More state projects tied to integrity pacts

More state projects tied to integrity pacts

Overall goal aimed at boosting transparency

Three more public projects worth a combined 10 billion baht will be tied to integrity pacts to make their procurement process transparent and free from corruption, says Finance Minister Sommai Phasee.

The three projects are the Government Public Relations Department's project to switch from analogue to digital TV in the second phase worth 1 billion baht, the Customs Department's inspection efficiency improvement by buying X-ray scanning systems worth 1.3 billion and the Thailand Tobacco Monopoly's purchase of machinery to produce cigarettes worth 7.4 billion.

Under integrity pacts, government agencies responsible for procurement and auctioneers must allow selected experts in procurement contracts without a vested interest to scrutinise the process and provide advice.       

Integrity pacts have been used in the Bangkok Mass Transit Authority's purchase of 489 natural gas-powered buses and an expansion phase of the subway's Blue Line.

Fighting bribery and corruption have been listed as government priorities. It also initiated the Construction Sector Transparency Initiative (CoST) for public investment projects worth at least 1 billion baht.

CoST has been used in the expansion of Suvarnabhumi airport by Airports of Thailand Plc as a pilot project. 

Transparency International's Corruption Perceptions Index ranked Thailand 85th out of 175 countries and territories last year, up from a ranking of 102 in 2013.

The Finance Ministry earlier said it was drafting public procurement and transparency measures to be included in new laws in a bid to combat graft. Penalties for high-ranking officials involved in corruption in the procurement process will be standardised in the draft.

Current penalties are based only on Prime Minister's Office ministerial regulations.

In another development, Mr Sommai said the contraction in last month's exports was inevitable, as the global economic recovery remained fragile.

The Commerce Ministry yesterday reported exports fell for a second consecutive month in February, down by 6.14% year-on-year to US$17.2 billion, due largely to lower global oil and farm product prices.

Shipments of farm products fell by 12.5% year-on-year last month to $2.49 billion including rubber, which fell 38.8%. Other major products including rice, sugar and canned and processed seafood also saw big dips in exports last month.

Mr Sommai referred to International Monetary Fund data that average global economic growth from 2008-14 was halved to 3% a year from 6% from 2001-07, while average international trade expanded a mere 3% a year from 2008-14 compared with 4.5% from 2001-07.

The Fiscal Policy Office forecast Thailand's 2015 exports and GDP would grow by 1.4% and 3.9%, respectively. It is due to release its revised forecasts on Monday.

Do you like the content of this article?
COMMENT