Public Policy and Governance: Catalyzing Local Development and Economic Growth

Abstract

The relationship between local development and public policy is inherently interconnected and critically important. From this ontological standpoint, this paper seeks to explore the intricate linkages between these two domains. Public policies establish the foundational frameworks and guidelines that directly influence local development processes. This study employs an explanatory and qualitative methodology, relying on a review of secondary data sources. The findings suggest that well-conceived and effectively implemented public policies can significantly enhance local development outcomes, driving economic growth, improving quality of life, and fostering community well-being. However, the study also reveals that in practice, the processes of policy formulation and implementation are often disorganized and lack a scientific basis, limiting their potential contribution to national development. Many local governments remain unclear about their development priorities and fail to emphasize sustainable practices that leverage local resources and generate employment for local residents. In the federal context of Nepal, where local development is a cornerstone of democracy, there has been a noticeable deviation in public policy approaches from what is needed. Given Nepal’s federal system, the government should prioritize sustainable development to ensure performance legitimacy. The study concludes that grassroots democracy in Nepal currently faces numerous challenges and obstacles. Transforming these challenges into opportunities requires a more people-centric public policy approach aligned with local development goals.