Crisis-hit Euro Countries the Most Corrupt in the Union: study
Crisis-hit EU nations are considered among the most corrupt in the European Union, according to the 2012 Corruption Perceptions Index by Transparency International, a global anti-corruption watchdog.
In its annual report released on Wednesday, Transparency International ranked Greece 94th out of 176 countries in the 2012 Corruption Perception Index, putting it roughly on par with countries such as Colombia and India, a reflection of the country's widespread economic turmoil and rampant tax evasion.
Collectively, the so-called PIIGS, Portugal, Ireland, Italy, Greece and Spain, ranked lowest among European nations, a finding that underlines the perception that economic stability and good governance are interlinked.
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Edda Muller, head of Transparency International Germany, told the New York Times:
"We believe that corruption in the public sector frequently goes hand-in-hand with a failure of institutions. At the same time, we see, not only in Europe, a high amount of corruption that points to a lack of ethics on the part of politicians.
Earlier this week, Greek media reported that Margaret Papandreou, mother of former Prime Minister George Papandreou, was on the so-called "Lagarde List" of tax evaders and had stockpiled mutual funds of worth nearly $550 million in a Swiss bank account - an allegation that provoked a violent public uproar.
In February, Transparency International published a special "crisis on values" report on Greece, warning that "efforts to reform and rebuild Greece's economy in the future will be undermined because the country's government, businesses and civil servants not only fail to stop corruption but actively participated in it."
Citing an EU corruption survey, the report added that a staggering 98 percent of Greeks thought corruption was a major problem in the country, with 88 percent saying that corruption is part of the Greek business culture.
Urging European regulators and other governments to step up efforts to eradicate corruption, Transparency International analyst Jana Mittermaier said weak or inefficient judicial systems, poor public audit services and cozy ties between government and businesses often contribute to perceptions of corruption in some European countries.
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On a positive note, the study found that there was a stronger public recognition worldwide, including in big emerging BRIC economies, of the costs of corruption and a growing refusal to accept it as an inevitable fact of life.
Transparency International Managing Director, Cobus de Swardt, told Reuters:
Today corruption is the world's most talked about social problem. It is very positive that people around the world are demanding more accountability ... This could be a big game changer.
Where does your country rank in the 2012 Corruption Perceptions Index? Check it out here.
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