Relevance of Kautilya’s Arthashastra in Modern Financial Management and Corporate Governance: A Conceptual Analysis

सार

The increasing complexity of contemporary business environments has augmented the need for ethical governance, financial discipline, and sustainable economic practices. Despite the evolution of modern financial systems and regulatory frameworks, corporate failures, governance lapses, and financial irregularities continue to challenge organizations globally. In this context, revisiting ancient Indian economic thought provides valuable insights for addressing these issues. Kautilya’s Arthashastra, a seminal treatise on statecraft, economics, and governance, offers a comprehensive framework for financial administration, taxation, auditing, and ethical governance.

This study aims to analyze the relevance of Kautilya’s principles in modern financial management and corporate governance through a conceptual and analytical approach. Based on secondary data from classical texts, academic literature, and contemporary governance frameworks, the paper establishes a comparative linkage between ancient principles and modern practices. It highlights that Kautilya’s emphasis on accountability, transparency, efficient resource management, and welfare-oriented policies aligns closely with modern corporate governance standards and sustainability frameworks.

The study concludes that integrating Indian Knowledge Systems (IKS) with contemporary management practices can significantly enhance organizational efficiency, ethical decision-making, and long-term value creation. It also underscores the relevance of indigenous knowledge in shaping sustainable and inclusive economic models, contributing to the broader vision of Viksit Bharat @2047.