World Bank Group Sanctions System Promotes Accountability and Transparency in Fighting Corruption in Fiscal Year 2021


WASHINGTON, October 18, 2021 – The World Bank Group today affirmed its vigilance against fraud and corruption in the development projects it finances and its commitment to supporting the highest standards of integrity and transparency in public finances, with the publication of his Annual report of the sanctions system for fiscal year 2021.

The report, which is jointly prepared by the Integrity Vice Presidency (INT) of the World Bank Group, the Office of Suspension and Exclusion (OSD) and the Sanctions Board, illustrates how the sanctions system of the World Bank Group The institution has grown and evolved to meet the challenges and seize the opportunities of an ever-changing global anti-corruption landscape.

“The World Bank Group is firmly committed to putting governance, anti-corruption and transparency at the heart of our work. A stable and respected rule of law is essential for successful development outcomes. World Bank Group sanctions are an important part of our anti-corruption efforts. system,” noted The President of the World Bank Group, David Malpass, who also wrote the foreword to the report.

Over the past year and despite the restrictions and continued impacts associated with the COVID-19 pandemic, the World Bank Group sanctions system offices have continued to detect, deter and prevent fraud and corruption in development operations financed by the institution. The World Bank Group sanctions system also continued to adjudicate fairly, objectively and transparently on cases of companies and individuals accused of sanctionable misconduct.

During fiscal year 2021, the World Bank Group sanctioned 57 companies and individuals, of which 54 were excluded from parole, rendering them ineligible to participate in projects and operations funded by World Bank Group institutions. . In addition, three companies were sanctioned with conditional non-exclusion, leaving them eligible to participate in operations financed by the World Bank Group after fulfilling certain agreed conditions.

The institution also recognized 92 cross-exclusions from other Multilateral Development Banks (MDBs), while 45 exclusions from the World Bank Group could be recognized by other MDBs. A full list of companies and individuals currently excluded by the World Bank Group can be found here:

Summary of financial year 2021

The ability of the staff of the World Bank Group sanctions system to demonstrate adaptability, agility and flexibility in the difficult circumstances of the past year reflects their professionalism and dedication to supporting the mission of the World Bank Group. World Bank. During fiscal year 2021:

  • INT received 4,311 complaints filed, opened 347 new external preliminary investigations and launched 40 new external investigations and closed 28 existing external investigations. INT submitted 17 sanction cases and 18 settlements to the OSD.

  • OSD reviewed 20 cases and 18 regulations, temporarily suspended 19 companies and four people, and sanctioned 29 respondents via undisputed determinations.

  • The Sanctions Council has issued five fully reasoned decisions resolve six disputed sanctions cases against eight defendants. The Sanctions Council convened virtual hearings in four of these cases. In addition, the Sanctions Board issued 1 fully reasoned decision on a request for review of an earlier Sanctions Board decision.

  • Each of the sanctions was linked to the finding that the company or person had engaged in at least one of the institution’s five sanctionable practices (fraud, corruption, collusion, coercion or obstruction) in the context of a project financed by the World Bank Group.

  • The Integrity Compliance Office (ICO), which works with sanctioned companies and individuals to implement reforms that comply with the World Bank Group Integrity Compliance Guidelines and to reduce the possibility of future misconduct, hired with 118 parties sanctioned to fulfill their conditions of release.

  • In addition, the OIC determined that 30 entities had fulfilled their sanction release conditions and two entities had met the conditions for converting their parole releases to conditional non-exclusions.

  • Sanctions system offices also continued to share anti-corruption knowledge and ideas:

  • INT has developed and facilitated trainings for over 1,000 project staff and government officials in several regions aimed at building local capacity to identify, manage and mitigate integrity risks in development operations.

  • OSD organized and hosted the Fifth international colloquium on exclusion in a virtual format to discuss suspension and exclusion trends at the national, international and multilateral levels.

  • OSD released the first Global directory of suspensions and exclusions, which collects data and information on exclusion systems from 23 different countries and institutions.

  • OSD and the Sanctions Council Secretariat jointly organized and hosted the inaugural MDB workshop between first-level officers and appellate body secretariats to discuss substantive sanctions issues and generate new ideas to inform decisions. political discussions within the respective institutions.

  • The Sanctions Council Secretariat has produced timely thought-provoking articles on the topics of tackling the “demand side” of corruption and building a credible and fair system of sanctions through diversity.

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