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15 April 2009  

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Summit of the Americas: The anti-corruption path to prosperity

The Fifth Summit of the Americas held in Trinidad and Tobago mid-April will see 34 hemispheric leaders attempt to build on mandates set by past summits.

In tackling regional economic development issues and facing the current global economic crisis, leaders will be confronted by the need to address corruption as a fundamental stumbling block on the path to prosperity. Protecting recent economic advances and ensuring future regional growth to fulfil this summit’s goals of securing citizens’ future by “promoting prosperity, energy security and environmental sustainability”, will be difficult without transparency and accountability.

In times of crisis, making the most out of public resources and ensuring that social programmes are administered

 

with transparency and accountability are essential to regaining and maintaining public trust.
The past four Summits of the Americas have seen all states commit to reducing corruption throughout the region. Yet, 15 years on, recent research by Transparency International (TI) shows that most countries in the Americas are facing rampant corruption. Similarly, the 2007 Global Corruption Barometer and studies by TI chapters show that poor families tend to spend a significant amount on bribes, depleting scarce household resources. The effects of corruption on the most vulnerable areas of society can be devastating and consequently transparency, accountability and delivering on past commitments, must be placed at the forefront of the agenda at the Summit.


Ensuring prosperity, reducing inequality


       
 

 

Corruption is inextricably linked to persistent high levels of inequality across the region despite robust economic growth in the last few years. Today nearly 200 million people, a third of the population of the hemisphere, live in poverty with 13 per cent of them surviving amidst extreme poverty, according to the Inter-American Development Bank. Weak institutions, low levels of governance and the influence of personal gain undermine efforts to promote economic equality and sustainable development. These issues must be addressed and change must be implemented if countries in the region are to have a realistic chance of meeting the Millennium Development Goals and improving citizens’ quality of living.

Inequality fuels crime, instability and insecurity, which are acute problems affecting several countries in the region. These obstacles cannot be removed as long as a lack of accountability and corruption dominate.


Nearly all Organization of American States (OAS) member states have signed and ratified two key legal instruments that provide a foundation for preventing corruption: the Inter-American Convention against Corruption and the UN Convention against Corruption. Most signatory countries have joined the follow-up mechanism of the Inter-American Convention, a fundamental step for the treaty to become truly effective.

A faltering commitment: The Summit and anti-corruption


Since the first Summit of the Americas in 1994, heads of state have recognised corruption as a key challenge. This is reflected in the Declarations and Plans of Action for each summit from the first one in Miami to the last gathering in Mar del Plata (2005).

In the lead-up to the Port of Spain meeting, Transparency International (TI) conducted research to evaluate whether promises to fight corruption have been effectively translated into action. Nine countries were evaluated (Argentina, Bolivia, Canada, El Salvador, Mexico, Nicaragua, Paraguay, Peru and Trinidad and Tobago) on the extent of advances on actions and goals set out during the previous four summits of the Americas. The report looks at varying indicators; from the country’s status on ratifying anti-corruption conventions to the level of implementation of recommendations put forward by the committee of experts within the OAS responsible for reviewing implementation.

 

Download the Report

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Download the Report

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States that have signed on to the Inter-American Convention have an obligation to report their advances on anti-corruption. The TI report finds that there are serious gaps in the implementation of anti-corruption commitments, particularly as there is lack of coordination among regional and national authorities responsible for follow-up of Summit mandates and the implementation of the Inter-American Convention.

On the implementation of Inter-American Convention recommendations: the nine countries assessed received a total of 249 recommendations, from which only a little more than half (148) were acted upon, yet in only 20 per cent of these were sufficient measures taken.

Overall, anti-corruption may be formulated into law but never make it into actual policy, remaining a dead letter in some countries. Civil society participation is not integrated into implementation reviews and is even dependent on domestic legislation in some countries, which severely limits independent and critical monitoring.

Facing corruption, fixing the crisis


As a result of the current economic crisis, a slowdown in regional growth, a continued rise in unemployment and a decline in remittances –a top source of income for many Latin American countries- the poor will be left in dire need of safety nets.

States across the region will have to respond to the bleak economic outlook by ensuring that social programmes are handled with integrity, transparency and accountability so that they actually function and deliver the vital services, such as health and education, guaranteed to all citizens.

Similarly, for stimulus efforts to work, increases in funding through the International Monetary Fund and the World Bank must be accompanied by accountability mechanisms and fiscal transparency requirements in order to truly help those it is intended to serve. Increased money means increased accountability and opportunities for citizens to see that steps are being taken to help them in their daily struggle to cope with the global economic meltdown.

The Summit of the Americas must confront corruption. The implementation of summit commitments must be translated into action. Translating this hemispheric gathering into a motor for hemispheric change is essential for prosperity.

TI Press Release: Anti-corruption is vital for prosperity in the Americas

As the world faces a prolonged economic crisis the 34 heads of state meeting this week at the Summit of the Americas must ensure that transparency and accountability are an integral part of future actions to ensure prosperity in the hemisphere, according to Transparency International (TI). ..read more..

From the blog Space for Transparency

Share with us your views: Summit of the Americas: A chance for dialogue?

Related links News / Reports


TI Contact(s):

Gypsy Guillén Kaiser
Senior Press Officer
Fon: +49 30 343820 662
ggkaiser@transparency.org


9 DECEMBER
INTERNATIONAL ANTI-CORRUPTION DAY

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