[nasional_list] [ppiindia] Has the corruption battle gone too far?
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- Date: Tue, 11 Jul 2006 01:04:44 +0200
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Has the corruption battle gone too far?
Leonard Ginocchi, Washington D.C.
There appears to be a growing debate concerning Indonesia's robust
anti-corruption campaign. Views are beginning to emerge that the
anti-corruption campaign may have gone too far and could be adversely affecting
the country's economy and national development.
Senior government officials and legislators have speculated that economic
growth is being hindered by delays in initiating government development
projects. These delays are attributed to a concern, apparently held by many
government managers, that their decisions in instituting government policy
might be subsequently questioned or investigated, possibly resulting in
prosecution in the country's current anti-corruption climate.
Businesspeople seeking government contracts are indicating that government
officials are becoming increasingly cautious in making decisions, as well as
being extremely careful in ensuring complete compliance with the many
complicated and onerous government procurement regulations.
Some have speculated that the inability of the government to initiate spending
for various projects based on the reluctance to act, or perhaps even fear on
the part of government officials may have diminished overall economic growth
and the national development that is vital to the government's efforts to
address many of the country problems such as unemployment, poor infrastructure,
inadequate healthcare and natural disaster recovery.
In assessing the current situation in Indonesia it might be beneficial to
examine both the negative and positive aspects of corruption. Few would argue
that corruption, in its many forms and manifestations, has an economic impact.
Most perceive that economic effects of corruption are inherently negative,
routinely citing the inefficiency or "high cost" economy existing in countries
such as Indonesia where corruption is generally perceived to be pervasive.
Corrupt activities also decrease government revenue that could be effectively
utilized for a variety of much needed national development and social welfare
projects. There is also ample evidence that corruption discourages investment
by creating an uncertain business environment that hinders private sector job
creation.
From a social perspective, most would agree that poorer segments of society
suffer the most from corruption since they incur much more of the cost, while
realizing few of the benefits associated with corrupt activities.
The increased levels of corruption experienced during a democratic transitional
process might result in the uninformed associating the greater degree of
corruption with democracy. Those promoting a more radical political agenda
could easily exploit this misperception that might be held by many citizens in
transitioning societies.
Corrupt activities might lubricate an otherwise malfunctioning economy and even
stimulate economic growth by cutting through the red tape prevalent in
excessively bureaucratic environments. Although lowering government revenues,
smuggling facilitated by corrupt customs activities might increase
international trade and introduce some needed competition into an otherwise
highly protected environment where inefficient domestic industries have little
incentive to improve quality and reduce the price of goods they sell to captive
domestic consumers.
A few political and social scientists have argued that in developing countries
corruption can assist in binding a society together by providing immediate and
specific relief to groups that might otherwise be alienated from society as a
result of government actions and policy.
Based on the necessary interaction between parties involved, corruption can
also facilitate political stability and contribute to national development by
easing the transition from traditional to a modern way of life. Corruption can
also assist in the political development process by providing a source of
funding for opposition political parties and can be especially beneficial in
politically repressive environments by allowing for some degree of political
access and freedom.
Rather than debating if the fight against corruption has gone too far, or
focusing on the possible positive and negative aspects of corruption in a
developing society, it might be wise to view Indonesia's current campaign
against corruption in the context of an overall national development process.
It can reasonably be assumed that like illness and natural disasters,
corruption in some form will likely exist forever, even in the most advanced
societies. The corporate scandals and political bribery recently occurring in
the United States provide testimony to this assessment. The ability of society
to effectively recognize and address the highly adaptive nature of corruption
has been the critical factor that results in a society progressing on the
continuum of national development.
Based on the nature of the current debate on the value of its anti-corruption
campaign, Indonesia appears to be at a critical juncture in its national
development process. The Indonesian public is becoming increasingly aware of
the evils associated with corruption and consequently less tolerant of corrupt
practices.
Government officials are also beginning to realize that they will be held
accountable for their actions. By any objective assessment these realities
should be considered as achievements, not only in the war against corruption,
but also as progress in Indonesia's overall national development. The battle
against corruption should be viewed as an ongoing process that requires not
only sustained efforts, but also periodic strategy modifications to effectively
address the highly adaptive nature of the phenomenon.
Will Indonesia advance on the continuum of national development by recognizing
and effectively responding to this reality, or regress based on a perception
due to some short-term negative effects that the battle against corruption may
have gone too far?
Future generations of Indonesians will either realize the benefits or suffer
the consequences of the actions taken today as part of Indonesia's drive to
address the economic and social ills caused by corruption as the country
proceeds or regresses on the continuum of national development.
The writer holds a Doctor of Management degree from the University of Maryland
and has a long-standing interest in the subject of corruption in Indonesia. He
can be reached at gm5127@xxxxxxxxxxx
.
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