Policy analysis is crucial in governance as it provides a systematic approach to evaluating the effects and implications of proposed or existing policies. By assessing data, outcomes, and stakeholder impacts, policymakers can make informed decisions that enhance effectiveness and promote the public good. It helps identify potential problems and offers evidence-based recommendations, thereby facilitating better governance and resource allocation. Moreover, policy analysis contributes to greater accountability by allowing for scrutiny of policies' performances and outcomes, ultimately improving the responsiveness of government to societal needs.