Governance and reform in India

This paper reviews the background, rationale and prospects for India's recent reforms in the structures of local government. It begins by commenting on some dimensions of governance, and why it is useful to focus on decentralization, especially in the current Indian context. Then some of the theoretical arguments on federalism as an important mechanism for decentralization, as well as India's overall situation in this dimension, are discussed. India's experience with federalism in general and with local government more particularly, is summarized. The paper focuses particularly on the 1992 constitutional amendments: their history, rationale, and outcomes to date. It also discusses what still needs attention, including complementary institutional reforms in the legal system and judiciary.