ECAs and local procurement: A source of benefits or corruption?

(TFX News, London, 11 January 2016) Localisation requirements in emerging-markets projects are meant to be a way of giving back; an attempt at ensuring a lasting beneficial legacy for the local population of the respective country. But is this ostensibly benign endeavour offering a perfect guise for corruption and bribery? From a financing perspective, the question is: what controls and/or processes could be put in place by the agencies [DFIs], the ECAs and the OECD to encourage more localisation and, at the same time, ensure the best local counterparties are engaged to perform those local works [rather than companies connected to local politicians or offer kickbacks or pay bribes]?