WB stands ready to help recover stolen assets

FE Report

The World Bank (WB) has underscored the need for credible prosecutions of the several big fishes to enhance the acceptability of the Anti-Corruption Commission (ACC) to public.

"Focusing on credible prosecutions of several big fishes, rather than casting the net too widely, will send the right signals and enhance the credibility of the ACC in the eyes of the public," the WB Vice President, South Asia Region Praful C Patel, told the newsmen at a press conference at Hotel Sheraton in the city Saturday.

Referring to the embezzlement of public money he said: "Stolen assets must be recovered and the WB stands ready to provide assistance in this regard."

"It is vital to unbundled corruption," he said adding, "Corruption is the abuse of public office for private gains."

Hailing the incumbent caretaker government's current initiatives against corruption Patel said: "My visit is taking place at a time when Bangladesh has new hopes and aspirations of a better future for its people."

Patel was talking with journalists after completing his three-day visit in Bangladesh. During his stay, he met the Chief Adviser, Finance and Planning Adviser, senior government officials, development partners, representatives of civil society and non-government organisations (NGOs), the private sector and the media.

Speaking further the senior official of the Washington-based multilateral donor agency said: "What is critical at this stage that investigations and prosecutions are thorough and that due process guarantees are respected."

Comparing the country's present situation with the past the WB top official of South Asia region Patel said: "When I came last year, the media presented me as having said that the ACC was a joke."

"Believe me, ACC is not a joke now," he said.

"Many people whom I have spoken with have been encouraged by its new leadership and the vigorous manner in which it has been pursuing its mandate." Patel added.

He also termed the anti-corruption efforts as vital in the fight against poverty.

The WB top official also blamed the country's confrontational politics and corruption in the past for inhibiting the economic growth.

"Bangladesh's potential growth rate of 8-9 per cent has been hampered in the past by confrontational politics and corruption," said Patel.

Encouraged by the caretaker government's activities the WB top official assured the government of increasing its assistance to Bangladesh over the next few months in order to support key reforms.

"In order to maintain the momentum of the ongoing reforms, we must unlock the disbursement of aid," he said adding, "The WB and its development partners stand ready to provide support to build implementation capacity of line ministries in a timely way."

The power sector, infrastructure (especially the Padma Bridge) and modernisation of agriculture are among the top of the WB agenda.

Increasing electricity generation is vital, he said.

Commenting over the prices of food essentials he said: "Increases in the prices of food essentials have been very much on the minds of the public."

He, however, said: "It is important to understand that the prices of food items and other commodities are for a good part set in global markets and out of the government control."

The WB top official pointed out a comparison of consumer price index (CPI) of Bangladesh with the neighbouring countries to justify his position.

"In March 2007, the CPI in Bangladesh was 7.4 per cent. During the same period inflation rates in India and Pakistan were 7.6 per cent and 7.7 per cent respectively, while in Sri Lanka it was 19 per cent," Patel pointed out.

During the press briefing the IMF Resident Representative Jonathan C Dunn also echoed the same view of the WB top official regarding the price hike of essentials in Bangladesh.

Indeed, there is international component involved to the current surge of inflation, Jonathan said.

The WB top official of South Asia region Patel was also of the opinion that the regional comparisons are no consolation to the poor.

"We therefore commit to working with government to understand different causes of the current inflation situation in order to ensure that the policy measures are appropriate and likely to generate the desired impact," Patel said extending the WB support to contain the price hike of essentials.

Lauding Bangladesh's poverty reduction efforts that reduced poverty rate by about 20 percentage points since 1990, Patel expressed the hope that Bangladesh will be able to meet the millennium development goals (MDGs) of halving the poverty rate 2015.

The WB Country Director in Bangladesh Xian Zhu was also present in the press conference.