'ADB is willing to provide $2 bn more this year'

Gregory A London, principal consulting services specialist at the Asian Development Bank (ADB) does not believe in mincing words. In the city to address a seminar on 'Development of Domestic Consulting Services', organised by the Consultancy Development Centre, New Delhi, and Asian Development Bank in association with Exim Bank and Apitco Limited, London comes across as an articulate and jovial person.

"An interview with me would be boring as I will not make any political statements," was his rhetoric when approached for a tête-à-tête with Business Standard.

Nevertheless, he gave his views on why India is hesitant to accept additional assistance from ADB, besides his opinion on the domestic consulting services industry in the country. Excerpts from the interview:

How much has ADB lent to India as yet?

As of December 31, 2004, ADB has lent a cumulative total of $14,550.3 to India in areas ranging from energy, transport and communication, finance and health and nutrition. We are now providing financial assistance to the agriculture sector as well.

How much financial assistance is the bank willing to provide?

We are willing to provide another $2 billion assistance to India in 2005 but the Centre needs to be open to accept our assistance.

<>b>Why is ADB keen on providing additional financial assistance to India?

India is one of the 31 founding members of ADB and our aim is to develop the member countries in various sectors. Therefore, we are keen to provide financial assistance to India and are awaiting the government's approval.

Why is government unwilling to take additional financial assistance from you?

I guess the government has other aims like elections rather than provision of education and health. Also, we have a few conditions that we place before lending, which the government may not be happy with.

For instance, for certain projects we stipulate a condition that the government should first sort out the resettlement issues for the people who are residing in those areas. However, by placing such conditions, we are not trying be bossy.

How do you see the consulting services industry in India?

ADB wants to develop domestic consulting services in India. Last year, for the ADB-funded projects, 50 per cent of the consultants were domestic and the remaining foreign.

The industry is, however, growing and the government should open up the sector further to boost this growth. This seminar was aimed at developing consultancy services in India, as it will help the participating members know how we select consultants for our projects besides assisting them in improving the technical quality of their proposals.

Where does India stand in this regard compared to other Asian countries?

Indian consultants are educated and proficient in English. There is a potential for significant expansion in consulting opportunities in India.

The domestic consulting industry here is relatively developed when compared to other Asia-Pacific countries. In fact, in another 15 years, India is likely to reach a stage, where it won't need to depend on foreign consultants at all.