TIB concerned over WB stance on PPA amendments

FE Report

Transparency International Bangladesh (TIB) Wednesday expressed concern over the World Bank's stance on the amended public procurement policy, saying the measure would be counter-productive and only punish the country's people.

The anti-poverty lender has asked Bangladesh to put on hold all local procurement activities under WB-financed projects since the amendments made to the Public Procurement Act (PPA) 2006 are not consistent with its procurement guidelines.

In a letter to Finance Minister AMA Muhith, the WB has suggested that Bangladesh government "temporarily" suspend all local procurement activities under projects financed by WB until the financing agreements concerned are "amended with agreed new parameters" in order to minimise any possible disruption in project implementation.

TIB is also opposed to the amendments introduced by the government. At the same time, it said: "TIB sees no justification for suspension of flow of funds for project implementation, which will not help devel-

opment efforts and prevent corruption."

"The World Bank measure, if enforced, will be counter-productive and will only punish the people for no fault of theirs," the corruption watchdog said in a statement.

TIB executive director Dr Iftekharuzzaman said the World Bank stance smacks of "chopping off the head because of a headache".

"Instead of using such unreasonable and unwarranted threats the Bank should engage more closely as a partner with the government and other stakeholders to review the amendments."

The Bank should also take greater responsibility in ensuring transparency, integrity and accountability in various stages of project implementation funded by it, he said.

"If the WB can spend millions for consultancies that are often not only debatable, but also considered to be among factors behind misuse of funds and corruption, why as an inter-governmental funding organisation, it does not contribute to building capacities to prevent corruption in various stages and processes of project implementation?" he questioned.