Observing that there is no substitute to good governance, Prasad said people are beginning to recognise performance.
"Why is it that amid the gloom there are states which are recording a growth record of 10 per in comparison to the national negative growth rate. This is because of good governance," he said.
People are beginning to recognise performance. Those who perform are being rewarded. Those who don't are being shown the door, he said while addressing the Annual General Body meeting of Confederation of Indian Industry (CII) here.
"I am of the considered view that good governance is the link between good economics and good politics. But nothing would suffice unless delivery would be good," he said.
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He said the growth momentum initiated during the NDA regime in sectors such as telecom and highways had slowed down as the present dispensation has failed in providing good governance.
He also raised the coal block allocation issue and said the growth in the real estate sector has also "come under serious suspicion" in the wake of charges of irregularities and nepotism.