Governance

The term is used extensively and in many contexts, but there is not a full consensus on

what it entails. The term has become especially important after the end of the cold

war, when its usage was revitalized by large donor agencies (the World Bank, IMF,

etc.), who began basing decisions and evaluations regarding developing countries and

countries of the former Union of Soviet Socialist Republics, among other things, on

indicators, related to governance.

Governance refers to the lateral and inter-institutional relations in administration in the

context of the decline of sovereignty, the decreasing importance of jurisdictional

borders and a general institutional fragmentation (1). The United Nations Development

Programme (UNDP) in its 1997 policy paper, defined governance as “the exercise of

economic, political and administrative authority to manage a country’s affairs at all

levels. It comprises the mechanisms, processes and institutions, through which

citizens and groups articulate their interests, exercise their legal rights, meet their

obligations and mediate their differences” (2). Governance refers to sustaining

coordination and coherence among a wide variety of actors with different purposes and

objectives (3). Such actors may include political actors and institutions, interest groups,

civil society, non-governmental and transnational organizations. In this respect

governance is broader than government.(4)

(1) Frederickson, H.G. and Kefin B. Smith, The Public Administration Theory Primer,

Boulder, Colorado, Westview Press, 2003

(2) United Nations Development Programme, Governance for sustainable human

development, UNDP policy document, New York, 1997

(3) Pierre, Jon, Debating Governance: Authority, Steering and Democracy, Oxford

University Press, 2000

(4) United Nations Economic and Social Council, Definition of basic concepts and

terminologies in governance and public administration, UNESC Report, E/C.16/2006/4

Also see “Participatory Governance”