Friday, September 28, 2007

Corruption imperils development aid

The Swedish development aid initiative recently presented by Prime Minister Fredrik Reinfeldt to the United Nations triggered both enthusiasm and anxiety, not just among donor countries but with taxpayers in general. Shortly after announcement of the new aid initiative where environment, poverty and human rights would form the guidelines, came a report from an organisation called Transparency International. In its latest annual report, it cited Somalia, Burma and Iraq as the most corrupt countries.

The ten least corrupt countries named are: Denmark, Finland, New Zealand, Sweden, Singapore, Iceland, Netherlands, Switzerland, Canada and Norway. The most corrupt are: Democratic Republic of Congo, Equatorial Guinea, Laos, Afghanistan, Chad, Sudan, Tonga, Uzbekistan, Haiti, Iraq, Burma and Somalia.

Transparency International cited the role of multinational companies in the form of bribes in very poor countries. "Bribe money often comes from multinational companies based in rich countries. It is not acceptable that these companies should view bribes in their export countries as something legitimate," the report said.

The report mentioned 180 countries and areas. War-torn countries such as Somalia, Sudan, Iraq and Afghanistan are ranked as most corrupt. One reason is the on-going reconstruction of infrastructure in these volatile countries. "The most lucrative contracts that many will win, they are prepared to pay for under the table," said the report. At the same time, improvements in the anti- corruption campaign was noted in Namibia, Swaziland, and South Africa.#
(Translated from DN report, 27 Sept. 2007)

Apropos the Swedish aid initiative

Swedish editorial columnist Peter Wolodarski (DN 26.09.07) urged Development Aid Minister Gunilla Carlsson to take a serious look at the latest Transparency International ranking of over 180 countries, in terms of corruption. The rich countries have less corruption problems with bureaucrats accepting under the table bribe money and other abuses of power for personal gain. But there are deviations. Within European Union, the corruption problem still spreads despite strict demands on every EU member states judicial system. Italy has a worse situation compared to Botswana and the United Emirates and even lower down the list are Slovakia, Latvia, Lithuania, Greece, Poland and Bulgaria.

While Sweden can gladden itself with its fourth placement on the list, it ought to worry itself over which countries are on the "worst" list. One finds there several African aid-recipient countries such as Burkina Faso, Mozambique, Rwanda and Uganda which have deeply-rooted corruption problems. Aid money goes to the state treasury.

The basic question remains: What have decades of Swedish development aid achieved?

Wolodarski urged Gunilla Carlsson to consider the Transparency International report before she allows billions of taxpayers' money to disappear into Swiss accounts.#
(Read "Experiencing Africa" in http://ricenroses.blogspot.com)

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