Consequences of Corruption

Without doubt corruption has a negative impact on Socio-economic,

political and institutional domains of the body politic of African states. Its
impact is not only limited to the size of the payments involved, but the
very process of extorting and giving bribes has distortion effects that are
socio-economic and political, even in terms of economic growth.
Corruption does not alleviate the effect of existing administrative
distortions as some have suggested. For example, bureaucratic delays are
neither mitigated nor circumvented by the effects of corruption. In fact
corruption reinforces bureaucratic delays and thus is not a cure. Its impact
on the economy cannot therefore be over emphasized. Corruption has a
more distortionary impact on the economy than taxation, because of the
need to keep corruption secret. Efforts to avoid detection and punishment
cause corruption to be more distortion than taxation. Corruption slows
down investment and economic growth, the fact that bribery contracts are
unlike regular contracts that are enforceable. Corruption raises the cost of
doing business. Officials may introduce certain conditions to ensure that
they get bribes, through delays and unnecessary requirements. Corruption
discourages new ideas and innovations. Corruption leads to the decline in
real per capita incomes, inflation, a widening budget and balance of
payment deficits, and declining official production and exports:
 Corruption promotes inequality among firms
 Corruption leads to a reduction in the quality of products.
 Corruption diverts funds from investment and other production
activities.
 Politically, corruption leads to a loss of faith on the part of the people
and thus its legitimacy and power. Political equality and democratic
values are undermined.
 Corruption strengthens bad governance, through the absence of the
rule of Law, respect for human rights, no accountability, and
transparency.

 Corruption has also led to massive neglect of the social sector, which
has substantially decreased the quality of human resources in African
states over the years. The provision of educational and health
opportunities have been limited, this impacting negatively on the
quality of life, labor, productivity, incomes, innovativeness,
competitiveness, and poverty reduction in Africa States
 Corruption has also led to the weakness of structure and institutions
crucial for better governance.

Generally speaking, corruption is a species of governance failure and can

only be mitigated when Bangladesh is committed to ensure Good
Governance. Existing structures and institutions such as Anti-Corruption
Commission (ACC) and other Bureaus should be strengthened and the
national Campaigns against corruption intensified in Bangladesh. Unless
and until Bangladesh is committed, corruption is the cancer that will eat up
all the socio-economic and political achievements of this beautiful country
might not see the light of day.

Provat Nazmi
LL.B (Hons)
provat.nazmi@msn.com