Africa sees World Bank biter bit in Wolfowitz row

By Staff
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DAKAR, May 18 (Reuters) The World Bank has roared against corruption in Africa for years but its credibility has been badly mauled by the favouritism scandal that sent the bank's US chief Paul Wolfowitz limping off into retirement.

Governments in Africa, whose reputation for corruption goes hand in hand with its status as the world's poorest continent, had grown used to being lectured by World Bank delegations, some headed by ''Wolfie'' himself, about good governance and transparency.

After weeks of wrangling, Wolfowitz resigned as World Bank president yesterday over a row triggered by his involvement in a highly paid promotion for his companion.

Not surprisingly, the foot-dragging exit of the American head of the global aid body provoked a heavy measure of grim satisfaction across Africa, where sharing out jobs to family and friends is widely seen as a perk of office at all levels.

''He was not practising what he preached,'' said Charles Mugabo, an Internet cafe manager in Burundi's capital Bujumbura.

Reflecting a widespread African view, he said the Wolfowitz affair was a lesson to the wealthy West that it should not be so quick to proclaim moral superiority over the rest of the world.

''How can you be lecturing Africa about corruption while you're using World Bank money to give your girlfriend a pay rise?,'' said Dick Musisi Mpiima, Chairman of the Uganda Exporters, Importers and Traders Association.

African officials and analysts said the scandal would seriously undermine the World Bank's flagship campaign to promote clean government and honest business on a continent coveted by foreign corporations for its oil and mineral riches.

''Its integrity is at stake,'' said Maxwell Mkwezalamba, an African Union commissioner for economic affairs, speaking on the sidelines of a business forum in Nairobi.

Many Africans said the affair also showed the urgent need to broaden the leadership of the aid body to reflect its global membership. The United States, the largest shareholder and supplier of capital, has up to now been able to name its chief.

Africa has no say in the matter despite being widely affected by the bank's actions.

''We are important stakeholders because we borrow money from the bank and we must, therefore, have a say in its matters,'' said Zambia's Information Minister Mike Mlongoti.

''MAN WHO LOVED AFRICA'' Some expressed regret at Wolfowitz's departure, saying he had shown sensitivity to Africa's problems and needs.

''In Wolfowitz, the bank has lost a man who loved Africa,'' said Esther Passaris, a Nairobi-based businesswoman.'' Democratic Republic of Congo's Budget Minister Alphonse Muzito said he believed Wolfowitz, a former US deputy defense secretary, had fallen victim to enemies inside the bank.

But there was consensus that the scandal sent exactly the wrong message to African leaders being increasingly wooed by deep-pocketed Western corporations, and by resource-hungry China, for lucrative trade and investment contracts.

''The way Wolfowitz negotiated a pay rise for his girlfriend is exactly the same as the way in which President Deby has embezzled oil revenues,'' said Ngarlegy Yorongar, a veteran opposition critic of Chad's President Idriss Deby.

Wolfowitz briefly halted loans to Chad in early 2006 after the World Bank saw Deby's government making a grab for revenues from a foreign-run oil pipeline built with the help of World Bank funding. Yorongar and other critics argue that ordinary Chadians benefit little from the oil pumped.

''It would be a pity to go back to the days when World Bank representatives to Africa had very cosy relationships with the executive,'' said Maina Kiai, a human rights activist in Kenya.

REUTERS SYU VV1840

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