Corruption 'impoverishes and kills millions'
An estimated $1 trillion (£600 billion) a year is being taken out of
poor countries and millions of lives are lost because of corruption,
according to campaigners.
A report by the US-based anti-poverty organisation, One, said much of
the progress made over the past two decades in tackling extreme poverty
has been put at risk by corruption and crime. Corrupt activities include
the use of phantom firms and money laundering.
The report blames corruption for 3.6 million deaths every year. If
action were taken to end secrecy that allows corruption to thrive - and
if the recovered revenues were invested in health - the group calculates
that many deaths could be prevented in low-income countries.
Corruption is overshadowing natural disasters and disease as the
scourge of poor countries, the report said. One describes its findings
as a "trillion dollar scandal".
"Corruption inhibits private investment, reduces economic growth,
increases the cost of doing business and can lead to political
instability," the report said.
"But in developing countries, corruption is a killer. When
governments are deprived of their own resources to invest in health
care, food security or essential infrastructure, it costs lives and the
biggest toll is on children."
One is calling upon G-20 leaders meeting in Australia in November to
take various measures to tackle the problem including making information
public about who owns companies and trusts to prevent them being used to
launder money and conceal the identity of criminals.
It is advocating the introduction of mandatory reporting laws for the
oil, gas and mining sectors so that countries' natural resources "are
not effectively stolen from the people living above them".
It recommends action against tax evaders "so that developing
countries have the information they need to collect the taxes they are
due" and more open government so that people can hold authorities
accountable for the delivery of essential services.
- BBC |
