The Asian Developement Bank's 20th by 2020 Report on Bhutan states that from 44 percent in 2008, cases of fraud, corruption and embezzlement related to local government had increased to 98 percent last year. The report states that with about 40 to 45 percent of the national budget spent on procurement, it would continue to remain the primary area of vulnerability if relevant capacities in the government were not enhanced.
Data also revealed that violation of procurement rules constituted about 25 percent of the total irregularities in 2010, which declined to 9 percent in 2013. At the local level, it has increased from 3.5 percent to 25 percent last year.
Bhutan has been trying to hold its 20th rank on the Corruption Perception Index (CPI) for some time or even to improve it but it is facing tough challenges.