The Challenge of Governance and Institutions for Asia

Abstract

It is essential for all Asian countries to focus on improving governance and transforming institutions in order to meet the challenges of the coming decades. The recent deterioration in the quality and credibility of national political and economic institutions in a large number of Asian countries is a key concern and a reason why Asia’s rise should not be seen as preordained. Transparency, predictability and accountability are key elements to establishing long-term domestic legitimacy of authorities. These make governance and institutional dimensions, even over a 40 year time horizon, a good basis for discussing the broad direction of Asia, and stakeholders should not wait for too long to start preparing for 2050. This article discusses the drivers for change, and the demand side for changes or reforms in governance, and institutions, and it subsequently addresses possible ways forward.