Question

‘Good governance is a prerequisite for sustainable development.’ Discuss this statement
with examples showing how administrative efficiency directly impacts economic growth.

30 Jul 2026
Answer :
Word Count : 715
Good governance is widely recognized as a prerequisite for sustainable development because it ensures that public institutions function efficiently, transparently, and responsibly while addressing the needs of present and future generations. Sustainable development aims to achieve economic growth, social inclusion, and environmental protection in a balanced manner. Good governance provides the institutional framework through which governments formulate effective policies, implement development programs, and ensure equitable distribution of resources. Administrative efficiency, accountability, rule of law, public participation, and transparency are key elements that directly influence economic progress and the overall quality of life. Administrative efficiency enables governments to deliver public services quickly and effectively. Efficient administration reduces bureaucratic delays, simplifies procedures, and improves coordination among different government departments. As a result, businesses experience lower transaction costs, citizens receive better services, and investment opportunities increase. Efficient governance creates a stable environment where industries can operate confidently, leading to higher productivity, employment generation, and economic expansion. The rule of law is another essential component of good governance. Strong legal institutions protect property rights, enforce contracts, and ensure justice without discrimination. Investors prefer economies where laws are applied fairly and consistently because such environments reduce business risks. Countries with transparent legal systems often attract greater domestic and foreign investments, contributing significantly to long-term economic growth. Transparency and accountability reduce
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