Money Talks
In a recent posting on the World Bank’s decision to halt lending to Uzbekistan, James remarked,
“For countries as mired in corruption as Uzbekistan, it is impossible to ensure that loans and grants made directly to the government for development projects are well spent. Therefore, it makes more sense to offer more targeted assistance, and save broader assistance as a carrot for when Uzbekistan cleans up its act a bit.”
Well, the World Bank isn’t the only show in town, as the funding package announced by the Asian Development Bank (ADB) demonstrates. The directors of the ADB have much the same concerns as those at the World Bank:
“In a discussion of the strategy, several members of ADB’s Board of Directors underscored the need for a robust approach to improve governance and combat corruption in Uzbekistan.”
Moreover, a visit to the Uzbekistan page at the ADB website appears to indicate that ‘targeted assistance’ is very much the order of the day.
on March 26th, 2006 at 3:19 pm
Hi,
I advise you to see this. http://www.worldbank.org.uz/WBSITE/EXTERNAL/COUNTRIES/ECAEXT/UZBEKISTANEXTN/0,,contentMDK:20855428~menuPK:294193~pagePK:141137~piPK:141127~theSitePK:294188,00.html
It said World Bank has problems with its resources, not corruption in Uzbekistan or fear that credits will be used untarget.
I want also note that Uzbekistan gets loans/credits, which should be rapayed at some time and the country officials are not interested to waste funds. They try to use them carefully, even too carefully, to achieve effectiveness.
Besides, it was clear in May 2005 that some countries will loss fundings from World Bank after new president of the bank was appointed. Not only Uzbekistan lost fundings, but some more countries, who is against the US policy.
Paul Wolfowitz is man of the US and he will work with Bush administration to close fundings to those who is against them.
I think World Bank and other international financial institution do not really assist countries, but they try to destroy economies.