MANILA, PHILIPPINES - The Asian Development Bank (ADB) is assisting Nepal in combating corruption by strengthening the capacity of concerned government institutions in fulfilling their respective mandates. The assistance is in line with the objectives outlined in the economic development plan of the impoverished South Asian nation.

“Good governance and strong institutions are central requirements for poverty reduction and economic growth. Effective anticorruption measures are at the core of good governance, as corruption erodes confidence in public institutions, depresses investment, slows development, and worsens poverty,” said Gambhir Bhatta, senior governance specialist of ADB’s South Asia Department.

The Technical Assistance to Nepal for Support to Anticorruption Institutions promotes good governance through stronger action against corruption in the public sector and greater accountability and transparency in government operations and service delivery. By reducing corruption and improving governance, ADB and Nepal hope to contribute to economic growth, poverty reduction and better development outcomes in the country.

ADB will provide a $400,000 grant for the project, estimated to cost $475,000. The government will cover the balance.

Improving governance and anticorruption practices is especially important for Nepal in its quest for sustainable development as outlined in the country’s Tenth Plan. With per capita income of about $311 a year and poverty incidence of 38%, Nepal is one of the poorest countries in the world.

In 2007, Nepal was also perceived to be the 131st most corrupt country among the 179 included in the cross-country database compiled by Transparency International. Public expectations of how government officials should behave and how they should address the needs of the masses have risen considerably. A renewed focus on effectively addressing the corruption problem has accompanied these rising expectations.

The government has identified five institutions for the project. The first is the Commission for the Investigation of Abuse and Authority. The second is the Special Court, which prosecutes corruption cases. The third, National Vigilance Centre, primarily monitors asset declarations of public officials. The fourth is the Office of the Auditor General, a constitutional body that conducts independent audits and evaluations of public resource use and promotes and upholds public accountability. The fifth institution is the Public Accounts Committee, a select committee of the House of Representatives that examines the Public Accounts and the Report of the Auditor General to reduce misuse and abuse of public funds.

“These institutions play an important role in curbing corruption in Nepal. However, considerable work is required to improve their capacity, professionalism and outreach,” said Mr. Bhatta.

Source:http://www.adb.org