'No policy paralysis, but implementation paralysis' | mumbai | Hindustan Times
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'No policy paralysis, but implementation paralysis'

mumbai Updated: Apr 27, 2012 22:51 IST

Seeking to dismiss allegations of policy paralysis in the government, the Prime Minister's Office on Friday said there is an "implementation paralysis" in the country.

"There is no policy paralysis, there is a paralysis in implementation," TKA Nair, advisor at the PMO, said when asked about his views on policy paralysis.

Addressing a national gathering on infrastructure, Nair said, "Transparency and adherence to set procedures is very important in government's functioning. Many times, decisions taken earlier are questioned later in hindsight and that is very demotivating. So, you should keep this point in mind. There are inherent problems in the management of government and government agencies."

It may be noted that India Inc has been crying hoarse over "policy paralysis" that is hampering economic growth.

Incidentally, International Monetary Fund today said governance concerns have weakened business sentiment in the country.

"Concerns about governance and slow project approvals by the government have weakened business sentiment, which in turn has adversely affected investment, along with cyclical factors such as global uncertainty and policy tightening...," the multilateral agency said.

Two days ago, lowering India's rating outlook to negative global agency Standard and Poor's had warned of a downgrade in two years if there is no improvement in the fiscal situation and the political climate continues to worsen.

Nair also said that managers in government bodies and public sector enterprises have a lot to learn from their private sector peers when it comes to the planning and execution of infrastructure projects.

There is also a need for the private sector to understand the limitations of a government official, he said. A government official has to be extra-cautious when it comes to decision-making as some of the decisions he takes can come back to haunt him later, he added.