From: Berhane Habtemariam (Berhane.Habtemariam@gmx.de)
Date: Sat Jul 11 2009 - 05:15:45 EDT
Tanzania: Over 30 Percent of Budget Eaten By Corrupt Officials, Says
President
Beatus Kagashe
11 July 2009
_____
A significant amount of Government money is diverted to personal use each
year by corrupt senior public officials, President Jakaya Kikwete said
yesterday.
He said a third of the Government's annual budget allocations ends up in
individual pockets through rampant corruption.
The money is lost through dubious procurement deals, the President said in
Dar es Salaam while opening new offices for the Prevention and Combating of
Corruption Bureau (PCCB).
Urging the anti-corruption agency to be more vigilant, Mr Kikwete said there
was a high probability that of the Sh9 trillion Budget for 2009/10, some Sh3
trillion would end up in some senior Government officials' pockets.
He challenged the corruption watchdog to devise new strategies to deal with
widespread double-dealing in public procurement.
"If you can stop graft in this area, you will be saving a quarter of the
money in the Government Budget," he said.
President Kikwete told the PCCB to double check all the big contracts the
Government enters into with private companies.
He said a significant number of dishonest civil servants were turning
themselves into overnight billionaires through huge kickbacks.
"Apparently, large sums of money change hands through dubious deals in
mostly controversial contracts," the President said.
For its part, the Government is in the process of reviewing laws on its
contracts and the Public Procurement Act to plug the existing loopholes, he
added.
He called on the PCCB and Controller and Auditor General (CAG) to work in
cooperation in the fight against corrupt elements within local and the
central Government.
"Local governments must also be put under scrutiny because, that is where a
lot of funds are being directed," he said, adding:
"The Government has increased its budget but it is meaningless if a third of
the money is lost through corruption."
The President Kikwete further urged the PCCB to prepare itself to deal with
corruption as the 2010 General Election nears.
He said the agency staff must resist any form of enticement from politicians
seeking public office.
"We need to have good leaders through free and fair elections, but this is
achieved when you (the PCCB) put up proper strategies to handle the
process," he told the agency's employees.
The President said corruption was still one of the biggest problems
affecting the country's electoral system, and this was hindering people from
electing competent leaders.
He said: "If no immediate action is taken to stop corruption (in elections),
we will continue having leaders who do not care about development, which
pulls the nation down."
The Government is currently working on a new law that seeks to prevent
holders of public office from engaging in business.
Another bill is on the cards and could soon be tabled in Parliament to check
on how party funds are spent during elections.
Mr Kikwete said the two bills, aimed at enhancing good governance, could be
tabled in Parliament in October.
"We will do whatever is necessary to make sure our country builds a strong
pillar of good governance in the civil service," he said.
Referring to the bill on scrutinising political parties' expenditures during
elections, President Kikwete said it would stop politicians from "buying
people".
Between 2005 and now, the PCCB has recorded more than 471 corruption cases.
This is a major increase from the 50 cases in 2005.
The President praised the watchdog for stepping up the war on graft, saying
its efforts in the past few years justified the Government's decision to
allocate it more funds.
He urged PCCB officials not to succumb to undue pressure from influential
people who are under investigation.
"We understand your work is risky, and it needs courage and
confidentiality," the President said.
Speaking during the occasion, the PCCB Director General, Dr Edward Hoseah,
said the agency was currently working with some NGOs on a research to
determine the extent of corruption in the country.
The results of the research would be released in October, he said.
Dr Hoseah commended the support provided by the Government and National
Social Security Fund (NSSF) in the construction of the new PCCB House in the
city.
The construction of the Sh4.1-billion offices began in October 2007 and
ended in March this year.
Senior Government officials attended the PCCB House's inauguration
yesterday, including the minister of State in the President's Office (Good
Governance), Ms Sophia Simba.