Training and consultancy account for Tk847 crore of the Tk3,000-crore project

A major health sector development project titled "Strengthening Health Emergency Prevention, Preparedness, Response and Resilience with Health Approach" has drawn serious criticism over allegations of corruption and inflated costs.

The total proposed budget for the project is Tk 2,992.92 crore consisting of Tk 247.93 crore in government funds and Tk 2,745 crore in foreign loans. Its main goal is to build national capacity for pandemic prevention, preparedness, and response through a resilient health system. Planned for implementation from this year through December 2030, the project is to be jointly run by the Health Services Division, the Directorate General of Health Services, and the Department of Livestock Services.

However, government officials at the Planning Commission were shocked by the expense details in the proposal. They labeled it a subtly organized scheme for corruption, noting several unreasonable allocations:

Tk 847.58 crore set aside for consultants, training, and seminars.

Tk309 crore for buildings and infrastructure.

Tk 120 crore for travel expenses.

Tk 40 crore for vehicle rentals.

Because of these excessively high estimates, the Planning Commission has taken a firm stance and is sending the proposal back to the Health Ministry with recommendations to reduce each cost to a reasonable level. The project officials had previously faced strong opposition regarding these expenses during a Project Evaluation Committee meeting on September 24.

Former Planning Secretary Mamun-al-Rashid commented that the project proposal clearly looks like a neatly arranged setup for corruption. He pointed out that Bangladesh has no shortage of trained, skilled professionals and doctors, meaning there is no need for so many consultants or foreign training trips. He emphasized that proper procedure requires calculating unit-based head costs before fixing the total budget, whereas doing the reverse creates opportunities for corruption.

This issue comes shortly after Prime Minister Tarique Rahman expressed strong displeasure over high consulting fees during an Executive Committee of the National Economic Council meeting on October 7, ordering agencies to cut consultant costs and rely on their own skilled staff instead.
According to meeting sources, the total proposed consultancy cost for implementing the project is Tk322.49 crore, which accounts for 11% of the total project budget. In addition, Tk 397.05 crore (13%) has been requested for domestic and international training. The allocation for seminars and workshops is set at Tk127.69 crore (4.2%), while Tk309.24 crore (10%) has been budgeted for other buildings and structures. During the PEC (Project Evaluation Committee) meeting, the Planning Commission questioned how spending such large sums in these categories would help achieve the objectives of the "One Health Approach." The Commission noted that the tangible benefits of these expenses are not clearly stated in the project proposal and requested a detailed explanation, recommending that costs be scaled down to reasonable levels and monitored through activity-based indicators.

Inquiries reveal that prior to the PEC meeting, the Planning Commission sent a letter on May 12 seeking clarification on several aspects of the proposed project. On July 13, the Health Services Division submitted a justification for the additional expenses, but the Commission remained unsatisfied. The Planning Commission maintains that abnormal costs have been proposed for consultants, training, seminars, workshops, travel, and building structures. During the PEC meeting, it was suggested that excess funds in these soft areas should be cut and redirected toward visible services that directly improve healthcare quality. Manash Mitra, Joint Chief (Health) of the Socio-Economic Infrastructure Division at the Planning Commission, stated that detailed discussions took place at the PEC meeting, minutes are currently being drafted, and the proposal will be returned to the Health Services Division once finalized. He added that the project will undergo radical changes and will not remain as originally proposed, eliminating opportunities for irregularities and corruption.

Dr. Iftekharuzzaman, Executive Director of Transparency International Bangladesh (TIB), emphasized the need for accountability among those responsible for preparing the project proposal. He noted that the project involves a large loan from the World Bank and alleged that, at times, loan providers allow room for irregularities to maintain their business. He remarked that local bureaucrats and World Bank officials appear to have colluded to share mutual benefits, resulting in corruption and the waste of public funds, and urged that action be taken against those responsible.

Additional Information Requested from the Ministry at the PEC Meeting:

Selection of Target Areas: Although the project is meant to have a nationwide impact, it will primarily be implemented in 100 sub-districts (upazilas). The ministry must explain how these 100 sub-districts were chosen and how area-based allocations were finalized.

Feasibility Study: It is unclear which organization conducted the project's feasibility study. The report must justify the project using statistics or comparative analysis.

Historical Precedent: Information should be provided on whether Bangladesh has previously taken similar projects through loans from regional or international development partners.

Clearances and Approvals: The proposal lacked details regarding Finance Division approval for the proposed manpower, and recommendations from the Finance Division’s committee regarding vehicle procurement and transport services were not attached.

Dr. Zahid Hussain, former Lead Economist at the World Bank’s Dhaka office, stated that when such proposals are submitted, every expense should be questioned—such as why foreign trips are necessary, who will go, and how the training will be applied. He stressed that the project should not be approved until logical answers are provided. He noted that since there are no specific legal penalties for simply submitting bad proposals in Bangladesh, establishing strict accountability through the Planning Commission acts as a form of deterrence to prevent similar proposals in the future.