World Bank: Management Controls Stronger, But Challenges in Fighting Corruption Remain
Abstract
Concerns about corruption have intensified in recent years as there is a growing realization among international financial donors, including the World Bank, that corruption may undermine development by deterring investment and growth and exacerbating poverty Although no Bank-wide estimates of the magnitude of this problem have been developed, levels of corruption vary from country to country. World Bank staff estimated that in one large borrowing country, about 20 to 30 percent of all development funds, totaling several billion dollars each year, had been systematically diverted. The Bank requires borrowers to establish and maintain effective management controls over project funds and to implement projects. For example, borrowing agencies are required to produce a variety of financial and progress reports and to arrange for regular, independent project audits. For its part, the Bank exercises oversight of project implementation through a variety of control activities, including review of financial statements and audit reports, prior review of many procurement actions, and review of the eligibility of many project expenditures.
Document Details
- Document Type
- Technical Report
- Publication Date
- Apr 01, 2000
- Accession Number
- ADA376013
Entities
Organizations
- United States Government Accountability Office