Wednesday, June 20, 2007

Donors Criticize Cambodia over Widespread Corruption

June 20, 2007
By Ker Munthit/AP Writer/Phnom Penh

Foreign donors castigated Cambodian Prime Minister Hun Sen's government for failing to tackle chronic corruption, but were still expected Wednesday to pledge new aid to the impoverished country.

Cambodia, o­ne of the world's poorest countries, is seeking US $689 million in development aid for 2008, according to a government document.

It is not clear yet exactly how much it will get. Government officials and donor representatives were set to end a two-day meeting Wednesday with an announcement of hundreds of millions of dollars in new aid.

Donors pledged $601 million to the government last year.

The meeting came after a barrage of criticism that the government has endlessly reneged o­n promises to control corruption, illegal logging and land grabbing by well-connected businessmen.

Ian Porter, World Bank country director for Cambodia, noted in a speech Tuesday that the country's troubled past has resulted in weak governance and "high levels of corruption."

Although there has been notable progress in the economic and social arenas over the past year, he said "other areas remain stagnant" and "remaining problems, particularly in the area of governance, become even more serious impediments."

The passage of anti-corruption laws, which was supposed to happen a year ago according to the government's original indications, still remains the "highest priority" for the donors, US Ambassador Joseph Mussomeli said in a speech Tuesday.

"The delays in its enactment do not well serve the interests of the Cambodian people," he said.

The government should remove any obstacles for passing the law, said a statement from the NGO Forum, an umbrella of private organizations in Cambodia. It also urged the government to conduct systematic reporting of corruption cases, especially those involving public officials.

Human rights and environmental groups have repeatedly alleged that Hun Sen has ignored the concerns of donors, who have repeatedly criticized government abuse but have so far refrained from punishing the government by cutting off funds.

Cambodia was ranked No 151 among the 163 countries in Transparency International's 2006 "corruption perceptions index." Transparency International is an international non-governmental agency.

In asking for more aid Tuesday, Hun Sen took aim at the donors for casting doubt o­n his government's ability to manage prospective windfall revenues from oil and gas. If oil production starts, Hun Sen said his government will use the revenues "efficiently, transparently and accountably."

A recent offshore oil discovery by US energy giant Chevron Corp has prompted concerns that corruption could worsen in Cambodia if oil money starts pouring in, even though it is still unclear if the find would be commercially viable.

Hun Sen also said his administration remains firmly committed to enacting an anti-corruption law, an often-repeated promise he has yet to fulfill.

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