Dispelling Corruption Myths: What Works and What Doesn't

Corruption remains the primary threat to the consolidation of democracy in developing countries. In order for citizens to embrace democracy and its ideals, the system must provide equal opportunities for everyone to participate in the political and economic process. However, corruption distorts those opportunities and disenfranchises citizens politically and economically. From the business perspective, corruption weakens markets, reduces competitiveness, diverts investments, and increases economic uncertainty.

Anti-corruption reforms should not be left to governments – business must also lead the way. Business associations and think tanks can become central actors within the anti-corruption movement because they provide the collective energy and intellectual capital necessary to formulate effective anti-corruption policies and become the political force necessary to gain government buy-in. CIPE experience shows that successful strategies to bring corruption under control address the institutional nature of corruption and target the underlying deficiencies that allow corruption to persist. Failure to address the root causes of corruption, such as unclear rules and regulations and weak enforcement, ultimately undermines the effectiveness of anti-corruption initiatives.