ADB Calls Economic Change ‘Remarkable’ Turnaround

A review of the government suggests Cambodia is on a “re­markable economic turnaround” in its effort to end poverty and establish laws to protect property, according to the Asian De­velopment Bank .

The government also made progress battling low-level corruption among poorly paid officials by offering a 10 percent pay increase, the ADB said.

“Cambodia has made a very important turnaround in terms of establishing peace and security and a good foundation for an expanding economy,” Clay West­cott, a senior ADB expert on public administration, told The As­sociated Press in Manila. He added that “there are many more steps that need to be taken to in­stitute a truly sound governance.”

At least one person agrees with him on that point.

Chea Vannath, president of the Center for Social Development, said corruption is an epidemic in Cambodia.

“It’s widespread everywhere,” she said. “The effort made by the government [to end corruption] is way behind the magnitude of the spread of corruption.”

Westcott said the study, conducted by the Cambodia Devel­opment Resource Institute and the ADB, cited three challenges facing Cambodia’s leaders:

• Strengthen those parts of the public sector that monitor the government by creating an independent auditor and a more independent judiciary, for example.

• Spread the reform process across the government, private sector and civil society to ensure it succeeds as initial efforts bring unpopular consequences.

• Create local governance, again to ensure that much-needed reforms occur.

The ADB also assisted with similar studies in Laos, Vietnam and Thailand, Westcott said. Addi­tional studies on Bang­ladesh, Nepal and Pakistan are nearing completion. The studies come as the ADB moves to a new policy of linking government performance with the amount of ADB received.

“This should be a powerful incentive to improve governance performance in a country like Cambodia where international donor assistance is equivalent to 14 percent of gross domestic product,” an ADB statement said.

Chea Vannath said the ADB should continue to fund poverty alleviation efforts here, but with careful controls. “Give the mon­ey, but with strong regulations to make sure the money goes to poverty alleviation,” she said.

Urooj Malik, the ADB representative for Cambodia, was out of the country and unavailable for comment.

 

 

 

 

 

 

 

 

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