Cambodian officials pocketed money designated for specific aid programs, the World Bank alleges. Though Prime Minister Hun Sen denies there is any reason for suspicion, denials are not enough. He must actively prove his government’s innocence. Only when Cambodia has agreed to let an impartial international commission investigate the way the nation spends all of its aid money can the government exonerate itself.

Cambodia’s recent history is notoriously fraught with corruption and violence. Despite the creation in 1990 of a republican government with a parliament and a constitution, Cambodia’s violent past begot dependence on foreign aid money. Per capita income is increasing, but the country’s economy is still weaker than its neighbors’. In 2003 the economy further declined when the World Bank first found the Cambodian government guilty of corruption. Money was being siphoned from funds intended to support a project for the demobilization of about 30,000 soldiers, and the Cambodian government agreed to pay back US$2.8 million after the World Bank threatened to withhold further aid. Since then, the World Bank and the rest of Cambodia’s donors have kept a close eye on their aid money. In December 2004, official donors promised to give the nation US$504 million in 2005 if it attempted to eradicate corruption and could show its progress.

According to the World Bank, Cambodia failed. In June 2006, the Bank again cited corruption and money grafting as the reasons for its withdrawal of funds from three key programs. It cancelled 43 contracts worth US$11.9 million, US$7.6 million of which was earmarked for major projects on infrastructure, water and sanitation, and government bureaucracy. The loss of these contracts is a devastating blow for the country. The programs would have provided employment and aid for thousands of impoverished people, as the World Bank acknowledged. But World Bank officials claimed they could not risk having the aid money end up in the hands of wealthy government officials, who apparently did not heed their lesson in 2003. As Khem Sokha, president of the Cambodian Human Rights Commission, explained, “The money received from the World Bank was intended for the many poor who lack sufficient food, water, shelter, and other most basic needs, not for the villas, land cruisers, and mistresses of some officials.” The corruption of a few has led to a national crisis, and Cambodia’s economic state is continuing to decline at a dangerous rate.

Hun Sen proclaimed innocence, joking to his top officials in public, “If something is found to be wrong, I will cut your throat.” He and the government refused to return any money because they refused to confess any corruption. At the same time, however, Sen’s officials arrested for embezzlement several local officers in charge of the aid programs. In light of these arrests Sen’s proclamations of innocence are becoming even more flimsy.

To set the country on its feet, Cambodians and the international community must examine the inner workings of the government more closely. The best way is to set up an independent commission to judge how all aid money is being spent. Pressure from other nations, especially Cambodia’s neighbors, may force Sen’s compliance with this commission; if not, Cambodia’s corruption will be proven by default. The international community should therefore stand together in calling for an exploration into the use of funds in Cambodia’s regional and national projects. This commission could monitor the funds and the progress of the programs with an unbiased view, urging the Cambodian government to arrest those who have been suspected of embezzlement. There should be new procedures for how aid money will be filtered down to the people, and these procedures should be instituted for the long term to ensure that Cambodia can continue to be free of corruption. Only when the commission has identified the problem and Cambodia has started working to solve it can the country and its millions of impoverished citizens receive the money that they so desperately need.

Cambodia has a chance to cleanse itself of corruption scandals, but it must take the initiative. Sen has proclaimed his willingness to work with an independent committee to investigate the three programs that have lost funding. But to ensure the continual flow of aid, the international community must call for a committee to inspect the use of all funds that the nation receives. Cambodia must assure the commission of its cooperation, agreeing to all conditions and laying its procedures open to investigators. Once the World Bank is satisfied with Cambodia’s progress, it will donate more readily. Aid projects can resume, offering employment and other tangible benefits to the citizens and to their nation.