Diagnosing Corruption in Ethiopia Perceptions, Realities, and the Way Forward for Key Sectors

by Plummer, Janelle

• ISBN13: 9780821395318
• ISBN10: 0821395319
• Format: Paperback
• Copyright: 2012-07-06
• Publisher: World Bank Publications

Summary

For decades, corruption in Ethiopia has only been discussed at the margins. Perhaps because many have not experienced corruption as a significant constraint to their lives and businesses, or perhaps because a culture of circumspection has dampened open dialogue, Ethiopia has neither seen the information flows nor the debate on corruption that most other countries have seen in recent years. This study attempts to fill this information gap. Conducted by the World Bank (with financial support from the UK, the Netherlands and Canada) in conjunction with the Federal Ethics and Anti-Corruption Commission of Ethiopia (FEACC), the study is an independent overview of corruption. It attempts to map the nature of corruption in eight sectors in the country. The studies focuses on three key objectives: (i) to develop sector frameworks that enable mapping of the potential areas of corruption on a sector-by-sector basis; (ii) to map the different forms, and types of corrupt practices in the selected sectors; and (iii) to consider the higher risk areas and identify appropriate sector or cross cutting responses for Government and other stakeholders. The sectors covered are health, education, water, justice, construction, land, telecommunications and mining. In designing the methodologies for undertaking the diagnostics, the sector experts developed approaches that most suited the sector and stakeholder context. However, a number of universal principles have guided the approach. One commonality in the methodology has been the effort to tap into the perceptions and knowledge of all stakeholders, be they politicians, senior government officials, private sector businessmen, civil society advocates or consumers of services.The diagnostics strongly suggest that, in Ethiopia, corrupt practice in the delivery of basic services is comparatively limited and is potentially much lower than other low-income countries. When viewed together, the findings of the study point towards an emerging pattern in sector level corruption, with interesting variations in the levels of corruption across the sectors studied.

Table of Contents

Foreword	p. xiii
Preface	p. xv
About the Editor and Authors	p. xix
Abbreviations	p. xxiii
Overview	p. 1
Introduction	p. 1
Unraveling the Issues and Challenges	p. 2
Methodologies for Sector Diagnostics	p. 3
Contributions of this Volume	p. 5
The Overall Picture	p. 12
Note	p. 17
References	p. 17
Health Sector Corruption in Ethiopia	p. 19
Introduction	p. 19
Context for Analysis	p. 21
Framework for Analysis	p. 29
Extent and Sources of Corruption: Findings	p. 34
Next Steps	p. 54
Notes	p. 62
References	p. 63
Education Sector Corruption in Ethiopia	p. 67
Introduction	p. 67
Analytical Framework	p. 71
The Education Sector in Ethiopia: An Overview	p. 75
Mapping Corruption in Education in Ethiopia	p. 78
Other Study Findings	p. 107
Summary and Conclusions	p. 113
Recommendations	p. 116
Notes	p. 117
References	p. 118
Rural Water Supply Corruption in Ethiopia	p. 121
Introduction	p. 121
Corruption in the Water and Sanitation Sector	p. 124
Ethiopia's Water Sector	p. 129
Rural Water Supply Corruption in Ethiopia	p. 134
Summary and Recommendations	p. 164
Annex 4.1 Ethiopian RWS Borehole Study and Perception Survey Results	p. 172
Notes	p. 174
References	p. 177
Justice Sector Corruption in Ethiopia	p. 181
Introduction	p. 181
The Justice Sector and Corruption Defined	p. 186
Justice Sector Value Chains	p. 194
Ethiopia's Justice Sector: An Overview	p. 194
Corruption and Political Intervention in Ethiopia's Justice Sector	p. 208
Conclusions on Justice Sector Corruption in Ethiopia	p. 224
Recommendations	p. 226
Notes	p. 230
References	p. 233
Construction Sector Corruption in Ethiopia	p. 237
Introduction	p. 237
Corruption in Construction	p. 241
Corruption Risks in Ethiopia's Construction Sector	p. 246
Assessment of Corruption Risk in Ethiopia's Construction Sector	p. 258
Perceived Lack of Effective Competition in Paris of Ethiopia's Road Sector	p. 267
Conclusions and Recommendations	p. 275
Notes	p. 281
References	p. 283
Land Sector Corruption in Ethiopia	p. 285
Introduction	p. 285
Corruption in the Land Sector	p. 288
Corruption and Land Governance	p. 295
The Land Sector in Ethiopia	p. 296
Corruption in Ethiopia's Land Sector	p. 299
Mapping Corruption to the Value Chain	p. 304
Recommendations	p. 315
Annex 7.1 Country LGAF Scorecard for Ethiopia	p. 320
Notes	p. 324
References	p. 324
Corruption in the Telecommunications Sector in Ethiopia: A Preliminary Overview	p. 327
Introduction	p. 327
Corruption in the International Telecommunications Sector	p. 329
The Context: The Ethiopian Telecoms Sector	p. 333
Corruption in the Ethiopian Telecoms Sector	p. 343
Procurement of Equipment Suppliers: The 2006 Vendor Financing and Supply Agreement	p. 346
Current Anticorruption Mechanisms for Ethiopia's Telecoms Sector	p. 353
Recommendations	p. 367
Concluding Remarks	p. 372
Notes	p. 373
References	p. 374
Corruption in the Mining Sector: Preliminary Overview	p. 377
Introduction	p. 377
Corruption in the International Mining Sector	p. 380
Overview of the Ethiopian Mining Sector	p. 384
The Legislative and Institutional Framework for Mining in Ethiopia	p. 385
Corruption Risk in the Ethiopian Mining Sector	p. 390
General Recommendations	p. 412
Notes	p. 416
References	p. 417
Boxes
An Uneasy Coexistence of State and Private Drilling?	p. 136
The Intergovernmental Fiscal Transfer Formula: Dividing Money Fairly among Regions	p. 140
Contract Design, Tendering, and Procurement: Corruption Risk Examples	p. 146
The Drillers' Take on Corruption Risk	p. 147
The Costs of Shallow Well Construction: Where are the Corruption Risks?	p. 152
Calculating Total Variance in Borehole Construction	p. 156
Borehole Design and Construction: What Role for Community Oversight?	p. 160
Proclamation on the Establishment of Rural Water User's Associations	p. 163
Market Entry Strategies for Chinese Construction Companies in Africa	p. 270
Land Administration and Management Defined	p. 288
Land Governance Assessment Framework	p. 294
Areas of Weak Land Governance in Ethiopia	p. 299
Urban Land Speculation in Ethiopia	p. 301
Access to Land in Addis Ababa	p. 302
Use of Forged Land Documents in the Finance Sector	p. 303
Key Areas of Land Sector Corruption in Ethiopia	p. 305
New Process to Allocate Leases in Addis Ababa	p. 318
Stakeholder Perceptions of Corruption in the Ethiopian Telecoms Sector	p. 351
General ETC Safeguards Applicable to all Projects	p. 363
Falsification of Quality: Corruption Investigation by the FEACC	p. 411
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