Institution Building in India

Scholars and researchers across the globe have accepted the crucial role played by institutions in creating an environment that is conducive to development. A closer look to all the developed (economically, not necessarily in other aspects) economies reveal their strong institutions. A set of strong institution ensure:

• Right functioning of public and private bodies
• Contract enforcement
• Adherence to rules and regulations

Unfortunately the emerging economies, of course, emerging in terms of economics and not necessarily in all important aspects, are characterized by their institutional voids. The astonishing growths of companies in these economies are more of a result of these institutional voids. The critical question here is – should this economic growth be celebrated?

India is a very good example to see how institution building has emerged in this emerging economy. In early 50s, the then Prime Minister Nehru was bestowed with the mammoth tax of building India. Nehru and his team (which included Mahalanobis) drafted the contour that the young nation would take. The credit of building institutions in India is also attributed to Nehru. However, the discredit of tampering with ‘supposed to be independent’ institutions is also attributed to Nehru’s family and more so to Ms Gandhi and his (later disowned) son Sanjay.

A selected few institutions act as the fulcrum of all institutions of India. The institutions include: The parliament, the supreme court of India, the CBI, the CVC, the CAG, the UGC and NCERT etc. Now let us examine their functioning one by one. 

The Parliament

In a recent statement President of the country, Mr Mukherjee rightly condemned the disruptions happening in the parliament. In recent times parliament is disrupted more than ever. Debate, dialogue and deliberations are no more the prime activities of the parliament.

Though politicians, media and academicians have been emphasising the supremacy of parliament in democracy, they have to accept that the way the image of this institution is getting diminished in the mind of a common India is a serious threat that requires more polished and sober action of politicians inside and outside the house. 

Supreme Court of India

Till date the Supreme Court seems the only institution that has managed to maintain somewhat higher degree of sanctity. Corruption charges against the ex-chief justice, no doubt condemnable, but could be considered as exception. Otherwise, the court has managed to ensure that the state and its major actors have performed as per the rule of the land.

However, the judicial system in India requires paradigm shifts. Some lower courts have functioned on their own, while some others are characterized by the huge number of pending cases in them. If a common man believes that he should stay away from courts, whatever may be the case and a business man thinks contract enforcement in India is extremely difficult; it’s not their fault. 

The CBI

CBI, unfortunately is seen as a part of government who can grill people whenever the governments want. Recent coal case has uncovered the real helplessness of this institution. The Supreme Court which normally selects its words with utmost care, termed the CBI has a ‘caged parrot’ with many masters. That brings us to the fact that this nation of a billion people lacks a credible and independent investigating agency.

The CVC

The office of the central vigilance commission is conspicuous by its inaction in many cases. The last time it hit news headlines when the appointment of Chief Vigilance Commission was questioned by the Supreme Court forcing him to resign. 

The CAG

Again, the findings of the CAG are being challenged by politicians across parties depending on their convenience. The central government recently has found it fashionable to hit the office of the CAG whenever they find its finding not so suitable to it.

The UGC, AICTE, NCERT

The state of educational institutions also requires radical changes. Privatizing of educational institutions has made education in the country so expensive that students will get more lured to well-paying corporate jobs than investing time, energy and resources in first hand research and innovations. It is also interesting to note that the top ranked MBA institutes of the country offer PGDM (post graduate diploma in management) degrees than MBA degrees as they prefer to stay away from the interference of UGC. Is n't that a direct reflection on the image of governing bodies of education in India?

On top of all these, even constructive criticism of institutions in India is considered as anti-patriotism by many. The government that openly challenges, criticizes and abuses the CAG, considers any discussion on autonomy of the CBI as an attempt of bulldozing the institution of CBI.

If India wants to develop, improve and live a better life; it has to focus on institution building. That will require the support of all stakeholders. However, looking at the state of the affairs in the country, it would be utterly optimistic to expect better institutions in the country in short span of time.