World Bank Giving Gov't $14 Million
By Erik Wasson and Prak Chan Thul
THE CAMBODIA DAILY
In the wake of the World Bank corruption scandal, the Bank announced Wednesday that it has approved a $14 million grant to the Cambodian government to strengthen its financial management and to help combat graft.
The Public Financial Management and Accountability Project will support revenue management budget formulation and execution, training and merit-based pay for civil servants, as well as being used to strengthen the National Audit Authority, the Bank said in a statement.
"The Government is now working with the Bank to fix the problems of the past and also to adopt new implementation measures to minimize future fiduciary risks," the statement reads.
The Bank added that despite the discovery that 43 Bank-funded contracts worth $11.9 million had been awarded in a corrupt manner, "the procurement process has been streamlined and tightened."
The project was approved by the Bank's Board of Directors in Washington.
"While there has been progress in Cambodia, the governance environment remains extremely challenging," World Bank President Paul Wolfowitz said in the statement.
"We need to continue to take a balanced approach in Cambodia," he added. "Where reformers are moving forward with critical measures, the World Bank will work actively with other donors to support them. But when corruption is found, the Bank needs to work vigorously with the Government to take appropriate actions, so that development assistance ultimately benefits the poor."
The project will be incorporated into an ongoing Ministry of Finance public financial reform program, which the Bank cited for successes including a 20 percent revenue increase from 2004 to 2005.
Government spokesman and Minister of Information Khieu Kanharith welcomed the grant. "We welcome any foreign assistance and do our best to implement it," he said.
He said the government's working relationship with the Bank has not been damaged by the weeks of wrangling over the corruption allegations, which led to three infrastructure projects totaling $71.2 million being suspended on June 6.
"Everything is OK," Khieu Kanharith said. "Despite the allegations and lack of evidence of mismanagement the government is investigating," he added.
Top government officials, including Prime Minister Hun Sen, have repeatedly accused the World Bank of failing to provide evidence to back up their allegations of graft. Responding to the scandal, Hun Sen has also accused donors of double standards and of being condescending toward Cambodia because it is poor.
Ut Chhorn, director of the National Audit Authority, said he could use new financial assistance.
"I heard that they wanted to help a long time ago to strengthen my place," he said, adding that any money would be handled in a responsible manner.
"We have a lot of correct ways to spend it—our team will work very carefully," he said.
Former president of the Center for Social Development Chea Vannath said the NAA needs more than technical assistance.
"The leader needs to announce that he is determined to find the wrongdoers," she said. "That kind of commitment would strengthen the National Audit Authority. It takes political will."
She added that donors need to help the government tackle corruption in the recruitment of government officials, where she said graft begins. "Nepotism, cronyism, corruption, it all begins before the employee starts work," she said. "Ask any student they need to pay bribes just to get a position. It is the case in every government ministry."
Sam Rainsy Party Acting Secretary-General Meng Rita said that given the government's resistance to the Bank's corruption findings, the new donation would likely be a waste. "The roots of corruption in Cambodia are dug in from top to bottom. Giving money now is useless, it is like throwing it away," he said.
The Public Financial Management and Accountability Project will support revenue management budget formulation and execution, training and merit-based pay for civil servants, as well as being used to strengthen the National Audit Authority, the Bank said in a statement.
"The Government is now working with the Bank to fix the problems of the past and also to adopt new implementation measures to minimize future fiduciary risks," the statement reads.
The Bank added that despite the discovery that 43 Bank-funded contracts worth $11.9 million had been awarded in a corrupt manner, "the procurement process has been streamlined and tightened."
The project was approved by the Bank's Board of Directors in Washington.
"While there has been progress in Cambodia, the governance environment remains extremely challenging," World Bank President Paul Wolfowitz said in the statement.
"We need to continue to take a balanced approach in Cambodia," he added. "Where reformers are moving forward with critical measures, the World Bank will work actively with other donors to support them. But when corruption is found, the Bank needs to work vigorously with the Government to take appropriate actions, so that development assistance ultimately benefits the poor."
The project will be incorporated into an ongoing Ministry of Finance public financial reform program, which the Bank cited for successes including a 20 percent revenue increase from 2004 to 2005.
Government spokesman and Minister of Information Khieu Kanharith welcomed the grant. "We welcome any foreign assistance and do our best to implement it," he said.
He said the government's working relationship with the Bank has not been damaged by the weeks of wrangling over the corruption allegations, which led to three infrastructure projects totaling $71.2 million being suspended on June 6.
"Everything is OK," Khieu Kanharith said. "Despite the allegations and lack of evidence of mismanagement the government is investigating," he added.
Top government officials, including Prime Minister Hun Sen, have repeatedly accused the World Bank of failing to provide evidence to back up their allegations of graft. Responding to the scandal, Hun Sen has also accused donors of double standards and of being condescending toward Cambodia because it is poor.
Ut Chhorn, director of the National Audit Authority, said he could use new financial assistance.
"I heard that they wanted to help a long time ago to strengthen my place," he said, adding that any money would be handled in a responsible manner.
"We have a lot of correct ways to spend it—our team will work very carefully," he said.
Former president of the Center for Social Development Chea Vannath said the NAA needs more than technical assistance.
"The leader needs to announce that he is determined to find the wrongdoers," she said. "That kind of commitment would strengthen the National Audit Authority. It takes political will."
She added that donors need to help the government tackle corruption in the recruitment of government officials, where she said graft begins. "Nepotism, cronyism, corruption, it all begins before the employee starts work," she said. "Ask any student they need to pay bribes just to get a position. It is the case in every government ministry."
Sam Rainsy Party Acting Secretary-General Meng Rita said that given the government's resistance to the Bank's corruption findings, the new donation would likely be a waste. "The roots of corruption in Cambodia are dug in from top to bottom. Giving money now is useless, it is like throwing it away," he said.
6 comments:
The World Bank is also corrupted. I would not doubt that the World Bank officials are corrupted Hun Sen.
Many of the officials are married to Asian wives. The husbands to the talking and the wives do the shopping. I believe that some of these officials' wives are close friends to Hun Sen's wife.
With the wine & dine and big price gift. Now Hun Sen has them on a blank list.
These World Bank people are human and can be as easily corrupted as any body else. Now they are on Hun Sen's black list they can't do anything.
USA too?
You and me too? What will you do if Hun Sen put 50 millions USD in you pocket? Even Chenny was quiet when Halliburg did to him. Inspire of billion $$ oil profit, Exxon is getting rich every day while goverment still giving them tax free for oil exploration???????? Money is the root of evil and it will be until the floods, earthquick, and hurricans destroy all humen one day. Happened during Nova, it will happen again. Earth planet will rejuvenate itself in one million years....
What do you expect? This is Westerner Institution! These institution are designed to help Cambodia and the Cambodian people!
Cambodian people need to be patience and show some understanding with time these Western institutions will destroy Cambodia completely! ahahahahah
what you meant be patience,, just know how to write the english language doesn't mean..yu know what's are you talking about?.eeyore!
what is the Wb think!..making some money from the CPP government,,right?,,idiot..what is the world bank anyway?..eeoyre!
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