1) Federal system is a method of distributing powers among the regions within the country.
2) Under this form, the constitution creates government at the regional level and decides the extent of the powers of the regional government.
3) This makes it possible for people of each region to take decision as per their needs.
4) Decisions regarding regions language, culture or local practices are not imposed on any region.
5) It is an important way of maintaining democracy and diversity simultaneously.
6) E.g. India has adopted the federal system.