Saturday, August 04, 2007

New World Bank chief in Cambodia

2007/08/04
By Guy De Launey
BBC News, Phnom Penh


The new president of the World Bank, Robert Zoellick, has arrived in Cambodia, part of his first official visit since replacing Paul Wolfowitz.

Mr Zoellick has praised the rapid economic development of Cambodia and its neighbour Vietnam.

But pressure groups have called on him to use the Bank's influence to reduce corruption and push forward reforms.

The World Bank has had to suspend some of its operations in Cambodia, after allegations of corruption.

Mr Zoellick arrived in Cambodia fresh from meeting Asia-Pacific finance ministers in Australia.

He endorsed calls for more intensive efforts to help poor countries and said the Bank would play a leading role in cutting poverty in half by 2015.

Corruption allegations

Cambodia is a prime candidate for assistance. Four fifths of its people are without access to electricity or running water and more than a third live below the "basic needs" poverty line.

But World Bank operations in the country have not always run smoothly. Last year, the Bank suspended three projects after the discovery of large-scale corruption.

The Cambodian government had to repay millions of dollars. Pressure groups have called on Mr Zoellick to do more than his predecessors in reducing corruption and pressing for reform.

The forestry monitor Global Witness said he should "lay the foundations for the Bank's approach to [corrupt] governments everywhere".

During his visit, Mr Zoellick will meet prime minister Hun Sen and various civil society groups.

He has praised Cambodia's "vibrant economy", but has acknowledged the country faces challenges in building institutions and improving governance.

3 comments:

Anonymous said...

I think this is the time WB needs to put a collar on ah CPP. This is the opportunities before it's too late. If Cambodia becomes financial independent from the offshore revenue & tourism boom, i think ah HunSen will turn around to bite the hands that feeds him.

Mr. Zoellick, i hope your staffs take the heed seriously.

Anonymous said...

It's a good thing that they came. Hopefully this can turn into something positive, like letting the regiem know the WB is checking up on their investment.

Anonymous said...

The World Bank needs to clear out some of the long-term tourists on its payroll here in Cambodia and get some people in who are willing to make waves. Otherwise it will be business as usual.