Indicators Affecting National Governance in the Developing Economies: Evidence from Pakistan

The governance system of any country is required to be stable in any country. This study is the initial attempt to find the indicators of governance in Pakistan. The data has been collected from World Bank Data Bank from 2002-2016. The correlation test and Structural Equation Modelling is applied to the data. The governance is the construct variable in Structural Equation Modelling. The results shows that Voice and Accountability, Political Stability and Violence Terrorism, Government Effectiveness, Gross Domestic Product per Capital Growth, Gross National Index growth. Gender diversity and Human Development are the factors of governance in Pakistan.

Keywords: Governance, Structural Equation Modelling, Correlation, Gender diversity and Human Development index, Indicators.