Benefits of CoST
The Construction Sector Transparency Initiative (CoST) offers a range of potential short and long-term benefits to stakeholders and participating bodies.
Benefits for Procuring Entities
- improved efficiency and transparency of the contract management process
- greater public confidence in the procuring bodies
- increased likelihood of competent contractors being engaged
- improved quality of construction and fewer delays
- less corruption and wastage
Benefits for public financial management bodies
- better management of public finances
- fewer opportunities for corruption
- improved governance likely to improve business confidence and trust, and increase prospects for investment
- improved financial management recognised by ratings agencies and financial institutions, thereby providing better access to private capital
Benefits for construction companies and industry associations
- greater confidence that a 'level playing field' exists
- improved prospects that contract award, implementation and payment schedules will be fair and open
- a reduced likelihood of risk to reputation through association with corrupt or failed projects
- better financial risk management leading to better access to private capital and more favourable lending terms
Benefits for civil society
- better outcomes for public-sector investment, in terms of value for money and responsiveness to the interests of society
- greater opportunities for public involvement in governance
- assurances that corruption is being tackled
Benefits for donors and providers of finance or loan guarantees
- reduced credit risks
- better return on investments
- funds provided are more likely to achieve objectives
Benefits for international partners
- a greater likelihood that funds directed to construction projects will achieve stated development impacts
- greater potential for cross-sectoral initiatives
