Modernization of the State

The expression modernization of the state means state reform for the consolidation of democratic governance. Governance comprises the process through which authority is exercised in a given political community, including: (i) the form through which the holders of authority are elected, monitored, and replaced; (ii) the principles and norms guiding the interactions between the state, the private sector, and civil society organizations, particularly in respect to their responsibilities and functions; and, (iii) the capacity of the political authority to identify needs, collect resources, and define and implement policies. Governance is democratic when a series of requirements are met in respect to how authority should be exercised and under what socioeconomic conditions: first, the requirement of representativeness that legitimizes public authority through free elections; second, the existence of mechanisms for the effective constraint and division of power, for ensuring the accountability of public officials to citizens and respect for citizen rights and liberties; third, controls on arbitrariness so that authority is exercised in a manner consistent with the law and the constitution, with effectiveness and efficiency in the assignment of resources to social needs and with transparency and integrity in the behavior of public officials; and finally, democratic governance requires conditions in which the enforcement of the principles of solidarity and subsidiarity permit a consensual and effective relation between different social actors in a context of social cohesion.