Poor governance, corruption makes India 'high risk'

Risk analysis study blames both Congress, BJP for inability to tackle corruption

trithesh

Trithesh Nandan | February 20, 2012




India ranks in the category of ‘high risk’ countries where poor governance and systemic corruption are the main stay of the government, according to a new study released by the UK-based risk analysis firm Maplecroft. 

The study also blames India for not taking decisive timely action. “Continuing poor governance is evidenced by the endemic nature of corruption, especially in India and Russia, where the political process is undermined by an inability to tackle the problem,” said the report titled ‘Global Risk Atlas 2012’ released on Monday.

It said that India along with the other BRIC (Brazil, Russia and China) countries is still vulnerable to financial shocks despite making high growth in the last several years. “Improvements in basic social infrastructure, such as education, healthcare and sanitation for large sections of society, are vital in combating the impacts of global risks. Without these, and improvements in governance, the BRIC economies may not fully realise their investment potential,” said Alyson Warhurst, Maplecroft CEO.

The risk analysis firm has blamed both the major parties, the ruling Congress and the main opposition Bharatiya Janata Party (BJP), for the inability to tackle corruption. “In India, for instance the political standoff over a new anti-corruption law between the ruling Indian National Congress and the opposition BJP, both of which have been hit by recent corruption scandals, has severely disrupted law-making,” the study noted.

For the BRIC countries, the study found out that the governance and reform have not kept pace with economic growth. “Terrorism and political violence are also identified by Maplecroft as particularly prevalent risks in India and Russia,” the study held.

According to the report, “Although the government of Manmohan Singh has vowed to tackle corruption, the seriousness of its efforts has been brought into question by a series of corruption scandals which have surfaced over the past two years and put pressure to strengthen anti-corruption legislation.”

This is the fourth annual global risks atlas study which covered 178 countries across 33 global risk indices. There are 41 countries in the ‘high risk’ category in which India belongs. The key global risk areas which study considered: macroeconomics and emerging powers; terrorism and conflict; governance risk; resource security; climate change; pandemics; and societal and human rights risks.

The 10 countries most exposed and least resilient to global risks are: Somalia (1), DR Congo (2), South Sudan (3), Sudan (4), Afghanistan (5), Pakistan (6), Central African Republic (7), Iraq (8), Myanmar (9) and Yemen (10).

“Low exposure to security risks and infectious diseases is also supported by strong societal resilience and good standards of governance, enabling the country to withstand and adapt to global risks,” said the study.

Read the findings

Comments

 

Other News

A year without Kalam sir

It has been a year without the Missile Man of India, Dr APJ Abdul Kalam. The former president passed away on July 27, 2015 after he suffered a massive cardiac attack while delivering a lecture at Indian Institute of Management (IIM) Shillong. Replugging:

Amendments to child labour bill come in for criticism

The Lok Sabha passed the Child Labour (Prohibition and Regulation) Amendment Bill, 2012 but also received heavy criticism from a member of BJP, the majority party in the house. The bill prohibits employment of children below 14 years in any occupations and of adolescents (between 14-18 years) in certain ha

In conversation with sarod maestro Amjad Ali Khan

Sarod maestro Ustad Amjad Ali Khan, who has enthralled music lovers across the globe, was born to Gwalior court musician Hafiz Ali Khan and Rahat Jahan. He is the sixth generation sarod player in his family. The veteran artiste is the recipient of second highest civilian honour, Padma Vibhushan, in 200

BJP, Congress not in the clear as they slam AAP government advertisements

 Opposition is not necessarily enmity; it is merely misused and made an occasion for enmity, said          Sigmund Freud, one of 20th century’s most influential thinkers. In what seems to be a classic example of the Opposition taking on the ruling party merely for t

Health may become a fundamental right

Health, like education, job and information, will become a matter of right soon. A draft policy advocates a National Health Rights Act which will make “denial of health” an offence. It also proposes making health a fundamental right and suggests raising public health expenditure to 2.5 percent

UJALA scheme: Consumers alerted about fake websites

Energy Efficiency Services Limited (EESL) has alerted consumers of fraudulent websites selling 9W LED bulbs under the name of Unnat Jyoti (UJALA) scheme of the government. The government has made it clear that the websites were not associated with the EESL, a public energy services company, under ministry

Current Issue

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter