Distinguished Representatives of the United Nations Organisations, Excellencies, Members of the Diplomatic Corps,

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1 SPEECH OF THE RIGHT HONOURABLE PRIME MINISTER, SIR ANEROOD JUGNAUTH, GCSK, KCMG, QC AT GLOBAL SIDS CONFERENCE ON ANTI-CORRUPTION REFORMS INTERCONTINENTAL HOTEL & RESORT TUESDAY 02 AUGUST H 00 Distinguished Representatives of the United Nations Organisations, Excellencies, Members of the Diplomatic Corps, Members of my Government, Honourable Members of the National Assembly, The Director of ICAC, Dear participants and foreign delegates, Distinguished Guests, Ladies and Gentlemen 1

2 Good morning. I heartily welcome our International Guests who have come all the way for this 2 nd Global SIDS Conference on Anti-Corruption Reforms. I wish them a pleasant stay in our island. Last year s conference, Ladies and Gentlemen, focused on Strengthening the implementation of the United Nations Convention Against Corruption in Small Islands Developing States. Indeed, it was important to take a macro-perspective look at implementing anti-corruption practices in SIDS. I commend this year s theme focusing on preventing corruption in the public procurement process. 2

3 It is befitting that the UNODC has chosen this theme, as public procurement has always been one of the most conducive vehicle for corrupt activities. Public procurement plays a very strategic role in any visionary Government s economic agenda. But as you are very well aware, corruption is a true enemy of development. And indeed, for SIDS, the integrity of public procurement is of much greater importance. SIDS have limited human and financial resources and we have to optimally use these resources. 3

4 We must also be alert to the fact that progress will only be realised if the funds spent in the various sectors achieve their intended purposes. It is only then that a reasonable level of economic development will be attained. Distinguished Guests, Given the fact that public procurement involves significant monetary transactions, loopholes and weaknesses have to be addressed so that unscrupulous corrupt people cannot abuse the system. The United Nations Convention Against Corruption correctly asserts the importance of integrity and effective management of procurement in the fight against corruption. 4

5 My Government strongly adheres to such principles, the more so as we are a signatory to the Convention. Ladies and Gentlemen, International agencies such as Transparency International and the OECD have highlighted the increasing scale of losses, national economies face as a result of corruption in procurement processes. I am told that Least Developed Countries lose around 1 trillion US Dollars a year due to corruption. It is a serious issue, also for the fastest growing economies. The scale of the problem is of a different magnitude in Small Island Developing States which have their own specificities. 5

6 There is no one size fits all solution, and what has worked and been successful elsewhere cannot simply be transposed in any other context. SIDS have their own cultural, legal, social and environmental issues, which have to be taken into account, when finding the right remedies to prevent corruption. Ladies and Gentlemen, As Prime Minister of Mauritius, I am fully aware of the challenges being faced by SIDS and I fully support the objectives of this platform. This is why I asked my Minister of Financial Services, Good Governance and Institutional Reforms to lead a high level delegation to St. Petersburg, Russia to address the UN Conference and present the "Mauritius Communique". 6

7 It recommended that the general concerns of SIDS be reflected in a formal UN resolution. I am pleased to see the very positive outcome today and I commend the support of the UNODC in placing the concerns of SIDS high on the agenda of the States Parties Conference. Ladies and Gentlemen, During my career as politician, President and Prime Minister of this country, I have never believed in rhetoric. I have always stood by my convictions on any matter and most importantly on the subject of good governance. The enactment of the Prevention of Corruption Act and the Financial Intelligence and Anti Money Laundering Act in 2002 established our first legal frameworks to combat corruption and money laundering in a professional manner. 7

8 The ICAC and the Financial Intelligence Unit have now been in operation for over 14 years. In December 2014, the People of the Republic of Mauritius again entrusted me with the task of cleaning up this country and leading our nation into a new era of prosperity where social justice and equality prevail. In line with that trust conferred upon me, I decided to redefine our ambition and become a role model for transparency in this part of the world. Our detractors considered such ambition as disproportionate and unrealistic. They could not understand my personal determination to clean up the country and to enhance good governance practices in Mauritius. 8

9 For the first time, a new Ministry dedicated to Financial Services, Good Governance and Institutional Reforms has been set up. This shows our strong commitment to ensure that Mauritius is a clean jurisdiction with zero-tolerance for fraud, corruption and other white-collar crime. I must say that we are among the very few countries to have created such a Ministry. I also gave my full support to bringing new legislation to tackle unexplained wealth. Our supreme law, the Constitution of Mauritius was amended for this purpose in December

10 I also made sure that institutions, such as the Integrity Reporting Services Agency, were quickly set up to curtail some people s appetite for illicit enrichment and unexplained wealth. The Integrity Reporting Board to which the Agency reports, will be chaired by Lord Philips, former President of the Supreme court of the United Kingdom. I also initiated a number of enquiries last year, involving procurement contracts signed under the previous government which were tainted with suspicion of irregularities, malpractices and potential breaches of the Public Procurement Act. A number of preventive measures have also been adopted by my Government to introduce new methodologies, processes and procedures in State 10

11 owned enterprises. These initiatives are yielding good results. Ladies and Gentlemen, Our challenge is to make the procurement system strong, transparent and corruption-free. Strong procurement systems, meeting international standards, can help ensure that money is well spent. Transparent systems allow us to see what is going on. These hold Governments, bidders and contractors accountable for their actions. Effective complaints mechanisms are imperatively required to report bribery, collusion or other corrupt practices. Ladies and Gentlemen, 11

12 In Mauritius, the support of the private sector has been important through the Public Private Platform Against Corruption. Concerted efforts between the private and the public sectors have provided synergies through constructive engagement. The national anticorruption agency, the ICAC, is closely collaborating with private sector organisations for developing and implementing appropriate procedures and best practices to promote a culture of integrity among private sector entities. Ladies and Gentlemen, My intervention today would be incomplete without an overview of the means to tackle corruption and related crimes at international level. 12

13 One of the measures prescribed in the United Nations Convention Against Corruption is international cooperation. In the law enforcement and regulatory context, international cooperation can include formal Mutual Legal Assistance, extradition and informal exchanges of information for intelligence gathering purposes. We all understand that effective international cooperation is vital for the successful investigation, prosecution and sanction of corruption offences. However, we all know that in practice, there are significant delays which ultimately impede the chances of bringing offenders to justice. 13

14 An OECD survey conducted in December 2015 revealed that 70% of anti-corruption law enforcement officials report that impediments as regards mutual legal assistance have had a negative impact on their ability to carry out anticorruption work. I believe this issue has to be addressed forcefully. Ladies and Gentlemen Many of you present in the audience are procurement specialists with long years of experience dedicated at improving processes, enhancing transparency, accountability and ensuring that Government obtains value for money for all its purchases. This Conference is, therefore, an ideal platform for peer-to-peer review and for pooling efforts for more synergy. 14

15 Any country wishing to progress through a more equitable distribution of wealth should privilege the development of fair market structures and encourage competition, which in turn would support investment. And this can only happen if an atmosphere of trust prevails trust in the institutions and trust in the stability of the political system. And I can proudly say that Mauritius, in a short time, has gone a long way in its mission to reverse the trend and fight corruption. But combatting corruption is not a one-day business. There is no magic solution to it. It is a daunting and challenging responsibility. 15

16 It requires commitment from all of us ---- Government, Institutions and the public at large. Efforts have to be steady and systematic. Ladies and Gentlemen, Over the next three days, you will have the opportunity to share your experiences in the field, learn from one another and discuss new avenues on how to enhance integrity in the procurement process. You will also reflect on how best new policies and measures can be implemented, monitored and assessed. But the people aspect should not be neglected to ensure that officials entrusted with such tasks fulfil their duties with honesty and integrity. 16

17 I rely on the conclusion of your deliberations to further support SIDS countries to keep corruption at bay. With these words, I have the pleasure to declare the second Global SIDS Conference open. I wish you fruitful deliberations. Before I end, I would like to invite all our friends who are visiting us to also experience the extraordinary Mauritian hospitality. Thank you for your kind attention. 17