An apple symbolizes life and prosperity. The rotten and fresh halves of the cover's apple capture

248 Pages·2009·2.5 MB·English

An apple symbolizes life and prosperity. The rotten and fresh halves of
the cover’s apple capture the spoiling aspect of corruption and the
rejuvenating side of reducing it. The mirror image shows how
sectors at the core of the problem can also be part of the
solution. The fresh apple at the top conveys the idea
that it is possible for clean institutions to stand
above corruption. Doing so can yield fruits
such as healthy, educated, freer people.
Photos: Sidharth Rao, iStockphoto/Steven Gibson
TACKLING
CORRUPTION,
TRANSFORMING
LIVES
Accelerating Human Development
in Asia and the Pacific
Published for the
United Nations
Development Programme
Copyright ©2008
by the United Nations Development Programme
Regional Centre in Colombo, Human Development Report Unit
23 Independence Avenue, Colombo 7, Sri Lanka
All rights reserved. No part of this publication may be reproduced or
transmitted, in any form or by any means, without permission.
Any person who does any unauthorised act in relation to this publication
may be liable to criminal prosecution and civil claims for damages.
First published, May 2008
Reprinted, January 2009
Published for UNDP by Macmillan Publishers India Ltd.
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TEAM FOR THE PREPARATION OF THE
Asia-Pacific Human Development Report
TACKLING CORRUPTION, TRANSFORMING LIVES
Team Leader
Anuradha Rajivan
Core Team: Gry Ballestad, Elena Borsatti, The Asia-Pacific Human Development
Ramesh Gampat, Renata Rubian, Niranjan Report Unit (HDRU), Regional Centre
Sarangi, Ruwanthi Senarathne, Omar in Colombo (RCC)
Siddique, Manoja Wickramarathne
The HDRU team members, both past and
Statistics team: Ramesh Gampat, present, who worked on this collaborative
Niranjan Sarangi, Ruwanthi Senarathne, effort are Gry Ballestad, Bineswaree
Manoja Wickramarathne (Aruna) Bolaky, Elena Borsatti, Hasna
Cheema, Kay Kirby Dorji, Ramesh
Editor: Peter Stalker Gampat, Sonia Gomez, Anuradha Rajivan,
Renata Rubian, Niranjan Sarangi,
Designer: Rustam Vania Ruwanthi Senarathne, Omar Siddique,
Bronwyn Walker and Manoja
Publishers: Macmillan India Ltd. Wickramarathne.
About the Asia-Pacific Human Development Report
The Asia-Pacific Regional Human Development Report (APHDR) is an important
resource and instrument to explore critical development concerns. The Report thus
informs policies from a human development perspective, putting people at the centre of
development debates. As a regional public good, the APHDR focuses on issues that are
of common concern to several countries in the region, have sensitivities that are better
addressed at a regional level, or have clear cross-border dimensions.
The APHDR is an independent intellectual exercise developed through a regional
participatory process that draws from the contributions of many. The theme for each
Report is also selected through consultations that include participants within and outside
UNDP. The more nuanced focus of the Report is guided by substantive and diverse
inputs that bring together Asia-Pacific stakeholders from governments, civil society,
academia, research institutions, the media, the private sector and others. Technical
background papers are prepared by eminent experts drawn largely from the Region. An
established peer review process contributes to quality and impartiality. The work is
enriched by a moderated discussion on the Asia-Pacific Human Development Network,
which comprises members from the Region and beyond. Drawing from this rich material,
the Report is prepared by the Human Development Report Unit team. The APHDR is
disseminated widely, helping to promote dialogue and bring together the people of Asia
Pacific to accelerate human development.
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This Report comes on the heels of the misleadingly termed ‘petty corruption’, which
landmark Second Session of the Conference takes its toll on vast numbers of people, is
of State Parties to the United Nations just as weighty as ‘grand corruption’, which
Convention against Corruption in Bali, gets the lion’s share of publicity. Cross-border
Indonesia, which is aiding countries in the issues, increasingly important for this rapidly
implementation of their anti-corruption globalizing region, are also explored.
efforts. The United Nations Convention Corruption undermines democratic
Against Corruption (UNCAC) is the first institutions, retards economic development
legally binding, international anti-corruption and contributes to government instability. It
instrument that provides a unique opportu- attacks the foundation of democratic
nity to mount a global response to a global institutions by distorting electoral processes,
problem. This Regional Human Development perverting the rule of law and creating
Report examines the problem of corruption bureaucratic quagmires whose only reason for
from the perspective of the countries of Asia existence is the soliciting of bribes. Economic
and the Pacific. In doing so, it builds on the development is stunted because outside direct
momentum around the UNCAC mobilization, investment is discouraged and small busi-
and hopes to contribute to the agenda for nesses within the country often find it
change. This publication is also timely – this impossible to overcome the ‘start-up costs’
is the halfway mark in the timetable for required, because of corruption. As Kofi
achieving the Millennium Development Annan, the former UN Secretary-General
Goals, and it addresses corruption surround- remarked, ‘Corruption hurts the poor dis-
ing the exploitation of natural resources, at a proportionately by diverting funds intended for
time when concerns about climate change are development, undermining a government’s
reaching a peak in this most dynamic region ability to provide basic services, feeding inequa-
of the world. The Report documents the lity and injustice, and discouraging foreign
challenge corruption poses for human deve- investment and aid.’
lopment and the solutions that are being In a diverse region like the Asia-Pacific,
attempted to address this multi-dimensional which is attempting the twin task of
problem. development and democratic consolidation,
The focus on corruption from a human the problem of corruption goes to its very core.
development perspective makes this Report It diminishes not only the outcomes we seek
unique. It hones in on the price corruption to achieve, but also corrodes the instruments
extracts from the poor and disadvantaged, and mechanisms we have at our disposal to
especially in their daily lives. It spotlights do so. Many democratic regimes have been
hidden forms of corruption that get less overthrown because elected governments
media attention. These include the passing of failed not only to deliver results; they abused
laws and regulations which allow corruption their offices for securing private gains. But
to be conducted within legal bounds. The non-democratic regimes that replaced them,
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also have not been able to resolve the problem Solutions form the heart of this Report.
of corruption. While non-democratic regimes Options are presented of relevance not just to
may initially appear to curb visible corruption nations, but also to the region and the globe.
through strong action, they are neither Tackling corruption in Asia-Pacific is an
accountable nor responsive to the people they international responsibility that goes beyond
govern, in the way democratic institutions can governments, after all. It needs to be shared
be. The solutions lie, therefore, in more and by transnational companies, international
better quality of democracy; in terms of banks, multilateral agencies, aid agencies,
reinvigorated democratic institutions and civil society organizations, media and indivi-
vibrant democratic practice. duals alike. Today, combating corruption
Governments, civil society and companies makes more political sense than ever before.
around the world are showing that it is This is especially so in sectors like water and
possible to stymie high levels of corruption. electricity, and health and education, which
Those in the Asia-Pacific region have won can greatly promote citizen satisfaction.
some battles against it. Home-grown success The Report is action-oriented, and
stories brought to the fore in this Report could proposes a seven-point agenda for change,
help dissipate defeatist attitudes, which building upon ongoing anti-corruption efforts.
consider corruption as an incurable ailment. These parallel and reinforce efforts for
The solutions in these pages seek to deepen achieving the MDGs by improving develop-
the burgeoning momentum for change and mental results and building the tools to
help countries identify and strengthen their deliver. The Report therefore provides a
own strategies. coherent, comprehensive vision for tackling
This Regional Human Development the problem of corruption in the Asia-Pacific
Report is, ultimately, by and for the people of region, and proposes interventions that add
the region. Stakeholders from Asia-Pacific to a concerted, robust response. This vision is
countries not only identified corruption as not fantasy; it is about the reality within
one of the most pressing concerns for the reach.
region, they also contributed to lively and
often intensive discussions with views,
suggestions for focus areas and solutions.
Those actors included government officials,
media, private sector, academia and civil
society organizations. Contributions from
experts drawn largely from the region then 31.12.2007 Hafiz A. Pasha
helped shape arguments and messages. The Director, Regional Bureau for Asia
entire process has been truly collaborative. and the Pacific, UNDP
The analysis and policy recommendations of this Report do not necessarily reflect the views of the United
Nations Development Programme, its Executive Board or its Member States. Mention of firm names and
commercial products does not imply endorsement of the United Nations. The Report is an independent
publication commissioned by UNDP. It is the fruit of a collaborative effort by a team of eminent experts,
stakeholders, and the HDRU team of the RCC led by Anuradha Rajivan.
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The real price of corruption is not paid in consumers. As corruption is not confined to
currency, after all. The true costs are eroded country borders, it is necessary for solutions
opportunities, increased marginalisation of to be a global responsibility to be shared by
the disadvantaged and feelings of injustice. multi-national companies, international
The myth that nothing can be done to curb banks and aid agencies alike. This Asia Pacific
corruption seems to be nearly as pervasive as HDR proposes combining political will from
corruption itself. This Asia Pacific Human the top with people’s voices from below, each
Development Report, Tackling Corruption, strengthening the other.
Transforming Lives, shows that widespread How best can social policy be shielded
corruption does not have to be an inevitable from the power of narrow special interests?
part of going about one’s everyday life and How can the poorest segments of society have
doing business. The Report prioritises a stronger voice? Particular solutions will
tackling corruption in areas that can improve depend on every country’s specific circum-
daily lives, particularly of the poor. Improving stances. Reducing corruption is ultimately in
justice systems, preventing misuse of the the long-term interest of all layers of society,
region’s abundant natural resources and promoting justice and legitimacy of institu-
ensuring the effective delivery of public tions, with the disadvantaged benefiting the
services, such as clean water, energy, health most. We hope that this Report will contri-
and education, touch people everyday. These bute to constructive debate. The Asia Pacific
improvements are also critical for progress region, well known for its dynamism, can seize
towards the Millennium Development Goals. the momentum for change to mobilise support
The Report aims to demystify certain within and across borders to build more just
misconceptions surrounding a complex societies. There is much to be gained.
phenomenon – aspects of corruption that are The publication of this Report is espe-
less well known and hence tend to be ignored. cially opportune. The year 2008 started with
Sometimes behind closed doors, sometimes the Second Session of the Conference of State
openly on the floors of parliaments, laws are Parties to the United Nations Convention
passed, which allow corruption to be legal. against Corruption (UNCAC) held in Nusa
Meanwhile, misleadingly termed ‘petty Dua, Indonesia, in January. The UNCAC is
corruption’ can be just as, if not more, the first legally binding international anti-
crushing as grand corruption, hitting hard corruption instrument, providing a unique
especially at the poor. opportunity for a global response to a global
Tackling corruption in the Asia-Pacific is problem that pervades institutions within
a responsibility to be shared by governments, countries and crosses national borders.
the private sector, international organizations, The Report benefited enormously from
civil society and the media. Individuals must the ongoing guidance and support of Hafiz
also assert themselves as citizens and Pasha. He worked with the Team more like a
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member than a Bureau Director and saw the this work. On behalf of the Regional Centre
Human Development Report Unit through in Colombo, we would like say a very special
the many twists and turns in the course of thank you to him.
Omar Noman Anuradha K. Rajivan
Chief of Policies & Programmes Regional Programme Coordinator
UNDP Regional Center in Colombo Human Development Report Unit
UNDP Regional Center in Colombo
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The Asia Pacific Human Development Report TTTTTeeeeeccccchhhhhnnnnniiiiicccccaaaaalllll CCCCCooooonnnnnsssssuuuuullllltttttaaaaatttttiiiiiooooonnnnnsssss
is the result of an intensively collaborative
process with contributions from many people, The Report also draws on the feedback, views
too many to individually name. A range of and opinions expressed in regional technical
stakeholders, largely from the region, meetings as part of the report preparation
contributed to the content: experts, academia, process. Participants were: Shahid Akhtar,
the media, private sector, governments, CSOs Anne-Isabelle Degryse-Blateau, Sara Ferrer
and UNDP country offices from the Asia Olivella, Elisabeth Fong, Ramesh Gampat,
Pacific. Hafiz Pasha inspired and guided the Douglas Gardner, Sonia Gomez, Cherie Hart,
work, and provided numerous substantive Jak Jabes, Roshni Karwal, Iori Kato, Patrick
inputs. Colleagues from the Regional Centre Keuleers, Kay Kirby Dorji, Amornsak
in Colombo provided excellent support Kitthananan, Marcia V.J. Kran, Tanni
throughout the process of the Report’s Mukhopadhyay, Gerardo Munck, B. Murali,
preparation. Omar Noman, Koh Miyaoi, Hafiz Pasha,
Minh Pham, Anuradha Rajivan, Bharat
Ramaswami, Ramachandran Ramaswamy,
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Renata Rubian, Niranjan Sarangi, Ruwanthi
Numerous background papers, papers, Senarathne, Omar Siddique, Narin Sok, Peter
drafts, special contributions and notes Stalker, Surekha Subarwal, R. Sudarshan,
covering a wide range of issues have informed Nils Taxell and Garry Wiseman.
the Report. The main contributors were: Jens
Christopher Andvig, Omar Azfar, Sara SSSSStttttaaaaakkkkkeeeeehhhhhooooollllldddddeeeeerrrrr CCCCCooooonnnnnsssssuuuuullllltttttaaaaatttttiiiiiooooonnnnnsssss
Azfar, Gry Ballestad, Bineswaree (Aruna)
Bolaky, Elena Borsatti, Neera Burra, Hiram The Report benefited from the rich and
E. Chodosh, Sheila S. Coronel, Sergio Feld, fruitful interaction with a wide cross-section
Ramesh Gampat, Sonia Gomez, Kevin Evans, of stakeholders in a series of focused, sub-
Manzoor Hasan, Angela Hawken, Michael regional (East Asia, South Asia, and the
Johnston, Patrick Keuleers, C. Raj Kumar, Pacific) consultations. Stakeholders came
Molly Lipscomb, Tenen Masduki, Toby from academia, governments, the media,
Mendel, Ajit Mishra, Satish C. Mishra, private sector, CSOs, think tanks and UN
Ahmed Musfiq Mobarak, Gerardo L. Munck, entities. Participants were: Mirwais
Omar Noman, Jon S.T. Quah, R.K. Ahmadzai, Shahid Akhtar, Jolene Akolo-
Raghavan, Anuradha Rajivan, Renata Tautakitaki, Roby Alampay, Ranjan Krishna
Rubian, Niranjan Sarangi, Basheerhamad Aryal, Amir Ayaz, Gry Ballestad, Abdul Bari,
Shadrach, Nazhat Shameem, Amit Kevin Barr, Suki Beavers, Sharon Bhagwan-
Shrivastava, Omar Siddique, M. Sohail, Rolls, Hakan Bjorkman, Georgina Bonin,
Andre Standing, Paul Steele, and Ngoc Anh Blandine Boulekome, Tungane Broadbent,
Tran, Manoja Wickramarathne and Zengke Radnaa Burmaa, Jinsong Chen, Chea Chet,
He. Bounthavy Chittilath, Eun-Chim (Jennifer)
iiiiixxxxx
Choi, Nicasio Conti, Manuel Coutinho Carmo Treera, Chung Tsung Ping, Nguyen Tuan
Bucar Corte Real, Nikhil Dey, Richard Dictus, Anh, Joseph Turia, Chander Vasudev, Heav
Kunda Dixit, Kevins Evans, Elizabeth Fong, Veasna, Juree Vichit Vadakarn, Cecilia
Ramesh Gampat, Sonia Gomez, Majid Valdivieso, Ugyen Wangdi, Nurina Widagdo,
Hamedani, Maumoon Hameed, Anthony Garry Wiseman, Akuila Yabaki, Nemo Yalo,
Harold, Cherie Hart, Manzoor Hasan, Om Yentieng, Mohamed Zahid and
Graham Hassal, Angie Heffernan, Naomi Zengke He.
Hossain, Henry Ivarature, Jak Jabes, Vaasili
Jackson, Mohammad Jasin, Anita Jowitt, SSSSStttttaaaaatttttiiiiissssstttttiiiiicccccaaaaalllll WWWWWooooorrrrrkkkkk
Sung-Goo Kang, Sapna Karim, Iori Kato,
McAnthony Keah, Patrick Keuleers, Isaako The Statistical Team comprised Ramesh
Kine, Kay Kirby Dorji, Marcia Kran, Walter Gampat, Niranjan Sarangi, Ruwanthi
Ladhuwahetty, Vincent Lazatin, Jing Li, Jonas Senarathne and Manoja Wickramarathne.
Lovkrona, Rigo Lua, Marito Magno, Matthias The team benefited from comments provided
Meier, Manju Menon, Joana Merlin-Scholtes, by Amitabh Kundu, Omar Noman, T.
Tanni Mukhopadhyay, Gerardo Munck, Palanivel, Hafiz Pasha and Anuradha
Tsend Munkhorgil, B. Murali, U. Myint, Rajivan.
Apenisa Naigulevu, Hannaline Nalau Ilo,
Jennifer Navarro, Sharad C. Neupane, Hoang RRRRReeeeevvvvviiiiieeeeewwwwweeeeerrrrrsssss
Ngoc Giao, Yoko Nishimoto, Omar Noman,
Beatrice Olsson, Tonet Ortega, T. Palanivel, The technical background papers as well as
Hafiz Pasha, Minh Pham, Oseah Philemon the draft Report were peer reviewed inter-
Obe, Thone Phonephachanh, Hla Phyu Chit, nally and externally at various stages by: Gry
Eugenia Piza-Lopez, Shoma Prasad, Jon S.T. Ballestad, Nina Berg, Elena Borsatti, Asit K.
Quah, Coco Quisumbing, Bishal Rai, Biswas, Edgardo Buscaglia, Jim Chalmers,
Anuradha Rajivan, Bharat Ramaswami, C.P. Chandrasekhar, Yvonne Chua, Pedro
Ramchandra Ramasamy, Piyasena Conceicao, Alison Drayton, Noha El-Mikawy,
Ranansinghe, Ashraf Rasheed, R. Bjoern Foerde, Ramesh Gampat, Aarti Gupta,
Rathakirushnam, Steven Ratuva, Nicholas Selim Jahan, Michael Johnston, Mustafq
Rosellini, Renata Rubian, Ahmad Salari, Khan, Nalin Kinshor, Amitabh Kundu, Chris-
Abdul Razique Samadi, Abdul Samat, tian Lemaire, Linda Lim, Sarah Lister, Yiyi
Alyeksandr Sarangerel, Niranjan Sarangi, Lu, Chune Loong Lum, Phil Matsheza, Toby
Sadhana Sen, Ruwanthi Senarathne, Nazhat Mendel, Gerardo Munck, Donald O’Leary,
Shameem, Deepali Sharma, Beda Prasad William Orme, T. Palanivel, R.K. Raghavan,
Shiwakoti, Shreekrishna Shrestha, Atapana Anuradha Rajivan, Renata Rubian, Niranjan
Siakimotu, Omar Siddique, Manish Sisodia, Sarangi, Elissar Sarrouh, Muttukrishna
Narin Sok, Nguonphna Sophea, Soukhampet, Sarvananthan, Ruwanthi Senarathne, Omar
Shennia Spillane, Peter Stalker, Paul Steele, Siddique, Thierry Soret, R. Sudarshan,
Surekha Subarwal, R. Sudarshan, Jae-Sik Pauline Tamesis, Gopakumar K. Thampi,
Suh, George Sulliman, John Taimalelagi, Chanuka Wattegama, Emma Webb,
Ronald Talasasa, Nils Taxell, Nandakumar Cheng Wenhao, Manoja Wickramarathne,
Thamotheran, Ted Thomas, Claire Thoms, Alessandra Wilde, Rui Yang and Jon-Sung
Kurbabeb T. Toily, Ngoc Anh Tran, Nualnoi You.
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