[forum-prof] Senate authorizes probe of World Bank programs

[LuizEduardo2]

>
>The Washington Post
><http://subscribe.washpost.com/contactus.nsf/frmsubscribezip?openform&code=wc> 
>
>By Lesley Wroughton
>Reuters
>Friday, September 7, 2007; 6:02 PM
>
>
>
>
>
>Senate authorizes probe of World Bank programs
>
>
>
>
>
>WASHINGTON (Reuters) - The Senate has ordered a congressional 
>watchdog to investigate whether World Bank programs are effective in 
>fighting poverty in developing countries, Senator 
><http://projects.washingtonpost.com/congress/members/b001233/>Evan 
>Bayh said on Friday.
>
>The Senate on Thursday unanimously backed an amendment by Bayh, a 
>Democrat from Indiana, that instructs the Government Accountability 
>Office to assess development projects financed by the World Bank's 
>fund for poor countries.
>
>The bank's International Development Association, or IDA, provides 
>interest-free loans to its poorest borrowers, which requires 
>countries like the United States to restock the fund every three 
>years. Year-long negotiations are currently under way to replenish IDA funds.
>
>The Government Accountability Office probe will also focus on the 
>bank's efforts to fight corruption and whether its mechanisms to 
>measure how effective its program are in fighting poverty are adequate.
>
>"There is a real question as to whether the bank, as currently 
>constituted, is an effective instrument for alleviating poverty," 
>Bayh said in a statement.
>
>"Bank officials are too willing to accept corruption as just another 
>cost of doing business in certain countries."
>
>In addition, the investigation will review the World Bank's lending 
>to rapidly emerging economies like China, India, Russia and Brazil. 
>Some U.S. lawmakers strongly believe the bank should stop financing 
>development programs in these countries that can easily raise money 
>on global markets.
>
>"The vast majority of World Bank lending is in countries that no 
>longer need the bank for development finance," Bayh said.
>
>"Bank leaders are evaluating success based on the volume of loans 
>approved versus the effectiveness of the loans in alleviating 
>poverty. This study could help produce a road map for beneficial reform."
>
>Bayh said the amendment also expressed the Senate's concern that 
>many senior World Bank employees enjoy excessive compensation and 
>benefits and that thousands of bank consultants have annual incomes 
>similar to, or greater than, the incomes of senior staff.
>
>Bayh said there was also concern over the bank's procurement 
>procedures for projects funded by the lender.
>
>U.S. business groups have complained that the World Bank is moving 
>toward adopting a system of bidding rules for projects developed by 
>countries, which would undermine transparency and lead to corruption.
>
>In 2005 the Senate passed legislation threatening to withhold 20 
>percent of international development aid funding if the World Bank 
>adopted less stringent procurement systems, Bayh added.
-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://listas.if.ufrj.br/pipermail/forum-prof/attachments/20070911/3f4c4678/attachment.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: 18d5a0b.gif
Type: application/octet-stream
Size: 1654 bytes
Desc: not available
URL: <http://listas.if.ufrj.br/pipermail/forum-prof/attachments/20070911/3f4c4678/attachment.obj>