African officials embezzling aid
24.04.2008
Following revelations of foreign aid going astray in Tanzania, Danish development aid will be scrutinised to avoid inconsistencies
Millions of kroner in foreign aid end up in the wrong pockets in the African nation of Tanzania, reports public broadcaster DR.
According to Arthur Andreasen, a Danish accountant who has worked in Tanzania for 20 years, up to half of the aid does not reach those who need it.
Andreasen recently investigated Norwegian aid to the nation on behalf of the Norwegian government. His report, which caused a stir in Norway, showed that between a third and half of the aid disappeared before it reached its intended recipients.
Danish aid to Tanzania - over 500 million kroner annually -makes Denmark the seventh largest donor to the country.
However, as was the case with Norwegian aid, up to half of the money has wound up in the pockets of corrupt officials and politicians, said Andreasen.
He said one way of embezzling the money was to allocate it for non-existent projects and people. Another method was to write fictitious or excessively high bills and receipts.
His findings caused Erik Solheim, the Norwegian development minister, to withdraw 250 million kroner in support from a nature regeneration project recently.
At the same time, the Norwegian government decided to strengthen monitoring of development aid, but Andreasen said that it was not enough for only one country to react.
'If all governments follow suit, it would have an effect. However, if only one country does it, the recipient country might not react, he said, urging the Danish government to heighten its controls on foreign aid.
Ulla Tørnæs, the development minister, told DR that she would address the matter with her Norwegian colleague.
Denmark has been giving aid to Tanzania since the early 60s and finances projects dealing with gender equality, human rights, democratisation and corruption