Thursday, July 25, 2013

Quotas in civil service: A too populist system

In most developing countries, the government is probably the largest employer with set rules and structured procedures for recruitments at various levels. In Bangladesh, the most prestigious public recruitment is that of the class one officers, commonly known as cadre employees. The recruitments are made through Bangladesh Civil Service (BCS) examination, conducted by the Bangladesh public service commission (BPSC). Very lately, the results of the preliminary test of 34th BCS have been published where a serious controversy has arisen among the candidates. It is found that the system of quota has been applied at the preliminary level of the test which was unprecedented until the current examination. The idea of quota has been a matter of discontent among many candidates for long. 

The reason can be well understood from the fact that 55 per cent of the posts are reserved for candidates under quota, while the remaining 45 per cent for candidates competing on the criterion of merit. Merit is virtually disregarded in case of those selected under quota and that is indeed frustrating for the majority of the candidates. The BCS exam has three phases. The first phase is the preliminary exam -- MCQ in nature. The second phase is the written test, and the last and final phase is viva voce. If everything comes out positively for the candidate through out the three phases, then he or she is through subject to police verification.

Since the government apparatus is the highest authority and largest institution of the country, candidates selected through the BCS exam should in all fairness be highly competent in order to be able to dispense important public functions from the very beginning of their career as civil servants. It is invariably so in case of all the posts, irrespective of the cadres. But the system of quota negates this very perception. It is understandable that the rationale of the introduction of quotas in civil service recruitment is to mitigate to a certain extent some prevailing social inequalities as well as empowerment of some sections of the society, such as women, tribal people etc. But the rationale has already lost some of its justifications and has become pointless in course of time. The job of the government includes welfare of all citizens and at the same time it has also to look after the special needs of people who lag behind. It is this consideration that has led to the concept of reserved quotas: tribal quota 5 per cent, woman quota 10 per cent and freedom fighter 30 per cent. Needless to say, experiences over the past decades reflect that this system has some opportunity costs.

The government is losing the best workforce and instead employing some less qualified people in responsible positions. It may sound a bit harsh but given the realities, we feel that there should be a reduction in the existing quotas, say to 20 per cent. Understandably, such a move may not be very well received, but we must not forget that this country is paying heavily on account of populist policies of the successive governments. Besides, in order to make the recruitment process more transparent, the BPSC should contemplate on publishing the results along with the marks obtained in each phase of the BCS examination, and introducing a system whereby candidates can only apply for posts compatible with their academic background.

For example, candidates with accounting major will apply only for audits & accounts and tax cadre, candidates with majors in political science, international relations and public administration can apply for administration, police and foreign affairs. 

That is how the government can implement specialisation and get the best service. BPSC must have to shun any kind of political manipulation and influence in this highly important recruitment process. It is high time to bring the entire system under scrutiny and to update it according to the standard practices followed in other countries.
 

This article has been published in The Financial Express/Views & Opinion/ July 13, 2013

Link : Click here

Friday, May 10, 2013

Rana Plaza tragedy: The issue of taking foreign help in rescue operation

The unfortunate and deadly factory collapse at Savar occurred on April 24 and the death toll is now set to cross 900. Another 500 are considered missing as per a guesstimate of rescuers assigned there. Around 3,500 workers were in the building before it collapsed. Building owner Sohel Rana, a powerful companion of local MP, forced the workers to return to work inside the Rana Plaza in spite of knowing the risks of collapse. In the first response after the incident, the common people of Savar rushed immediately to rescue the people trapped under debris. This was a nine-storey building which foundered suddenly from the level three. But it showed an ominous sign of visible cracks on the day before the collapse but was ignored by the building and factory owners. A bank branch in the level two, however, instantly evacuated its staffs and documents fearing the impending collapse. After the accident, the government swung into action immediately by assigning the Fire Brigade, the Army, the Rapid Action Battalion and the police with available logistics to rescue the trapped workers where common people assisted them with their fullest capacity. The whole Savar tragedy was telecast live by the satellite channels and the entire country was glued to the TV sets in utter shock. 





The collapse of 'Rana Plaza' in Savar is the most terrific building disaster in the country's history, which was not seen before. The rescuers lacked the required tools and equipment which were necessary to save people. Many organisations from Dhaka had collected blood, saline, oxygen and dry foods for the survivors. But the rescue mission was slow due to dearth of equipment and because of the horrible condition of crash and rubble where the accidental fire under the debris further debilitated the situation. On April 28, the UK-based The Telegraph reported that Great Britain along with some other countries offered rescue assistance to the Bangladesh government with teams of experienced rescuers and heavy lifting equipment. But Bangladesh rejected the offer as per the report. However, no official statement is still available from the government side. Later on April 30, the BBC also reported the same by quoting Home Minister MK Alamgir. The Telegraph claimed on the basis of a diplomatic source that it has documents which substantiate the communication with the Bangladesh Foreign and Home Ministries. Even it stated in its report that officials were due to deploy heavy machinery to clear the rubble away… having decided survivors would not last more than 72 hours. But after a public backlash, they delayed the plan, as more people were pulled out alive and yet more cries from survivors could be heard." But the rescue mission, led by the Bangladesh Army asserted that it did not go for massive operations, now going on, to lift the pile of rubbles before confirming the possibility of rescuing one more worker no matter how tough it would be.


There were tens of thousands of people in the crashed spot of Savar including newspaper reporters, social activists, political groups, students, human rights organisations and local people but none questioned the efforts of the rescuers. But all of them were worried over the scarcity of equipment and technologies. It is not confirmed how fruitful it would have been had the expert rescuers from abroad come to the place of collapse. But if the report of the government's rejection was true, then it is certainly unfortunate. This proves the government's diplomatic naivety. This is because, the common people and the relatives of the dead and the survivors do not always expect miracles to happen. What they expected are recovery of bodies not decomposed, easy to recognise them. Expert rescuers know very well the techniques to recover the survivors and when infrastructures collapse whether from an earth tremor or another cause, they know how to pull people out alive. Mark Doyle, an analyst of BBC spoke of the incidents of Haiti and Japan where they accepted foreign assistance at the time of earthquake and tsunami. In fact, hundreds of rescuers converged on Haiti after the 2010 earthquake and also Japan, a far richer country, accepted substantial help after its earthquake and tsunami in 2011. If foreign rescuers were to be deployed then it would have been more focused in international media and would be a wakeup call for the non-compliant factory owners. Bangladesh is a garment exporting country with the lowest wage rate roughly around 40 USD per month at a time when the factory owners are substantially wealthy.


It is actually very tough to take decision when to stop looking for a few remaining trapped people and concentrate resources on the survivors. The media always create a pressure on the government and so do the relatives of the affected. According to a BBC report, the average time for the switch is between five and seven days, but individuals have been known to survive as long as 13 days of being trapped if they have access to water. Usually, the co-coordinating rescue team, the UN and the host country take the decision of stopping the rescue operation. 

The huge casualties under 'Rana Plaza' are a real tragedy, not merely an accident. Lax regulation, ineffective labour union and utter negligence of the blue-collar workers contributed to this mishap. The apparels industry, worth 19 billion USD, stands on the contribution of almost four million workers, most of whom are women. But it is observed that no authority including the government and the Bangladesh Garments Manufacturers and Exporters Association has a good level of attention for the safety and well-being of these workers. And lastly, it is proved that the government and also the private sector lack adequate and suitable equipment to face such a tragic situation. To our utter shock, every year the government fails to raise targeted income from tax due to rampant corruption of its officials but there is no money enough to arrange equipment for rescue operations. It is unfortunate.

[The Financial Express/Views & Previews/May 10, 2013]

Link: Click Here


Wednesday, May 8, 2013

Padma bridge project puts Bangladesh on trial

The government of Bangladesh (GoB) and the World Bank (WB) have developed a strained relationship over the issue of the Padma bridge project (PBP). Though the WB was earlier expected to be the single largest financier of the project with US$1.2 billion soft-term credit, the funding-support was finally terminated with a lot of drama, amid the withdrawal of the request by the GoB for reconsideration of the WB's cancellation of its soft-term credit on grounds of alleged corruption. 

But several questions still linger in many circles about this issue. Are Bangladesh and other developing countries helpless without the WB assistance or support of other international organisations? Did the cancellation of the WB fund on corruption charges, at Bangladesh's request, humiliate the nation? How the government handled its dealings with the WB following the snags over the PBP funding deserves a thorough analysis. It is necessary to understand the scope for development of infrastructures without assistance from such large multilateral organisations as the WB.
 
The WB is one of four institutions created at the Bretton Woods Conference in 1944, headquartered in Washington, D.C. The then powerful countries including the United Kingdom and the United States of America, especially the latter, dominate its policy-making from the very beginning. The WB comprises two institutions named the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA). The IBRD aims at providing development support in the form of loans on commercial terms, to the middle-income and creditworthy lower income countries, while the IDA works exclusively for the world's poorest countries. The funding of the PBP was linked with the IDA which provides soft-term concessional loans, instead of commercial 'loans', only with a small 0.75 per cent service charge and apparently no interest. The government of Bangladesh (GoB) would not have any obligation to start payment within the first 10 years after disbursement but have to pay off the loan in 40 years. 
In retrospect, the conditions were highly favourable in consideration of the financing terms. The bridge was supposed to reduce distance to Dhaka by about 100km connecting 19 districts, facilitating easy movement of 30 million people and boosting the GDP by 1.2 per cent per year (according to the finding by Asian Development Bank). But allegation of 'corruption conspiracy' caused the cancellation of WB funding support to the PPP.

The PBP is very significant from infrastructural viewpoint as the bridge has the potential to accelerate growth and transform lives in southwest Bangladesh and across the nation. It was a highly weighted electoral pledge of the Awami League (AL)-led government. So, it is almost obvious that the AL has to take any action for implementation of the PBP at any cost to approach voters in the next election in 2014. But it procrastinated with this issue and killed valuable time. It had called upon the WB again to reinstate its financing but did not meet all the conditions put by the WB. Rather, the WB was castigated through many public statements. 



The local and international media were very critical on the issue of the 'corruption conspiracy' and many international newspapers had described Bangladesh as a corrupt nation. As a result, we have lost the best option of financing, precious time and have our image tarnished as a nation. The main alleged offender was a Minister, who was actually kept out of every major investigation initiated by the government through the Anti-Corruption Commission (ACC). However, the WB claimed that it had presented evidence of corruption in the PBP to the government of Bangladesh in September 2011 and April 2012 but it is under obligation to each member government including that of Bangladesh to maintain confidentiality of referral reports. The GoB could disclose these reports and related correspondences but it did not. Hence, many believe that the GoB has missed the best option for the PBP while trying to protect a particular person. Since the government is the most powerful institution of a country, it should have the best people at the helm of its decision-making, diplomacy and negotiation but the incumbents failed to handle the post-conflict situation with the WB. Now the WB is out of our reach and we need the best option to see the PBP implemented. Bangladesh can build the bridge from its own fund but it may lead to an uncomfortable situation in the economy. About three-fourths of the cost of the project will have to be paid in foreign currency and it is not sustainable by self-financing as some other areas of the economy are not doing well such as stock market and banks' capacity remains limited to lend and so forth. The next option is public-private partnership (PPP) which is perhaps the only option available. In making contracts with the private firms, the GoB should have a serious look into the options for long-term benefits and a win-win situation. 

The standoff with the WB has apparently delivered a message to the Bangladeshis that without its assistance, this kind of infrastructural development is impossible. In most cases, the developing countries require funding from well-known international agencies but there are also other examples as well. Malaysia once rejected an International Monetary Fund (IMF) offer of funding owing to its unfavourable terms. Recently, China also refused to accept the WB assistance in constructing a bridge over the Hoang Ho river. 

Against this backdrop, the task of implementing the PBP is really challenging for the GoB and the economy. If the country succeeds in developing such an infrastructure on its own, it will take it to a great height and enable local engineers and construction experts to gather skills, logistics and expertise, which may not be possible with the WB funding. However, all the positive stances do not necessarily mean that some corrupt people will enjoy immunity and every time the GoB will save the influential persons by sacrificing the nation's best interests. The Transparency International, Bangladesh (TIB) executive director said quite rightly: "We have bestowed the World Bank with a show-piece. The WB will use the Padma bridge graft as a show-piece for any corruption in the world."

The ongoing decade is a window of opportunity for Bangladesh to get into the list of middle income countries. To keep the pace of its GDP (gross domestic product) growth rate at over 6.0 per cent, the PBP is a much-needed infrastructure and it should be built at any cost. 

We have given the mandate to the government to govern the country and serve its best interests but the government is expected not to sacrifice the nation's dignity at any cost. To become short-term gainer often exposes the risks of being a long-term loser. Hence, the government should make the proper cost-benefit analysis and simultaneously uphold our dignity among the nations by overcoming the narrow partisan interest of saving the alleged offenders. Let history be our guide, the Bangladeshis have successfully proved their resilience always.

Still we want to believe that every cloud has a silver lining.

The Financial Express [Views & Opinion, May 08/2013]

Link: Click Here