Managing Conflict of Interest - Organisation for Economic Co ...

Welcome RemarksArjun ThapanDirector General, Southeast Asia Department, Asian Development BankOn behalf of the Asian Development Bank (ADB) and our partnersat the Organisation for Economic Co-operation and Development(OECD), it is my privilege to welcome you to this regionalseminar on conflict of interest. Let me also thank the Governmentof Indonesia and Indonesia’s Corruption Eradication Commissionfor hosting today’s seminar, as well as our development partners atthe Canadian International Development Agency, the Departmentfor International Development of the United Kingdom, the DanishInternational Development Agency, and the World Bank for supportingthis event.There is a growing consensus that combating corruption is criticalto poverty reduction and development effectiveness. Studieshave estimated that, in many Asian and Pacific countries, significantpublic investment is being wasted because of corruption. Corruptionalso increases the cost of doing business, and keeps countriesfrom achieving their economic growth and employment potential.In fact, the World Bank’s investment climate survey shows that morethan 36% of firms with interests in East Asia and the Pacific view corruptionas a major or severe obstacle to the operation and growthof their business. In South Asia, the proportion is more than 40%.Ladies and gentlemen, the Asia and the Pacific region has witnessedrapid changes in the last decade. High rates of economicgrowth have been achieved through new models of cooperationwith the business sector, public-private partnerships, and increasedmobility of personnel between the two sectors. However, such trendshave also multiplied gray zones, where public officials’ private interestscan unduly influence the way they carry out their official duties.If not adequately identified and managed, conflict-of-interest situationscan lead to corruption.Several countries in the region recognize the need to review andimprove their regulations, institutions, and practices, particularly inareas that present specific risks of corruption. Appropriate policiesregulating conflict-of-interest situations arising in post– publicADB/OECD Anti-Corruption Initiative for Asia and the Pacific