The World Bank Group agreed to new rules to prevent revenue from oil and gas projects going to corruption
The World Bank Group agreed to new rules to prevent revenue from oil and gas projects going to corrupt regimes but rejected a call for it to pull out of those projects altogether, Washingtom Post reports.
"There was very broad consensus that we should remain engaged, we do add value," Rashad Kaldany, director of the Washington-based World Bank's oil, gas and mining department, said in a conference call.
The bank will require companies and countries to disclose oil payments, and to publicly disclose how the bank views the corruption in a country before it gets a loan for an oil or gas project.
U.S. companies including Halliburton Co. and Exxon Mobil Corp. have benefited through the use of World Bank involvement in projects in Chad, Azerbaijan and other countries. The World Bank approved $11 billion in loans last year.
The bank's independent review panel had recommended that it pull out of oil, gas and coal projects by 2008, saying those programs do not benefit the poorest people in the area of the natural resources and lead to environmental degradation.