PPT Presentation: Corruption Perceptions Index 2012 Webinar

CORRUPTION PERCEPTIONS INDEX 2012

Published 5th December 2012 Scores and ranks 176 countries and territories from around the world on the perceived level of corruption in the public sector.

THE CORRUPTION PERCEPTIONS INDEX IS:

A global (176 countries/territories) aggregate Index (13 different data sources) capturing perceptions (experts/business people) of corruption (abuse of power for private gain) in the public sector (public officials and institutions)

THE CORRUPTION PERCEPTIONS INDEX DOES:

• • • •

Raise awareness at the global level Incentive for governments to improve Data contribution to analysis and research Cross country comparison of corruption risks in the public sector

An entry point: Provides a broad national context from which to develop other research and studies to explore corruption issues in more detail, by region, sector, actor, channel etc

THE CORRUPTION PERCEPTIONS INDEX 2012 – HOW IT’S MADE Transparency International has updated the methodology for the Corruption Perceptions Index, allowing for year-over-year comparisons for all editions published from 2012 onward.

From now on the Corruption Perceptions Index is presented on a scale from 0 (highly corrupt) to 100 (very clean).

THE CORRUPTION PERCEPTIONS INDEX 2012 – HOW IT’S MADE STEP 1 – Select data sources STEP 2 – Rescale data sources STEP 3 – Calculate the average STEP 4 – Report uncertainty

STEP 1 – SELECT DATA SOURCES What makes a valid data source: A) Measures perceptions of corruption in the public sector B) Reliable data from a credible institution C) Cross-country comparability D) Quantitative granularity E) Comparison over time

STEP 1 – SELECT DATA SOURCES 2012 DATA SOURCES: Organisation

Data set

Country coverage

1. African Development Bank

Governance Ratings 2011

53 African countries

2. Bertelsmann Foundation

Sustainable Governance Indicators 2011

31 OECD countries

3. Bertelsmann Foundation

Bertelsmann Transformation Index

128 countries/territories

4. Economist Intelligence Unit

Country Risk Ratings

144 countries/territories

5. Freedom House

Nations In Transit 2012

29 countries/territories

6. Global Insight

Country Risk Ratings

203 countries/territories

7. IMD

World Competitiveness Yearbook 2012

59 countries/territories

8. Political and Economic Risk Consultancy

Asian Intelligence 2012

15 Asian countries/territories + US

9. Political Risk Services

International Country Risk Guide

140 countries/territories

10. Transparency International

Bribe Payers Survey 2011

30 countries/territories

11. World Bank

Country Policy and Institutional Assessment 2011

78 countries/territories

12. World Economic Forum

Executive Opinion Survey 2012

140 countries/territories

13. World Justice Project

Rule of Law Index 2012

97 countries/territories

STEP 2 – RESCALE DATA SOURCES A) Reverse your data (if necessary) - Low number = Highly corrupt - High number = Very clean

A) Standardise data to CPI scale (0-100) - Set average equal to 45 - Fix the spread of data to have a max 100, min 0 (standard deviation 20)

EIU - rescaled data

STEP 2 – RESCALE DATA SOURCES 100 90 80 70 60 50 40 30 20 10 0

0

1

2 EIU - raw data

3

4

STEP 3 – CALCULATE THE AVERAGE At least three scores for each country Simple average of scores Each source counts equally (no weighting)

STEP 3 – CALCULATE THE AVERAGE

43

43

43

DATA SOURCES AFDB

BF (BTI)

IMD

ICRG

WEF

WJP

EIU

GI

TI

BRAZIL

58

31

50

35

45

38

52

37

FYR MACEDONIA

49

50

48

21

42

43

43

54

42

SOUTH AFRICA

55

45

32

41

FH

43 50

36

CPI SCORE

43 43

STEP 4 – REPORT UNCERTAINTY To capture the uncertainty in the score • Calculate a measure for the spread of the source data • Using the rescaled scores from each data source for each country/territory • Report the standard error • Calculate a 90% confidence interval

STEP 4 – REPORT UNCERTAINTY

SCORE

RANK

# SURVEYS

MIN

MAX

SE

90% CI (LOWER)

90% CI (UPPER)

BRAZIL

43

69

8

31

58

3.3

38

49

FYR MACEDONIA

43

69

6

21

50

4.7

35

51

SOUTH AFRICA

43

69

9

32

55

2.5

39

48

CPI 2012: INSIDE THE SCORE SCORE

RANK

# SURVEYS

MIN

MAX

SE

90% CI (LOWER)

90% CI (UPPER)

BRAZIL

43

69

8

31

58

3.3

38

49

FYR MACEDONIA

43

69

6

21

50

4.7

35

51

SOUTH AFRICA

43

69

9

32

55

2.5

39

48

DATA SOURCES AFDB

BF (BTI)

IMD

ICRG

WEF

WJP

EIU

GI

TI

BRAZIL

58

31

50

35

45

38

52

37

FYR MACEDONIA

49

50

48

21

42

43

43

54

42

SOUTH AFRICA

55

45

32

41

FH

50 36

CORRUPTION PERCEPTIONS INDEX 2012

CORRUPTION PERCEPTIONS INDEX 2012

CORRUPTION PERCEPTIONS INDEX 2012

CORRUPTION PERCEPTIONS INDEX 2012

CPI 2012: THE TOP Denmark, Finland and New Zealand tie for first place with scores of 90, helped by strong access to information systems and rules governing the behaviour of those in public positions.

RANK

COUNTRY/TERRITORY

SCORE

1

DENMARK

90

1

FINLAND

90

1

NEW ZEALAND

90

4

SWEDEN

88

5

SINGAPORE

87

CPI 2012: THE BOTTOM Afghanistan, North Korea and Somalia once again cling to the bottom rung of the index. In these countries the lack of leaders who are accountable and effective public institutions underscore the need to take a much stronger stance against corruption.

RANK

COUNTRY/TERRITORY

SCORE

172

MYANMAR

15

173

SUDAN

13

174

AFGHANISTAN

8

174

KOREA (NORTH)

8

174

SOMALIA

8

CPI 2012: THE BRICS The major emerging markets all fall below the midpoint on the index, indicating the need to be vigilant of the corruption risks in these environments RANK

COUNTRY/TERRITORY

SCORE

69

BRAZIL

43

69

SOUTH AFRICA

43

80

CHINA

39

94

INDIA

36

133

RUSSIA

28

COMPLEMENTING THE CPI

% OF PEOPLE THAT HAVE PAID A BRIBE TO A PUBLIC SERVICE IN THE PAST 12 MONTHS

4%

21%

56%

34%

-

34%

(GLOBAL CORRUPTION BAROMETER, 2010)

% OF BUSINESS PEOPLE THAT THINK THAT THEY HAVE LOST BUSINESS BECAUSE A COMPETITOR PAID A BRIBE IN THE LAST 12 MONTHS (PUTTING CORRUPTION OUT OF BUSINESS, 2011)

COMPLEMENTING THE CPI