Activities

On 14 September, ADB's Office of Anticorruption and Integrity (OAI) delivered an anticorruption and integrity briefing for the Philippine Department of Transportation and Davao City Project Management Offices. More than 20 participants learned about ADB’s anticorruption framework, integrity risk red flags, and suggested integrity controls to better equip them in managing such risks. The integrity session, part of OAI’s Integrity Learning Series under RETA 9703, was tailored for participants exercising oversight functions and project responsibility.

For similar training requests for your executing and implementing agencies, email us. 

More than 50 participants from 35 Direct Access Entities, including from ADB Developing Member Countries, attended Green Climate Fund’s (GCF) 2nd Integrity Forum from 13-15 September. Recognizing how corruption threatens climate finance, ADB joined CivicDataLab, Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ), Transparency International, and World Bank in sharing anticorruption best practices. GCF’s Independent Integrity Unit and ADB’s Office of Anticorruption and Integrity also discussed areas for future collaboration, aligned with ADB’s goals as the climate bank for Asia and the Pacific.  

On 5–7 September, ADB, the Inland Revenue Board of Malaysia, OECD, and the Study Group on Asia Pacific Tax Administration and Research (SGATAR), co-hosted a workshop on the implementation of Pillar Two–also referred to as the Global Minimum Tax–for Asia and the Pacific. The workshop in Kuala Lumpur, Malaysia was open to G20/OECD Inclusive Framework members and non-members. More than 30 senior tax officials from 14 jurisdictions, including 12 Developing Member Countries (DMCs), discussed national policy considerations and implementation choices regarding Pillar Two in more detail.    

Extensive discussions were held on viable approaches to restructuring tax incentives so they remain fit for purpose in light of the introduction of the Global Minimum Tax under Pillar Two. The inclusive format of this workshop enabled a transparent dialogue among peers with the support of experts to strengthen regional understanding regarding Pillar Two and identify viable policy options. These dialogues will hopefully facilitate administrative ease and generate additional tax revenues without compromising the attractiveness of the region’s investment climate.  

Through RETA 9433, ADB supports DMCs’ efforts to increase their capacity to mobilize domestic resources and align their legal framework and administrative practices with international tax integrity standards on an informed basis.  If your DMC is interested in tax integrity support, email us.   

On 28 and 30 August 2023, ADB conducted two webinars for 85 policymakers and tax administrators from 21 Developing Member Countries (DMCs) on the latest developments connected to OECD’s Two-Pillar Solution for Taxing the Digitalized Economy, which are likely to result in fundamental tax reforms that will have implications for DMCs.  

The Pillar One webinar highlighted OECD’s Amount A multilateral convention and the Amount B public consultation paper. The Amount A multilateral convention seeks to reallocate profits to market jurisdictions so that multinational enterprises with no physical presence in a market jurisdiction may still need to pay income taxes therein. Amount B seeks to provide a fixed return to baseline market/distributor entities to simplify transfer pricing calculations. It is hoped that these reforms will promote stability and certainty in the international tax system. The Pillar Two webinar discussed the newly released administrative guidance on the Global Anti-Base Erosion (GloBE) model rules, the  GloBE information return, and the main features of the Subject to Tax Rule (STTR).  These recently published measures are aimed to ensure a consistent and coordinated implementation of the Global Minimum Tax among jurisdictions.

Through the Asia Pacific Tax Hub and RETA 9433, ADB supports DMCs' efforts to increase their capacity to mobilize domestic resources and align their legal framework and administrative practices with international tax integrity standards.  If your DMC is interested in tax integrity support, email us. 

On 28 August, VP Roberta, along with People’s Republic of China (PRC) Ministry of Finance Director General Cheng, opened the Asia Pacific Anticorruption and Integrity Forum, a 3-day event jointly organized by ADB’s Office of Anticorruption and Integrity (OAI), East Asia Department and People’s Republic/PRC Resident Mission, and the Xiamen National Accounting Institute.

VP Roberta highlighted the importance for consultants and contractors of ADB-financed projects to fully understand ADB’s policies and regulations and uphold the highest ethical standards and integrity risk management practices. She also stressed that effective internal controls, including compliance training and fostering an ethical corporate culture, are paramount. The Forum’s objective is to raise awareness among PRC contracting entities and government bodies of the importance of sound integrity risk management practices and adherence to ADB standards in public procurement, asset and financial management, and environmental and social safeguards for the successful participation and delivery of outputs in ADB projects. During her mission, VP Roberta also visited the ADB-funded Farmland and Sustainable Utilization and Demonstration Project and met the Vice Mayors of Xiamen to discuss joint initiatives. OAI Head John Versantvoort, PRC Resident Mission OIC /Deputy Country Director Aiming Zhou, and other OAI and Procurement, Portfolio, and Financial Management Department staff joined the mission. 

On 18–19 August, ADB and the Study Group on Asia Pacific Tax Administration and Research  conducted a workshop on transfer pricing for 40 senior officials from 12 jurisdictions, including 10 DMCs in Kuala Lumpur, Malaysia. Study Group members learned transfer pricing concepts and their practical applications. They also grasped transfer pricing of intangibles (development, enhancement, maintenance, protection, and exploitation of intangibles), risk-based transfer pricing audits, and transfer pricing documentations.    

Through RETA 9433, ADB supports developing member countries' efforts to increase their capacity to mobilize domestic resources and align their legal framework and administrative practices with international tax integrity standards.  If your developing member country is interested in tax integrity support, email us.

The Office of Anticorruption and Integrity participated in a panel discussion organized by the B20 Engagement Group during the 3rd meeting of the G20 Anti-Corruption Working Group Meeting held in Kolkata, India from 9–11 August. The panel's vibrant discussion highlighted the need to promote private sector collaboration with law enforcement and the pivotal role of technology in the fight against corruption and enhancing transparency. During the presentation, OAI provided examples of how they are using technology and Business Integrity Programs within the business ecosystem to better detect and react to integrity concerns in ADB-funded projects.

On 1 August, the Office of Anticorruption and Integrity, in collaboration with Pakistan Resident Mission’s Capacity Development Resource Centre, delivered a hybrid integrity learning session for over 140 representatives from the executing agencies based in Punjab province and several federal agencies of Pakistan. The session was part of the 3-day 2nd Integrated Capacity Development Training Program held in Lahore. OAI discussed identifying integrity risks, red flags, as well as preventive and remedial actions. It concluded with a Q&A with the engaged audience. The integrity session, part of the office’s Integrity Learning Series under RETA 9703, was tailored for participants exercising oversight functions and project responsibility.

For similar training requests for your executing and implementing agencies, email us.

On 26 July 2023, ADB and OECD signed a Knowledge Partnership Agreement to address corruption and other integrity risks and responses in post-crisis recovery situations as part of the Anti-Corruption Initiative for Asia and the Pacific. The project will focus on compiling and sharing government good practices for ADB developing member countries in detecting and investigating fraud and corruption during global health and economic crisis situations, both in the short-term aftermath of a crisis and in medium to long-term recovery efforts. The agreement will also develop publications of regional policy responses and knowledge sessions on promoting accountability, control, management, and oversight in economic stimulus packages and recovery funds.  

For queries related to ACI activities, email us.

ADB, led by the Thailand Resident Mission, Office of Anticorruption and Integrity, and the Public Sector Management and Governance Sector Office, conducted a transfer pricing workshop for the Thailand Revenue Department on 24–27 July as part of the bank’s ongoing support for the country’s domestic resource mobilization improvement in Bangkok. Around 45 tax auditors from the Thailand Revenue Department’s large taxpayer and regional units learned transfer pricing methodologies and relevant issues aiming to enhance their capacity to effectively conduct tax investigations through international standards, transfer pricing case studies, and practices of other tax authorities. The workshop was supported by the Asia Pacific Tax Hub through RETA 9433 and the Domestic Resource Mobilization Trust Fund. Mr. James Roop, Principal Country Specialist, Thailand Resident Mission, also delivered opening remarks on behalf of the One ADB team.