Only 43% of Countries Disclose Public Officials Financial
Assets, Says World Bank Financial disclosure is a powerful
anti-corruption tool
Financial disclosure laws requiring public
officials to file a statement of their assets, liabilities and interests
can make corruption easier to detect. However, a new World Bank database
finds that although 78 percent of countries covered by the database have
financial disclosure systems, only 36 percent systematically check
public servants disclosures for irregularities and inconsistencies. To
support countries in their fight against corruption, the World Bank is
launching the Financial Disclosure Law Library to help policymakers and
practitioners establish strong financial disclosure systems. The Library
compiles over 1,000 laws and regulations on financial disclosure and
restrictions on public officials activities from 176 countries.
Financial disclosure by public officials provides law enforcement with
information and evidence for the prevention, investigation and
prosecution of corruption, illicit enrichment and tax crimes. It also
gives citizens the information they need to hold public officials
accountable for their actions. The Library shows that not all public
officials are obligated to declare their assets and interests.
High-level officials are generally included; 93 percent of covered
countries require disclosure for cabinet members, 91 percent for Members
of Parliament and 62 percent for high-ranking prosecutors. However, only
43 percent of countries provide the public with open access to public
officials financial disclosures. Financial disclosure systems make it
harder for corrupt officials to hide their criminal activities or
ill-gotten wealth, said Jean Pesme, Manager of Financial Market
Integrity at the World Bank. Civil society and corruption fighters
should back the G20s call for asset disclosure systems, because they
can be an effective tool for bringing thieving public servants to
justice. A World Bank analysis published earlier this year, Using Asset
Disclosure for Identifying Politically Exposed Persons, noted that as
much as 93 percent of countries in Latin America and the Caribbean have
disclosure systems, while the percentage drops to 53 percent in Middle
East and Northern African countries. While significant variations in
implementation and access exist across the worlds financial disclosure
systems, stakeholders agree that such systems are essential. Financial
Disclosure is key in the fight against corruption, says Navil Campos
Paniagua, Manager, Complaints and Investigations Area, General
Comptroller of the Republic of Costa Rica. Until now, countries have
been unaware of each others efforts when it comes to asset disclosure
laws. The World Bank law library will certainly help practitioners and
policymakers from different countries learn from one another and boost
financial disclosure in their own countries. The World Banks work in
Financial Market Integrity supports transparent and inclusive financial
systems, and the fight against illicit financial flows. The library can
be accessed at www.worldbank.org/amlcft