By Babajide Komolafe

The World Bank Group has sanctioned three African affiliates of PricewaterhouseCoopers (PwC), imposing a 21-month debarment over their involvement in fraudulent and collusive practices linked to a major regional power project in Ethiopia. The affected firms—PwC Associates Africa Ltd (Mauritius), PwC Kenya, and PwC Rwanda—will be barred from participating in World Bank-financed projects during the period, subject to conditions for reinstatement.

The sanctions stem from misconduct uncovered in the Eastern Electricity Highway Project, a flagship initiative under the Eastern Africa Power Integration Programme aimed at boosting electricity supply in Kenya and enabling Ethiopia to earn revenue through power exports. Investigations found that the firms improperly accessed confidential procurement information in 2019 to influence the award of consultancy contracts, undermining the integrity of the bidding process.

According to the World Bank, the companies obtained sensitive procurement details from project officials to gain an unfair advantage in securing a contract for the implementation of International Financial Reporting Standards for the Ethiopian Electric Power Corporation. The firms were also found to have attempted to influence the award of another contract—relating to Fixed Asset Inventory and Revaluation for the Ethiopian Electric Utility—in favour of PwC Associates Africa.
Further findings revealed that PwC Associates Africa misrepresented the availability and qualifications of key experts proposed for the assignment, while also failing to fully disclose all subconsultants involved in the execution of the contract. The Bank said these actions constitute clear violations of its Consultant Guidelines, which prohibit collusive and fraudulent practices in projects it finances.
Under the terms of the settlement agreement, the three firms admitted culpability and agreed to a range of remedial measures, which contributed to a reduced debarment period. These measures include conducting an internal investigation, taking disciplinary action against responsible personnel, severing ties with implicated subconsultants, and enhancing staff training on compliance and ethics.
As part of the conditions for release from debarment, the firms are required to strengthen and implement robust integrity compliance programmes aligned with World Bank standards. They also committed to continued cooperation with the Bank’s Integrity Vice Presidency.
The World Bank noted that the sanctions may be extended beyond its own operations, as the debarment qualifies for cross-debarment by other multilateral development banks under a 2010 agreement on mutual enforcement of sanctions.
In addition, PricewaterhouseCoopers Africa Limited, which provides oversight to PwC network firms across the continent, signed the agreement as a non-sanctioned party, reflecting its role in ensuring compliance among its member firms.
The development underscores the World Bank’s intensified efforts to enforce accountability and uphold transparency in projects it finances, particularly in critical infrastructure initiatives across developing regions.