PACIFIC BASIN ECONOMIC COUNCIL
MAIN PAGE | EVENTS & PROGRAMS | 1999 | COMBATING CORRUPTION | AGENDA

Main Page Summary Overview Agenda Combating Corruption in Asian and Pacific Economies Sept. 29—Oct. 1, 1999 Manila, Philippines Asian Development Bank Organisation for Economic Co-Operation and Development In Association with Partner Organisations o v e r v i e w BACKGROUND Measures to curb bribery and corruption are now firmly on the international agenda. 34 signatory countries, including all the world's biggest economies, have signed the OECD Convention on Combating Bribery in International Transactions and are now implementing tough new legislation against transnational bribery1. The World Bank, IMF and Asian Development Bank are prepared to withhold financial backing from governments and companies accused of corruption. Other international organisations such as the Council of Europe, the European Commission, the United Nations Development Programme and the World Trade Organisation are undertaking major initiatives against international graft. Non Governmental Organisations (NGOs), such as the Konrad-Adenauer-Stiftung and Transparency International, private sector organisations, and bilateral aid agencies such as USAID, are also participating in the efforts of national governments and international organisations to combat and curb corruption. Convinced that bribery in international trade and investment is widespread, has many harmful repercussions and that an effective world-wide policy is best suited to fight corruption, the Organisation for Economic Co-operation and Development (OECD) has been a leader in the global fight against bribery and corruption in international business practices. Making use of OECD Secretariat-wide expertise and cultivating synergies with other international initiatives -both public and private, the OECD has provided a unified and comprehensive front against corruption. The OECD addresses corruption from the perspective of both the recipients of illicit payments, through work on public service ethics, and the providers of illicit payments, by taking actions against bribe givers. The Asian Development Bank (ADB) is convinced that the struggle against corruption is essential in ensuring sustainable and equitable development. Both recent experience in the Asian and Pacific region and a growing body of empirical evidence indicate that corruption has a strong negative impact upon economic and social growth. This recognition underpins the ADB anticorruption policy adopted in July 1998. As countries throughout this region find themselves increasingly integrated within the global economy; as they grapple with the task of improving the delivery of basic services such as health and education, particularly to the most vulnerable segments of society; and as they confront the need for transparent, accountable and independent regulatory institutions as an essential component of a sound financial system, they are increasingly drawn to the realisation that corruption at all levels must be strongly resisted. THEMATIC FOCUS OF THE WORKSHOP With this in mind, the ADB/OECD workshop will bring together leading actors involved in the fight against bribery and corruption to discuss ways to combat bribery in international business transactions, improve integrity and transparency in government, promote good governance, and mobilise civil society and the private sector to join in these efforts. The OECD Members have developed different instruments to fight bribery of foreign public officials in international business. The 1997 Convention on Combating Bribery of Foreign Public Officials in International Business Transactions --which entered into force on 15 February 1999, the 1997 Revised Recommendation on Combating Bribery in International Business Transactions, the 1996 Recommendation on Tax Deductibility of Bribes to Foreign Officials Recommendation, the Recommendation to Combat Corruption in Aid-Funded Procurement are part of a broad interdisciplinary approach associating provisions on: the criminalisation of bribery of foreign public officials, the denial of tax deductibility of such bribes, improved transparency through stronger bookkeeping and auditing standards, higher sanctions in the area of public procurement. The OECD instruments also include institutional provisions for implementation and possibly for broadening the programme. Moreover the OECD recognises the vital role of well-functioning government institutions in fighting corruption. The 1998 Recommendation on Improving Ethical Conduct in the Public Service provides an instrument -- a set of management principles -- for governments to check their national institutional circumstances. The Asian Development Bank's anticorruption policy is intended to reduce the burden that widespread, systemic corruption exacts upon the governments and economies of the region. The ADB seeks to combat graft and corruption as part of its broader work on issues of governance and capacity building. Specifically, the policy is centred upon three objectives: supporting competitive markets and efficient, effective, accountable and transparent public administration; supporting promising anticorruption efforts on a case-by-case basis and improving the quality of the Bank's dialogue with developing member countries on a range of governance issues, including corruption; and ensuring that the ADB's projects and staff adhere to the highest ethical standards. ISSUES FOR DISCUSSION The workshop will pose a series of issues for debate around the following topics: Corruption as a challenge to good governance and economic development Actions at national, regional and international levels to fight corruption Criminalisation of bribery and corruption in international business transactions, including money laundering Denying tax deductibility of bribes Improving disclosure and accountability in business operations Transparency in public procurement Mobilising civil society and the private sector to fight corruption The OECD instruments on bribery in international business transactions (Convention and Recommendations) and on public ethics, and the ADB Anticorruption Policy will be important points of reference during the workshop's discussion. OBJECTIVES By exploring these questions, the workshop hopes to achieve the following: Raise awareness among senior policy-makers, NGOs, the private sector and the public at large of the magnitude of the corruption problem, and its impact on economic development and governance; Inform about action taken at international level to fight corruption and organised crime; Discuss how international initiatives can be most effectively translated into national action plans; Develop practical measures to further improve actions to fight corruption, in particular specific actions Government and private sector can work on together, and exchange of experience among ADB and OECD members in anti-corruption efforts; Specific actions for implementing codes of conduct and ethics requirements; Foster national, regional and international collaboration, STRUCTURE The workshop will consist of both plenary and working group sessions. The two and a-half day program will take the form of presentations, case studies, workshops, focus groups and round-table discussions. To facilitate discussions, background documents that will discuss the different measures that may help prevent or detect corruption will be prepared by the ADB and OECD Secretariats and other leading experts. This work will include country case studies from Hong-Kong, Singapore, the Philippines, among others. Presentations by lead speakers and comments by discussants will be limited to 15 and 10 minutes, respectively, in order to leave time for discussion. Interventions from the floor should be brief. The working language will be English. PARTICIPANTS Workshop participants will include senior government officials and parliamentarians, representatives of anti-corruption agencies, civil society and business sector representatives from Asia and Pacific countries2 and OECD Member countries. Workshop participants will also include senior officials from the Council of Europe, the European Commission, the International Monetary Fund, the United Nations, the World Bank, the World Customs Organisation and the World Trade Organisation, as well as representatives of donor organisations such as USAID. Business, professional and financial communities such as the International Chamber of Commerce (ICC), the Pacific Basin Economic Council (PBEC), the Business and Industry Advisory Committee to the OECD (BIAC), the Trade Unions Advisory Committee (TUAC), the International Federation of Accountants (IFAC), the International Federation of Consulting Engineers (FIDIC) as well as representatives of the civil society representing non-government organisations such as Transparency International and the Asia Foundation will also actively participate in the meeting. POSSIBLE OUTCOMES OF THE WORKSHOP Support for actions at national, sub regional, regional and international levels, as relevant, to combat corruption and bribery; A report on the proceedings, together with selected papers; Assessments of country-specific actions to combat corruption; Other follow-up activities.