GOOD GOVERNANCE IN THE PUBLIC SECTOR
2. Key Principles of Good Governance in the Public Sector
2.1. The function of good governance in the public sector is to ensure that entities act in the public interest at all times.
2.2. Acting in the public interest requires:
A. Strong commitment to integrity, ethical values, and the rule of law; and
B. Openness and comprehensive stakeholder engagement.
2.3. In addition to the requirements for acting in the public interest, achieving good governance in the public sector also requires:
C. Defining outcomes in terms of sustainable economic, social, and environmental benefits;
D. Determining the interventions necessary to optimize the achievement of intended outcomes;
E. Developing the capacity of the entity, including the capability of its leadership and the individuals within it;
F. Managing risks and performance through robust internal control and strong public financial management; and
G. Implementing good practices in transparency and reporting to deliver effective accountability.
2.4. Figure 1 illustrates how the various principles for good governance in the public sector relate to each other.
Figure 1: Relationships between the Principles of Good Governance in the Public
2.5. The core principles for good governance in the public sector set out above are high level and bring together a number of concepts. The following section provides an explanation of the underlying rationale, together with supporting commentary, for the key elements of each principle, and supporting sub-principle. Each principle section is followed by examples and questions for entities to consider in assessing how they live up to the International Framework as well as in developing action plans to make necessary improvements.