IT’S GOOD TO KNOW...HOW CORRUPTION IS MEASURED 26 October 2010 WHAT IS TRANSPARENCY INTERNATIONAL? • • • • Global network of non profit organisations Offering support Diagnosing corruption risks Campaigning for action and reform HOW DO WE DEFINE CORRUPTION? The abuse of entrusted power for private gain WHAT IS THE CORRUPTION PERCEPTIONS INDEX? • • • • Poll of polls Measuring business perceptions of public sector corruption Relative ranking – no absolute measure Not measuring ‘legal corruption’ or ‘private sector corruption’ HOW WE COMPILE THE INDEX • Up to 13 different surveys • Over two years • Standardise data – create common scale from ranks and scores of countries reported by each source • Average values • 90 % confidence range WHY DOES IT MATTER? • 35% Control Risks Group (2006) • 45% PricewaterhouseCoopers • Ability to trade Habib and Zurawicki CORRUPTION PERCEPTIONS INDEX 2010 WHAT DOES IT MEAN? • We’re not faced with the kind of “petty” corruption people in low income countries are • Teachers, doctors, traffic police and airport security not demanding bribes • Rule of law largely observed. Relatively strong, stable institutions. LEGAL CORRUPTION COMPONENT 2004 WORLD BANK INSTITUTE 2004 Netherlands Norway Denmark Finland Singapore Iceland New Zealand United Arab Emirates United Kingdom Germany Sweden Jordan Hong Kong SAR Switzerland Luxembourg Austria Belgium Chile Bahrain Australia China Tunisia Botswana Ghana Malaysia South Africa Japan Taiwan Canada Ireland 79.2 78.6 74.7 72.6 72.6 69.6 68.7 68.2 67.4 62.4 60.0 59.4 59.1 59.1 57.2 57.2 54.1 53.5 52.3 50.3 49.4 48.8 47.3 47.2 47.1 46.5 46.2 44.6 42.9 42.6 WHAT OTHERS SAY • 78% of respondents believed the government’s efforts to combat corruption were ineffective (Eurobarometer). • 32% of respondents believed the prosecution rate for bribery offences was a sufficient deterrent. (Eurobarometer) • In 2007, trust in business amongst Irish opinion leaders was at 50%. (Edelman) • Ireland is the only EU country to see a decline rather than a rise in trust in business when the figures for 2010 are compared with those for 2009. (Edelman) www.transparency.ie