The budget secretary tossed the blame to the World Bank while the secretary of public works and highways said the government would push through with the affected road projects even without funding from the bank. The statements were issued after the World Bank withdrew a $33-million funding for two road projects and deferred a $232-million loan for more projects amid reports of overpricing and rigged bidding.

There could be some basis for the government’s complaint that the World Bank has been unfair in its assessment. But because of recent corruption scandals hounding the Arroyo administration, and because the department in question has been consistently ranked as one of the most graft-ridden, the burden is heavier on the government to prove that the projects are aboveboard. The Department of Public Works and Highways may be able to find local funding for the affected projects. But the nation remains heavily dependent on foreign aid for development projects, and decisions made by many in the international donor community are likely to be affected by World Bank assessments.

It’s not easy for developing economies to shrug off a World Bank indictment. The best that the government can do is to admit that corruption is a serious problem in this country and that every effort is being made to stamp out the scourge. Those efforts include plugging opportunities for corruption in government bidding and procurement procedures, tightening auditing rules and generally promoting transparency throughout the bureaucracy. It also includes going after corrupt officials and punishing them instead of rewarding them with plum posts in government.

Above all, there should be leadership by example — something that can prove tough for an administration that has been tainted by accusations of corruption at the highest levels. Unless the government undertakes a serious housecleaning, it won’t be the first time that corruption will set back development projects. Corruption exacts a steep price, and it’s the people who must bear the burden.