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Capacity Enhancement Program on Controlling Corruption and Improving Governance for Thailand

Capacity Enhancement Program on Controlling Corruption and Improving Governance for Thailand. World Bank Institute María González de Asís September 2008. Points for discussion.

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Capacity Enhancement Program on Controlling Corruption and Improving Governance for Thailand

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  1. Capacity Enhancement Program on Controlling Corruption and Improving Governance for Thailand World Bank Institute María González de Asís September 2008

  2. Points for discussion • Why should we care about information, transparency and accountability? What is the impact of corruption on service delivery? • Key concepts: governance, information, transparency accountability, coordination, patronage, nepotism • Why you should measure corruption? • You can have impact but the solution is in all of us: government, communities, private sector, international organizations. • What is this program about? • Tools to improve information, transparency and accountability

  3. 1. Why should we care about information, transparency and accountability? Public institutions are vulnerable to C when they: • Have direct interactions with citizens/private sector • Manage discretionary power • Manage public budget for large projects • Do not have any complaining mechanism in place • Have a bureaucratic culture and practice built on personalistic ties • Do not have any information system in place

  4. 1. Why should we care about information, transparency and accountability (continued)? According to research in different regions it is estimated that as a result of corruption : • In Asia…. • In Latin America… • In Africa… Conclusion: Corruption distorts the allocation of social resources: the diverted funds could be used for schools, roads, security, social services, certainly corruption has a direct impact on investment, economic growth, efficiency, and equity.

  5. Why should we care? Corruption is not just a developing country problem Percentage of firms that pay public procurement kickbacks by country Source: “Are Foreign Investors and Multinationals Engaging in Corrupt Practices in Transition Economies?” by Kaufmann, Hellman, Jones, in Transition, May-June 2000. Note: Survey Question was “How often nowadays do firms like yours need to make extra, unofficial payments to public officials to gain government contracts?” Firms responding “sometimes” or “more frequently” were classified as paying kickbacks. These figures are subject to significant margins of error and thus should be regarded as approximate.

  6. Corruption poses three risks Organizations Development Effectiveness Risk Reputational Risk Fiduciary Risk

  7. 2% 1.5% 1% 0.5% 0% -0.5% -1.0% -1.5% Why should we care? Good Governance matters for investment and growth Income per capita Growth Rate % Investment share in GDP 20% 15% 10% Medium Low High High Medium Low Governance Quality Governance Quality measured by perception of 4000 firms in 67 countries on: (i) protection of property rights; (ii) judicial reliability; (iii) predictability of rules; (iv) control of corruption. World Development Report Survey 1997

  8. What is the WB doing to fight corruption? Atthe country level In projects In partnerships

  9. 2.Key Concepts • Governance • Information • Transparency • Accountability • Corruption

  10. Governance and Corruption Not the same thing! “The manner in which public officials and institutions acquire and exercise the authority to shape public policy and provide public goods and services,” Refers not only to the functioning of central government administration, but also to the way services are delivered and public resources management Governance Corruption Abusing public office for private gain

  11. What do we understand by corruption? Administrative Corruption Nepotism & Patronage State Capture

  12. 3. Why should you measure corruption? (Percentage of users of administrative procedures -Permits and Licenses) Fuente: González, María (2000). Reducing Corruption at the Local Level

  13. Significant changes in voice and accountability (1998-2007) Significant reduction (selected countries) Little change Significant improvements (selected countries)

  14. 4. The solution is in all of us: Where to start? # Entry Points Citizens/Firms Political Accountability Effective Public Sector Management Formal Oversight Institutions • Civil Society & Media Private Sector Interface Citizens/Firms Citizens/Firms Decentralization and Local Participation Citizens/Firms Good Governance has many entry points

  15. 5. What is this program about?

  16. Capacity Enhancement Program How to control corruption and improve governance in Thailand Session 1 The importance of good governance and the impact of corruption Session 7 Designing a strategy/action plan Action plan Session 6 Tools to improve inter-agency coordination Session 2 Tools for diagnostic analysis Session 4 Tools to improve information and civil society participationg

  17. How to design an action plan A step by step process Finalization (timeline, roles, indicators) Selection of Governance tools Diagnostic analysis Identifying gaps and challenges

  18. What tools can be used to improve information, transparency and accountability?

  19. Tools Civil Society Oversight; transparent, competitive procurement (Slovakia) Transparent, competitive e-procurement (LAC) Strengthening Supreme Audit Institutions (Hungary) Strengthening Public Accounts Committees (Kenya, Ghana, Zambia -- AFR) Procurement oversight by CSOs (Philippines) Accountability, Transparency & Integrity Project (Tanzania) Strengthening Public Accounts Committees (India) Participatory Budgeting, Puerto Alegre (Brazil) Public Expenditure Tracking & Information Campaigns (Ghana, Madagascar, Mozambique, Peru, Senegal, Tanzania, Zambia) Key Issue: Instruments to Support Demand-side Interventions

  20. Program Objectives • Develop a common understanding of AC and Governance • Learn diagnostic, monitoring and evaluation tools • Identify concrete tools for improving information flow, transparency, accountability and coordination. • Share initiatives • Design an AC to improve Information, Transparency, accountability and coordination

  21. Program Outputs • One action plan (matrix) from each WORKING GROUP to improve governance in the Civil Service • Recommendation for one tool/strategy to improve information, transparency and/or accountability by AGENCY • Proposal for improving the current governance challenges that Thailand is facing

  22. Governance websites World Bank Institute - Governance http://www.worldbank.org/wbi/governance/esp/ Specific data http://www.worldbank.org/wbi/governance/datasets.htm GAP Program website http://www.ruv.itesm.mx/portal/promocion/ds/dtbg/

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