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Freeman Cebu Business

Can we fight corruption challenges around us?

INTEGRITY BEAT - Henry Schumacher - The Freeman

Speaking to corruption fighters and experts in the field, there are many reasons for concern when it comes to the developments that will shape corruption in the future. From the rise of populism to the disruptive force of technology, one thing seems clear: the world of (anti-) corruption will get messier. A small change in one area can trigger far-reaching change in other areas shaping corruption, and thus affect the fight against it.

Four key challenges are identified that will shape the world of (anti-) corruption in the future:

* Growing pressure on freedom and democracy

* Rising inequality and populism

* Concentration of global power (Trump took over days ago);

* Biden, in his farewell address, warned of the ‘oligarchy) of the ultrarich.

* In other countries, we need ‘anti-dynasty’ provisions.

* Growing challenges of technology.

Growing pressure on freedom and democracy

More countries have experienced a decline in freedom than  experienced an improvement. Rule of law, freedom of expression and democratic electoral processes have been significantly challenged.

The rich are getting richer. What about the rest?

The world is facing exceptional levels of inequality. The richest 1% of the world owns about 50% of global wealth. By 2030, this share of global wealth could grow to 64%, according to research by the UK House of Commons Library.

Many experts and practitioners suggest that this rising inequality will lead to growing corruption risks, as they see it as contributing to unequal access to power and influence for private gain. Rising wealth inequality is also seen by many experts as a root cause for low levels of trust in governments.

Diffuse power, contested power

About 2 billion people across the world currently live in fragile contexts facing conflict and violence, and the OECD expects this number to rise to 2.3 billion by 2030. Fragile states lack effective checks and balances and can be prone to corruption by those in power. Ushering integrity in those contexts will be very challenging since strong and stable institutions are lacking.

Tech — a wild card, not a silver bullet

Technology will continue to transform the world we live in — including corruption and its many forms. As mentioned earlier, 7 of the 10 largest companies in the world are technology firms.

Can we rise to the challenges?

Looking at the state of the world and the trends that will drive corruption in the future, it is easy to get discouraged. These big trends suggest that the fight for integrity and accountability is going to be harder and more complex, and that it will require new approaches and new actors.

But there are also causes for optimism that the battle for a world free of corruption can be won.

There are four main reasons to be optimistic about the long-term future of the fight against corruption:

1) Corruption is now on the agenda - Today, people across the world are much more aware of corruption and its destructive impact. Asking experts how the fight against it has changed over the last decades, the conversation quickly turns to how much the narrative has shifted.

This is reflected in the political debate. Nearly every country in the world is now part of the UN Convention Against Corruption (UNCAC). Worldwide, politicians are campaigning — and winning — elections based on the promise to curb corruption. Whether these politicians tackle corruption once elected is another story!!

2) Young people across the globe are demanding change - Young people across the world have been at the center of mass movements demanding social change. From the climate activists of ‘Fridays for Future’ to the ‘March for Our Lives’, youth are not accepting the status quo.

Half of young people across the world see corruption and lack of government accountability as the most serious issue affecting their country, according to a survey by the World Economic Forum. Thought leaders echo this positive development. When asking them about opportunities to accelerate change, one thing becomes obvious: “today’s vibrant youth” is a key reason to be hopeful about the future fight against corruption.

3) Tech offers new tools to fight corruption - Digital technology will be key in the future fight against corruption. But still, corrupt actors will make themselves at home in new digital spaces, by using cryptocurrencies to launder money, by manipulating and stealing data and by leveraging AI and machine learning.

But it’s not necessarily all bad news. If corruption fighters succeed in using technology more effectively than those exploiting it for corrupt purposes, it may be one of the biggest opportunities to foster positive change.

4) More allies are joining the fight - Driven by growing pressure from customers, companies are   waking up to the importance of good governance and ethical behavior. There is an ever-growing range of benchmarking tools, integrity frameworks and networks that are often just waiting to be properly implemented.

Can we rise to tomorrow’s corruption challenges?

Yes, if everybody understands that Integrity starts with I – you, your involvement, and your understanding that if you are not part of the solution, you are part of the problem. (Please take note that I have been deeply involved in creating the Integrity Initiative).

Feedback is hoped for; contact me at [email protected]

CORRUPTION

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