GOVERNANCE BY MALIK MUHAMMAD SABIR SHAHZAD

CONTENTS

CONTENTS ........................................................................................................................1 GOVERNANCE? ...............................................................................................................1 GOOD GOVERNANCE.....................................................................................................3 IMPACT OF BAD GOVERNANCE IN PAKISTAN........................................................6 CORRUPTION....................................................................................................................7 POOR GOVERNANCE IN THREE SECTORS, ECONOMIC, POLITICAL AND INSTITUTIONAL...............................................................................................................7 GOVERNMENT IS INEFFECTIVE AND INEFFICIENT................................................8 ACCOUNTABILITY..........................................................................................................9 IMF and the World Bank...................................................................................................10 CREATION OF JOBS.......................................................................................................11 CONCLUSION..................................................................................................................11

GOVERNANCE?
Recently the terms "governance" and "good governance" are being increasingly used in development literature. Bad governance is being increasingly regarded as one of the root causes of all evil within our societies. Major donors and international financial institutions are increasingly basing their aid and loans on the condition that reforms that ensure "good governance" are undertaken. This article tries to explain, as simply as possible, what "governance" and "good governance" means. The concept of "governance" is not new. It is as old as human civilization. Simply put "governance" means: the process of decision-making and the process by which decisions are implemented (or not implemented). Governance can be used in several contexts such as corporate governance, international governance, national governance and local governance. Since governance is the process of decision-making and the process by which decisions are implemented, an analysis of governance focuses on the formal and 1

GOVERNANCE BY MALIK MUHAMMAD SABIR SHAHZAD informal actors involved in decision-making and implementing the decisions made and the formal and informal structures that have been set in place to arrive at and implement the decision. Government is one of the actors in governance. Other actors involved in governance vary depending on the level of government that is under discussion. In rural areas, for example, other actors may include influential land lords, associations of peasant farmers, cooperatives, NGOs, research institutes, religious leaders, finance institutions political parties, the military etc. The situation in urban areas is much more complex. Figure 1 provides the interconnections between actors involved in urban governance. At the national level, in addition to the above actors, media, lobbyists, international donors, multi-national corporations, etc. may play a role in decision-making or in influencing the decision-making process. All actors other than government and the military are grouped together as part of the "civil society." In some countries in addition to the civil society, organized crime syndicates also influence decision-making, particularly in urban areas and at the national level. Similarly formal government structures are one means by which decisions are arrived at and implemented. At the national level, informal decision-making structures, such as "kitchen cabinets" or informal advisors may exist. In urban areas, organized crime syndicates such as the "land Mafia" may influence decision-making. In some rural areas locally powerful families may make or influence decision-making. Such, informal decision-making is often the result of corrupt practices or leads to corrupt practices.

GOVERNANCE BY MALIK MUHAMMAD SABIR SHAHZAD

GOOD GOVERNANCE
Good governance has 8 major characteristics. It is participatory, consensus oriented, accountable, transparent, responsive, effective and efficient, equitable and inclusive and follows the rule of law. It assures that corruption is minimized, the views of minorities are taken into account and that the voices of the most vulnerable in society are heard in decision-making. It is also responsive to the present and future needs of society.

GOVERNANCE BY MALIK MUHAMMAD SABIR SHAHZAD

Participation
Participation by both men and women is a key cornerstone of good governance. Participation could be either direct or through legitimate intermediate institutions or representatives. It is important to point out that representative democracy does not necessarily mean that the concerns of the most vulnerable in society would be taken into consideration in decision making. Participation needs to be informed and organized. This means freedom of association and expression on the one hand and an organized civil society on the other hand.

Rule of law
Good governance requires fair legal frameworks that are enforced impartially. It also requires full protection of human rights, particularly those of minorities. Impartial enforcement of laws requires an independent judiciary and an impartial and incorruptible police force.

GOVERNANCE BY MALIK MUHAMMAD SABIR SHAHZAD

Transparency
Transparency means that decisions taken and their enforcement are done in a manner that follows rules and regulations. It also means that information is freely available and directly accessible to those who will be affected by such decisions and their enforcement. It also means that enough information is provided and that it is provided in easily understandable forms and media.

Responsiveness
Good governance requires that institutions and processes try to serve all stakeholders within a reasonable timeframe.

Consensus oriented
There are several actors and as many view points in a given society. Good governance requires mediation of the different interests in society to reach a broad consensus in society on what is in the best interest of the whole community and how this can be achieved. It also requires a broad and long-term perspective on what is needed for sustainable human development and how to achieve the goals of such development. This can only result from an understanding of the historical, cultural and social contexts of a given society or community.

Equity and inclusiveness

A societys well being depends on ensuring that all its members feel that they have a stake in it and do not feel excluded from the mainstream of society. This requires all groups, but particularly the most vulnerable, have opportunities to improve or maintain their well being.

Effectiveness and efficiency

GOVERNANCE BY MALIK MUHAMMAD SABIR SHAHZAD Good governance means that processes and institutions produce results that meet the needs of society while making the best use of resources at their disposal. The concept of efficiency in the context of good governance also covers the sustainable use of natural resources and the protection of the environment.

Accountability
Accountability is a key requirement of good governance. Not only governmental institutions but also the private sector and civil society organizations must be accountable to the public and to their institutional stakeholders. Who is accountable to whom varies depending on whether decisions or actions taken are internal or external to an organization or institution. In general an organization or an institution is accountable to those who will be affected by its decisions or actions. Accountability cannot be enforced without transparency and the rule of law.

IMPACT OF BAD GOVERNANCE IN PAKISTAN

The poor people of Pakistan today ask a genuine fundamental question, where are the government and what is it doing to end the current financial crisis prevailing in the country? Why has democracy not taken root in Pakistan? Why have the nations democratic institutions failed to sustain themselves? Why the masses more suffer during so called democratic regimes? How can Pakistan build and strengthen democratic institutions that provide good governance to solve its problems? Pakistan is facing constant dilemma of poor governance that has generated mistrust and has undermined the proficient and transparent delivery of public services and the implementation of programs in an efficient manner. The poverty has been growing in the country at alarming level and in just last three years of democratic regime, it has reached 40 percent from 17.13 per cent in 2008. Ordinary citizens already struggling to make ends meet are now increasing numbers find themselves challenged to procure even basic staples such as daal 6

GOVERNANCE BY MALIK MUHAMMAD SABIR SHAHZAD and flour. While poverty has intensified in this regime, the countrys long term prospects for achieving high growth are also being compromised by the low level of social sector investment. Pakistans level of human development is low for its level of income. Pakistans education indicators are the worst in South Asia.

CORRUPTION
Corruption, which has acquired the status of a continental emergency in Pakistan, is considered to be the root cause of poverty, illiteracy, terrorism, shortage of electricity, food etc and lack of good governance, but who cares specially when it relates to the already unfortunate nation like Pakistan. Good Governance flourish in a necessarily corruption free situation. Pakistan is unfortunately way down on the ladder on this account. Corruption of all magnitudes mega, moderate and petty permeates all tiers of governance and all segments of the society public, private, political, judicial, commercial and even religions. The scale of corruption is highest in development projects and procurement and the bank loan write offs. Whereas mega corruption is mainly in development projects, bank loans and procurements which rock the foundation of the economy, the common man is more interested in the petty and middle level corruption that he encounters in the daily dealings in the government offices.

POOR GOVERNANCE IN THREE SECTORS, ECONOMIC, POLITICAL AND INSTITUTIONAL

With the poor governance in three sectors, economic, political and institutional, the country, despite having huge natural resources, has now entered into stagflation, which is the worst-ever scenario. Thrust, intolerance and corruption have plagued the politics of Pakistan. Having failed to address any of these issues the government has lost its credibility and trust at home. The government is also using institutions for its personal benefits, which is causing a clash among the institutions. Investment is rapidly flying from Pakistan due to unfavorable economic environment in the country. Energy crisis is negatively affecting the

GOVERNANCE BY MALIK MUHAMMAD SABIR SHAHZAD industry and a number of industries have been closed down due to unavailability of gas and electricity. Good governance is the significant issue of sustainable economic development amongst other factors. It is the instrument of political, economic and administrative authorities to manage nations affairs. However governance in Pakistan is almost in a state of collapse. The effects of poor governance have compounded the economic causes of rising poverty such as decline in GDP growth rate, increasing indebtedness, inflation, falling public investment and poor state of physical infrastructure. Pakistan is today faced with a multitude of crises ranging from energy shortages to breakdown of law and order to violence and terror, creating a sense of insecurity and frustration that is eating into the vitals of the nations identity and dignity, the root cause being the lack of good governance. It is only good governance which creates a good environment for investment, including investment in people, and leads to higher income, reduces poverty, and provides better social indicators.

GOVERNMENT IS INEFFECTIVE AND INEFFICIENT

The performance of bureaucracy at various tiers of the government is ineffective and inefficient mainly on account of inappropriate and whimsical appointments, postings and promotions. This state of affairs needs to take immediate corrective measures to restore the confidence of civil servants to ensure that they work with complete commitment and to the best of their abilities. This will require elimination of the dead wood, de-politicization of services and encouraging the qualified and the competent. At the same time, social factors such as the highly unequal distribution of land, low level of human development, and persistent ethnic and sectarian conflicts are also obstacles to the achievement of long term sustained development. The Zardari-led Gillani Government is being widely seen as inept and corrupt where appointments are being made on the basis of cronyism, rather than genuine merits. Cancer of corruption has widespread in Pakistan and requires a 8

GOVERNANCE BY MALIK MUHAMMAD SABIR SHAHZAD strong surgical operation in which even if ten innocent people are sacrificed for the head of one guilty person, it is worth it, let not the corrupt bureaucrats take the cover of their connections and disciplinary rules. But main hurdle in such efforts is political leadership itself. Gilani has the distinction of presiding over the historys largest and perhaps the most incompetent Cabinet. New ministries have been created to accommodate political cronies providing them sinecure jobs, by elevating small departments like postal services and textiles to federal ministry level. Pakistan at the moment needs an honest and strong leader who is a symbol of national unity. However, if the current government continues along the path that it currently seems to be treading upon, then we have every reason to believe that the problems and challenges that our country today faces, both, internal and external, would further aggravate with the passage of time. The institutions of the president and prime minister deemed to be the symbol of unity and integrity appear to be as unmindful of public miseries and the need for austerity as their predecessors. Like it has been happening, the present government has been blaming the previous government of all the bad things it supposedly had inherited. Inflation, electricity, gas outrages etc. Moreover, what the worthy federal ministers have to say in this regard? Electricity tariff is to be further raised and so will be charges for natural gas consumption. Petrol prices are being frequently revised upwardly without cutting the taxes and realizing its worsening impact on the national economy.

ACCOUNTABILITY
Although accountability is the keynote of Islamic character yet it is not only emitted in the constitution of Pakistan but also not found even in the character of the rulers, this is a word unknown to the rulers of Pakistan, unless accountability is introduced with all the seriousness. The process of accountability not only be swift and sure but also transparent. that it demands, the ills and curses inflicting the country will continue to inflict. Accountability should be irrespective of personalities.

GOVERNANCE BY MALIK MUHAMMAD SABIR SHAHZAD There is no effective system of drafting legislation, making budget appropriations, holding hearings with experts, and subsequent oversight by specialized parliamentary committees. People who chair such committees dont have much of a clue as to where to begin, what questions to ask, and how to hold the executive and the bureaucracy accountable. As a result, once the laws and policies are approved, and budgets passed, there is not much oversight or accountability.

IMF and the World Bank

IMF and the World Bank have advanced liberal loans to be used for the rich in the country and poor man repays these loans. It has been the curse of Pakistan that the same parties and same politicians with the same objective of greed and self-interest are seen in the media. The feudal character which pervades the ruling elite has also sneaked into the democratic character of the political parties, the president-ship of the party is handed down to the son or the daughter of the retiring president, there may be a few exceptions. At times the largest Islamic state in the world and pride of the Muslim Ummah as the only Muslim nuclear power in the world is today placed lower even to Somalia, Sudan, Chad, Afghanistan, and Iran among others due to inefficient and corrupt leadership. It is need of the day to deal with the current economic crisis by rapidly developing a sound governance structure that is based on transparency, merit and professionalism. Zero tolerance for corruption shall have to be the avowed state policy to attract both domestic and foreign investment. This policy will also promote economic growth and retain talented citizens to serve in both the public and private sectors. There is a need to make a national policy and to constitute an economic development reconstruction council on the pattern of one working in South Korea, which comprises non governmental volunteers from academia, private sector and researchers to evolve the policies for the government.

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GOVERNANCE BY MALIK MUHAMMAD SABIR SHAHZAD

CREATION OF JOBS
For creation of jobs, the government must focus on the SME sector and increase its growth from 20 to 25 per cent while providing them loans from financial sector. The larger the number of people involved in nation building activities will result in increase in our production, hence the fruits of progress and prosperity could be shared by the nation at large, there is no dearth of efficient and honest people in Pakistan, of course there is dearth of sincere, honest and selfless leaders whose place has been usurped by the greedy politicians. The rulers should know the economy flourishes and the masses become satisfied if middle and poor class segments of the society flourish. If only upper class flourishes no one can prevent a bloody revolution.

CONCLUSION
From the above discussion it should be clear that good governance is an ideal which is difficult to achieve in its totality. Very few countries and societies have come close to achieving good governance in its totality. However, to ensure sustainable human development, actions must be taken to work towards this ideal with the aim of making it a reality.

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