Bureaucrats pocket 40% of dev project funds: White Paper
A staggering Tk 7 lakh crore has been spent on Bangladesh's Annual Development Programme (ADP) over the past 15 years, but 40 per cent of this amount—equivalent to nearly Tk 2.8 lakh crore—has been looted by bureaucrats, according to a recently unveiled investigative report.
The findings are part of a 400-page white paper, a result of a three-month investigation by a government-formed committee tasked with exposing corruption and irregularities during the 15-year rule of ousted Prime Minister Sheikh Hasina.
The report, presented on Sunday to Chief Adviser Professor Muhammad Yunus at his Tejgaon office, uncovers massive financial fraud and mismanagement.
Massive financial irregularities
The committee's findings paint a disturbing picture:
Illegal money laundering: An average of $16 billion was siphoned out of Bangladesh annually during Sheikh Hasina’s regime.
Crony capitalism: The report outlines how cronyism enabled a few oligarchs to dominate policy-making and manipulate economic decisions.
Costly project revisions
Committee member Mustafizur Rahman revealed that out of 29 major projects, seven were analysed in detail. Initially estimated at Tk 1,14,000 crore, their costs ballooned to Tk 1,95,000 crore—an increase of nearly 70 per cent. This escalation was attributed to inflated land prices, manipulated procurement, and the inclusion of unnecessary components.
"The cost increases lacked proper cost-benefit analyses," Rahman said, recommending legal action against those responsible.
Sectoral losses and missed opportunities
Other committee members highlighted further areas of concern:
Power sector fraud: Committee member M Tamim reported that $30 billion was spent on power generation projects, with at least 10 per cent siphoned off, amounting to $3 billion in kickbacks.
Tax exemptions: Mohammad Abu Yusuf noted that 6 per cent of the country's GDP was lost to tax exemptions during Hasina's regime. Reducing this by half could have doubled the education budget and tripled the health budget.
A call for action
Professor AK Enamul Haque underscored the scale of bureaucratic corruption within the ADP, where nearly half of the allocated funds were misappropriated.
The committee’s chair, Dr Debapriya Bhattacharya, stressed the importance of transparency and accountability. "This white paper shows the depth of the problem and how oligarchs have influenced policymaking to serve their interests," he said.
"This report is a historical document," Professor Yunus remarked during the handover ceremony. "It reveals the fragile state of the economy inherited after the July-August mass uprising. The looting of public resources during this period is appalling, and the nation will benefit from understanding this."
Yunus emphasised the brazenness of the corruption, noting, "They looted openly, creating a reign of fear so pervasive that even international economic watchdogs remained silent."
Next steps
The report, titled "Dissection of a Development Narrative," will soon be made available to the public. It serves as a wake-up call for the nation to demand accountability and ensure that such rampant corruption is never repeated.
"This document should not just be a report," Professor Yunus concluded. "It should be taught in schools and universities, serving as a lesson for future generations about the dangers of unchecked power and corruption."
