FISCAL DECENTRALISATION: A GANDHIAN PERSPECTIVE Himani Baxi

In today’s era of economic crisis and rising inequality, there is a need to reexamine the existing economic models and policy approaches. There is a global trend favouring centralisation of economic and fiscal powers, where all development agendas originate at the national level. Rather than empowering local governments, the departure from decentralisation is becoming evident.

This book explores Gandhian principles of decentralisation and local government finance, emphasizing Gandhi’s belief that true democracy requires local autonomy. It offers a theoretical framework to compare Gandhian decentralisation ideology with the existing theories of fiscal federalism or fiscal decentralisation in public finance. The book argues that fiscal decentralisation could effectively address issues such as inequality, human development, environmental sustainability, unemployment, and urbanisation.

Proposing policy reforms aligned with Gandhian values, the book advocates for local financial systems that prioritise community needs and autonomy. It endeavours to rethink fiscal policies with a humanitarian perspective, offering insights into fostering more inclusive and responsive governance structures.