By Peter Eigen and - -
BERLIN, Dec 6 2004 (IPS)

December 9 is UN International Anti-Corruption Day, in recognition of the first signing ceremony of the UN Convention against Corruption in Merida, Mexico, on 9 December 2003. Since then, 113 countries have signed the Convention, a milestone in international efforts to curb corruption, writes Peter Eigen, Chairman of Transparency International. Nepotism, patronage, and corruption do not just block development and deepen poverty, Eigen writes in this column. They also hold back the development of a private sector in developing countries, and deprive a new generation of the education and healthcare they need to be able to participate in economic development. Corruption not only diverts public funds into the pockets of well-connected individuals. It also deepens a country\’s indebtedness for generations to come: estimates put the cost of corrupt projects in developing countries at more than one-third of the debt burden of the developing world. Corruption robs children of their future, it breeds conflict, mistrust and even war. Corruption kills.

The decision to launch Anti-Corruption Day, a long-cherished wish of Transparency International (TI), was another important event in the anti-corruption movement’s efforts to heighten awareness about the problem of corruption and the fact that it is preventable through systemic reform combined with political will.

More and more governments around the world, the World Bank and the UN, now realise that the Millennium Development Goal of halving the number of people living in extreme poverty by 2015 is attainable only if governments seriously tackle corruption.

Nepotism, patronage, and corruption do not just block development and deepen poverty. They also hold back the development of a private sector in developing countries, and deprive a new generation of the education and healthcare they need to be able to participate in economic development.

Corruption not only diverts public funds into the pockets of well-connected individuals. It also deepens a country’s indebtedness for generations to come: estimates put the cost of corrupt projects in developing countries at more than one-third of the debt burden of the developing world. Wasteful projects generate recurring costs, and are often poorly implemented because tenders are allocated to bidders who pay kickbacks instead of those offering quality and value for money.

The Organisation for Economic Cooperation and Development (OECD) puts government expenditure on procurement at USD 3.5 trillion worldwide. A conservative estimate puts the amount lost due to bribery in government procurement at USD 400 billion worldwide.

That is why Transparency International’s chapters around the world will be marking Anti-Corruption Day by raising awareness about the dangers of corruption and launching debates on how to implement anti-corruption strategies. They will urge their governments to sign and ratify the UN Convention, as well as key regional conventions such as the African Union Convention on Preventing and Combating Corruption. In addition, TI is urging OECD member governments to ensure that the resources are made available to enforce the OECD Anti-Bribery Convention, which outlaws bribery of foreign public officials and came into force in 1999.

As confirmed by the Transparency International Global Corruption Barometer, a new survey to be published on 9 December, citizens around the world are exasperated at the depth of political corruption the world over, and at the extent to which corruption distorts the political decision-making process in developed and developing countries alike.

As citizens have shown in Georgia and Indonesia over the past 12 months, and indeed in Ukraine now, a new consensus has grown out of the increasing realisation that corruption diverts funds away from essential public services, such as health and education, and thwarts the development of honest businesses. In so doing, corruption robs children of their future, it breeds conflict, mistrust and even war. Corruption kills.

It is a priority for an increasing number of new governments around the world, even though enormous challenges persist. As this year’s Nobel Peace prize winner, Wangari Matthai, says, it is now clearer than ever that the challenge facing much of Africa is to move from an age of conflict, hunger, and corruption to one of good governance and economic development.

Developed countries and multinational corporations bear a major responsibility. Until the OECD Anti-Bribery Convention came into force in 1999, the political and commercial elites of the developed world condoned active bribery by their exporters abroad. In some countries, indeed, bribes were tax-deductible.

The UN Convention provides new scope for effecting mutual legal assistance between countries — making it easier in particular to facilitate the return of assets stolen by corrupt leaders. This complements the African Union Convention on Preventing and Combating Corruption, adopted in July 2003, which also provides for greater co-operation on the return of stolen assets.

John Githongo, Permanent Secretary for Governance and Ethics in the office of Kenyan President Mwai Kibaki, says that in searching for assets stolen by corrupt elites, Kenya’s new government has already traced roughly USD 1 billion believed to have been stolen from the country.

Increased global awareness of the impact of corruption has created a climate ripe for action. International business and civil society organisations have united around a global consensus, reflected in the adoption in June this year of an anti-corruption principle by the more than 1,500 corporations worldwide who are signatories to Kofi Annan’s UN Global Compact.

If we fight corruption together, we can make a difference. (END/COPYRIGHT IPS)

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