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Corruption Perception Index (CPI) 2023

Introduction

The Corruption Perception Index (CPI) is a globally recognized measure of public sector corruption across nations. Published annually by Transparency International, the CPI serves as a barometer for the perceived levels of corruption, offering valuable insights into governance, accountability, and ethical practices worldwide.

For UPSC aspirants, understanding the nuances of the CPI, its methodology, trends, and implications is crucial for addressing topics related to ethics, governance, and international relations in examinations.

What is the Corruption Perception Index (CPI)?

  1. Definition

    • The CPI ranks countries based on perceived levels of public sector corruption, as determined by expert assessments and surveys of businesspeople.

  2. Scale

    • Scores range from 0 (highly corrupt) to 100 (very clean).
    • A higher score indicates a cleaner governance system with lower perceived corruption.

  3. Publisher

    • Transparency International, a global non-governmental organization committed to combating corruption and promoting transparency.

CPI 2023: Key Highlights

  1. Global Trends

    • Persistent stagnation in global efforts to curb corruption.
    • Widening gap between high-performing and low-performing nations.
    • Challenges posed by conflicts, weak institutions, and opaque governance.

  2. Top Performers

    • Denmark: Retained its position as the least corrupt country with a score of 90.
    • Finland and New Zealand: Follow closely, demonstrating robust institutions and governance.

  3. Lowest Performers

    • Somalia: Continues to rank lowest, with a score of 12, reflecting severe governance challenges.
    • South Sudan and Syria: Also at the bottom, highlighting the intersection of corruption and conflict.

  4. India’s Performance

    • India’s Score: 40 (out of 100), indicating moderate corruption levels.
    • Ranking: Positioned in the middle tier, reflecting ongoing governance and transparency challenges.

Methodology of the CPI

  1. Sources

    • The CPI aggregates data from 13 external sources, including assessments by the World Bank, World Economic Forum, and Economist Intelligence Unit.

  2. Expert Surveys

    • Surveys focus on perceptions of public sector corruption, including bribery, misuse of public funds, and lack of accountability.

  3. Weighting and Scoring

    • Each country’s score is a composite of multiple sources, weighted appropriately to ensure reliability.

  4. Limitations

    • Perception-based: Measures how corruption is perceived, not necessarily actual corruption.
    • Excludes private sector corruption and informal practices.

Factors Influencing CPI Scores

  • Governance Quality

    • Strong institutions and rule of law contribute to higher scores.
    • Weak enforcement of anti-corruption laws leads to lower rankings.

  • Transparency

    • Public access to government information correlates with lower corruption.
    • Secrecy and opaque decision-making foster corruption.

  • Conflict and Instability

    • Nations affected by prolonged conflict and instability often rank poorly.

  • Economic Development

    • High-income countries generally perform better due to better resources for accountability mechanisms.

Implications of CPI Rankings

  1. Governance and Accountability

    • Low scores reflect poor governance, lack of accountability, and weak institutional frameworks.

  2. Foreign Investment

    • Perception of corruption affects investor confidence, influencing foreign direct investment (FDI) inflows.

  3. Social Development

    • Corruption exacerbates inequality and undermines public services like health and education.

  4. Global Reputation

    • CPI rankings influence a country’s international standing and relations.

India and the CPI

  1. India’s Position in 2023

    • Moderate improvement in score but challenges remain in governance, bureaucratic transparency, and public sector accountability.

  2. Key Concerns

    • Issues like crony capitalism, lobbying, and inefficiencies in public service delivery.
    • Rising instances of financial fraud and lack of strict enforcement mechanisms.

  3. Government Initiatives to Combat Corruption

    • Digital India Campaign: Reduces human interface, minimizing opportunities for bribery.
    • Direct Benefit Transfer (DBT): Ensures subsidies reach beneficiaries without middlemen.
    • Lokpal and Lokayuktas Act, 2013: Strengthens the anti-corruption institutional framework.
    • Prevention of Corruption Act, 1988 (Amendments): Increases penalties for corruption offenses.
    • Transparency Measures: Initiatives like the RTI Act promote transparency in governance.

Global Lessons from CPI Top Performers

  1. Strong Institutions

    • Countries like Denmark emphasize the independence of anti-corruption agencies and judiciary.

  2. Citizen Engagement

    • Public awareness campaigns and active civil society participation ensure accountability.

  3. Technology Adoption

    • Use of digital platforms for governance reduces corruption opportunities.

  4. Policy Stability

    • Transparent policies and consistent enforcement deter corrupt practices.

Conclusion

The Corruption Perception Index (CPI) 2023 serves as a crucial tool for assessing governance and public sector integrity worldwide. For India, while improvements in transparency and digitization are noteworthy, persistent challenges demand sustained efforts in institutional strengthening and public awareness.

For UPSC aspirants, the CPI is more than a statistic—it encapsulates the essence of ethical governance, socio-economic equity, and global cooperation. By studying the CPI and its implications, aspirants can develop nuanced perspectives on corruption and governance, essential for excelling in examinations and future policymaking roles.

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