Multilateral Development Banks Adopt Mutual Debarment Policy
By E. Lawrence Barcella, Christopher F. Dugan, Laura L. Flippin & Adam J. Schwartz
The five leading global multilateral development banks (MDBs) the African Development Bank, the Asian Development Bank, the European Bank for Reconstruction and Development, the Inter-American Development Bank, and the World Bank have entered into a significant agreement providing for mutual and reciprocal enforcement of debarment decisions. These MDBs will now debar any firm or individual debarred by other MDBs for fraudulent or corrupt practices. The Agreement for Mutual Enforcement of Debarment Decisions (the Agreement), effective April 9, 2010, thus affirms the commitment of the MDBs to combating fraudulent, corrupt, coercive, and collusive practices.