WB loan for bird flu prevention, procurement transparency
Friday, 27 July 2007
FE Report
The World Bank (WB) will provide US$39.6 million (about Tk277 crore) loan to Bangladesh government to help implement two different projects - one for prevention of avian influenza and the other for making the public procurement modalities more accountable.
Two separate loan agreements were signed Thursday in Dhaka between the Economic Relations Division (ERD) and the WB.
ERD Secretary, Aminul Islam Bhuiyan, and WB's Bangladesh Country Director, Xian Zhu, signed the agreements on behalf of the government and the Bank respectively.
As per the loan agreements, the International Development Association (IDA) would provide $23.6 million (about Tk165 crore) credit for the "Second Public Procurement Reform Project (PPRP-II)" and $16 million (about Tk112 million) for the "Avian Influenza Preparedness and Response Project (AIPRP)".
With the financial support from Washington-based lender for the PPRP-II, the Implementation Monitoring and Evaluation Division (IMED) under the Planning Ministry would work to ensure accountability and transparency in the procurement different ministries, divisions and agencies of the government.
According to sources in the ERD, the government in the first phase has selected four big government agencies -- Roads and Highway Department (R&H), Local Government Engineering Department (LGED), Rural Electrification Board (REB) and the Bangladesh Water Development Board (BWDB) -for improving their accountability in all types of procurement.
Gradually, other agencies of the government will also be brought under the project.
A senior IMED official told the FE that the government would introduce e-governance in the procurement system of R&H, LGED, REB and BWDB with the WB loan.
"Procurement will be done electronically to reduce corruption and establish transparency," he said.
Besides, the Ministry of Fisheries and Livestock will work to prevent avian flu attack in the country's poultry farms and consequential health risks with the WB aided project.
The ERD sources said the project implementing agency would take effective measures to check spread of the avian influenza.
The WB loan would have to be repaid in 40 years with a 10-year grace period. The interest rate of the credit will be 0.75 per cent.
The World Bank (WB) will provide US$39.6 million (about Tk277 crore) loan to Bangladesh government to help implement two different projects - one for prevention of avian influenza and the other for making the public procurement modalities more accountable.
Two separate loan agreements were signed Thursday in Dhaka between the Economic Relations Division (ERD) and the WB.
ERD Secretary, Aminul Islam Bhuiyan, and WB's Bangladesh Country Director, Xian Zhu, signed the agreements on behalf of the government and the Bank respectively.
As per the loan agreements, the International Development Association (IDA) would provide $23.6 million (about Tk165 crore) credit for the "Second Public Procurement Reform Project (PPRP-II)" and $16 million (about Tk112 million) for the "Avian Influenza Preparedness and Response Project (AIPRP)".
With the financial support from Washington-based lender for the PPRP-II, the Implementation Monitoring and Evaluation Division (IMED) under the Planning Ministry would work to ensure accountability and transparency in the procurement different ministries, divisions and agencies of the government.
According to sources in the ERD, the government in the first phase has selected four big government agencies -- Roads and Highway Department (R&H), Local Government Engineering Department (LGED), Rural Electrification Board (REB) and the Bangladesh Water Development Board (BWDB) -for improving their accountability in all types of procurement.
Gradually, other agencies of the government will also be brought under the project.
A senior IMED official told the FE that the government would introduce e-governance in the procurement system of R&H, LGED, REB and BWDB with the WB loan.
"Procurement will be done electronically to reduce corruption and establish transparency," he said.
Besides, the Ministry of Fisheries and Livestock will work to prevent avian flu attack in the country's poultry farms and consequential health risks with the WB aided project.
The ERD sources said the project implementing agency would take effective measures to check spread of the avian influenza.
The WB loan would have to be repaid in 40 years with a 10-year grace period. The interest rate of the credit will be 0.75 per cent.