GOVERNANCE is "… the traditions and institutions by which authority in a country is exercised for the common good. This includes (i) the process by which those in authority are selected, monitored and replaced, (ii) the capacity of the government to effectively manage its resources and implement sound policies, and (iii) the respect of citizens and the state for the institutions that govern economic and social interactions among them. “(World Bank)
“Three complementary possibilities work their way into this correlation. One possibility is that better governance exerts a powerful effect on income. A second possibility is that improvements in governance are the result of a higher income. Yet, a third possibility is that there are other factors that interplay to make countries richer and better governed. In cases where higher per capita incomes fail to result in better governance, one possible explanation is ‘state capture’, defined as the illicit influence of the elite in shaping the laws, policies and regulations of the state. The ‘capture’ of the institutions of the state by elites implies that they can benefit from the lack of good governance, and therefore are likely to resist demands for change”. Source Wikipedia.
Governance is the act of governing. It relates to decisions that define expectations, grant power, or verify performance. It consists of either a separate process or part of management or leadership processes. These processes and systems are typically administered by a government. This will lead to change the system of least developed country and improve the government system. The government will be more transparent and can misuse the fund. All citizens get equal... [continues]
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