“As the guardian of public funds, the CAG must balance oversight and interference”. Critically examine the balance between the CAG’s mandate to audit government finances and its role in promoting efficient governance.

Topic: Appointment to various Constitutional posts, powers, functions and responsibilities

Q3. “As the guardian of public funds, the CAG must balance oversight and interference”. Critically examine the balance between the CAG’s mandate to audit government finances and its role in promoting efficient governance. (15 M)

Difficulty Level: Medium

Reference: TOI

Why the Question

IOA president PT Usha denies financial loss allegations made in CAG report

Key Demand of the Question

The answer must critically examine how the CAG balances its constitutional mandate to audit government finances while playing a role in promoting efficient governance, without overstepping into policy-making.

Structure of the Answer:

Introduction

Briefly introduce the CAG’s constitutional mandate as the guardian of public funds, highlighting its core role in auditing and ensuring transparency in government finances.

Body:

  • Explain the CAG’s mandate, emphasizing its constitutional role and responsibilities.
  • Discuss the concept of “oversight vs interference,” indicating where the CAG must draw the line.
  • Analyze contemporary examples of the CAG’s involvement in auditing government projects and their impact on governance.
  • Provide a balanced view of challenges and opportunities in its evolving role to promote efficiency.

Conclusion

Write about the importance of maintaining this delicate balance to ensure transparency without undermining the executive’s decision-making powers. Suggest possible reforms, if needed, for better governance outcomes.