transparency into the system, which was accomplished by JAM Trinity, that is, Jan-Dhan, Aadhaar, and mobile. This has paved the way for nationalization, accountability, and transparency.
Good Governance
Good governance is when governance is carried out with due concern for several elements such as transparency, accountability, responsiveness, etc. and can be termed as good governance. The concept of good governance was popularly given by developed world countries, expecting it to be followed by developing third world and fourth world countries.
Good governance as a concept was established. Its focus would bring out third-world and fourth-world countries (that is, the Global South and LDCs) from absolute poverty and inequality.