Anti-Corruption Programs

The Center for International Private Enterprise (CIPE) recognizes that political and economic reforms must be pursued simultaneously if the political, economic, and social dimensions of corruption are to be addressed.

• In many countries, anti-corruption efforts remain uncoordinated and isolated. CIPE works to encourage dialogue between government, the private sector, and civil society to create lasting solutions.
• CIPE works to address corruption problems from both the demand and the supply side – those who demand bribes in exchange for services and those who supply bribes for preferential treatment.
• Implementation gaps, the differences between laws as written and actual implementation, are a key target for CIPE partner programs when addressing corruption.
• Large informal economies emerge when conflicting laws and regulations make compliance impossible, particularly for small firms. Informal firms can be brought into the mainstream by lowering the barriers to starting and operating a formal business, thus decreasing opportunities for corruption.

Cross-Sector Approach

CIPE and its partners understand that the solutions to corruption must be drawn from many sectors. Government, civil society, and the private sector must work together to establish transparency and accountability.

CIPE programs combat corruption in its many forms, including bribery, kickbacks, nepotism, and extortion. Extortion disproportionately affects small business and individual entrepreneurs and underscores a very important point - that the private sector can also be a victim of corruption.

Mobilizing the Private Sector

CIPE invests much of its efforts in mobilizing the private sector as a leading force in reducing bribery, addressing extortion, and eliminating other forms of corruption.

CIPE looks beyond individual illicit transactions by seeking the root sources of corruption. These often include complex and contradictory laws and regulations, discretionary power of public officials, lack of transparency in public procurement, low public sector wages, weak enforcement of laws and regulations, lack of access to information, and an insufficiently free and independent media.

Institutions are Key

Corruption must be treated as the product of institutional failures, not simply individual moral failings. The best solution for reducing corruption is building a system of strong, balanced institutions, creating a set of reliable incentive structures that reward honesty and transparency and punish bribery and abuse of public office.

CIPE Partner Successes in Anti-Corruption

• The Thai Institute of Directors developed a "business ethics declaration" that has been signed by more than 40 businesses and praised by the Prime Minister of Thailand.
• The Saratov Chamber of Commerce and Industry developed an innovative anti-corruption approach that gives Russian business associations a new tool to fight corruption at the regional level, providing a clear advocacy roadmap to close gaps and eliminate contradictions in how laws are applied. CIPE is now supporting chambers in 7 other Russian regions to implement this tool.
• Drawing on CIPE's success in Russia, the Lebanese Transparency Association (LTA) created a guidebook to help businesses avoid corruption while navigating Lebanon's laws and regulations.
• The LTA also established, with CIPE's help, the Lebanese Anti-Bribery Network, which is now one of the largest networks in Lebanon, consisting of 4 chambers of commerce and 14 business associations with a total of more than 10,000 members.