22 September 1998
(Transparency International vows to fight the scourge) (1070) By Phillip Kurata USIA Staff Writer Washington -- The world's leading non-government organization fighting corruption says the battle to secure democracy, alleviate poverty and sustain investment and commerce hinge on curbing corruption in developing nations and across Central and Eastern Europe. In releasing its 1998 corruption perceptions index, Transparency International Chairman Peter Eigen says the index should serve as "an incentive to governments to confront the corruption in their countries. The new index illustrates how serious the global cancer of corruption really is. This has to change." This year's corruption perception index ranks 85 countries in the group's most comprehensive survey since it was founded in 1993. Transparency defines corruption as the abuse of public office for private gain. The Berlin-based organization compiled its index from multiple surveys of expert and general public views in many countries. Transparency says its index deals with the perception of corruption, not corruption itself, which Transparency says it does not have the means to quantify. The group urges the legislatures of the 29 members of the Organization for Economic Cooperation and Development (OECD) and five other countries in South America and Eastern Europe to ratify a treaty that would criminalize bribery of foreign officials by multinational corporations. With its pioneering 1977 Foreign and Corrupt Practices Act, the United States is the leading supporter of the OECD anti-corruption treaty. Leaders of the U.S. Congress say they intend to approve its ratification and pass legislation to implement it before the current session ends in October. "The first thing businesses should do is stop paying bribes. Most of the major bribes in what we call grand corruption around the world are the result of international corporations paying bribes to get contracts," Transparency International Vice Chairman Frank Vogl said. He says a huge silent majority of multinationals oppose the OECD treaty. Transparency International says it wants to compile an index ranking OECD governments for their tolerance of foreign bribery by their multinational companies, but lacks sufficient data to do so. Germany, for example, allows its corporations to write off foreign bribes as tax deductions. Following is Transparency International's 1998 corruption perception index: The Transparency International 1998 Corruption Perceptions Index Country 1998 Standard Surveys Rank Country CPI Deviation Used Score 1 Denmark 10.0 0.7 9 2 Finland 9.6 0.5 9 3 Sweden 9.5 0.5 9 4 New Zealand 9.4 0.7 8 5 Iceland 9.3 0.9 6 6 Canada 9.2 0.5 9 7 Singapore 9.1 1.0 10 8 Netherlands 9.0 0.7 9 Norway 9.0 0.7 9 10 Switzerland 8.9 0.6 10 11 Australia 8.7 0.7 8 Luxemburg 8.7 0.9 7 United Kingdom 8.7 0.5 10 14 Ireland 8.2 1.4 10 15 Germany 7.9 0.4 10 16 Hong Kong 7.8 1.1 12 17 Austria 7.5 0.8 9 United States 7.5 0.9 8 19 Israel 7.1 1.4 9 20 Chile 6.8 0.9 9 21 France 6.7 0.6 9 22 Portugal 6.5 1.0 10 23 Botswana 6.1 2.2 3 Spain 6.1 1.3 10 25 Japan 5.8 1.6 11 26 Estonia 5.7 0.5 3 27 Costa Rica 5.6 1.6 5 28 Belgium 5.4 1.4 9 29 Malaysia 5.3 0.4 11 Namibia 5.3 1.0 3 Taiwan 5.3 0.7 11 32 South Africa 5.2 0.8 10 33 Hungary 5.0 1.2 9 Mauritius 5.0 0.8 3 Tunisia 5.0 2.1 3 36 Greece 4.9 1.7 9 37 Czech Republic 4.8 0.8 9 38 Jordan 4.7 1.1 6 39 Italy 4.6 0.8 10 Poland 4.6 1.6 8 41 Peru 4.5 0.8 6 42 Uruguay 4.3 0.9 3 43 South Korea 4.2 1.2 12 Zimbabwe 4.2 2.2 6 45 Malawi 4.1 0.6 4 46 Brazil 4.0 0.4 9 47 Belarus 3.9 1.9 3 Slovak Republic 3.9 1.6 5 49 Jamaica 3.8 0.4 3 50 Morocco 3.7 1.8 3 51 El Salvador 3.6 2.3 3 52 China 3.5 0.7 10 Zambia 3.5 1.6 4 54 Turkey 3.4 1.0 10 55 Ghana 3.3 1.0 4 Mexico 3.3 0.6 9 Philippines 3.3 1.1 10 Senegal 3.3 0.8 3 59 Ivory Coast 3.1 1.7 4 Guatemala 3.1 2.5 3 61 Argentina 3.0 0.6 9 Nicaragua 3.0 2.5 3 Romania 3.0 1.5 3 Thailand 3.0 0.7 11 Yugoslavia 3.0 1.5 3 66 Bulgaria 2.9 2.3 4 Egypt 2.9 0.6 3 India 2.9 0.6 12 Bolivia 2.8 1.2 4 69 Ukraine 2.8 1.6 6 71 Latvia 2.7 1.9 3 Pakistan 2.7 1.4 3 73 Uganda 2.6 0.8 4 74 Kenya 2.5 0.6 4 Vietnam 2.5 0.5 6 76 Russia 2.4 0.9 10 77 Ecuador 2.3 1.5 3 Venezuela 2.3 0.8 9 79 Colombia 2.2 0.8 9 80 Indonesia 2.0 0.9 10 81 Nigeria 1.9 0.5 5 Tanzania 1.9 1.1 4 83 Honduras 1.7 0.5 3 84 Paraguay 1.5 0.5 3 85 Cameroon 1.4 0.5 4 Notes 1998 CPI Score ... relates to perceptions of the degree of corruption as seen by business people, risk analysts and the general public and ranges between 10 (highly clean) and Surveys Used ... refers to the number of surveys that assessed a country's performance. 12 surveys were used and at least 3 surveys were required for a country to be included into the 1998 CPI. Standard Deviation ... indicates differences in the values of the sources: the greater the standard deviation, the greater the differences of perceptions of a country among the sources.