Good Practices and Innovations in Public Governance 2003-2011

Good Practices and Innovations in Public Governance 2003-2011 Good Practices and Innovations in Public Governance 2003-2011

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Good Practices and InnovATIONS in Public Governance Latin America and the Caribbean Bolivia 2003 Category 1 Winner Aduana Nacional de Bolivia National Customs service of Bolivia Description Introducing a client oriented service culture by reforming the country’s Customs Administration. The Problem Early in 1998, a mission of the International Monetary Fund (IMF) was sent to La Paz, Bolivia, to diagnose the state of the Bolivian Customs Administration and outline a plan for its reform. The IMF diagnostic concluded that the institution was corrupt and politically driven, operating under a complex legal structure, outdated in its practices and procedures, overstaffed with more than 300 people working without proof of registration, lacking in information systems for monitoring and control of operations of foreign trade, lacking in basic infrastructure and equipment and totally devoid of a customer oriented approach. The Solution The Customs Administration underwent comprehensive reforms aimed at increasing the efficiency of customs collections, halting traffic in contraband goods, and facilitating foreign trade. The core elements of the reform programme included the review of human resources policy and practices, application of modern technology, streamlining of custom tariffs, and adoption of new customer-service initiatives. Since 1999 the Bolivian Custom Administration started an intense process of institutional reform. To that end, it established a five point agenda for change: • To dismiss all the “ad honorem” personnel and replace all political appointees with qualified personnel selected through competitive procedures undertaken by private sector firms specialized in mass recruiting; • To develop new procedures for all customs operations, so as to give importers and exporters judicial security; • To introduce state-of-the-art information technology for customs administration and control of operations; • To improve the infrastructure and equipment; and • To establish a client-oriented culture. 404

2003 Category 1: Bolivia To undertake this reform a financial package of $35.0 million was secured, with contributing parties such as World Bank, Inter-American Development Bank, Nordic Fund, Japanese Government and Bolivian Government. After nearly four years of hard work, the results have been quite positive. Just to give some examples, 97% of all existing customs personnel were hired through competitive recruitment processes run by private sector firms; all agents can process their import or export declarations over the internet; and all the infrastructure of the new Customs Administration has slowly been refurbished and made more accessible to foreign trade operators in an effort to facilitate the interface with customs officials. One of the most important changes undertaken under the reform process has been the introduction of a client-oriented service culture. 405

<strong>2003</strong> Category 1: Bolivia<br />

To undertake this reform a f<strong>in</strong>ancial package of $35.0 million was secured, with contribut<strong>in</strong>g<br />

parties such as World Bank, Inter-American Development Bank, Nordic<br />

Fund, Japanese Government <strong>and</strong> Bolivian Government.<br />

After nearly four years of hard work, the results have been quite positive. Just to give<br />

some examples, 97% of all exist<strong>in</strong>g customs personnel were hired through competitive<br />

recruitment processes run by private sector firms; all agents can process their<br />

import or export declarations over the <strong>in</strong>ternet; <strong>and</strong> all the <strong>in</strong>frastructure of the new<br />

Customs Adm<strong>in</strong>istration has slowly been refurbished <strong>and</strong> made more accessible to<br />

foreign trade operators <strong>in</strong> an effort to facilitate the <strong>in</strong>terface with customs officials.<br />

One of the most important changes undertaken under the reform process has been the<br />

<strong>in</strong>troduction of a client-oriented service culture.<br />

405

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