Federalism

(i) Locals have better knowledge : The basic idea behind decentralisation is that there are a large number of problems and issues which are best settled at the local level. People have better knowledge of problems in their localities. They also have better ideas on where to spend money, and how to manage things more efficiently.
(if) Direct participation of the people : Decentralisation makes it possible for the people to directly participate in decision making. This helps to inculcate a habit of democratic participation. The Local government is the best way to realise one important principle of democracy, namely the Local Self-Government.
(iii) Foundation of democracy : Local governments are most important in a democratic system. These are training schools for local citizens and local leadership. These provide political education. The people get familiar about the electoral process, and the proper use of their vote, which is the very foundation of democracy.
(iv) Reduction of burden of the Central Government : It reduces the burden of the Central or State governments. These can concentrate on matters of national or state importance in a better way. In this way, the Local Self-Government ensures efficiency everywhere, at all the three levels of today's governance. Indian leaders have recognised the need for decentralisation.
(v) Women empowerment : At least one-third of all positions are reserved for women in all the local bodies. This has lead to women empowerment.