Growing menace of graft threatens development

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The level of corruption in Zimbabwe has reached alarming levels to the extent that corruption can now be said to be one of the major threats to socio-economic transformation and sustainable development and unless this vice is checked this could risk derailing attainment of Vision 2030.

The President, His Excellency ED Mnagangwa, has acknowledged the deep rootedness of the cancer of corruption in Zimbabwe in various public forums and has unequivocally set the right tone from the top on the need to fight corruption without fear or favour.

While Zimbabweans from all walks of life are eagerly anticipating more action than words from government in fighting corruption, everyone should be reminded that there is need for concerted effort from all citizens — political and civic leadership, churches and other religious organisations, schools and colleges, community and at family and individual level to fight the scourge of corruption.

The fight against corruption should start with all of us as it is becoming “common and normal” for ordinary Zimbabweans to pay bribes even for services that their taxes entitle them to receive for free.

This is not good for the development of the country and is the reason why we should fight corruption now and not tomorrow.

Corruption is commonly defined as — the misuse or abuse of public office for private gain (World Bank, 1997, UNDP, 1999). This has been viewed as a narrow definition, as corruption extends beyond public office (where the greatest incidences are) and is found in both the public and private sectors and all levels of society.

Effects of corruption

Good governance and corruption reside at opposite poles. Good governance’s end goal is to create transparency and accountability which serves the interests of the people in broad day light, while corruption’s end goal is looting and self aggrandisement which serves to hurt and impoverish the people under cover of darkness. Good governance is therefore an antithesis of corruption.

The late former UN Secretary General, Kofi Annan, aptly summarised the effects of corruption as follows: “Corruption is an insidious plague that has a wide range of corrosive effects in societies. It undermines democracy and the rule of law, leads to violations of human rights, distorts markets, erodes the quality of life, allows organised crime, terrorism and other threats to human security to flourish . . . Corruption hurts the poor disproportionately by diverting funds intended for development undermining a government’s ability to provide basic services, feeding inequality and injustice, and discouraging foreign investment and aid.” (Kofi Annan statement: UN Convention against Corruption, New York, October 31, 2003).

Investors

Empirical evidence shows that corruption increases the premium of doing business by about 10 percent to 15 percent.

Corruption drives away Foreign Direct Investment (FDI) as investors focus on investing in other regions perceived as having lower incidences of corruption and where they feel their capital is secure.

Corruption has therefore partly contributed to the country’s low rankings in the “ease of doing business.” The 2018 World Bank Doing Business Report shows that Zimbabwe is at the tail end of “ease of doing business” rankings.

Zimbabwe ranks 159/190 countries and the top ten African countries in terms of “ease of doing business” are: Mauritius, Rwanda, Morocco, Kenya, Tunisia, South Africa, Botswana, Zambia, Djibouti and Lesotho.

It is only through concerted national efforts in fighting corruption that the country will improve “ease of doing business” necessary to stimulate both domestic and foreign investment.

Corruption Indicators

There are a number corruption indicators used globally such as the Transparency International Corruption Perception Index (TI-CPI), World Governance Indicators, Ibrahim Index of African Governance, Afrobarometer, to mention a few.

One of the most widely used corruption indicators is the TI-CPI which is a “perception based” corruption indicator. The TI-CPI is based on expert opinion and measures the level of public sector corruption on a scale of 0 (highly corrupt) to 100 (very clean). Zimbabwe in 2018 scored 26/100 and ranked 160/183 countries surveyed.

Smuggling of minerals

Our mineral resources are valuable and high on demand globally, but because of corruption in the past through illicit sale and smuggling of precious mineral resources such as diamonds and gold, the paradox is these resources have not turned Zimbabwe around and improved the livelihood of its ordinary folks leading to coining of the “resource curse” narrative. Corruption has significantly contributed to this paradox.

Illicit trade in precious minerals over the last decade for example, has revealed the ugly head of corruption and its detrimental effects to development in Zimbabwe.

Zimbabwe is also home to large deposits of semi-precious minerals (often called gemstones) such as emeralds, agate, chrysoberyl, goshenite, alexandrite, amethyst, aquamarine and others, with an estimated value of US $20 billion. These are high on demand on the global markets for making of jewellery such as bracelets, bangles, pendants and charms etc.

The Minerals Marketing Corporation (MMCZ) was recently quoted in the media stating that semi-precious minerals are largely unexplored and remain a target of smuggling as their trade is illicitly outside the formal sector resulting in unaccounted revenue and loss of value through under-pricing.

The illegal sale and trade in precious and semi-precious minerals has resulted in revenue leakages which have deprived the government of critical revenue sources needed to finance the budget. The losses in revenue through leakages have affected the government’s capacity to finance development projects and social programs (health, education, social security) that benefit the less privileged and vulnerable members of our society (unemployed, poor, women and children).

Drivers of corruption

The major drivers of corruption in Zimbabwe have been poor governance (resulting in lack of transparency and accountability), weak institutional framework (blurriness in separation of powers: executive, judiciary and legislature) of and abuse of political power for personal gain.

Other drivers of corruption have been a sluggish and non performing economy resulting in increasing levels of unemployment, poverty and inequality.

Other factors such as and failing moral fabrics, have all combined, driven corruption to alarming levels in the country.

ZACC

Zimbabwe on paper has a robust legal and institutional framework designed to effectively fight corruption. The Zimbabwe Anti-Corruption Commission (ZACC) is explicitly provided for under section 254 of the Zimbabwean Constitution. Additionally, the Zimbabwe Anti-Corruption Act (Chapter: 9:16) clearly articulates the role and functions of ZACC.

ZACC has been ineffective in fighting corruption and has been described as a “toothless bulldog” as no high profile corruption case has been successfully prosecuted under it.

Despite having ZACC and the legal instruments to fight corruption the results on the ground have been disappointing. Our fault in not winning the war on corruption is therefore not rooted in us not having the appropriate legal and institutional framework.

The inaction of ZACC has forced His Excellency, the President, to make timely and necessary interventions that have resulted in the current governance changes currently taking place at ZACC.

The governance changes currently taking place at ZACC are a sign of government’s commitment to fight corruption. It is hoped that the ZACC will be reconstituted urgently and new office bearers appointed in a transparent manner and allowed to conduct their work with minimal political interference.

Laws

Perhaps there is more that is needed to be done to effectively fight corruption in Zimbabwe other than laws and institutions.

Corruption has become so entrenched in Zimbabwe in the national governance systems, in public and private sectors and in our communities, that it can’t be fought with laws alone.

Apart from improving the national governance system to ensure transparency and accountability and upholding the rule of law, there is need to grow the economy to narrow the gap in inequality, poverty and unemployment.

A concoction of other measures is also needed to fight corruption and this includes broader multi-stakeholder approach that focuses on ethics and restoration of societal moral fabrics through education and awareness will have to be applied to fight corruption across the social stratus from the individual, family and community and up to national level.

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