Two years into the COVID-19 global pandemic, this year’s Corruption Perception Index (CPI) shows that despite commitments on paper, worldwide public sector corruption levels have stagnated, with 131 of the 180 countries and territories surveyed making no significant progress against corruption over the last decade. And while 25 countries have made much-welcomed improvements, alarmingly, this year also shows 27 countries have hit historic lows in their CPI score, with Australia listed among these countries.

In the first of this two-part series, we briefly discuss the CPI, and then offer an overview of the 2021 CPI findings and recommendations. In part two, we will focus on Australia and the Asia-Pacific region, particularly in terms of CPI rankings, and findings.

Corruption Perception Index (CPI)

In 1993, Transparency International (TI) was formed in Berlin, Germany. Charged with taking action to combat global corruption, the NGO presents a yearly corruption perception index as a way to document and monitor global corruption trends. An important aspect of the NGO’s commitment to exposing systems and networks that enable corruption, the CPI uses a scale of 0 to 100 – where 0 is highly corrupt and 100 is very clean – to rank 180 countries and territories by their perceived levels of public sector corruption.

“Corruption enables human rights abuses, setting off a vicious and escalating spiral. As rights and freedoms are eroded, democracy declines and authoritarianism takes is place, which in turn enables higher levels of corruption” – CPI 2021 report (p.4)

FINDINGS

Key points in the 2021 CPI:

1. Most countries have made little progress in addressing corruption in a decade. With two-thirds of the 180 countries and territories included in the report scoring below 50, the average global score remains static at 43.
2. Countries with well-protected civil and political liberties generally control corruption better.
3. Many high-scoring countries remain safe-havens for corrupt individuals from abroad, and like previous CPI reports, CPI 2021 highlights that there is trouble at the top, and acknowledges that as a measure of public sector corruption, the CPI does not capture “issues related to financial secrecy and money laundering, or the role of the private sector in allowing the corrupt to safely hide and enjoy the proceeds of their crimes.”

Results by region

Americas (43 – average score)

– Top: Canada (74/100); Bottom: Venezuela (14/100)

Asia Pacific (45)

– Top: NZ (88/100); Bottom: North Korea, Afghanistan (16/100)

Eastern Europe & Central Asia (36)

– Top: Georgia (55/100); Bottom: Turkmenistan (19/100)

Middle East & North Africa (39)

– Top: United Arab Emirates (69/100); Bottom: Syria (13/100)

Sub-Saharan Africa (33)

– Top: Seychelles (70/100); Bottom: South Sudan (11/100)

Western Europe & EU (66)

– Top: Denmark, Finland (88/100); Bottom: Bulgaria (42/100)

Country rankings overview

Top 2021 CPI ranking countries are Denmark, Finland and New Zealand (each scoring 88), with Norway (85), Singapore (85), Sweden (85), Switzerland (84), the Netherlands (82), Luxembourg (81) and Germany (80) completing the top 10.

Australia, with a score of 73/100 (rank 18/180), is one of the world’s most significant decliners, slipping 12 places since 2012. According to TI, Australia’s “deteriorating score indicates systemic failings in tackling public sector corruption.” TI also cited the failure to establish a national anti-corruption agency as a “missed landmark opportunity”(see part two of this blog series for a more in-depth analysis of Australia’s 2021 CPI results).

The lowest 2021 CPI ranking countries are South Sudan (11), Syria (13), Somalia (13), Venezuela (14), Yemen (16), North Korea (16), Afghanistan (16), Libya (17), Equatorial Guinea (17), with Turkmenistan, Democratic Republic of the Congo, and Burundi each scoring 19 points. (Visit Transparency International to explore the Corruption Perceptions Index, 1995-2021.)

Since 2012, 25 countries have significantly improved their scores, but 23 countries have had significant declines over the same period. It should be noted that several democracies that used to top the Index and champion anti-corruption initiatives globally are now deteriorating. According to the authors of the 2021 CPI report, “Many of these countries remain safe havens for corrupt individuals from abroad.”

The most significant five-year movers include the following countries:

Armenia (49; +14 points), Angola (29; +10 points), South Korea (62; +8 points), Uzbekistan (28; +6 points), Moldova (36; +5 points), Ethiopia (39; +4 points)

Canada (74; -8 points), Honduras (23; -6 points), Nicaragua (20; -6 points), Australia (73; -4 points), Venezuela (14; -4 points).

2021 CPI REPORT RECOMMENDATIONS

Corruption is recognised as a multifaceted problem, but as the authors of the report state, it is one we know how to solve: To end the vicious cycle of corruption, human rights violations and democratic decline, people should demand that their governments:

1. Uphold the rights needed to hold power to account
2. Restore and strengthen institutional checks on power
3. Combat transnational corruption
4. Uphold the right to information in government spending.

“As part of their COVID-19 recovery efforts, governments must make good on their pledge contained in the June 2021 UNGASS political declaration to include anti-corruption safeguards in public procurement. Maximum transparency in public spending protects lives and livelihoods.” – CPI 2021 report (p.5)

Next time: Australia and the Asia-Pacific – Corruption Perceptions Index 2021, part two

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Further reading: a selection of our blogs

Your role in preventing corruption

Managing bribery risks

Can anyone self-assess conflict of interest?

Comfortable disclosing conflicts of interest?

2021 Dialogue: implementing a holistic approach to risk, part one

2021 Dialogue: implementing a holistic approach to risk, part two

Preventing corruption in public administration

No country is immune to corruption, part one

No country is immune to corruption, part two

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Image: Heat map showing the perceived levels of public sector corruption in 180 countries/territories around the world (© Transparency International)

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A participant in the UN Global Compact, CourtHeath seeks to raise awareness about the Sustainable Development Goals and the principles of the Global Compact with business and government organisations in Victoria.

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