Board members at a UK-funded development agency made large expenses claims, including ?5,000 air tickets, the National Audit Office has revealed.
The Private Infrastructure Development Group (PIDG) has also built up a ?27m surplus after the British government ramped up its donations.
The NAO has urged ministers to keep a much closer eye on the PIDG's spending.
Recent projects funded by the agency include a steel foundry in Nigeria and a Ugandan hydropower scheme.
The PIDG said it had revised its travel policy, which had seen board members claiming for more expensive flexible business class tickets.
But Margaret Hodge, chairman of the Commons Public Accounts Committee, said the Department for International Development (DfID) was to blame for not keeping a tight enough rein on spending.
"It's outrageous that 15 flights were booked from 2011, each costing over ?5,000," said Mrs Hodge.
"Only this month has PIDG revised its travel policy. DfID should get a grip on administrative costs like this."
The PIDG was founded in 2002 by four countries - the UK, Switzerland, Holland and Sweden - to back private investment in infrastructure projects in developing countries, including roads, telecoms, sanitation, housing, agriculture, power and industry.
But the UK provides 70% of its funding, which is expected to hit ?700m in total by 2015.
UK funding for the agency was increased fivefold by the coalition government in 2011, in line with its policy of encouraging private investment in the developing world.
But the NAO found much of that money had yet to be spent on development projects and the PIDG Trust was sitting on ?27m in its bank account.
BBC News - UK-funded aid agency under spotlight over spending
Begs the question "wtf are we still giving them money ?" - perhaps they'd like us to pay for the expensive fuel for the gravy train we bought them
The Private Infrastructure Development Group (PIDG) has also built up a ?27m surplus after the British government ramped up its donations.
The NAO has urged ministers to keep a much closer eye on the PIDG's spending.
Recent projects funded by the agency include a steel foundry in Nigeria and a Ugandan hydropower scheme.
The PIDG said it had revised its travel policy, which had seen board members claiming for more expensive flexible business class tickets.
But Margaret Hodge, chairman of the Commons Public Accounts Committee, said the Department for International Development (DfID) was to blame for not keeping a tight enough rein on spending.
"It's outrageous that 15 flights were booked from 2011, each costing over ?5,000," said Mrs Hodge.
"Only this month has PIDG revised its travel policy. DfID should get a grip on administrative costs like this."
The PIDG was founded in 2002 by four countries - the UK, Switzerland, Holland and Sweden - to back private investment in infrastructure projects in developing countries, including roads, telecoms, sanitation, housing, agriculture, power and industry.
But the UK provides 70% of its funding, which is expected to hit ?700m in total by 2015.
UK funding for the agency was increased fivefold by the coalition government in 2011, in line with its policy of encouraging private investment in the developing world.
But the NAO found much of that money had yet to be spent on development projects and the PIDG Trust was sitting on ?27m in its bank account.
BBC News - UK-funded aid agency under spotlight over spending
Begs the question "wtf are we still giving them money ?" - perhaps they'd like us to pay for the expensive fuel for the gravy train we bought them
Comment