INTERNATIONAL

Top 10% of Nepali population consumes more than bottom 50% taken together

-Dr. Henning Karcher

My remarks here are to focus on challenges and opportunities since all too often seminars, workshops and symposia here in Nepal are strong on criticism but somewhat short on constructive proposals for solutions. Although I should say that identifying problems and sticking with them until a solution is found represent certainly an important element of any successful system of governance. The media and other non-state actors have an important role to play in this context and I am happy to see with us here many representatives of the media and of civil society.

Before I focus on specific governance issues in Nepal allow me to say a few words on the definition of governance and the concept of development governance in particular. Approximately four years ago I participated in a workshop organized by UNDP in New York on the issue of governance. After much soul searching we arrived at the following definition which I think can still be considered as valid. We concluded that governance should be defined comprehensively as the exercise of economic, political and administrative authority to manage a country’s affairs at all levels. According to our definition it comprises mechanisms, processes and institutions through which citizens and groups articulate their interests, exercise their legal rights, meet their obligations and mediate their differences. Over the years our preoccupation shifted from Governance to Good Governance and most recently in the context of the 1999 Human Development Report for South Asia to Humane Governance. Humane Governance is governance dedicated to securing Human Development. It requires effective participation of people in state, civil society and the private sector and helps to build capacities that will meet the basic needs of all people, particularly women, children and the poor. Humane Governance will also ensure that human development is sustainable.

Those of you who had an opportunity to read the UN Secretary-General’s message for the new millennium would have noticed the emphasis he is placing on and the fact that the human dignity of the individual must never be allowed to be violated. He has underlined the close linkages between promoting good governance and promoting respect for human rights, which represent indeed two sides of the same coin. Issues of transparency and accountability are equally relevant for the human rights discourse and development and for a process of sustainable and effective government institutions that respect the “rule of law”. Looking against this background at the concept of development governance in Professor Maskay’s book I find total congruence as both humane governance and development governance focus on people centered development, investment in the well being of the individual, on empowerment and participation.

Taking a leaf from the early history of the United Nations Professor Maskay draws attention to the importance of human freedom, not only freedom from want but also freedom from fear and intimidation. He draws attention to the importance of political rights for the understanding of economic needs, speaks of human beings as people with rights to exercise not as a part of a stock or a population that passively exists and must be looked after.

Applying these standards to the actual situation of Nepal we find, as one would expect, a mixed picture. On the positive side I should mention the constitution which is progressive, probably the most progressive in South Asia, guaranteeing basic freedoms, key institutions and a system of checks and balances among the branches of government. Positive is also the country’s democratic performance. It is certainly worth noting that Nepal has succeeded in holding successively free and fair elections, and managing a peaceful transfer of power from one government to the next. For a young democracy, which is barely ten years old, these are no small accomplishments. I can easily think of many countries including, my own which had much more serious pains in the process of developing democracy.

Looking at the overall development process during recent years it has to be stated that governance related problems have certainly contributed to a situation which has been characterized by some as “failed development.” Failed in the sense that 42% of the population live below the poverty line. Social indicators like literacy rates and maternal mortality rates place Nepal at the bottom of SAARC countries. Almost 49% of all children are underweight and 50.4% are stunted. There is serious inequality in the country in terms of income, gender and development of regions. For example, life expectancy in the capital is almost double the life expectancy in Mugu district. The enrollment of girls lags some 19% points behind that of boys. The top 10% of the population consumes more than the bottom 50% taken together.

The ultimate measure of success of development government lies in the deliverance of services to citizens. Yet studies and available research reflect deep dissatisfaction with inadequate service delivery in rural areas. In many instances schools are without teachers and if there are teachers these are often not qualified to teach. It is therefore not surprising that 42% of children drop out of primary school or have to repeat their first year. In many instances health posts in rural areas remain without staff for extended periods of time. Drugs are often not available. Only 40% of the very poor have access to safe drinking water.

Similarly the delivery of justice through the formal judicial system leave much to be desired due to ineffective and inefficient court procedures, and the host of other problems in the judicial system.Studies show that in many instances the bureaucracy is politicized. Systems of accountability seem to be weak. The morale and work motivation of civil servants is low. Every year the Annual Reports of the Auditor General reflects irregularities on a large scale.

Against this somewhat gloomy background what then are the opportunities to introduce changes and bring the ship of development back on course. Evidently historical, social, cultural and economic factors have to be taken into consideration. It has to be realized that Nepal's society is very traditional in many ways and that significant changes can only be accomplished over an extended period of time. The available time does not permit a discussion of structural changes, which may also be required.  At this point, I prefer to focus on hopeful signs and incremental steps that can to be taken to bring about critical improvements in the short and medium term. In particular, I would like to focus on four topics: Decentralization and Empowerment; Strengthening the Rule of Law; Reform of the Civil Service and the Role of Civil Society.

1.          1. Considering the topography of Nepal and her enormous social and cultural diversity, it is clear that a centralized approach to planning and managing development cannot work.  The Local Self-Governance Act adopted in 1998 and bylaws for the law adopted in 1999 provide important opportunities to shift decisions for the planning and implementation of development activities to the level where they belong, i.e. to DDCs and VDCs. It will now be up to the key players at both central and decentralized levels to breathe life into the act and the bylaws. Officials at the central level, particularly in line ministries, must be ready to let go of their desire to manage activities in remote rural areas. Similarly, they must reduce their network of staff in rural areas who operate without accountability vis a vis those they are supposed to serve. My earlier remarks on inadequate delivery of services related precisely to this point. I have visited communities and heard of teachers who hardly come to school.  Yet, under the existing system, parents and local authorities have no power to effect their transfer and punishment. For the first time in Nepal's history the Local Self-Governance Act provides opportunities for the creation of local development services that are fully accountable to those that are served.

Much has been said about empowerment in the literature on development. In all parts of the country, we see flourishing community organizations and user groups that manage resources efficiently and show results. The new act provides the opportunity to channel resources to these groups. Contrary to a frequently mentioned myth experience shows that in most instances, the management of resources at the local level satisfies accountability requirements and higher standards of transparency. There is therefore every reason to support this process of empowerment, which has been demonstrated to work in all parts of the country and represents a key element for poverty alleviation.

           Ordinary citizens will often form opinions about the quality of their state and government on the basis of the speed at which justice is administered. The provision under the Local Self-governance Act to establish Arbitration Boards at VDC level represents an important opportunity to bring justice closer to the citizens and remedy the situation where all too often justice delayed equals justice denied. The newly appointed Chief Justice has announced a range of reform measures affecting many areas of the judicial system including the reform of laws, improved procedures, setting up of special benches, training of judges and improving codes of conduct. These are important and promising initiatives which could go a long way in creating a situation where contracts are enforceable, culprits are punished and citizens can feel that the rule of law is not only enshrined in the constitution but represents a reality in their daily lives. 

.          The Reform of the Civil Service has been high on the agenda of the country ever since the Administrative Reform Commission of 1991 submitted their report recommending a 15 year perspective development plan, a 5 year rolling plan, a reduction in a number of ministries, downsizing of the bureaucracy, handing over of many authorities and responsibilities to locally elected bodies.

The amendment of the Civil Service Act of 1998 represents an important step in the right direction restricting inter alia contractual appointments limiting the expansion of the civil service and prescribing transparency criteria in the posting and transfers of staff. Another encouraging step lies in the recent formation of two committees to revive implementation of the recommendations of the Administrative Reform Commission of 1998.

With a majority government in place, agreement on key aspects of the problem and a clearly defined reform agenda already on the table, the time seems to be more suitable than ever before to revitalize the civil service with a view to making it once again, the pride of the country and source of genuine service to the population.

Much has been said already on the role of civil society as an instrument to foster change, and act as a transmission belt for the views of the majority of the people. Over recent years, Nepal has seen a dramatic increase in civil society organizations. As they get better organized, hone their tools and develop their consciousness, I have no doubt that they will become an ever more powerful force directing the focus of development where it belongs, i.e. to the people and the individual. They can thus play a key role in creating a situation where the ideal of development of the people, by the people and for the people becomes a reality in every nook and corner of the country. (Text printed by the special permission from the author-Chief editor).