SDG 16: Peace, Justice & Strong Institutions | SDG 9: Industry, Innovation & Infrastructure
Institutions: NITI Aayog | Ministry of Personnel, Public Grievances & Pensions | Ministry of Commerce & Industry
A new OECD report highlights that Regulatory Impact Assessment (RIA)—a structured process to evaluate costs, benefits, and risks before adopting new regulations—can make rule-making more transparent, consistent, and accountable. It urges countries to embed RIA within the everyday functioning of regulatory authorities, not as a one-off exercise but as a decision-support tool throughout the policy cycle.
The report finds that agencies applying RIA early, through problem definition, stakeholder consultation, options appraisal, and data disclosure, deliver better-targeted and less burdensome regulations. Examples from OECD members show improvements in compliance rates and public trust when RIAs are published openly.
However, the study also notes challenges such as limited analytical capacity, weak data systems, and lack of political incentives for evidence-based policymaking. To overcome these, it recommends standard templates, capacity-building units, and public dashboards that track whether promised outcomes match realised results.
For India, the findings support ongoing reforms under the National Regulatory Compliance Portal and Ease of Doing Business 2.0 framework. Institutionalising RIAs within ministries and regulators—especially in high-impact sectors such as environment, telecom, and health—can enhance policy credibility, reduce red-tape, and align with India’s Good Governance and Digital India initiatives.
Follow the full report here: OECD – Applying Regulatory Impact Assessment at Regulatory Authorities