Over the years, the government tried to control every facet of citizen's life, and entered every business. Not surprisingly, the government failed to discharge its primary duties, and has become a stumbling block in citizen's quest for progress and happiness.

Certainly economic reform- involving redefinition of state's role, emphasis on government's primary functions, greater liberty to citizens, encouragement of individual initiative, and prudent and rational management of resources and assets- is both necessary and long overdue.

However economic reform in itself cannot resolve crisis without accompanying governance reform.

• The basic conditions of economic growth should still be created by the government public order, rule of law , justice, basic infrastructure, school education, primary healthcare and natural resources development.
• The Political process feeds on corruption and breeds lawlessness and arbitrariness. Unless corruption is controlled effectively through reforms and institutional oval checks, economic growth will suffer.
• If government is not made accountable, there is a danger of focus of corruption shifting from license- Permit issues to sovereign functions of policing and justice. Already in many pockets of India the predatory behavior of government machinery created conditions of lawlessness breeding violence and goondaraj.
• If economic disparities among regions persist for long, there is a danger of much greater inequalities in time. Such regional disparities may threaten the unity of India. Governance reforms is critical to integrate all regions, and promote economic growth everywhere.