0

10

20

30

40

50

60

70

80

90Singapore

Chile

Malaysia

India

Bangladesh (1)

Pakistan

Transparency International 2001 Ranking

Finland

0

5

10

15

20

25

30

35

40

45

50

Singapore

Chile

Malaysia

India

BangladeshPakistan

Transparency International 1996 Ranking

GNP Per Capita Sensitivity

150250350450550650750

FY75 FY80 FY85 FY90 FY95 FY97

Estimated GNP per capita with low corruption

Actual GNP per capita

Institutional & Governance Institutional & Governance Review Review

Anti-Corruption ReportAnti-Corruption Report Financial Accountability Financial Accountability

AssessmentAssessment Procurement AssessmentProcurement Assessment Survey on Urban Service Survey on Urban Service

DeliveryDelivery Survey of households, Survey of households,

businesses and civil servants on businesses and civil servants on governance-related issuesgovernance-related issues

Energy Sector Energy Sector Financial SectorFinancial Sector Education Education

SectorSector Health SectorHealth Sector

Role of state: wide-scale Role of state: wide-scale nationalization post-nationalization post-independenceindependence

Tight control over resources by Tight control over resources by the elite – patronage network the elite – patronage network dating back to the military dating back to the military dictatorshipdictatorship

Heavy reliance on personal Heavy reliance on personal networks, resulting in pervasive networks, resulting in pervasive patron-client relationshipspatron-client relationships

Well organized interest groups Well organized interest groups influence political decisionsinfluence political decisions

Significant discrepancy Significant discrepancy between private agendas and between private agendas and public agendaspublic agendas

The poor lack “voice” and The poor lack “voice” and often have to attach often have to attach themselves to a patron to themselves to a patron to survivesurvive

Grudging acceptance of the Grudging acceptance of the growing plunder of state growing plunder of state resourcesresources

Confrontational political Confrontational political environmentenvironment

Internal organization of the Internal organization of the major political parties major political parties controlled by a handful of controlled by a handful of leaders, who are often leaders, who are often dictatorial and discourage dictatorial and discourage dissentdissent

The judiciary: recourse to The judiciary: recourse to courts is costly and riskycourts is costly and risky

Deteriorating law & order: Deteriorating law & order: police as predators not police as predators not protectorsprotectors

Politicization and corruption Politicization and corruption of the civil serviceof the civil service

Reorient the role of Reorient the role of GovernmentGovernment

Energize administrative reformEnergize administrative reform Strengthening systems of Strengthening systems of

accountability: parliament, accountability: parliament, C&AG, police, judiciary C&AG, police, judiciary

DecentralizeDecentralize Strengthen civil societyStrengthen civil society

World class non-governmental World class non-governmental organizations (BRAC, Grameen, organizations (BRAC, Grameen, etc)etc)

Emergence of a new breed of Emergence of a new breed of private sector entrepreneurs private sector entrepreneurs

Growth of independent Growth of independent research organizations and research organizations and think tanksthink tanks

Rapid expansion of basic Rapid expansion of basic education education

Thriving and increasingly Thriving and increasingly independent pressindependent press

Awami League defeated in Awami League defeated in national elections in October national elections in October 20012001

BNP coalition elected with a BNP coalition elected with a two-thirds majority: ran on a two-thirds majority: ran on a platform to improve platform to improve governance and law and ordergovernance and law and order

Approved publication of Approved publication of several governance-related several governance-related documents documents

Discussions underway to Discussions underway to support a “Governance support a “Governance Improvement Credit”Improvement Credit”

PROSHIKA (A large PROSHIKA (A large Bangladeshi NGO)Bangladeshi NGO)

40 Community-Based 40 Community-Based OrganizationsOrganizations

Survey & Research Systems Survey & Research Systems (SRS)(SRS)

Public Affairs Center Public Affairs Center (Bangalore)(Bangalore)

AUSAID, CIDA, Netherlands, UNDP and USAID