Last week, anti-corruption organization Transparency International released its annual progress report on country compliance with the OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions (OECD Anti-Bribery Convention). This latest report shows that increased enforcement seems to be a growing trend and one that shows no signs of abating. It is not just a U.S. Issue anymore — enforcement has now gone global.
The OECD Anti-Bribery Convention requires signatories to legally combat bribery within their countries. According to Transparency International, the 39 signatory countries of the convention represent approximately 67% of exports and 75% of foreign investment globally.
The report states that 53% of the world’s exports come from countries with moderate to active enforcement of the OECD Convention. The United States, the United Kingdom, Denmark, Germany, Italy, Norway and Switzerland are among the countries that most actively pursue prosecution against bribery and corruption. Australia, Austria and Canada have increased their enforcement since 2011, and in February of this year, Russia signed on to the convention as well.
The number of anti-corruption cases has increased in multiple countries in 2012, including:
• 275 cases in the United States
• 176 cases in Germany
• 52 cases in Switzerland
• 32 cases in Italy
The progress report also encourages further enforcement of country-specific anti-corruption legislation. Eighteen countries were benchmarked at having little to no enforcement and many exporting countries are not signatories to the convention; including China, Singapore, Taiwan, Indonesia and others. Transparency International recommends the following to increase enforcement:
• Strengthen government support
• Active intervention of the OECD Secretary General and Executive Council
• Increase adherence to the convention from China, India, Indonesia and Saudi Arabia
At CREATe, we realize that all companies — where ever they are headquartered and where ever they do business — must be able to demonstrate that their compliance programs are effective. While companies may not be able to impact enforcement strategies, they can share leading practices to raise the bar on compliance globally.
Explore CREATe.org to find out how to effectively combat corruption and encourage responsible business practices.
Download the Full Report here: Transparency International