Keep corruption at customs in check, WB tells FBR

World Bank proposes that FBR should issue specific code of conduct or ethics for customs officials.

ISLAMABAD: The government should demonstrate its commitment towards checking corruption in the customs department by developing a system based on integrity to raise revenue collection, the World Bank (WB) has informed the Federal Board of Revenue (FBR).

The WB has proposed that the FBR should issue a specific code of conduct or ethics for customs officials to effectively deal with the issue of corruption.

The recent WB review mission’s report said that building a system to promote integrity in customs administration requires implementation measures to combat corruption and vigilance to ensure that the measures are being applied.

The report proposed a framework based on a minimum number of low tariff rates, minimum exemptions, minimum non-tariff trade barriers, an effective penalty regime and an independent appeal mechanism.

The WB report said that the circumstantial evidence provided by international traders seems to suggest that customs integrity is a major problem. According to these sources, the human factor plays a significant role in the expansion of smuggling practices. It is mentioned that an overwhelming number of cases related to the illicit transfer of cargo through national borders are carried out using corrupt connections with border control officials.

Published in The Express Tribune, October 17^th, 2010.