Shivanand Pandit
Prime Minister Modi’s recent visit to Washington and his meeting with Elon Musk have ignited discussions on how India can embrace innovative governance models similar to the USA’s DOGE (Department of Government Efficiency). DOGE is dedicated to reducing government waste, streamlining bureaucracy, and enhancing overall efficiency. Implementing a similar institutional framework in India could help achieve the vision of Minimum Government and Maximum Governance.
The DOGE was introduced by the Trump administration shortly after he assumed office, as part of a broader effort to overhaul federal governance. Created through a presidential order, the department was entrusted to Elon Musk, the world’s richest man, whose reputation for innovation and efficiency in the private sector made him a fitting choice to lead such a transformative initiative. The establishment of DOGE quickly became a topic of global debate, as its proposed methods of streamlining governance, such as workforce reductions and contract cancellations, sparked both praise and controversy.
The core mission of DOGE is to ensure the prudent use of taxpayers’ money by eliminating wasteful expenditures and inefficiencies that weigh down federal operations. Trump’s decision to establish this department stemmed from his commitment to tackling the growing fiscal deficit. By curbing unnecessary spending and improving resource allocation, DOGE seeks to uphold the principles of responsible governance while easing the financial burden on the federal budget. Beyond cost-cutting measures, the establishment of DOGE reflects a deeply rooted American tradition of seeking to refine governance structures by dismantling bureaucratic red tape and reducing regulatory burdens. Musk, known for his outspoken views on government inefficiency, has been particularly critical of what he perceives as an overreach by unelected bureaucrats. He argues that layers of regulations, many of which were never subjected to democratic scrutiny, have created a bloated administrative framework that stifles innovation and slows economic growth. By championing a leaner, more agile government, DOGE seeks to break away from entrenched bureaucratic norms and reimagine governance in a way that is more responsive, transparent, and accountable to the people.
What draws India to the DOGE concept?
India’s government is a vast and often inefficient entity, burdened by excessive employment and pension obligations. Currently, it employs approximately 50 lakh individuals while also supporting around 68 lakh pensioners, placing a significant financial strain on taxpayers. A substantial portion of state and central budgets is allocated to salaries and pensions, leaving limited fiscal space for crucial infrastructure and development projects.
A significant challenge arises from the presence of multiple ministries and departments with overlapping responsibilities, leading to administrative inefficiencies and redundant expenses. For instance, the Ministry of Agriculture and Farmers Welfare and the Department of Animal Husbandry and Dairying operate independently, despite their closely related functions within the agricultural sector. This separation causes bureaucratic delays, weakens coordination, and results in unnecessary duplication of resources.
Similarly, some ministries have lost relevance in the modern digital landscape. The Ministry of Information and Broadcasting, originally established to regulate and oversee media operations, now struggles to justify its existence in an era where private players dominate information dissemination, and digital platforms have revolutionized communication. The persistence of such outdated structures underscores the urgent need for governance reforms, streamlining bureaucratic functions, and reallocating resources toward productive and development-oriented initiatives.
Government offices continue to reflect socialist-era inefficiencies, where tasks that require one employee are often handled by ten. Outdated positions, such as district collectors—remnants of colonial administration—persist despite the availability of modern governance tools. According to a 2021 McKinsey Global Institute report, inefficiencies in public service delivery cost India nearly 3% of its GDP annually. Bureaucratic red tape hampers critical policies, including labour reforms and land acquisition, while delays in accessing basic government services further erode public trust in the state.
For India, which allocates a significant portion of its budget to salaries and pensions, implementing DOGE could be a transformative step toward realizing Modi’s vision of Make India Great Again. By eliminating redundant ministries and downsizing overstaffed offices, DOGE could free up substantial financial resources, allowing greater investment in critical sectors such as healthcare, education, and infrastructure. Streamlining bureaucracy would not only enhance service delivery but also curb corruption and improve government responsiveness to citizens’ needs. Additionally, reducing bureaucratic red tape would create a more business-friendly environment, attracting foreign investment and driving job creation. A leaner and more efficient governance structure would also boost India’s Ease of Doing Business rankings, strengthening its position as a global economic powerhouse.
India’s DOGE: A Strategy for Fiscal Responsibility
India has consistently demonstrated its willingness to adopt progressive initiatives aimed at enhancing governance and economic efficiency. Given this proactive approach, the country should seriously consider establishing a dedicated department modelled on a Deshi DOGE. With the central government budgeting over ₹50 lakh crore for the financial year 2025-26, there is a strong case for instituting a structured mechanism to optimize public expenditure and streamline financial outlays.
While the proverb “money saved is money earned” may seem like a cliché, the significance of cost rationalization in governance cannot be overstated. The Indian government, with its 102 departments at the Centre, could achieve substantial fiscal benefits through systematic expenditure reviews and efficiency measures. If the central government successfully implements even a one per cent reduction in expenses, it could result in an annual saving of ₹50,000 crore. Over a five-year tenure, this could translate into a cumulative five per cent reduction, leading to significant financial relief. Encouragingly, state governments could emulate this model by establishing their state-level DOGEs, fostering a culture of responsible fiscal management across the nation.
For this initiative to be effective, the Deshi DOGE must operate independently, free from political and bureaucratic influence that could compromise its objectives. This division must be led by a non-political figure with a strong background in finance, governance, and corporate efficiency. The ideal leadership should come from the private sector, where experience in cost management, financial restructuring, and strategic planning is abundant.
A five-member committee comprising professionals with impeccable credentials should be constituted to oversee the department’s functioning. The composition of this body could be drawn from a panel of retired senior bankers (such as those from SBI and other leading financial institutions), institutional builders, legal experts, and experienced industrialists. The key criterion for selection should be proven expertise in financial management and an understanding of government operations. To ensure accountability and effectiveness, the Deshi DOGE should be answerable only to the Prime Minister. This level of autonomy would enable the division to undertake objective assessments and make unbiased recommendations without the risk of political interference. One of its primary goals would be to analyse the interest payments on public debt, which currently account for nearly 25 per cent of the total budgeted expenditure. By devising innovative strategies for securing better borrowing terms and optimizing debt management, the department could significantly ease the financial burden on the exchequer.
A significant challenge facing the Deshi DOGE would be the meticulous review of the government’s voluminous 300-page expenditure budget. The monitoring of numerous schemes across different departments will also be a complex endeavour. Over the years, multiple governments have introduced a plethora of welfare and development programs, often with overlapping objectives. Rationalizing these schemes under a single, independent expenditure review body would require extensive research, coordination, and restructuring. A key focus of the Deshi DOGE should be to assess the efficacy of various government schemes, identifying redundancies and consolidating programs that serve similar purposes. By streamlining expenditures, the department can ensure that public funds are utilized most effectively, eliminating wasteful spending and enhancing resource allocation.
India has undertaken multiple infrastructure and development projects with the help of soft loans from global financial institutions and foreign governments. These projects are expected to be completed within specific timeframes, but delays often lead to cost overruns, which, in turn, escalate interest payments and disrupt fiscal planning. While the government already has bodies that oversee mega projects, the Deshi DOGE could provide an independent layer of oversight, focusing specifically on curbing unnecessary expenditures and suggesting mid-course corrections where necessary. Infrastructure sectors such as waterways, roadways, power, smaller airports, and ports require continuous scrutiny to ensure timely execution. The Deshi DOGE could play a pivotal role in monitoring these projects, identifying bottlenecks, and implementing solutions to accelerate completion timelines while maintaining cost efficiency.
One of the key areas where the government incurs unnecessary expenses is in the procurement and bidding process for public projects. Traditional bidding systems, such as item-wise costing on a cost-plus basis, often lead to inflated project costs and inefficiencies. The Deshi DOGE should advocate for a transition to performance-based bidding models that emphasize cost-effectiveness and timely project execution. By introducing modern procurement practices and leveraging technology to enhance transparency, the department can help eliminate corruption, favouritism, and inefficiencies that plague government contracting. Encouraging competitive, performance-oriented bidding for infrastructure and development projects could lead to substantial savings and improved project outcomes.
The creation of a Deshi DOGE marks a transformative move toward strengthening financial discipline and governance efficiency in India. By establishing an independent body focused on expenditure review, cost optimization, and project oversight, the government can achieve substantial fiscal savings while enhancing service delivery. With both central and state governments embracing this model, India can set a global standard for transparent and responsible governance. Now is the time to implement this forward-thinking initiative and build a foundation for greater financial prudence and accountability.
India’s path to Minimum Government, Maximum Governance demands bold reforms to eliminate bureaucratic inefficiencies and curb wasteful spending. By streamlining ministries, monetizing government assets, and removing redundant positions, the nation can redirect resources toward development and create a more efficient, responsive, and accountable administration. In the vision to Make India Great Again, adopting DOGE could be the crucial first step in turning this aspiration into reality.
