Diagnosing Corruption in Ethiopia
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1 Diagnosing Corruption in Ethiopia Perceptions, Realities, and the Way Forward for Key Sectors Janelle Plummer, Editor B fc I Canadian International Agence g canadlenne de T Development D l t Agency A developpement d l iinternational THE WORLD BANK Washington, D.C.
2 Contents Foreword Preface About the Edi Abbreviations tor and Authors xiii XV xix xxiii Chapter 1 Chapter 2 Overview Unraveling the Issues and Challenges Methodologies for Sector Diagnostics Contributions of This Volume The Overall Picture Note Health Sector Corruption in Ethiopia Context for Analysis Framework for Analysis Extent and Sources of Corruption: Findings
3 vi Contents Next Steps Chapter 3 Education Sector Corruption in Ethiopia Analytical Framework The Education Sector in Ethiopia: An Overview Mapping Corruption in Education in Ethiopia Other Study Findings Summary and Conclusions Recommendations Chapter 4 Rural Water Supply Corruption in Ethiopia Corruption in the Water and Sanitation Sector Ethiopia's Water Sector Rural Water Supply Corruption in Ethiopia Summary and Recommendations Annex 4.1 Ethiopian RWS Borehole Study and Perception Survey Results Chapter 5 Justice Sector Corruption in Ethiopia The Justice Sector and Corruption Defined Justice Sector Value Chains Ethiopia's Justice Sector: An Overview Corruption and Political Intervention in Ethiopia's Justice Sector 208 Conclusions on Justice Sector Corruption in Ethiopia 224 Recommendations
4 Contents vii Chapter 6 Construction Sector Corruption in Ethiopia Corruption in Construction 241 Corruption Risks in Ethiopia's Construction Sector 246 Assessment of Corruption Risk in Ethiopia's Construction Sector 258 Perceived Lack of Effective Competition in Parts of Ethiopia's Road Sector 267 Conclusions and Recommendations Chapter 7 Land Sector Corruption in Ethiopia Corruption in the Land Sector 288 Corruption and Land Governance 295 The Land Sector in Ethiopia 296 Corruption in Ethiopia's Land Sector 299 Mapping Corruption to the Value Chain 304 Recommendations 315 Annex 7.1 Country LGAF Scorecard for Ethiopia Chapter 8 Corruption in the Telecommunications Sector in Ethiopia: A Preliminary Overview Corruption in the International Telecommunications Sector 329 The Context: The Ethiopian Telecoms Sector 333 Corruption in the Ethiopian Telecoms Sector 343 Procurement of Equipment Suppliers: The 2006 Vendor Financing and Supply Agreement 346 Current Anticorruption Mechanisms for Ethiopia's Telecoms Sector 353 Recommendations 367 Concluding Remarks
5 viii Contents Chapter 9 Corruption in the Mining Sector: Preliminary Overview Corruption in the International Mining Sector 380 Overview of the Ethiopian Mining Sector 384 The Legislative and Institutional Framework for Mining in Ethiopia 385 Corruption Risk in the Ethiopian Mining Sector 390 General Recommendations 412 ' Boxes 4.1 S An Uneasy Coexistence of State and Private Drilling? The Intergovernmental Fiscal Transfer Formula: Dividing Money Fairly among Regions Contract Design, Tendering, and Procurement: Corruption Risk Examples The Drillers'Take on Corruption Risk The Costs of Shallow Well Construction: Where Are the Corruption Risks? Calculating Total Variance in Borehole Construction Borehole Design and Construction: What Role for Community Oversight? Proclamation on the Establishment of Rural Water Users'Associations Market Entry Strategies for Chinese Construction Companies in Africa Land Administration and Management Defined Land Governance Assessment Framework Areas of Weak Land Governance in Ethiopia Urban Land Speculation in Ethiopia Access to Land in Addis Ababa Use of Forged Land Documents in the Finance Sector Key Areas of Land Sector Corruption in Ethiopia New Process to Allocate Leases in Addis Ababa Stakeholder Perceptions of Corruption in the Ethiopian Telecoms Sector General ETC Safeguards Applicable to All Projects Falsification of Quality: Corruption Investigation bythefeacc 411
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