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Assessing development efforts in Cambodia:

Report on the Parliamentary Field Visit to


the Royal Kingdom of Cambodia
November 11 – 16, 2007

World Bank Cambodia Country Office


Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia

Table of Contents
1. Introduction: Parliamentary Field Visit to Cambodia 1-2
1.1 Participants of the Field Visit: Advocates for agriculture & development 2
2. Current economic & political developments in Cambodia 2-5
3. The Role of the World Bank 5-7
4. The Role of the Consultative Group on International Agricultural Research (CGIAR) 7-9
5. The Asian Development Bank in Cambodia 9-10
6. The Field Visits Part I: Focus on Agriculture 10-15
6.1 IRRI PROVIDE Site 10-14
6.2 Rice mill visit 11-12
6.3 O’Tang Irrigation System 12-13
6.4 CelAgrid, CIAT Activities 13-15
7. The Field Visits Part II: Poverty Reduction Projects supported by the World Bank 15-19
7.1 Health Sector: Rokar Koh Kampong Health Centre 15-16
7.2 Decentralisation & Deconcentration: Commune Council & Local Governance Project 17
7.3 Gender, Youth & Education: Hun Sen Kampong Phnom Secondary School & KYSD 18
7.4 Water Sector: Visit to Phnom Penh Water Utility Project 19
8. Consultations with key stakeholders 20-23
8.1 Civil society 20
8.2 Royal Government of Cambodia 20-22
8.3 Leaders of the opposition 22
8.4 Donors & the private sector 23
9. Main Findings and Recommendations 23-25
9.1 On agriculture and development 23-24
9.2 On corruption, democracy & the effective use of natural resources for development 24-25
10. Impact of the visit: Changing debates, sharing experiences and building new networks 26-27
10.1 In the spotlight: MP John Deasy, Ireland 26
10.2 In the spotlight: MP Ruqia Nayel, Afghanistan 27
10.3 In the spotlight: MP Gbenga Makanjuola, Nigeria 27

Annexes
I. List of Participants
II. Programme of the Field Visit
III. Parliamentarians in the Field program
IV The World Bank and Parliaments
V PNoWB background
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 1

Parliamentary Field Visit to Cambodia: Assessing Innovative Agricultural Research &


Development and Poverty Reduction Strategy

From 11-16 November, a high level delegation of 13 parliamentarians from countries in Asia, Africa,
Europe and Latin America visited Cambodia to witness and assess on the ground Cambodia’s
development efforts through the field visit program of the Parliamentary Network on the World Bank
(PNoWB).

The first two days of the visit focused on recent innovative development and research in the field of
agriculture and included visits to agricultural projects in the field. Day three to five of the visit were
dedicated to discussions and consultations with all major stakeholders in the Poverty Reduction
Strategy (PRS) in Cambodia. Parliamentarians held consultations with high level government officials,
including the Presidents of the National Assembly and the Senate, the donor community, civil society
and youth, the private sector and field visits to poverty reduction projects that receive support by the
World Bank in agriculture, public health, education and infrastructure. The visit was hosted by the
National Assembly of Cambodia and co-organized by the Parliamentary Network on the World Bank
(PNoWB), the Consultative Group on International Agricultural Research (CGIAR) and the World Bank.

The PnOWB was founded by parliamentarians and the World Bank in 2000. Its goal is to strengthen
transparency and accountability in international financial institutions by introducing new checks and
balances by involving parliamentarians across the world. The Network is now an independent
association of over 1000 parliamentarians from over 110 countries and has as of January 2006
functioned completely independent from the World Bank. The field visit program is one of the PNoWB’s
key activities, organised jointly with the World Bank and supported by a grant of the Ministry of Foreign
Affairs of Finland. Its purpose is to foster better understanding among Parliamentarians of development
activities and the role of the World Bank and donor coordination in recipient countries.

“This is the first time as an


MP that I have the
opportunity of monitoring
the World Bank’s projects
at the grass roots at the
rural areas because before
now, we just read it in the
newspapers” Hon. Gbenga
Makanjuola, MP from
Nigeria. Left: Hon. MP Finn
Martin Vallersnes from
Norway next to Hon. Joëlle
Garriaud-Maylam, Member
of the French Senate.

For parliamentarians from donor countries, the visit aimed to build awareness and capacity to make
decisions on the allocation of development aid budgets in their national assemblies. For
parliamentarians from recipient countries, the visit provided an opportunity to observe and scan the
World Bank’s work in another country and to learn about new innovative approaches to development,
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 2

while sharing best practices and experience from their home countries with key government officials
and all other major stakeholders in Cambodia.

Participants of the field visit: Advocates for agriculture and development


The field visit to Cambodia brought together a unique group of thirteen parliamentarians from Africa,
Asia, Europe and Latin America with a strong record of engagement and interest indevelopmental
issues and agriculture. The delegation was led by Hon. Quentin Davies, Member of Parliament and
member of the International Development Committee of the House of Commons in the United Kingdom
and included:

From Afghanistan, Hon. Ruqia Nayel, Member of the Afghan Parliament and Member of the
Agricultural Commission joined the delegation. From Thailand, Hon. MP Tuan Untachai
participated.

African delegates brought a unique perspective stemming from experiences in their home
countries to the visit. African delegates were Hon. MP Serge Amuri from the Democratic
Republic of Congo, Hon. MP Gbenga Makanjuola, Member of Parliament and Chairman of the
House Committee on Agriculture and sub-committee chairman on natural resources
appropriation committee from Nigeria and Hon. MP Anastase Nzirasanabo from Rwanda, who is
a member of the Senate Committee of Economics and Finance.

From Europe, Hon. MP Joëlle Garriaud-Maylam (France), member of the French Senate and
Member of the Foreign Affairs and the Defence and the Force Army’s Committee, as well as the
secretary of the delegation for women’s rights and equality opportunity among women and men.
Also from France, Hon. MP Jean Luc Reitzer, Member of Parliament and member of the
Foreign Affairs Committee and member of the France-Cambodia group. From Ireland, Hon. MP
John Deasy, recently appointed Deputy Spokesperson on Foreign Affairs with Special
Responsibility for Overseas Development Aid and Chairman of the Development Aid
Subcommittee participated. Norway was represented by Hon. Finn Martin Vallersnes, Member
of Parliament and since 2001 Member of the Standing Committee on Foreign Affairs and the
Enlarged Foreign Affairs Committee and also a member of the Inter-parliamentary Union. From
Portugal, Hon. Miguel Ginestal, MP and Chairman of the Committee on Economic Affairs,
Innovation and Regional Development, sub Commission for Agriculture, Rural Development and
Fishing. From Switzerland, Hon. Simon Epiney, MEP and member of the Finance Committee
and Committee on Environment and Energy.

From Latin America: Sharing experiences from agricultural development in Mexico Hon. Ramon
Salas, Member of Parliament and Secretary of the Agrarian Reform Committee and member of
the commission on water resources and viticulture participated in the visit.

Current economic and political developments and context in Cambodia


Cambodia has achieved impressive economic growth figures in recent years. However, there remain a
number of persistent and serious developmental challenges to the country’s economy that will have to
be addressed in the coming years in order to sustain current growth rates and consolidate economic
progress.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 3

Achieving Impressive Economic Growth


Cambodia’s economic performance continues to be solid. After three continues years of double digit
growth, the economy is expected to grow at 9.5 percent in 2007. This performance is underpinned by
continued strong exports (with a growth estimated at 27% in 2006 and projected at 14% in 2007),
private investment and consumption. Growth continues to rely on apparel exports, tourism, agriculture,
and construction. In 2007, garments exports continue to expand (17% expected growth) and tourist
arrival is estimated to increase by 25%.

Increasing trade volume, foreign direct investment and a growing financial sector
Large foreign direct investment (at 6% of GDP or more over the last 3 years) and the possible
exploitation of underground resources (oil, gas and mining) reinforce Cambodia’s medium-term growth
potential. Nevertheless, its narrow export base remains vulnerable to external developments. In
particular, the lifting of safeguard measures in China by the end of 2008 will further challenge
Cambodia’s garment sector. In addition, the exploitation of underground resources demands careful
management in terms of transparency, fiscal and macroeconomic aspects if Cambodia is to fully benefit
from their potential. The garment sector has sustained growth rates despite the lifting of quotas, the
tourism industry continues to boom and there has been a significant increase in Foreign Direct
Investment, although largely in the natural resource sector, connected with the discovery of possibly
significant volumes of off-shore oil and gas reserves.

In 2007, international trade continued to grow rapidly and foreign reserves could reach US$ 1.4 billion
by the end of the year. Despite pressure from world oil prices, the current account deficit (excluding
transfers) decreased to -7.2 % in 2006 and is expected to stabilize at -7.5% in 2007. Inflation has
increased from 2.8% in 2006 to a projected 6.5% in 2007. The size of the financial sector is growing: 23
commercial banks are operating with total lending-to-deposit ratio of 68%, and 16 micro-finance entities
are providing an estimated US$ 50 million of credits to micro and small businesses. Structurally,
important laws were passed in 2007, including the law on combating money laundering and terrorist
financing, and on the issuance and trading of non-government securities.

For the first time, in 2007, Cambodia obtained a sovereign debt rating from Moody’s and Standard &
Poor’s (a B-plus). Despite growing financial institutions, however, entrepreneurs are still facing
challenges to access credit (the average interest rate for one year term loans remains above
15%/annum). In addition, the IMF Article IV has flagged a number of risks in the rapid development of
the financial sector and has urged the central bank to step up its supervision.
In addition, there are possibly significant mineral resources to be discovered and exploited. Peaceful
commune elections were held in 2007 and the Khmer Rouge Tribunal became operational in 2007.
Finally, China has emerged as a major donor to Cambodia.

Significant Challenges Remain


With a per capita income of US$ 490 in 2006, Cambodia still remains one of the poorest countries in
the world. Recent studies show that poverty declined from 47% to 35% during the last decade and that
the rise in inequality during the earlier part of the decade has stabilized in recent years. New data on
education and health shows that most indicators are improving, with the exception of the maternal
mortality rate. However, significant challenges remain to Cambodia and economic growth and social
development need yet to be consolidated. Despite the high growth, the base of economic growth
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 4

remains narrow and needs to be diversified, as the garment industry is accounting for 80% of exports
and is increasingly facing tougher competition from Vietnam. While revenues have increased, the
revenue to GDP ratio remains at 11.5% inadequate and well below the average of low income
countries, which is 16%. In education, despite rapid gains in primary school enrolment, only half of the
children entering primary school complete it, as dropout rates remain extremely high. In the Human
Development Index, Cambodia ranks 131 behind LAO PDR and before Myanmar. Life expectancy at
birth is 58 years, there is a 73.7 literacy rate, GDP per is capita 2,727 USD and there is a 60 %
combined gross enrolment ratio for primary, secondary and tertiary education. The HDI classifies it as a
country with medium human development.

Illegal logging
According to the Human Development Report 2007/2008 illegal logging of hardwood timbers for export
was responsible for much of the 30% reduction in primary rainforest cover since 2000- one of the most
rapid losses recorded by the FAO worldwide. Cambodia estimates that US$ 10 million of investment
will be required to construct water gates and culverts for newly rehabilitated road networks developed
without factoring in increased risks of flooding.1

Governance issues
Cambodia ranks 152 out of 163 in the corruption perception index of transparency international.
According to Transparency International, in contrast to Asia’s middle to high income countries, the
commitments of Cambodia to ensuring adequate support for
While Cambodia receives large
courts and their personal has weakened, inviting corruption
volumes of aid, the delivery of aid
and undermining the rule of law. Judicial officers are among
remains highly projectized and
the least trusted government actors and provincial courts
fragmented. Most notably,
are among the least trusted institutions.2 Low salaries and
governance remains weak, as a
the courts’ financial structure are significant causes of
number of global indicators confirm.
corruption. The government allocated 55.2 billion riel (US$
13.1 million) to the judiciary in 2006, with each lower court allotted an annual budget of US$ 23,100.
There are 225 judges, or 17 per million people in Cambodia, and fewer than 300 practising lawyers.
Judges received a 10-fold pay raise in 2002 in a bid to curb corruption. With a base rate of only 1.4
million riel (US$ 360) a month, this had little impact on corruption because it was granted universally
with no reference to performance. Standard civil service salary is 130,00 riel (US$ 33.35) per month.
Even complicated trials routinely last less than 10 minutes, and an estimated 50 percent of cases go
forward without an attorney. Judicial opinions are not documented transparently, and judges rarely
explain their reasoning or note it in the court record, although this is required by law.

Economic freedom and property rights


According to the 2007 Index of Economic Freedom developed by the Wall Street Journal and the
Heritage Foundation, Cambodia ranks 102 out of 157- before India and behind the Philippines.
Cambodia must foster a more transparent, rules-based economic system to encourage business
development and expansion beyond the current base of textiles, tourism and agriculture. Starting a

1
See: Human Development Report 2007/2008. Fighting Climate Change: Human Solidarity in a Divided World. Also: Royal Government of
Cambodia. 2006. National Adaptation Programme of Action to Climate Change (NAPA). Ministry of Environment, Phnom Penh.
2
See: ‘Public Opinion Surveys on Judicial Independence and Accountability. Country Report Cambodia. Asian Development Bank, September
2004.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 5

business takes on average 86 days, compared to the world average of 48 days. The overall freedom to
start, operate, and close a business is significantly limited by the national regulatory environment.
Cambodia’s legal system does not protect property effectively and contains many gaps in company
law, bankruptcy, and arbitration. The land titling system is not fully functional; most property owners do
not have documentation to prove ownership.

The Role of the World Bank in Cambodia


The World Bank in Cambodia currently finances thirteen projects that are under implementation for a
total of US$ 263 million in loan and grants. In addition to financial assistance, the World Bank provides
knowledge and ideas and technical assistance to the country, e.g. through the Equity Report and
Poverty Assessment. During the visit, delegates received a detailed and comprehensive briefing on the
World Bank’s activity and strategy in Cambodia from World Bank Country Manager Nisha Agrawal, as
well as from sectoral experts from the World Bank country office.

Delegates received a detailed briefing on World Bank activity by World Bank Country Manager
Nisha Agrawal and World Bank sector experts.

A Vision for a Cambodia free of poverty


The World Bank promotes a vision of a Cambodia that is free of poverty, enabling it to reach the
Millennium Development Goals by eradicating poverty and hunger, achieving universal primary
education, reaching gender equality and empowering women, reducing child mortality, improving
maternal health, combating HIV/AIDS, malaria and other diseases, ensuring environmental
sustainability and providing de-mining and victim assistance.

Focus on Governance: The World Bank Country Assistance Strategy (CAS)


In order to attain these goals, it has designed the so-called Country Assistance Strategy (CAS) which
lays out the World Bank’s program of assistance to the country and is designed to support the
implementation of the government’s own Poverty Reduction Strategy. The CAS was developed after
extensive consultations with all key stakeholders (Government, private sector, civil society, and other
development partners) and was endorsed by the Board of Directors in May 2005 for the period of 2005-
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 6

2008.3 In Cambodia, the CAS was designed with a focus on governance, as many institutions of
governance were destroyed during the last three decades of conflict and need to be rebuilt. Analytical
work pointed to governance as the main constraint to poverty reduction in the country. For instance, the
Investment Climate Assessment (ICA) documented the high costs of doing business in Cambodia
(2004-2005), the Integrated Fiduciary Assessment and Public Expenditure Review (IFAPER) identified
the need for critical public financial management reforms (2003) and the study “Cambodia at the
Crossroads” found that accountability mechanisms were weak and needed to be strengthened (2004).

Figure 1: Country Policy and Institutional Assessment (CPIA) 2005 Ratings, demonstrating Cambodia
lagged its peers on governance indicators.

Accordingly, the World Bank has designed the CAS for Cambodia to tackle governance at two levels:
Firstly at the country level to build back the institutions of governance that were destroyed by three
decades of conflict and secondly at the project level to protect funds delivered through World Bank
projects. The overall CAS rests three pillars. The goal of the first pillar is to remove the governance
constraints to high poverty growth and poverty reduction by focusing on four themes at the country
level:

1. The promotion of private sector development by reducing the costs of doing business.
2. Strengthening public financial management (including management of oil revenues in the
future).
3. Improving natural resource management (securing property rights to land and access to
forests).
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 7

4. Supporting decentralization and strengthening local governance and promoting a stronger


demand for good governance by increasing citizens’ voice and participation in the policy making
process.

On the project level, the first pillar strives to reduce fiduciary risks in order to protect World Bank project
fund in the short term. In collaboration with the Cambodian government, The World Bank has
undertaken a study to understand the weaknesses in the underlying fiduciary systems that were
leading to leakages in World Bank projects.

Pillar two focuses on the support of Cambodia to reach the MDGs by aiding with the formulation and
implementation of a Government-led strategy (the National Strategic Development Plan) to achieve the
MDGs and help with analytical and investment services under-funded sectors and sub-sectors critical to
reaching the MDGs. Finally, the third pillar promotes partnerships with other stakeholders.

Since the World Bank is a relatively small financial player in Cambodia, providing about US$ 50 million
per annum of a total of about US$ 600 million in 2005 and has recognized that it cannot tackle
governance and corruption challenges or attain the MDGs alone, it has decided to do a joint CAS with
the Asian Development Bank (ADB), the UK-Department for International Development (DFID) and the
UN system, putting governance at the heart of the CAS. In addition, the World Bank has conducted a
joint CAS with the World Bank Group, namely the International Finance Cooperation (IFC) Mekong
Private Sector Development Facility (MPDF), which provides advisory services at national and
provincial levels and to institutions supporting enterprises. Currently, the World Bank is evaluating the
implementation of the CAS during the last two years and preparing a progress report to be presented in
early 2008.

Current Portfolio under Implementation


Trade Facilitation and Competitiveness (FY05- FY10), IDA Grant of USD 10 m.
Education Sector Support (FY05- FY11), IDA Credit USD 20 m.
Rural Electrification and Transmission (FY04- FY09), IDA Credit USD 40m.
Provincial and Rural Infrastructure (FY04-FY10), IDA Credit USD 20 m.
Provincial and Peri-Urban Water Supply (FY03- FY08), IDA Credit USD 19.9 m.
Health Sector Support (FY03-FY09), IDA Credit USD 27 m.
Economic and Public Sector Capacity Building (FY02- FY08), IDA Credit USD 5 m.
Land Management and Administration (FY02- FY08), IDA Credit USD 26.6 m.
Biodiversity and Protected Areas Management (FY00-FY08), IDA-GEF USD 4.6 m.

The Role of the Consultative Group on International Agricultural Research (CGIAR) in Cambodia
The CGIAR is a strategic alliance of members, partners and international agricultural centres that
mobilizes science to benefit the poor. It works to achieve sustainable food security and reduce poverty
in developing countries through scientific research and research related activities in the fields of
agriculture, forestry, fisheries, policy, and environment. Cambodia and the CGIAR have worked
together as partners since the 1980s, when Cambodia’s Ministry of Agriculture, Forestry and Fisheries
(MAFF) invited the International Rice Research Institute (IRRI) to help the country restore its rice
capability after many years of civil war. With funding from the Australian government, the Cambodia-
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 8

IRRI-Australia project (CIAP) was launched in 1987 to increase rice production to improve food security
and develop Cambodia’s agricultural research capacity. Within a decade, Cambodia achieved rice self-
sufficiency, with 34 varieties released, researchers and technicians trained, infrastructure rebuilt,
national genetic resources restored, and an extensive network of government and nongovernmental
collaborators established. In 1999, those efforts culminated in the creation of the Cambodian
Agricultural Research and Development Institute (CARDI). Presently, the Cambodia-CGIAR partnership
involves several CGIAR supported Centres that are contributing to Cambodia’s agricultural
development together with local institutions.

A collaborative initiative between Cambodia’s Ministry of Water Resources and Meteorology


(MOWRAM) and the International Water Management Institute (IWMI) is supporting Cambodia’s
adoption of so called Participatory Irrigation Management and Development (PIMD) policies.
PIMD, now part of national policy in Cambodia, enables farmers to take over the management
of their irrigation systems, with the aim of improving productivity, incomes and living conditions.
IWMI has been working with MOWRAM in developing a PIMD program for Cambodia that
provides assistance in three stages: initial policy formulation, preparation of implementation
guidelines and training modules, and program implementation.4

In Cambodia, 85 percent of the population are rice farmers, and rice provides three-fourths of
daily calorie intake. There is an urgent need to increase rice production in the poorest regions of
the country. Plan International is setting up schools and training teachers for remote villages,
but poor rice yields due to droughts are forcing villagers to send their children to work to earn
money for rice. In response, Project PROVIDE (Poverty Reduction Options Validated in Drought
Environments) was developed by IRRI, Plan International and CARDI together with the
provincial agricultural extension service to solve the problem in six villages in Siem Reap and
Kampong Cham Provinces to help poor rice farmers to increase yields, improve food security,
and thereby enable them to send their children to school.

CIAT, the International Centre for Tropical Agriculture is engaged in a program to develop
cassava a raw material for animal feed and starch production, which could become an important
source of cash income for poor farmers. Currently, several companies are planning new
factories for the production of dry chips, starch and bio ethanol, with the potential to boost
market demand for cassava. In 2004, at the start of the programme, nine Thai cassava varieties
bred in collaboration with CIAT were introduced in Cambodia together with CARDI and showed
higher yields. Additional varieties were introduced from Vietnam and China, which are now
being multiplied for widespread testing. In addition, CIAT is working with CelAgrid to conduct pig
feeding trials. Findings indicate that cross-bred pigs fed a diet of rice bran, cassava root meal
and either wilted or ensiled cassava leaves result in weight gain of about 200-300 grams a day.
In the long term, these efficient and effective integrated cassava-based cropping and livestock
production systems will enhance total farming productivity and livelihoods. CIAT is also starting
new activities related to the use of improved forages as feed to improve livestock production.
Shortage of animal feed is a major limitation to livestock production, especially at certain times
of the year. By planting small areas of high-quality productive forages, farmers are able to

4
For further information on the project see: www.iwmi.cgiar.org
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 9

greatly reduce feed shortages. A range of forage species and varieties have been evaluated
widely in the region and used successfully by smallholder farmers. At the same time, the
capacity of extension staff has been increased, so they can work in partnership with farmers to
improve livestock production systems and rural livelihoods. A third area of work has involved
training NGO staff to improve smallholders’ links to markets.

The Mekong River and Tonle Sap Lake create a vast freshwater system covering 1.8 million
hectares. Sixty-five million people in this region live mostly along rivers and water courses, and
depend heavily on shared resources- water, fish, land and forests. Increasing population, over-
exploitation of resources and degradation of the environment are threatening livelihoods,
especially those of the poor. In response, the WorldFish Centre has developed a program on
aquatic resources for poverty eradication and food security in the Mekong Region. Research
aimed at increasing the productivity of small-scale farmers has resulted in methods for
integrating aquaculture with rice farming in floodplain ecosystems. Farmers are now able to
obtain 500-1500 kilograms of fish per hectare from flooded ecosystems, compared to an
average of 50 kilos before. Resulting from genetics research, farmers have now access to
improved fish breeds, resulting in increased production and lower costs.

The Asian Development Bank in Cambodia


Arjun Goswami, Country Director of the Asian Development Bank in Cambodia identified Cambodia’s
current challenges at the crossroad of economic development.

Political stability juxtaposed with demographically driven demands for concrete development
results and employment
Impressive economic growth and improving debt sustainability juxtaposed with future potential
resource curse and volatility risks
Progress on certain social indicators juxtaposed with persistent poverty, especially in rural areas
where the most poor people and growing labour force live
Economic growth despite poor governance but with governance constraints becoming more
acute as the economy moves beyond security and subsistence
Challenge of being a dynamic region.

As a response to these challenges, the ADB has focused its Country Strategy and Program 2005-2009
on intensifying agricultural and rural development, supporting good governance for sector reform, risk
mitigation and institutional reforms for anticorruption.

ADB Programming 2007-2009


ADB’s lending indicative 3-year pipeline of a total of 204.3 million (up to 50% grant) is composed of
USD 60 million for agriculture and natural resources, USD 44.5 million for education, USD 17 million for
industry and trade, USD 33 million for transport and communication, USD 11.8 million for law,
economic management and public policy, USD 23 million for finance and USD 15 million for water
supply and sanitation. In addition, the non-lending indicative pipeline amounts to USD 13.9 million.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 10

The Field Visits: Focus on Agriculture


The first two days of the visit were devoted to recent innovative developments and research in the field
of agriculture. Delegates visited agricultural projects supported by the Consultative Group on
International Agricultural Research.

1. IRRI PROVIDE (Poverty-Reduction Options Validated Drought Environments) Site, Daun Peng
commune, Angkor Chum, Siem Reap Province.

Local farmers gave


delegates a warm
welcome on their rice
fields at the IRRI
PROVIDE site in the
Daun Peng commune.

Poor rice yields due to droughts are forcing villagers to send their children to work, instead of to school,
to earn money for rice and pose a threat to food security in rural Cambodia. In response, the
International Rice Research Institute (IRRI), CARDI and Plan International have developed Project
PROVIDE (Poverty Reduction Option Validated in Drought Environments) in six villages in Siem Reap
and Kampong Cham provinces to help poor rice farmers to increase yields, improve food security, and
therefore enable them to send their children to school and improve food security. Delegates visited
experimental rice fields and consulted with local rice farmers and the district leader of Daun Peng
Commune, were 120 families are cultivating rice on plots of about 1.2 hectares per family. Daun Peng
Commune frequently suffers severe droughts that destroy harvests. Through a combination of
improved rice varieties and farming techniques such as the leveling of fields and the application of
mineral fertilizers, farmers were able to improve yields by 30% with less than 50% of the amount of
seed they previously used, as local farmer Iean Im reported to delegates. Dr. Gary Jahn, IRRI
Representative and Coordinator for the Greater Mekong Subregion explained that the improved rice
varieties which allow for later sowing (August instead of June), enabling farmers to avoid drought. The
district leader asked delegates’ support for the building of an irrigation dam for this village, as this would
enable farmers to more than double yields. Farmers also noted the dramatically increasing prices for
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 11

real estate. Delegates raised concern about the impact of such of a possible irrigation dam on
neighbouring villages and stressed the importance of an effective system of land titles for local farmers.

MP Quentin Davis from


the United Kingdom,
leader of the delegation,
questions Siem Reap
farmer Iean Im and her
fellow farmers about her
experience, problems
and their assessment of
the future potential of the
IRRI PROVIDE project.
Left: MP Miguel Ginestal
from Portugal and MP
Jean Luc Reitzer from
France.

2. Rice Mill Visit, Siem Reap City


Following the visit with local farmers, delegates were able to gain insight into the post harvest phase of
rice production at a local rice mill in Seam Reap City. Without proper milling of rice, rice easily spoils
and can only be kept for a short time. Milled white rice can be stored indefinitely as long as the grain is
kept dry and in airtight containers. IRRI postharvest projects have introduced milling and storage to the
village level in Cambodia and other countries. At the site, the mill’s owner explained production
techniques and marketing principles to delegates. At the mill, farmers receive 22 cent per kilo for
unmilled rice, which is then milled and resold at US$ 333 per tonne (33 cents per kg) on the local
market. Dr. Gary Jahn of IRRI explained the great importance of rice as a source of complex
carbohydrates and protein in Cambodia, where malnutrition remains a serious problem with 35%
children affected in villages. Both vitamin A and iron deficiency remain common, especially in rural
areas.

The owner of the rice mill explains


technical procedures and marketing
principles of rice milling in Cambodia to
delegates. Left: Dr. Gary Jahn of IRRI.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 12

Delegates raised concern over the fact that farmers do not organize locally to collectively sell their
produce to local markets, enabling them to achieve higher profits for their rice. Blake Ratner, the World
Fish representative in Cambodia, said agriculture and agricultural research remain of paramount
importance to the Cambodian economy: “We need policymakers to strengthen the vital role agriculture
plays in poverty reduction.”

3. O’Tang Irrigation System, Kampong Speu Province


On the following day, delegates visited a participatory irrigation project in Kampong Speu Province
which is implemented by the Cambodian government with technical assistance from the International
Water Management Institute (IWMI).

Rehabilitated reservoir
and dam of O’Tang
Irragation System,
Kampong Speu Province

At a station close to the


reservoir, Ella Pereira, who
has been a consultant with
the project since 2004, together with the chairman and five members of the local Farmer Water User
Community Committee explained to delegates the functioning of the irrigation scheme for local villages.
The site visited has been among the best performing among eleven pilot schemes based on an
innovative, participatory system of irrigation. Part of the irrigation scheme, such as the bridge, the dam
and the reservoir, were built in 1976 by the government. In 1998, the scheme was rehabilitated. Water
is allocated after individual farmers submit requests to the committee. Through the project, local
farmers were able to increase yields by 1,5- “Charging per hectare does not provide an
1,8t/hectar, as well as increase income by growing economic incentive to take less than you
water melon in the dry season. According to need under the current charging scheme. If
Perreira, the water from the reservoir serves as this is replicated throughout Cambodia, we
will create a very inefficient system. Price
supplemental supply to farmers, who pay 20-50 US$ incentives for water are needed” Hon. MP
per hectare for irrigation. Prices vary depending on Quentin Davies, United Kingdom.
the need to pump the water to the fields. Delegates
raised serious concerns regarding this form of pricing mechanism, among them MP Quentin Davis, who
criticized it as inefficient and lacking economic incentives for prudent water usage.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 13

Ella Perreira,
consultant with the
project since 2004
explains the irrigation
scheme to delegates

After the visit, delegates met with local farmers in one of the beneficiary villages of the irrigation
scheme. Farmers explained the strengths and weaknesses of the scheme, the possibility of two
seasons of cultivation for crops and marked an increased need for culverts to decrease cost for water
usage which are generated from the need to pump the water over longer distances.

4. CelAgrid, CIAT Activities: Use of cassava for pig feeding, Prah Theat Village, Kandal Steung
District, Kandal Province
The following visit led delegates to CelAgrid Station, a research center that works on research on
cassava leaves for livestock feeding. CelAgrid was founded in 2003, together with the University of
Tropical Agriculture. The research center’s director delivered a presentation to delegates on current
research activities. Cassava leaves, which farmers grow in the backyards and which are not consumed
by humans in Cambodia, contain high levels of protein and can provide a suitable feeding source for
livestock, especially pigs. Through its research program, the centre has developed recipes for cassava
silages and a mix with other additives which allows for maximum weight gain in pigs. In addition, the
production of silage allows farmers to store fermented cassava leaves for months. In the pilot project,
each farmer receives two piglets to test the newly developed feeding techniques. In addition to
research on cassava leaves, the center has developed a biogas plant prototype which can be used as
to produce energy for local farmers. The prototype involves capital costs of US$ 45 for materials. It can
run on the manure produced by four pigs to produce enough energy for one family. In addition, it
provides an effective sanitary system to manage the manure. Further, the center is currently developing
fish breeding techniques for cod to be used in local villages.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 14

Pig feeding on cassava silage


produced as part of innovative
agricultural research at CelAgrid
station.

5. Outline of CIAT activities at CARDI and in other provinces


Delegates visited a number of experimental fields in the CARDI compound, where Dr. Reinhart Howeler
of the International Centre for Tropical Agriculture (CIAT) explained CIAT’s activities in Cambodia and
in the region. Accordingly, CIAT is engaged in a program to develop cassava as a raw material for
animal feed and starch production, which could become an important source of cash income for poor
farmers in Cambodia. Currently, several companies are planning new factories for the production of dry
chips, starch and bio-ethanol, with the potential to boost market demand for cassava. In 2004, at the
start of the programme, nine Thai cassava varieties bred in collaboration with CIAT were introduced in
Cambodia together with CARDI and showed higher yields. Additional varieties were introduced from
Vietnam and China, which are now being multiplied for widespread testing. In addition, CIAT is working
with CelAgrid to conduct pig feeding trials. Findings indicate that cross-bred pigs fed a diet of rice bran,
cassava root meal and either wilted or ensiled cassava leaves result in weight gain of about 200-300
grams a day. In the long term, these efficient and effective integrated cassava-based cropping and
livestock production systems will enhance total farming productivity and livelihoods.

Dr. Reinhard Howeler of CIAT


explaining cassava research and use
in Cambodia. Left: MP Jean-Luc
Reitzer from France.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 15

Dr. Reinhardt Howeler


explaining demonstration
plants (cassava) to MP Serge
Amuri from the Democratic
Republic of Congo.

On the same day, parliamentarians visited the Cambodia Agricultural Research and Development
Institute (CARDI). At the institute, the team was greeted by CARDI’s director Dr. Men Sarom and
discussed activities that CARDI, World Fish and IRRI are undertaking in Cambodia. In the ensuing
debate, delegates, among them Portuguese MP Miguel Ginestal, raised the following critical points:

Farmers need to be linked more efficiently to markets.


Farmers need to be encouraged to create cooperatives in order to be able to access markets
more efficiently and negotiate collectively in order to receive higher profit margins. In addition,
they need to form coalitions and interest groups in order to lobby their interests at the political
level.
Donors need to support vocational training and technology transfer for rural farmers in
Cambodia in the field of agriculture.

Field Visits to Poverty Reduction Projects supported by the World Bank


1. Health Sector: Visit to Rokar Koh Kampong Health Center, Kampong Speu
The following part of the field visit was hosted by the World Bank, starting with a visit to the Rokar Koh
Health Center, one of the public health centers supported by the World Bank and other development
partners through the Health Sector Support Project. At the health center, delegates met with Health
Minister H.E. Nuth Sokhom, provincial health department officers and health center staff, as well as
with patients who had come to use the center’s services. Through the visit, delegates were able to gain
insight into the everyday functioning and challenges of public health services in rural Cambodia.
According to World Bank Senior Health Specialist Toomas Palu, health centers of this type are central
to the government’s effort to improve access to primary health care. Typically, each health center
provides care to 10,000- 12,000 people in surrounding communities, with a total of 967 centers
throughout Cambodia. Primary health care provided includes vaccination of children, antenatal care,
professional assistance to childbirth, and first level treatment to common diseases, outreach to
communities with public health messages, and other measures. Health centers interact with Village
Health Support Groups and also have a community participation mechanism via the Health Center
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 16

Management Committees. The center visited represents World Bank support to improving infrastructure
based on a new health center design. In addition, the World Bank provides financial support for the
training of health staff. H.E. Nuth Sokhum, Minister of Health welcomed the delegation at the site and
thanked for their support, stating that a new strategic plan is under development to tackle health issues
with a focus on the fight against maternal mortality and bird flu. In order to address the issue of bird flu,
the ministry has launched awareness campaigns. As part of the campaign, two volunteers per village
teach local farmers about the dangers of avian influenza.

The local health center was inaugurated in early 2007 and employs a total of 7 health workers, who
offer general consultations, treatment of child illnesses, general delivery, small surgeries, natal and
postnatal care, immunization services, detection of tuberculosis, de-worming, vitamin supplementation
and home based treatment for HIV/AIDS. The local head nurse reported the center’s achievements in
2007 in these areas. Parliamentarians were generally impressed with Cambodia’s record of fighting
HIV/AIDS, which has led to a significant reduction of new cases, as well as the government’s effective
campaign against avian influenza. MP Fin-Martin Vallersners from Norway showed special interest in
an innovative financing mechanism in the health care sector. Through the establishment of an equity
fund that pays for primary health care for the rural poor and free vaccinations, health care becomes
accessible to those who would not be able to afford it otherwise. The discussion was followed by a tour
of the center. Delegates were impressed with the governments program against HIV/AIDS.

MP Fin Martin Vallersnes from Norway at Rokar Koh Kampong


Health Center showed special interest in Cambodia’s innovative
financing mechanism through the establishment of an equity fund
that pays for primary health care of the rural poor.

Avian influenza remains a danger to Cambodian


farmers. Through a nationwide awareness campaign
that specifically targets rural farmers and that uses
posters such as these, Cambodia has achieved
remarkable success. This achievement is important not
only for Cambodia, but for farmers around the world, as
MP Miguel Ginestal from Portugal noted: “Avian
influenza is a global problem that affects us all and I am
impressed by the efforts undertaken by the Cambodian
government in preventing a pandemic”
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 17

2. Decentralization & Deconcentration: Commune Council and Rural Investment and Local
Governance Project financed by the World Bank
Following the visit to the health center, delegates met seven commune council members at the Rokar
Koh commune office, representing the Cambodian Peoples Party, the Sam Rainsy Party, and the
Norodom Ranariddh Party. The parliamentarians were briefed by the commune chief about its
development, especially about the decentralization process. Through a program funded from the
national budget, and supported by the World Bank and other development partners, around US$
10,000 is granted to each of Cambodia’s 1621 communes every year. Improving the framework for
public and private investment in rural areas in Cambodia requires effective local governance.
Resources available to communes are still quite limited and their capacity, while steadily improving,
remains weak. Rokar Koh Commune does not have its own-source revenue and therefore relies solely
on the inter-governmental transfer of funds through the Commune/Sangat fund, which is financed in
part by the Rural Investment and Local Governance Projects by the World Bank.

Delegates were able to meet with provincial officials and project advisors and the Commune Council,
which was elected for a five year term in February 2002 in Cambodia’s first local government election.
Commune Councils have the responsibility for a modest range of local development and administration
functions with their current, fairly limited capabilities. They include maintaining order and security,
managing commune development planning, including citizens’ involvement, and budgeting, designing
and implementing small-scale local development projects initially focused on the provision of small-
scale public infrastructure such as village roads. Given the low education and literacy rates in rural
areas, coupled with limited experiences with decentralized development, the capacity of commune
councils remains limited. On site, the head of the commune presented infrastructure as a priority need,
with a number of rural roads undergoing repair works. Other areas of focus were women and children
and environmental issues. In the Commune Councils, participation of women as councilors has
doubled since 2002 as one council representative noted. NGOs are training local women to participate
in the councils, as a female councilor reported.

Ms. Thun Sokleng, the sole female member of the Council,


responsible for women’s and children’s affairs, received
messages of encouragement and exchanged experiences of
women in politics with parliamentarians.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 18

3. Gender, Youth and Education: Visit to Hun Sen Kampong Phnom Secondary School, followed
by visit to Khmer Youth and Social Development Organization (KYSD), Neak Loeung, Kandal
Province
The education sector in Cambodia is facing several challenges in providing equitable access to
education services. Many primary schools are still under construction. Despite an increase primary net
enrolment rate of 92%, completion rates remain low, at 47%. A system for standardized learning
assessment has yet to be established to guarantee quality and efficiency of education services. The
World Bank’s on-going portfolio for education in Cambodia is USD 28 million for 2005-2010. Delegates
visited the Hun Sen Kampong Phnom secondary school and were welcomed by students and H.E. Mak
Van, Secretary of State of the Ministry of Education, Youth and Sport, and education department
officers of Kandal province. Officials reported that enrolment figures are increasing in Cambodia,
educational facilities are improving and a scholarship program through the Education Sector Support
Project which is supported by the World Bank has been established. Following the official discussion,
delegates were able to visit classrooms and talk to individual students and teachers.

MP Anastase Nzirasanabo from Rwanda


questions local 9th grader about his
educational experience.

Delegates delivered messages of encouragement and motivation and engaged in a lively discussion
with pupils in their classrooms. Next, parliamentarians visited a project supported by the World Bank
Small Grants Program. The Khmer Youth and Social Development Organization (KYSD) is a non-profit
organization that received a US$ 12,000 by the World Bank to promote women as partners in
promoting gender and good governance in the community in Kandal and Kampong Cham provinces,
targeting young people, particularly students. Parliamentarians were deeply impressed by KYSD’s work
and the vitality, intelligence and eagerness to learn among the students.

MP Joëlle Garriaud-Maylam from France


discussing with participants at KYSD.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 19

5. Water Sector: Visit to Phnom Penh Water Utility Project


The final field visit took delegates to the Water Treatment Plant (WTP) in Chruoy Changwar, were
delegates met with H.E. Ek Sun Chan, General Director of the Phnom Penh Water Supply Authority
(PPWSA). Cambodia has made remarkable progress in rebuilding its urban water supply sector since
the early 1990s. The Phnom Penh Water Supply Authority (PPWSA) is serving the capital and its
suburbs and has gone through a major transformation, achieved with significant donor support over the
past decade, including funding from the World Bank, UNDP, Japan and France, with Japan being the
biggest donor (USD 60 million since 1993). The WTP, which was financed by the World Bank and
completed in 2003, provides 235,000 cubic meters of clean water per day. Delegates were greeted at
the site by H.E. Ek Sun Chan, Director General of the PPWSA and toured the facilities.

MP Ruqia Nayel, member of the Afghan parliament


inspecting the site.

Dr. Ek Sun Chan, General Director of the Phnom


Penh Water Supply Authority (PPWSA)
discusses the development of the water sector
in Cambodia with delegates.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 20

Consultations with key stakeholders

1. Consultations with representatives from civil society


Parliamentarians met with representatives from civil society during a visit of HAGAR Restaurant, an
NGO that provides employment, training and rehabilitation to people who have suffered from sustained
human rights abuse, severe trauma, and or disability. HAGAR runs two restaurants, a beverage tetra
pack processing factory and a garment factory for handbags in Phnom Penh. The IFC participates as
an equity partner. In a lively discussion with representatives from civil society, parliamentarians listened
to the concerns and thoughts and learned about the views of civil society members on the development
efforts in Cambodia undertaken by the government and supported by international donors and
development agencies. Most importantly, discussants from NGOs raised the following points and
concerns:

On the issue of natural resources and land grabbing:


Next to the need to enforce existing policies and laws, there is a need to provide environmental
impact assessments throughout the country.
Indigenous people should receive land titles as soon as possible.
There are strong concerns regarding the proper management of existing resources and their
use for the public good.

On agriculture
Both donors and the government are not paying enough attention to the development of the
agricultural sector. The government has failed to develop a comprehensive policy to support
farmers.
Farmers are left to themselves with unsustainable crops and are facing strong competition from
imported agricultural products.
Farmers are seeking new and innovative techniques, and the agricultural research sector is
facing a large human resource gap.
Donors are unable to reach farmers while the government and the World Bank are suffering a
knowledge gap in agriculture.

On corruption:
Corruption remains a major problem in Cambodia, with ineffective legal measures in place to
curb power and survival corruption.

Consultations with the Royal Government of Cambodia


During their stay in Cambodia, parliamentarians engaged in an intensive dialogue with high level
members of the Royal Government of Cambodia on a number of issues of utmost importance to
Cambodia’s development efforts. Consultations were held during a courtesy meeting with H.E. Heng
Samrin, President of the National Assembly, a meeting with H.E. Chea Sim, President of the Senate
and a dinner with high level representatives from government.

During a meeting with the heads of the nine Special Commissions to the National Assembly,
parliamentarians started a thorough and lively debate. Items to be discussed in the meeting had been
drawn up during a lunch briefing session with World Bank staff at the World Bank Country office, in
which experts from the World Bank country team around Country Manager Nisha Agrawal delivered
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 21

detailed briefings on Cambodia’s development efforts by sector. Accordingly, items that were discussed
focused on:

1. Health & education (public services)


2. Economic issues, including aid
3. Environment
4. Governance, transparency, human rights

H.E. Mrs. Ho Naun, Chairwoman on Public Health, Social Work, Veteran, Youth Rehabilitation, Labor,
Vocational Training and Women’s Affairs explained government policy in the fight against HIV/AIDS.
Together with UNAIDS, the government established a government authority to tackle the problem.
Raising awareness through the media, university and school, non-discrimination against people living
with HIV/AIDS and educational program throughout the whole spectrum of society are central elements
of the policy. The government budget for HIV/AIDS reduction programs is large. MP Miguel Ginestal of
Portugal raised the importance of having effective measures in place to fight against avian influenza
outbreaks in the future, before it spreads to neighboring countries and eventually becomes a global
pandemic. H.E. Mrs. Khoun Sodary, Chairwoman on Protection of Human Rights and Reception of
Complaints and H.E. Mrs. Ho Naun of Public Health explained that the government has installed local
test centers in the country side and has set up awareness campaigns but is facing budgetary restrains.
H.E. MP Joëlle Garriaud-Maylam asked questions concerning education and the representation of
women in parliament. Commissioners explained that after the end of the Red Khmer regime, 60% of
the population were women, who often get married after the age of 14 and do have a mindset that they
cannot generate income for their families. Enrolment of females in primary school is equal to that of
males, but completion rates remain low.

H. E. MP Miguel Ginestal noted that there is a need to prepare children from age 1-5 to go to primary
school at the age of six. Commissioners pointed out that the government has adopted a policy of
building schools closer to home in order to give all access to education. Further, the government with
assistance from the International Labor Organization (ILO) tries to discourage from using their children
for labor and provides housing and education for children, for instance in Kampung Chang salt
production.

Parliamentarians
engaged in a
lively discussion
with the heads of
the nine reform
commissions.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 22

Several Commissioners identified receiving international aid, investments in the garment sector, a
government law on investment in Cambodia which increased foreign direct investments in the country,
most favored nation status in the world trade regime and 1,110 temples and other historical sites as key
factors for economic growth. Further, Cambodia wants to develop mutual investment protection
agreements with countries like China and expand economic activity to mining, while enabling
Cambodia to escape the resource curse. H.E. MP Quentin Davis of the United Kingdom raised the
issue of Cambodia’s lack of an anti-corruption law and questioned the commissioners directly on
whether or not they will create such law and sign on to the Extractive Industries Transparency Initiative.
H.E. Than Sina, Chairman on Economy, Planning, Investment, Agriculture, Rural Development,
Environment and Water Resources responded that the government has developed civil and criminal
procedure codes with the help of France and Japan and are working towards a law on corruption. After
the discovery of significant oil resources and the prospect of extracting first oil in 2009, there has been
a workshop on EITI and three laws were established on the management of oil, the taxation of oil
companies and the management of proceeds from the oil business, respectively. H.E. Than Sina
assured delegates that the government will have an anti-corruption law in the future and reported that
the government has established the Cambodian Petroleum Authority and is preparing 200 hectares of
land for companies that want to explore oil. In addition, there have been significant gold resources
found. In addition, H.E. Than Sina said Cambodian development will be based on a clean and good
society based on good governance. 28,8% of the government budget went to agriculture in 2008, while
the IMF wrote off USD 82 million in debt. The government is determined to dedicate significant
resources to agriculture, the diversification of crops and the building of irrigation systems. Furthermore,
the government is dedicated to keep impenetrable forests in Cambodia and has signed on the
convention on biodiversity. A law on biofuels has yet to be developed.

Consultations with leaders of the opposition


During the visit, parliamentarians met several times with leaders of the opposition and listened to their
views and concerns regarding economic and political development in Cambodia. Opposition leaders
stressed the following:

Urban and rural areas are facing great difficulties. Most importantly, prices for energy and
fertilizer have been rising rapidly and are higher in neighboring countries. As a result, especially
Cambodian agricultural products are not competitive with those of neighboring countries.
Corruption has led to an increase in prices and remains a key issue, as low salaries for public
servants and teachers (USD 30 a month) prevent an effective fight against corruption
While the King and opposition leaders have disclosed their private assets, other government
officials refuse to do so. A law on corruption will not pass.
Most of the proceeds from tourism in Angkor Wat are going to foreign companies in Thailand
and Vietnam.
Cambodia urgently needs a law against corruption and needs to implement the rule of law in
order to attract investments.
The government urgently needs to take steps to stop illegal logging and address the issue of
land grabbing.

Consultations with donors and the private sector


Delegates discussed Cambodia’s development issues with a large number of donors and
representatives from UN agencies, such as UNDP and the FAO and met with a group of
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 23

representatives from the private sector and the International Finance Cooperation to discuss economic
and political issues. Development partners in Cambodia reported that Cambodia has made progress in
donor coordination and the Paris Declaration agenda of harmonization and alignment.

Main findings & recommendations


Through the field visit program to Cambodia, parliamentarians were able to get an in depth look into the
the state of development in Cambodia and the work of the World Bank and the CGIAR in the fields of
innovative agricultural research and development, education, public health, governance and the water
sector. Through a series of extensive consultations and discussions including senior government
officials, donors, civil society, leaders of the opposition and the private sector, delegates had the unique
opportunity to discuss the development process in Cambodia and raise all important issues of concern
with all key stakeholders. As a result of the field visit, delegates made the following comments and
recommendations:

On agricultural and development

Recommendation # 1: Strengthen knowledge and technology transfer from agricultural


research to local farmers.

MPs were generally impressed by the projects in innovative agricultural research, such as the
development of cassava for pig feeding. However, several MPs pointed to an apparent gap
between the results of research and the dissemination and application of findings among local
farmers.
Parliamentarians, among them Hon. MP Fin-Martin Vallersnes of Norway, noted that it is often
unclear how many of the innovative developments in the field of agriculture are transferred to
local farmers to have a direct and visible positive impact on their livelihoods.

Recommendation # 2: Create economic incentives through a pricing mechanism that


promotes effective water usage in irrigation projects.

Delegates, first and foremost Hon. MP Quentin Davis from the United Kingdom noted the need
to create economic incentives for farmers to use the scarce water resources more effectively in
irrigation projects by local farmers, helping them to increase yields.
Charging water in irrigation schemes per hectar of irrigated land will not promote efficient use of
water resource.

Recommendation # 3: Assist farmers in adopting a strategic approach to products and


markets.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 24

Parliamentarians noted the apparent lack of collective organisation among rural farmers. As a
result, effective lobbying for the interests of farmers at the political level does not occur. In
addition, farmers are missing out on the chance to organise collectively to achieve higher prices
for their products on local as well as international markets. Therefore, farmers should be
supported in organising collectively in order to represent their interests effectively at the local
and national level. MP Miguel Ginestal of Portugal remarked: “We did not see enough efforts to
transform producers. Farmers need to adopt a strategic approach to their products to market
them at a better price. Producers should be organised in order to be better prepared for
competition in the market.”
In addition, rural farmers should be enabled to diversify their crops, as Ramon Salas, Member of
the Mexican Parliament and Secretary of the Agrarian Reform Committee.

On corruption, democracy, and the effective use of natural resources and other issues:

Recommendation # 4: Establish a federal law that makes corruption a criminal offence.

Parliamentarians repeatedly stressed the need for Cambodia to tackle its massive corruption
problems. An important step should be the establishment of a federal law that makes corruption
a criminal offence- an international legal standard, to which the Cambodian penal code yet has
to catch up to.
MPs pointed to the potentially negative economic impact that widespread corruption can have
on the future economic development of Cambodia. As MP Quentin Davies pointed out: “It is an
absolute anomaly that corruption is not a criminal offence in Cambodia. This can only become
an increasing obstacle to foreign direct investment, domestic capital formation and the
emergence of an entrepreneurial economy.”

Recommendation # 5: Sign up to the Extractive Industries Transparency Initiative as soon as


possible

Cambodia has made potentially significant discoveries of hydrocarbons, but also of other natural
resources in the mining sector. Currently, international companies are engaged in the bidding
process and the negotiation of production sharing agreements.
In order to ensure transparent and efficient use of Cambodia’s natural resources, MPs felt that it
seems essential that Cambodia should sign up to the EITI before rather than after significant
investments in the sector are made.
The international community, many MPs underscored, should encourage Cambodia to use its
natural resources for development.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 25

Recommendation # 6: Effectively address the issue of land grabbing and step up the issuing
of land titles.

The land titling system in Cambodia is not fully functional and most property owners do not have
documentation to prove ownership. Especially among rural peasants and investors wishing to
develop the land, this becomes an increasing source of conflict. During the visit, this concern
was voiced repeatedly by members of Cambodian civil society, rural peasants and opposition
leaders.
MPs stressed that it is essential for Cambodia to increase its efforts in making the land titling
system fully operational to effectively protect individual property and ownership rights.

Recommendation # 7: Increase efforts in fighting deforestation and illegal logging.

Illegal logging remains a massive problem in Cambodia. The Human Development Report
2007/2008 documents that illegal logging of hardwood timbers for export in Cambodia was
responsible for much of the 30% reduction in primary rainforest cover since 2000.
MPs stressed the need to increase efforts in fighting deforestation and illegal logging in order to
avoid dangers of increased flooding, the destruction of Cambodia’s natural habitat and the
negative effects on the global effort to fight climate change.

Recommendation # 8: Build up a genuine climate of democracy

MPs noted the positive steps Cambodia has taken towards more democracy, but also pointed to
a lack of political organisation among several interest groups, most importantly rural peasants.
MPs encouraged the government to continue its path towards more democracy. MP Simon
Epiney stated: “Cambodia needs more democracy and should not be afraid of it.”

Recommendation # 9: Address the growing gap between the rich and the poor

The gap between the rich and the poor in Cambodia is widening rapidly. MPs pointed out the
need for the government and the international donor community to address these issues.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 26

Impact of the visit: Changing debates, sharing experiences and building new networks

MPs reported that the field visit program provided them with an extraordinary opportunity to witness on
the ground the development efforts in Cambodia and to discuss major issues of concern with all key
stakeholders of the development process. Furthermore, MPs said it was specifically important for them
to get an insight into the work of the World Bank and the CGIAR. Delegates reported that their
experiences and findings will have a significant impact on the debate on development issues and the
allocation of budgets in their national parliaments. In addition, many were able to share experiences
and best practices from their home countries with key development partners in Cambodia, build new
networks and develop new ideas for their home countries.

Focus on: MP John Deasy, recently appointed Deputy Spokesperson on Foreign Affairs with
Special Responsibility for Overseas Development Aid and Chairman of the Development Aid
Subcommittee.

“We have begun to fund Cambodia over the last year. We have a growing aid budget. We concentrate
most of our work in Sub-Saharan Africa. Over the last year, we have gotten involved with the World
Bank funding in the Mekong Private Sector Development Facility. There are a lot of Irish NGO’s in
Cambodia in de-mining, labour issues and women’s rights. My job effectively is to see if we can add
any value to Cambodia by means of extra funding or whether other expertise could be used in that
area. I have gone on delegations before where you spent four days in office blocs where you just met
government officials, effectively talking to people about things that seem quite abstract, when you are
sitting in a chair in an air-conditioned office. So from the standpoint of going out and meeting rice
farmers and seeing irrigation projects, it has been worthwhile. I think the value of this is considerable
because it gives you in a short space in time a very good feel for what is occurring in the country. I
would not have any hesitation of increasing the cooperation that exists between Ireland and the World
Bank.”

MP John Deasy
from Ireland
engaged in a
lively discussion
with local youth
at the KYSD
project.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 27

Focus on: MP Ruqia Nayel, Member of the Afghan Parliament and Member of the Agricultural
Commission

“It is very useful and beneficial for me. With the experience I have gained in this country, I will go back
to parliament and also report to the agricultural committee about agricultural innovation and
development in this country, the work of the World Bank and the CGIAR. I will report about my
experiences in Cambodia when the committee invites our minister of agriculture and also pass on my
experience from this country to the minister to change our lives in agriculture in Afghanistan”.

Focus on: MP Gbenga Makanjuola, Member of Parliament and Chairman of the House Committee
on Agriculture and sub-committee chairman on natural resources appropriation committee from
Nigeria

“With the impressions, the information and knowledge that I have acquired in the last five days here in
Cambodia, especially affecting the relationship with rural dwellers, when I get back to Nigeria, I want to
see how I can intensify efforts so that there is a stronger relationship between rural dwellers and
parliamentarians. I can share my experiences with Cambodian government officials on anti-corruption
legislation. Where there is corruption there can never be progress in development. This is the first time
as an MP that I have the opportunity of monitoring the World Bank’s projects at the grass roots at the
rural areas because before now, we just read it in the newspapers”

MP Gbenga Makanjuola
inquiring about
government programs to
fight HIV/AIDS at Rokar
Koh Health Center in
Kampong Speu.

Report written by Daniel J. Kroos


Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia

ANNEXE I.- LIST OF PARTICIPANTS

November 11-16, 2007

Members of Parliament_(14)

Afghanistan
Hon. Rugia Nayel,
Member of Parliament, Member of the Gender Committee

DRC Congo
Hon. Serge Amuri,
Member of Parliament

France
Hon. Joëlle Garriaud-Maylam,
Member of Parliament, Member of the Senate’s Foreign Affairs Committee

Hon. Jean Luc Reitzer,


Member of Parliament, Member of the Foreign Affairs Committee

Ireland
Hon. John Deasy,
Member of Parliament, Member of the Foreign Affairs Committee

Mexico
Hon. Ramon Salas,
Member of Parliament, Secretary of the Agrarian Reform Committee

Nigeria
Hon. Gbenga Makanjuola,
Member of Parliament, Chairman of the House Committee on Agriculture

Norway
Hon. Finn Martin Villarsnes,
Member of Parliament, member of the Foreign Affairs Committee

Portugal
Hon. Miguel Ginestal,
Member of Parliament, Chairman of the Committee on Economic Affairs, Innovation and Regional Development,
sub Commission for Agriculture, Rural Development and Fishing

Rwanda
Hon. Anastase Nzirasanabo,
Member of Parliament, Member of the Senate Committee of Economics and Finance

Switzerland
Hon. Simon Epiney,
Member of Parliament, Member of the Finance Committee and Committee on Environment and Energy
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 1

Thailand
Hon.Tuan Untachai,
Member of Parliament

United Kingdom
Hon Quentin Davies, Member of Parliament, Member of the International Development Committee of the House
of Commons

Other participants

Nisha Agrawal, Country Manager for Cambodia, World Bank


Jean-Christophe Bas, Manager, Parliamentary Relations, World Bank
Nayé Bathily, Parliamentary Relations, World Bank
Saroeun Bou, Communication, World Bank, Cambodia
Mia Hyun, Poverty Specialist, World Bank, Cambodia
Amara Kiev, World Bank, Cambodia
Florencia Tateossian, Communication, CGIAR
Teemour Diop, Film Director
Daniel Kroos, Rapporteur for the visit
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 2

ANNEXE II.- PROGRAM FOR THE FIELD VISIT


November 11 -16, 2007
5
Time Activity Venue CGIAR & WB participation

Sunday November 11, 2007 (in Siem Reap Province)


-- Check into Victoria Angkor Resort Hotel Victoria Angkor
Resort and Spa Hotel

4:30 _ Opening session- General Briefing Victoria Angkor Dr. Sarom CARDI,
7:00 During this session delegates will get Resort and Spa Hotel Blake Ratner, (WorldFish-IWMI)
p.m. acquainted with the goal of the visit as well as Tin Maun Aye (CIAT)
its expected results and achievements. Arjun Goswami (ADB)
Nisha Agrawal (WB)
Welcome and Overview of PNoWB, World Jean-Christophe Bas (WB)
Bank Program, CARDI, CGIAR work in Quentin Davies (Delegation
6 7 8
Cambodia (CIAT , IRRI , IWMI , WorldFish). leader)

7:00- Opening dinner w, co-hosted by the CGIAR, Grand Hotel d’Angkor Dr Sarom CARDI
9
9:00 PNoWB and World Bank. (Apsara Terrace) Blake Ratner, (WorldFish-IWMI)
p.m. Tin Maun Aye (CIAT)
Nisha Agrawal, WB Team.

Monday November 12, 2007


7:30 – Travel from Victoria Hotel to Daun Peng 1. Preap Visarto, CARDI
9:00 Commune by a bus with microphone (30-seat 2. Mr. Teav Pochun, Dir. Srp.
a.m. bus) PDA Authority Official (Head of
District)
3. Ms. Lam Sony, CD Facilitator
(Plan International) in SRP

9:00 – Visit IRRI PROVIDE (Poverty-Reduction Daun Peng 1. Dr. Preap Visarto
11:00 Options Validated In Drought Environments) Commune, Angkor 2. Mr. Teav Pochum
a.m. site. Chum District, 3. Ms. Lam Sony
Siem Reap Province.

11:00 _ Travel to SRP City for lunch Dr. Preap Visarto, CARDI
11:30 Mr. Teav Pochum, Dir Srp PDA
a.m. Authority Official (Head of District)

12:00 _ Lunch Srah Srong Arranged by Mr. Preap Visarto


1:00 Restaurant near and Mr. Teav Pochum
p.m. Angkor Thom
1:00 _ Return/Travel to Siem Reap City
1:30
p.m.
1:30 - Rice Mill visit Siemp Reap city Mr. Teav Pochum, Dir Srp PDA
2:30 Authority Official (Head of District)
p.m.

5
CGIAR - Consultative Group on International Agriculture Research
6
CIAT - International Center for Tropical Agriculture
7
IRRI - International Rice Research Institute
8
IWMI - International Water Management Institute
9
PNoWB- Parliamentary Network on the World Bank
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 3

2:30 – Collect luggage from Victoria Hotel and depart


3:30 for Siem Reap Airport
p.m.
3:30 – Travel to Siem Reap Airport and depart for PP
4:00 by flight: FT995, 4:35 - 5:25 p.m.
p.m.
5:25 Arrive in PP by flight: FT995. The NA Officials
p.m.- will receive the delegation at the VIP Arrival
Exit.

6:30 Check into Raffles Hotel Le Royal. Phnom Penh


p.m.

Tuesday November 13, 2007


7:00 – Travel from Raffles Hotel Le Royal to
8:30 Kampong Speu
a.m.

8:30 IWMI site in Kampong Speu: O’Trang Kampong Speu L.R. Perera (IWMI)
a.m- irrigation system
11:00
a.m.
12:00 _ Lunch
1:30
p.m.
1:30 – Visit CelAgrid to see some of CIAT’s activities Prah Theat Village, Reinhardt Howeler (CIAT)
2:45 - use of cassava for pig feeding Kandal Steung Dr. Kyieu Borin is the Director of
p.m. District, Kandal CelAgrid.
Province
3:00 – Outline of CIAT activities at CARDI and in CARDI Station Reinhardt Howeler (CIAT)
4:00 other provinces. Presentation (45min) during N. Road 3, PP. Ung Sopheap (CARDI)
p.m. coffee and then 20 to 30 min field visit

4:00 _ Visit Research facilities and Wrap-up CARDI facilities Dr. Sarom, CARDI
5:00 discussion on CGIAR sites visited and other Reinhardt Howeler (CIAT)
p.m. projects in Cambodia L.R. Perera (IWMI)
Blake Ratner, (WorldFish-IWMI)
Dr. Preap Visarto, CARDI

5:00 _ Travel from CARDI Station to Raffles Hotel Le


5:30 Royal
p.m.
6:40 Pick up from Raffles Hotel Le Royal to
p.m. Himawari Hotel by Bus.

7:00 _ Dinner with Ambassadors and 20 Donors Himawari Hotel


9:00 (Open Terrace)
p.m.

Wednesday November 14, 2007

7:00 _ - Pick up from Raffles Hotel Le Royal and Nisha, Saroeun, Simeth, Toomas,
8:30 Travel to Kampong Speu Province by Nareth, Mudita
a.m. bus.

- Briefing by Nisha Agrawal, World Bank


Country Manager, Cambodia and Staff of
World Bank-financed project during the
bus ride.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 4

8:30 – Field Visit to Kampong Speu Province: Rokar Koh WB team: Nisha, Saroeun,
9:30 Commune, Toomas, Nareth,
a.m. Health (Health Center) Kong Pisei District,
Kampong Speu.

9:30 – Decentralization & Deconcentration Rokar Koh WB team: Nisha, Saroeun, Mudita
10
10:30 (Communce Councils and RILGP ) Commune,
a.m. Kong Pisei District,
Kampong Speu

10:30 – Travel from Kampong Speu to Phnom Penh


12:00 by bus.
noon

12:00 – Working lunch with World Bank staff WB office (MR1) All WB staff & few IFC staff.
1:45
p.m.

1:45 – Travel from the WB office to the National


2:00 Assembly (NA) by vans/mini-buses.
p.m.

2:00 – Courtesy meeting with Samdech Akkak Maha NA


2:30 Ponheachakrey Heng Samrin, President of
p.m. National Assembly.

2:30 – Meeting with Heads of the 9 Special NA


4:30 Commissions to the NA
p.m.

4:30 – Visit Tuol Sleng Genocidal Museum Tuol Sleng Saroeun


5:30
p.m.

7:00 – Dinner with Royal Government of Cambodia - Raffles Hotel Le


8:30 hosted by the World Bank. Royal at Main
p.m. Participants: H.E. Keat Chhon, H.E. Dr. Aun Dinning Room (5
Porn Moniroth, and other RGC Officials round table of 8 pts).

Thursday November 15, 2007

7:45 _ Travel from the hotel to the Senate by


8:00 vans/minibuses.
a.m.
8:00 – Courtesy meeting with Samdech Akkak Maha Senate
8:45 Dhampothisal Chea Sim, Head of the Senate
a.m.
9:00 – Palace Visit Royal Palace
10:45
a.m.

12:15 – Working lunch with NGOs/Youth Star Hagar Restaurant


2:00 Volunteers. Please find attached the list of
p.m. invitees.
2:00 _ Travel from Hagar Restaurant to Prek Tauch
3:00 Secondary School, Neak Loeung, Kandal
p.m. Province

10
RILGP - Rural Investment and Local Governance Project-financed by the World Bank.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 5

3:00 – Visit Prek Tauch Secondary school supported Neak Loeung, Kandal
4:00 by Education project. Province
p.m.

4:00 _ Travel from school to Hun Sen Kg. Phnom Neak Loeung, Kandal
4:15 Secondary School, Neak Loeung, Kandal Province
p.m. Province.
4:15 – Visit the school supported by KYSD --Khmer Neak Loeung, Kandal
5:00 Youth and Social Development Organization Province
p.m. (Gender, Youth and Education), which has
been financed by Small Grant.
5:00 – Travel from Neak Loeung to Raffles Hotel Le
5:45 Royal
p.m.

6:45 – Travel from the hotel to Malis Restaurant


7:00
p.m.

7:00 – Dinner with Private Sector Group Malis Restaurant Nisha, Stephane, Huot and
8:30 James, tbc.
p.m.

Friday November 16, 2007

7:30 – Pick up from the hotel and travel to Chroy


8:30 Changvar, Phnom Penh by bus.
a.m.
8:30 – Visit Phnom Penh Water Utility Project in Phnom Penh
9:30 Chroy Changvar, Phnom Penh
a.m.
9:30 – Travel from Chroy Changvar to Samaki Phnom Penh
11:00 Community by bus and visit beneficiaries
a.m. (poor community) of PP Water Utility Project
in Russeikeo District
11:00 – Visit Digital Divide Data (DDD) Grassroots Phnom Penh
12:30 Project
noon. This is IFC investment in a social enterprise.

12:30 – Working lunch with PNoWB Cambodia WB Office (MR1)


2:00 members
p.m.

2:00 – Debriefing of the delegation WB Office (MR1)


3:30
p.m.

5:00 – Press Conference Raffles Hotel Le


6:00 Royal (Empress
p.m. Room)

6:40 Depart from Raffles Hotel Le Royal to PP


p.m. airport
(some of the delegation members)

Saturday November 17, 2007

Depart from Raffles Hotel Le Royal to PP


airport
(some of the delegation members) and
departing from the airport by different flights.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 6

ANNEX III.- PARLIAMENTARIANS IN THE FIELD


VISIT PROGRAM FOCUSES ON THE PRSP (*)

Since 2001, the Parliamentary Network on the World Bank and the Bank’s
External Affairs Vice-Presidency has organized field visits for MPs to
visit development projects in more than 15 different countries. Over 150
parliamentarians from 100 countries have participated in the visits. The
“Parliamentarians in the Field” program is made possible by funding from
the Finnish government. A key objective of the field visit program is to
offer participating MPs an up-close look at the Poverty Reduction Strategy
process.

During the field visits, visiting parliamentarians meet with members of


government, local MPs, staff from the World Bank and other donor
agencies, as well as civil society representatives to review the
participatory process that led to the design and implementation of the
PRSP in the country. The opportunity to share experiences benefits both
the visiting delegation and the hosts. Visits to project sites help put the
deliberative process into perspective and reminds MPs of the important
role they play in development policymaking.

(*) Poverty Reduction Strategy Papers (PRSP)


Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 7

ANNEXE IV.- PNoWB BACKGROUND INFORMATION

Strengthening accountability and transparency in


international financial institutions and advocating
for development

The Parliamentary Network on the World Bank, founded by a group of parliamentarians and the World Bank in
2000, has strengthened transparency and accountability in international financial institutions. PNoWB has
introduced new checks and balances by involving parliamentarians across the world. Additionally, PNoWB
members are leading advocates for development who have strengthened the voice of the poor in the debate.
PNoWB is now an independent association of over 1000 parliamentarians from 110 countries, and has as of
January 2006, functioned completely independently from the World Bank.

Thus far the network has made considerable progress most notably with regard to mobilizing parliamentarians. In
particular at the 2007 PNoWB Annual Conference which was addressed by World Bank President Paul Wolfowitz,
IMF Managing Director, Rodrigo De Rato, the President of the African Development Bank, Donald Kaberuka, the
Minister of Finance of South Africa, Trevor A. Manuel, as well as other high level representatives from
multilaterals, civil society and governments. Most importantly, the conference brought together over 200
parliamentarians from both developed and developing countries, to discuss development priorities and what they
as PNoWB members could do to ensure delivery on development results ahead of the G8, the G20 and the World
th
Bank’s IDA 15 Replenishment Round.

Strengthening Accountability and Transparency

From its inception, PNoWB's elected officials sought to regain parliamentary authority over development and
global matters. An effective way to do so, they calculated, was to engage the World Bank, the world's single
largest external funder of development programs as well as an important source of knowledge and advice on how
to tackle global issues such as international trade, HIV/AIDS and climate change. The parliamentarians also
shared one common goal with the World Bank: to strengthen the accountability and transparency of the Bank.

PNoWB's mission follows five guiding principles:

1. Accountability: to facilitate and encourage direct dialogue between parliamentarians and multilateral
development institutions in order to promote greater transparency of the policies and practices in particular of
the World Bank;
2. Advocacy: to provide PNoWB members with a platform for coordinated parliamentary advocacy on
international development issues;
3. Networking: to encourage concerted action, early debate and exchange of information among
parliamentarians on international development and global issues;
4. Partnerships: to take initiatives to further cooperate and encourage partnerships among parliamentarians
and policy makers, the academic community, the business sector and non-governmental organizations on
development issues;
5. Progress Review: to promote the development of parliamentary mechanisms and practices for the effective
democratic control of development assistance in all its phases.

In the last seven years, PNoWB has managed to establish a respected track-record for being an effective global
network at the vanguard of parliamentary engagement and development advocacy.

Improving accountability in international financial institutions

PNoWB is a unique parliamentary platform for policy dialogue on development issues. It engages not only the
World Bank but also other multilateral and bilateral donor organizations. The IMF Managing Director, the WTO
Director General, and several EU Commissioners have participated in PNoWB's annual conferences and have
established working relationships with PNoWB. The Network has formed effective partnerships with other
parliamentary organizations and with civil society groups.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 8

Working with PNoWB, the Bank has taken steps to become more open to parliamentarians through a Question
and Answer system for parliamentarians where they can ask questions directly to the World Bank; through a
field visit program coordinated by an independent rapporteur, parliamentarians visit Bank projects, meet with
local Bank staff, civil society representatives and government officials, and review the PRSP process; through a
policy dialogue program jointly run by PNoWB and the World Bank, using video links to connect
parliamentarians from around the world to exchange views on relevant development issues; as well as the
Parliamentarian's Guide to the World Bank, to make it easier for MPs to access information about projects and
policies, also through the PNoWB website, www.pnowb.org; and a World Bank website for parliamentarians:
www.worldbank.org/parliamentarians. Additionally a delegation of PNoWB members attends the IMF/World Bank
Spring and Annual Meetings.

Parliamentary engagement and country ownership

If parliamentarians are going to have an impact on development policies and projects, it is essential that they see
results on the ground. The field visit program, “Parliamentarians in the Field", is co-organized by PNoWB and the
World Bank and supported by a grant from the Government of Finland. To date, successful field visits have taken
place to Kenya, Albania, Uganda, Burundi, Serbia and Montenegro, Ethiopia, Yemen, Nicaragua, Vietnam,
Ghana, Rwanda, Lao PDR, Kenya, Mozambique, Haiti, Cambodia and Niger.
.
As one legislator once observed, “all politics is local.” The most concrete interaction between parliamentarians
and representatives from the World Bank and other donor organizations takes place in countries with Bank
lending or advisory programs.

Since 2000, PNoWB has expanded through the creation of a national chapter in India, a chapter in East Africa,
a chapter in Japan, a chapter in the Middle East and North Africa, a chapter in West Africa, launched in June
2006 and a Balkans Chapter launched in September 2006, as well as a Southern Africa chapter for which
preliminary steps were taken at the Cape Town Annual Conference in March 2007. Also an informal group of
donor country parliamentarians was established in Naples, Italy in February 2005. The national and regional
chapters facilitate regular interaction between local parliamentarians and staff in World Bank country offices,
including consultations on Country Assistance Strategies, Public Expenditure Reviews, and on World Bank
policies and individual projects. In developing countries, this level of engagement, as well as the field visits
program, has proved invaluable in improving country ownership and involvement in the poverty reduction process.

Advocating for Development

PNoWB recognizes that parliamentarians play a vital role in making sure countries meet the obligations agreed to
in international fora. Parliamentarians approve budgets; they hold the final power of ratification and are the final
arbiters of economic policies in their countries. As democratically elected representatives, they have tremendous
potential in the oversight of progress on ODA commitments. The executive branch has the power to make
promises, but parliamentarians have the power to ensure those promises are kept.

The network continues to encourage members to keep governments and multilateral organizations to account on
development pledges made at Gleneagles, including through annual 'G8 Implementation Watch Sessions' in
individual parliaments. For example, on May 25, 2005, PNoWB Board member US Representative Betty
McCollum introduced a non-binding resolution (H.Con.Res 172) articulating Congress support for the MDGs. The
resolution calls for increased US leadership in aiding the international community to achieve these goals.

The network has also set up a pioneering Parliamentarians' Implementation Watch (PIW) to keep governments
and multilateral organizations to account on their development-related pledges. Implementation Watch seeks to
achieve four tasks: 1) produce and disseminate regular updates for parliamentarians on selected issues; 2)
connect parliamentarians with other parliamentary networks, civil society organizations, multilateral organizations,
the private sector and the media; 3) identify appropriate parliamentary action to support the MDGs; 4) build a
knowledge base and boost parliamentary capacity.

PNoWB Communication Tools

• PNoWB's Website: www.pnowb.org


• PNoWB members receive regular e-mail updates about the activities of the Network and the World Bank.
• PNoWB activities have been covered by international media, including the London Observer, Le Monde,
Le Figaro, Liberation, Deutsche Weld radio and in the local press and television in Yemen, Serbia and
Montenegro, India, Bangladesh, Uganda, Kenya, Ethiopia Rwanda and Lao PDR.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 9

Judging by testimonials from parliamentary bodies, media, civil society and academia, PNoWB has become a
respected player in the international community. Some examples:

Said the Parliamentary Assembly of the Council of Europe in a June 2005 report and resolution on the World
Bank and the IMF: “The role of the Parliamentary Network on the World Bank, a discussion forum for
parliamentary groups worldwide in which the Parliamentary Assembly of the Council of Europe actively
participates, deserves further strengthening and is fully in line with the Parliamentary Assembly's quest for
increased parliamentary involvement in international institutions." PNoWB was seen as "a vital and innovative
tool to realize the Millennium Development Goals."

The Observer reported on the fourth annual PNoWB conference in March 2003. “Hopes of a genuine
democratization of global governance were beginning to emerge here,” said the London newspaper, adding
that PNoWB might just be “the green shoots of global democracy.”

In its September 2003 report 'Struggling to be heard: Democratising the World Bank and the IMF', British NGO
Christian Aid observed: “Together with the Inspection Panel, PNoWB is a major effort to improve transparency
and accountability in the World Bank.”

Academics Devesh Kapur (Harvard University) and Moises Naim (Foreign Policy magazine) in a January 2005
Journal of Democracy article on the 'The IMF and Democratic Governance' suggest that "one option [to
improve the IMF's democratic governance] might be to involve the Fund more with PNoWB, a group whose
goal is to bring legislators into more contact with officials of the Bretton Woods institutions.”

Looking Ahead

A new era of PNoWB parliamentarians in championing development

The following strategic priorities have been identified by the PNoWB Board to consolidate and expand PNoWB's
activities over the next three years:

• Ensure the systematic early involvement of parliaments in Country Assistance Strategies (CAS) and Poverty
Reduction Strategy Papers (PRSP);
• Ensure that the PNoWB has early input into World Bank policy;
• Secure an observer position on the World Bank/IMF Development Committee, with speaking rights for the
PNoWB's chairperson;
• Develop a resource guide on best practices for parliamentary involvement in World Bank activities;
• Increase the number of fully functional PNoWB regional and national chapters.

The achievement of these goals is expected to reinforce the capacity of parliamentarians to fulfill their oversight,
legislative and representative functions related to development and global issues, ultimately on the one hand
making multilateral institutions and governance mechanisms more accountable and transparent, and on the other
ensuring that there is enough political and public will to support commitments to allow poor countries to reach the
Millennium Development Goals.

The PNoWB Board and Governance Structure

The PNoWB is governed by a Board of Directors, composed of nine members. The Association's by-laws
require a yearly partial renewal of the Board members.
The current members of the Board are:

Ms. Betty McCollum, Chair, United States


Ms. Monica Frassoni, Vice Chair, Italy (Member of European Parliament)
Mr. Yunus Carrim, Vice Chair, South Africa
Mr. Santiago Castro, Colombia
Mr. Kimmo Kiljunen, Finland
Mr. Suresh Prabhu, India
Mr. Hideki Wakabayashi, Japan
Ms. Janette Garin, Philippines
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 10

ANNEX V.- THE WORLD BANK AND PARLIAMENTS

AT A GLANCE:

• Parliamentarians are advocates for development, in countries providing development assistance. They
debate and approve foreign aid budgets, shape and review development policies, and promote
coherence across policy areas.

• Well-functioning parliaments promote development and the rule of law. Engaging elected representatives
on development issues and strengthening the capacity of parliamentary institutions are important
objectives of the World Bank.

• In developing countries, parliamentarians can be agents of change. They represent their constituents’
needs and views, and can contribute to designing and overseeing implementation of World Bank-financed
projects. Legislators can champion social and economic reforms, speak out on HIV/AIDS, or take on
corruption. In many countries, Bank projects are subject to parliamentary approval directly through
ratification or indirectly through budget approval. In some cases, parliamentarians create, debate and
pass new legislation linked to World Bank-supported reform programs.

• In a progressively borderless world, parliamentarians exercising their oversight role are paying more
attention to matters handled by multilateral organizations. The World Bank is the world’s single largest
external funder of development programs as well as an important source of knowledge and advice on
how to tackle global issues such as international trade, poverty, HIV/AIDS, corruption, and climate
change.

A Growing Relationship

The World Bank is owned and governed by 184 countries. In 1944, the representatives from the Bank’s founding
countries specified that the organization was to deal with its member states through their finance and
development ministries only, and to concern itself it with economic matters only. “ The Bank and its officers
shall not interfere in the political affairs of any member,” says one section of the Articles of Agreement, the
international treaty that established the World Bank. However, in a recent survey led by the External Affairs Vice
Presidency, The World Bank Executive Directors representing the institutions 184 member countries have
stressed the importance of engaging parliamentarians.

The organization’s relations with parliamentarians have expanded in recent years, in step with global changes.
First, the world has seen an explosion in the number of electoral democracies, from 66 in 1987 to 121 in 2003
(according to Freedom House). The growth of civil society is equally spectacular; companies, grass-root
organizations, campaign groups, trade unions, elected officials and academics have joined governments on the
international stage as agenda setters and decision makers. This is the second big transformation. The third trend
relates to how development assistance is carried out. Experience has shown that policies and projects to reduce
poverty are most effective when priorities are set by countries receiving the aid—based on broad consultations—
rather than by donors.

The Parliamentary Network on the World Bank has opened up space for dialogue.

The Bank’s global primary parliamentary interlocutor is the Parliamentary Network on the World Bank (PNoWB),
an independent association of some 1000 members of parliament from 110 countries. Established in 2000 and
governed by a nine-member board of parliamentarians headed by US Congresswoman Betty Mc Collum; PNoWB
mobilizes parliamentarians in the fight against global poverty, promotes transparency and accountability in
international development, and offers a platform for policy dialogue between the Bank and parliamentarians.
PNoWB’s activities are supported, or have been supported, by governments (France, Finland, Greece, the
Netherlands, Norway, the United Kingdom, Switzerland, South Africa) and the World Bank, the United Nations,
the IMF, the Asian Development Bank and the African Development Bank.

PNoWB seeks to be an action-oriented network of parliamentarians. Its flagship event, the PNoWB Annual
Conference, has brought parliamentarians together with the leaders of the World Bank, the IMF, the WTO, and
the African Development Bank and with heads of states such as Brazilian President Lula da Silva, Senegalese
President Abdoulaye Wade and Indonesian President Susilo Bambang Yudhoyono, but also high profile Ministers
such as G20 Chair Trevor Manuel of South Africa.
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 11

PNoWB engages the Bank’s country offices through local or regional chapters, with active groups to date in India,
Japan, East Africa, the Middle East and North Africa, West Africa, South East Europe. PNoWB and the World
Bank also organize field visits to developing countries to review the Poverty Reduction Strategy process,
consulting with a range of stakeholders, from Bank staff to civil society representatives to ministers and heads of
state. PNoWB has a working group on HIV/AIDS, TB and Malaria to promote legislation to stem the epidemics,
and another group on international trade to advance a pro-poor outcome of ongoing WTO negotiations. For
details about PNoWB activities, see http://www.pnowb.org/

The World Bank welcomes the increasing role of parliamentarians in development. Addressing the PNoWB
Annual Conference, Former World Bank President Paul Wolfowitz made the following remarks: “The World Bank
is working on forging stronger partnerships with Parliaments around the World, because their oversight role has
an important bearing on the mission to fight poverty… The Parliamentary Network on the World Bank is a
respected player in the development community… The Mission of the PNoWB, your mission of strengthening
parliamentary voice on development and global issues is becoming more important and relevant”

Well-functioning Parliaments are critical to enhance the legal and institutional framework that provided justice.
They’re essential to oversight of the Executive Branch to ensure transparency and accountability and the effective
use of public resources. And they are essential to give voice to all segments of the population.

Working Together with Parliamentary Organizations

Recent years have seen a surge in inter-parliamentary activities as a growing number of legislators seek to
address global challenges. The World Bank has relations with several parliamentary organizations, networks and
assemblies. On June 2005, the World Bank brought together parliamentarians and secretariat heads from 25
parliamentary organizations and assemblies (representing thousands of parliamentarians worldwide) with
representatives from 10 think tanks and foundations, and 17 bilateral agencies and multilateral organizations in
Vienna. Participants agreed to create an informal alliance of parliamentarians for development to promote and
coordinate action.

World Bank experts regularly contribute to inter-parliamentary initiatives on international trade, education,
corruption, HIV/AIDS, and population and development issues. The Bank also invites parliamentarians
representing inter-parliamentary organizations as observers to the World Bank/IMF Spring or Annual Meetings.

Separately, the World Bank Institute, the Bank’s knowledge-sharing arm, works in partnership with parliamentary
organizations to develop the capacity of parliaments in developing countries. WBI’s work is guided by an External
Advisory Council comprising parliamentarians from developing countries, representatives from inter-parliamentary
associations and experts on parliamentary development.

Policy Dialogue in Countries Supported by the World Bank

A legislator once observed that “all politics is local.” Perhaps the most concrete interaction takes place between
parliamentarians and World Bank staff in countries with World Bank lending or advisory programs. In a recent
survey of staff, 85 percent of the respondents (representing 60 percent of World Bank offices in client countries)
reported their staff interacted with parliamentarians either “several times a year”, “monthly” or “weekly.” Interaction
ranges from informal meetings with individual parliamentarians to more structured consultations on the World
Bank’s projects or three-year business plans, the Country Assistance Strategies. The World Bank also promotes
parliamentary involvement in the Poverty Reduction Strategy process.

Some examples of recent interactions between parliamentarians and the World Bank:

• PNoWB held its Seventh Annual Conference in Cape Town South Africa on 15-17 March 2007. Hosted
by the government and Parliament of South Africa and for the first time in Africa as South Africa chairs the
G20, the conference brought together about 200 members of parliament from 96 countries who used the
opportunity to engage World Bank President Paul Wolfowitz, IMF Managing Director Rodrigo de Rato, African
Development Bank President Donald Kaberuka and Trevor Manuel, Finance Minister of South Africa on
pressing development and global issues. The agenda for the conference reflected the key development
issues on the international agenda: the call for action on Africa as a development priority; accountability and
transparency in International Financial Institutions, Illegitimate debt, the effectiveness of parliamentary
strengthening initiatives; Good governance and anti-corruption; Aid effectiveness; tackling the challenge of
climate change, transparent management of extractive industry revenues, creating a business climate
conducive to growth, health and development, importance of agriculture in achieving growth).
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 12

• Parliamentarians championing IDA:

Two recent field visits to IDA countries, Mozambique (July 2007) and Haiti (September 2007) have respectively
taken delegation of ten or more parliamentarians (from both donor and recipient countries) to showcase the
impressive benefits of IDA and assess the Bank’s poverty reduction efforts in those countries. Both visits were
hosted by WB country offices and the local parliaments. During these visits, MPs visited Bank supported projects
and met with government officials and civil society representatives. In the reports, the delegates will provide
recommendations both to the Bank and to the governments of Mozambique and Haiti for strengthening their
poverty reduction efforts.

Meeting of the 27 Chairs of Parliaments’ Foreign Affairs and Development Committees of the European
Union (Portugal, October 2007); this is a very influential bi annual parliamentary gathering, attended by the
chairs of Foreign Affairs and Development Committees from the 27 EU member States. Portugal, who is currently
holding the EU presidency, hosted this year’s edition. World Bank Country Director Madani M.Tall pleaded the
case for a successful IDA replenishment before this key audience.

Meeting of High level Parliamentarians from Donor Countries ( Washington DC, October 20-22, 2007). At the
occasion of the 2007 Annual Meetings, PNoWB and EXT are bringing a delegation of high level parliamentarians
in Washington DC to engage with senior leadership of the World Bank, another opportunity to strengthen
parliamentary contribution to IDA15 replenishment efforts

• Accountability: PNoWB has recently alerted the Bank on cases of corruption on WB supported projects in
Cambodia. The Network has also taken action in the disputes between the WB and the Government of Chad
over the management of oil revenues. A briefing with the WB team and PNoWB members in 5 countries was
held on September 2006.

• The new demand for institutional support has in some cases led governments to seek World Bank financial
support for parliaments, either directly through small grants, or as part of larger loans. Examples of past
financial support include an IDF(Institutional Development Fund) grant to Chad for parliamentary capacity
building to help the parliament better fulfill its mandate in the area of public economic and financial
management, and communication with the electorate. Other examples include El Salvador and Guatemala
which received IDF grants for the strengthening of their respective congresses through technical assistance,
study tours, and implementation of the Global Legal Information Network (GLIN) system.

Strengthening the Way Parliaments Work

The World Bank supports parliamentary development through capacity-building workshops as well as loans and
grants. Over the past ten years, the World Bank Institute has trained more than 5,000 parliamentarians and
parliamentary staff. WBI’s Parliamentary Strengthening Program aims to enhance parliaments’ capacity to
effectively fulfill their responsibilities. The objectives are: to strengthen the capacity of parliaments to oversee the
allocation and use of public funds; to assist parliaments in better representing the interests of the poor in the
policy process; to support parliamentary learning networks on key policy issues related to development; and to
support and facilitate research on the role of parliaments.

In addition, World Bank projects fund programs to, for example, revamp parliamentary libraries, and install new
computers, software and databases aimed at easing the information flow. Ongoing projects with components to
strengthen parliamentary capacity include the parliaments of Indonesia and Sri Lanka.

Communications Tools

• The World Bank’s website for parliamentarians: Http://www.worldbank.org/parliamentarians/

• Question-and-Answer online system: Parliamentarians can get answers to questions related to the World
Bank’s policies and projects through the Bank’s website for parliamentarians.

• A Parliamentarian’s Guide to the World Bank: PNoWB and the World Bank have jointly developed a
handbook to provide an overview of the Bank’s governance structure, policies, evaluation and review
mechanisms. The guide is available on request or for download on the World Bank Parliamentary website
in 4 languages (English, French, Spanish and Arabic).

• EXT is currently developing a guide for World Bank country office staff working with parliamentarians.
- ### -
Report on the Parliamentary Field Visit to the Royal Kingdom of Cambodia 13

Updated October 2007

Contacts:
EXT Parliamentary team
Jean-Christophe Bas, Manager, +33 1 40 69 30 35, jbas@worldbank.org
Naye Bathily, +33 1 40 69 30 17, nbathily@worldbank.org
Marie-Noelle Tixeront, +33 1 40 69 30 36, mtixeront@worldbank.org

WBI Parliamentary Strengthening Program


Frederick Stapenhurst, Sr. Public Sector Management Specialist, +1 202 473 3210, fstapenhurst@worldbank.org
Mitchell O'Brien, +1 202 473 09 72, mobrien@worldbank.org
Lisa von Trapp, +33 1 40 69 33 73, lvontrapp@worldbank.org

Parliamentary Network on the World Bank (PNoWB)


Zuleikha Salim Said, Coordinator, +33 1 40 69 30 55, zsalimsaid@pnowb.org

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