Government falls short on transparency for foreign-financed projects

1 September 2024 01:09 pm Views - {{hitsCtrl.values.hits}} 21 Bookmark

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Colombo, September 1( Daily Mirror)- Large infrastructure projects in Sri Lanka, often funded by foreign loans and grants, are legally required to disclose information online when the amount exceeds USD 100,000, Verité Research said in a statement.

However, compliance with this law remains poor. In 2024, the government disclosed only 40% of the required information on such projects.

This finding was highlighted in the 2024 update of Infrastructure Watch, a dashboard on Public Finance.LK, Sri Lanka’s leading economic insights platform.

This platform has been tracking government adherence to the RTI Act's proactive disclosure requirements since 2022.

Corruption in public spending is frequently associated with public procurement, and the dashboard revealed that the disclosure of procurement-related information for foreign-financed projects was even lower—only 20% of what the law mandates.

Economist and Director at Verité Research, Subhashini Abeysinghe said that foreign lenders could enhance transparency by linking project financing to government compliance with the Right to Information Act.

She said that improved transparency benefits not only the Sri Lankan public but also the lenders and contractors involved in these projects.

"Greater transparency fosters fair competition, reduces corruption risks and minimises reputational risks for lenders and contractors," Abeysinghe said.

Section 9 of the RTI Act, along with guidelines from the RTI Commission, mandates the proactive disclosure of information under five broad categories: project details, rationale and beneficiaries, budget and financial details, approvals and clearances and procurement and contracts.

The 2024 assessment looked at compliance in relation to 50 large infrastructure projects. The dashboard can be accessed by visiting https:// dashboards.publicfinance.lk/infrastructure-watch/

Comments - 21

Public Must Know Fine Details of Loans and Projects Undertaken Sunday, 01 September 2024 02:09 PM

That’s why it’s paramount to have a forensic audit to be carried out. The public should know who owns or leases the various projects and if it’s foreign, on its duration too. Also, amount of local loans, foreign loans, yearly interest being paid and how much more future loans needs to be taken to keep the country a float till steady income with a reasonable tax rate can be achieve. Hopefully the next government can list out these so the public has an idea how things are and how long the restructuring period may take.

1 37

Jith Jayasundara Sunday, 01 September 2024 02:46 PM

I invite you to also look at the outcome of the World Bank-financed Early Childhood Development Project. A $50 million loan that had very little impact.

0 17

Kays Sunday, 01 September 2024 03:09 PM

Could Veritè list the large foreign funded projects that were started from 2022? The public assumes that even funding previous projects were stopped.

1 21

Ram P Sunday, 01 September 2024 03:53 PM

A Government that is not transparent on the foreign financed projects as required, is headed by the Presidential candidate Ranil. Should people vote for a person who hide figures of foreign funded projects? Figures are hidden due to commission issues.

0 17

Rip Winkle Sunday, 01 September 2024 05:24 PM

Under Ranil, corruption will not simply continue but shall increase to disastrous proportions. There's no guarantee that corruption will be eliminated under a different leadership but it definitely would not be as bad as it is right now.

0 23

NPP supporters Sunday, 01 September 2024 05:52 PM

not all falling but stealing with all commissions on all projects . This country is bankrupted by all those in power. Let us have real change and vote for NPP.

1 16

wickrama Wijayasiri Sunday, 01 September 2024 05:54 PM

This is a MR clan staple.

1 10

Dilakshan Seneviratne Sunday, 01 September 2024 07:01 PM

This is not surprising, it’s the norm in SL. Btw, the dashboard cannot be accessed by the link given. To have transparency and accountability for project finance, a government that will adhere to those principles must be in place. All previous governments have misused their powers to rob from these projects. The heads and the cronies beneath, robbed together. Only a NPP government could be expected to behave differently, as specified in their policies. We have no alternative but to trust them to deliver on this front, after hearing them out loud and clear.

2 13

Buddhist Sunday, 01 September 2024 07:11 PM

Ranil always facilitates such actions. He has done this with Central Bank robbery, medical purchases from India, Petrol and Gas purchases, etc. This is the way he collects money for his election campaign.

0 20

Navi Sunday, 01 September 2024 09:42 PM

This is the curse befallen SL.

0 13

THE FOX MAY BE EDUCATED AND SMART, BUT HE HAS NO GUTS AND BACKBONE TO CALL AN ACE AN ACE AND A SPADE A SPADE, PUPPET TO THE RAJAPASKE'S Sunday, 01 September 2024 09:56 PM

AS PER USUAL THE PEOPLE ARE LEFT IN THE DARK, SLPP GOVT IS AT IT'S TRICKS AGAIN AND WE MUST BLAME RANIL, HE HAS NO CONTROL OVER GOVT, OTHER THAN TO INTERFERE WITH THE SUPREME COURT AND SPIN HIS ELECTION PROMISES THAT IS ALL TALK AS WE SEEN NO ACTION TO THE THREE WHO BROUGHT DOWN THE COUNTRY TO ITS KNEEW WITH THE HELP OF THEIR STOOGES AND FEATHERED THEIR NEST, THEIR FAMILIES AND STOOGES. TIME TO WIPE THIS GOVT OUT AND BRING IN A NEW YOUNG PRESIDENT WHO NOT ONLY CARES ABOUT THE COUNTRY AND ITS PEOPLE BUT NOT CORRUPT AND WILL WIPE OUT CORRECTION TOO ND CLEAN OUT THE PUBLIC SECTOR, TOO MANY CORRUPT POLITICIANS AND PUBLIC SECTOR STOOGES ND CORRUPT ONES TOO. VOTE ACCORDING TO ONES OWN CIRCUMSTANCE AND KICK THIS GOVT OUT OF POLITICS PERIOD.

0 15

Gt Monday, 02 September 2024 01:00 AM

These thieves should repay debts out their own pockets why should the poor have to suffer for these thieves commissions and siphoning of funds

0 0

Kevin Monday, 02 September 2024 03:27 AM

No surprise at all. SL understates loans and borrowing. Especially foreign borrowings. This is to mislead people and foreign investors. Some people are misled but certainly not foreign investors - not much foreign investment in the past 5 years and this trend continues. Even state owned asset sales at fire-sale auction prices failed to find buyers.

0 0

Silva N Monday, 02 September 2024 04:14 AM

Dear Voters, please think twice before you exercise your vote in the forthcoming Presidential election. This is a result of Ranil and Rsjapakse clan malpractices to benefit from commissions. They will continue the same if elected.

0 0

Bandara Gamaga Monday, 02 September 2024 04:54 AM

So what can the citizens do when the government is not disclosing required information. Does the courts need to get involved. With the problem suggest solutions

0 0

Rajan V Pillai Monday, 02 September 2024 05:32 AM

Transparency in thiese projects will expose large number of deeds like Hon. Fowzie did and for which he was punished.

0 0

Sinna Monday, 02 September 2024 06:40 AM

Couple of months ago non other than former president MS accused his predecessor MR stole whole loan amount borrowed for higher interest from Chinese bank, in the name of developing Nilwala river basin ,which kills a lot of people due to its ruthless floods,instead using it for the purpose, MR deposited whole amount in Nipama rajapaksha’s name ,revealed,according to Pandora papers,without spending a dollar for people's sake ,I invite people of Matara, to stand against this crime

0 0

M Fernando Monday, 02 September 2024 07:17 AM

How dare this two-cent research firm imply that the RW government is not transparent.

0 1

Jude Monday, 02 September 2024 07:45 AM

Let me give you an classic example of foreign funded projects, yeah building expressways in SL. A professor at Katubedda (Moratuwa) university did a extensive study of cost factor in building expressways, Now here's his figures, some highways built at $1 million per km and some are high as $55 million per km. Now I wonder the latter Paved in Gold.,!?? This same professor happens to be a consultant for These projects. The professor an expert in infrastructure building especially expressways.

0 0

Yehiya Zavahir Monday, 02 September 2024 08:47 AM

We hope Ranil will do the legal frame work to end the corruption but it not easy to eradicate corruption in Sri lanka. All stages corruption are there. From office peon to Ministers secretory no trustworthy. Not limit to major project. From gramasevaka to provincial council minimize the interface

0 1

Hadira Monday, 02 September 2024 08:58 AM

Government must immediately inform the general public why RTI acts are not fully adheard with regard to foreign founded projects above 100 million dollars. This is a serious allegation that must be cleared soon in view of the Presidential Election

0 0

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