Monday, August 21, 2006

[Uzbekistan] ADB launches second governance and anticorruption action plan

from UZ Report

ADB today launched a government and anticorruption action plan which aims to improve the effectiveness of ADB's development assistance and to contribute to poverty reduction throughout the region.

ADB is committing US$4 million to support initial implementation of the new plan, which follows a comprehensive review of the implementation of ADB's first action plan, adopted in 2000, and will enable developing member countries in partnership with ADB to design and deliver better quality projects and programs.

Under the new plan, called the Second Governance and Anticorruption Action Plan, borrowers will be required to make public all contract awards, and to publish on ADB's website all contracts over $1 million. Facilities to report allegations of fraud and corruption will also be improved.

"Corruption and weak governance deter investment, waste resources and distort their allocation. They undermine the credibility of public authorities and the effectiveness of institutions. And it is the poor who suffer most of the consequences of weak governance," says ADB Vice President Geert van der Linden.

"ADB is committed to working with the countries in the region to improve governance, strengthen institutions and fight corruption. We see this as an integral part of reducing poverty in the Asia and Pacific Region"

The new plan, guided by the priorities of ADB's recently adopted Medium-Term Strategy II, focuses on four key areas:

* Improving the assessment of the risks that poor governance, weak institutions and corruption represent for a country's social and economic development
* Ensuring that risks are taken into account when projects are designed
* Improving the work that is done with executing agencies to minimize the risks when projects are implemented
* Upgrading ADB's ability to deal with governance issues by improving the skills of its staff and adopting better operational practices

"ADB believes that to effectively address the development needs of the region and, ultimately, to reduce poverty, it is important to commit to a long-term process of working with governments to improve governance and reduce vulnerability to corruption," says Kathleen Moktan, Director of ADB's Capacity Development and Governance Division.

Beyond the initial US$4 million, ADB is also investing US$1 million in the first 12 months of the plan's implementation to improve systems and processes; and introduce new governance, institutional, and corruption risk management systems. The action plan confirms ADB long-standing policy of not tolerating corruption in ADB-financed projects or its staff. ADB support governments' efforts toward effective and transparent systems for public service, anti-bribery and business integrity, and active public involvement in the fight against corruption.

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