What is governance according to World Bank?

Governance, according to the World Bank, refers to the way in which power is exercised in the management of a country's economic and social resources for development. It encompasses the mechanisms, processes, and institutions through which citizens and groups articulate their interests, exercise their rights, meet their obligations, and mediate their differences. Good governance is characterized by transparency, accountability, participation, and the rule of law. It is essential for sustainable development and poverty reduction.

According to the World Bank, governance refers to the traditions and institutions by which authority in a country is exercised for the common good. This includes the process by which governments are selected, monitored and replaced; the capacity of the government to effectively manage its resources; the quality of bureaucracy; the respect of citizens and the state for the institutions that govern economic and social interactions.