Your Federal Quarterly Tax Payments are due April 15th Get Help Now >>

MONGOLIA TRENDS IN CORRUPTION ATTITUDE by pjx18257

VIEWS: 5 PAGES: 11

									MONGOLIA: TRENDS IN CORRUPTION ATTITUDES

Background and Rationale

The Asia Foundation and Sant Maral/TI collected data for the second of six semi-annual
benchmarking surveys in September 2006. This survey was conducted in an effort to better
understand the scope and incidence of corruption at the household level in Mongolia. The first
survey was conducted in March and established the baseline against which this and future
surveys will evaluate the changes in public attitudes toward corruption, the incidence of
corruption at the household level, and government progress in implementing reforms that will
combat corruption in Mongolia.

The government ratified the United Nations Convention Against Corruption (UNCAC) in late
2005, and it adopted the Anti-corruption Law in July 2006, which came into force on November
1st. The Law contains elements that address the major provisions in the UNCAC, notably
investigation and intelligence gathering, public education and awareness, and asset and income
disclosure, and thus contributes to increased compliance with the Convention. Companion
legislation, such as the Criminal Code and the Criminal Procedures Code must now be amended
and strengthened in order to give the Anti-Corruption Law “teeth.” Other areas for drafting
include Conflict of Interest and Corporate Corruption legislation, both of which are absent from
the Anti-Corruption Law.

Despite these strides that have been taken in the legislative arena, perceptions and the incidence
of corruption are little changed from the earlier survey, which is generally discouraging. On
November 6th, Transparency International (TI) released its annual Corruption Perceptions Index
(CPI). Mongolia ranked 99th out of 163 countries, down 14 places from the prior year. In 2006
Mongolia received a total score of 2.8 out of 5, which compares with 3.0 in 2005. Another TI
index, the Bribe Payers Index (BPI), was released on October 4th. The BPI is a comprehensive
survey that examines the propensity of companies from 30 leading exporting countries to pay a
bribe. Though Mongolia was not rated, its two neighbors were. China and Russia were among
the top three bribe-paying countries, and this has rather dire implications for Mongolia because
of the increasing concentration of Russian and Chinese firms in a host of sectors, notably mining.


Survey Methodology

The study is a longitudinal survey designed to measure both changes in public attitudes and
country-specific indicators that are comparable across countries. The survey was modeled on the
Transparency International Global Corruption Barometer (GCB), and measures personal
experience with corruption, in addition to perceptions.

A multilevel randomization method was used. The survey comprised 601 respondents in
Ulaanbaatar and four provinces: Arkhangai, Selenge, Uvs and Khentii.
The first survey was larger; comprising 1030 randomly selected respondents from Ulaanbaatar,
Dornod, Umnugobi, Khovd and Khovsgul.


                                              "
Findings

Awareness and Understanding

The second survey results confirmed patterns of awareness and understanding that were
identified in the spring. 90% of the public reports that corruption is common, and that it can
differentiate easily between the various forms of corruption. Not surprisingly, the higher the
income and the better the education, the greater the awareness. And as unsurprisingly, the higher
the income the greater the reported inclination and incidence of bribe paying.

Attitudes towards corruption are slightly more moderate in the autumn sample, which could be
due to seasonal effects, which tend to show decreasing intensity of public activism over the
summer and into the fall.

Corruption remains the second most often-cited problem affecting Mongolia, after
unemployment, and ahead of poverty. This pattern is unchanged from the March Survey, and is
consistent across a growing list of surveys. Mongolians want the government to create jobs,
fight corruption, and take action to reduce the grinding poverty, which afflicts a significant
proportion of the population.


                                                                         CHART 1



                    10 Major problems of the country


                         50
                                   38.8
                         40     35.6
                                             28.8          28.5
                         30                         27.6
                                                              25.2

                         20
                                                                            9.8
                         10                                           6.7
                                                                                  4.2 5.3       3.6 4.9        4.4 4.7                 3.6 2.2
                                                                                                                           1.2 2.4                   1.9 1.8
                          0
                                                                                                                                                    lth
                                t


                                              n




                                                                                  n
                                                         rty




                                                                                                                                         y
                                                                                                                 n



                                                                                                                          e
                                                                                                  l
                                                                     m
                                en




                                                                                               ve
                                            io




                                                                               io




                                                                                                                                     lic
                                                                                                             tio


                                                                                                                         rim
                                                                   is




                                                                                                                                                 ea
                                                       ve




                                                                             at
                                          pt
                               m




                                                                                            le




                                                                                                                                  Po
                                                                                                         fla
                                                                 ol




                                                                                                                     C




                                                                                                                                             H
                                                                           uc
                                        ru


                                                     Po
                            oy




                                                                  h




                                                                                        fe


                                                                                                      In




                                                                                                                                   e
                                                               co
                                     or




                                                                         Ed



                                                                                      Li
                         pl




                                                                                                                                 at
                                     C




                                                             Al
                         m




                                                                                                                               St
                      ne
                     U




                                                                                  March               Sep




As in the prior study, a majority of citizens recognize the role of civil society and their individual
responsibility in combating corruption. Respondents were more inclined to believe that an
investigative unit endowed with special authorities would be necessary, and that stronger
punitive measures would be necessary.

Over the six-month period there was a modest, yet troubling, increase in the numbers of
individuals reporting that bribes are necessary to overcome unjust regulation and bureaucracy,
and that some level of corruption was acceptable. The percent of respondents reporting that
some degree of corruption is acceptable increased from 14.3% to 19.5%, which is a statistically
significant change for the worse. The majority of this increase, however, is associated with
upper-income brackets. As in March, the higher the income the greater the inclination to pay a
bribe to overcome regulation and bureaucracy, and to accept corruption. Older age cohorts
continue to be the least accepting of corruption.

                                                                                  #
                                                                                              CHART 2


                    No changes in how to stop
                    corruption
                                                                                                                                                                                                      76.7
                                      4.16 To have less corruption is a responsibility of citizen themselves
                                                                                                                                                                                                      76.4

                                                                                                                                                                                       63.2
                             4.22 The stronger punishment for corruption is – the better officials w ill w ork
                                                                                                                                                                                              67.9

                       4.24 The person w ho gives the bribe is the same w ay responsible as the one w ho                                                                          60.4
                                                           accept it                                                                                                                  61.3

                        4.18 Only investigation unit (granted w ith special pow er) could deal w ith the w ide                                                            51.5
                                                         spread corruption)                                                                                                      58

                         4.2 As an existing political system is not capable to stop corruption - it should be                                                              53.5
                                                               replaced                                                                                                      56

                                                                                                                                                                   46.8
                     4.4 Civil Movements and organizations are main players to fight corruption now adays
                                                                                                                                                                      50.2

                                                                                                                                                            42
                                      4.11 Sometimes giving a bribe helps to overcome unjust regulations
                                                                                                                                                                   46.8

                                                                                                                                                            41.9
                                 4.7 The only w ay to overcome w idespread bureaucracy is to pay bribes
                                                                                                                                                             43.6

                                                                                                                               14.3
                                                                 4.9 Some level of corruption is acceptable
                                                                                                                                      19.5

                                                                                                                 0        10     20          30        40          50            60          70        80    90
                                                                         Mar                  Sep




Corruption Perceptions: Past and Future

Perceptions of corruption over the prior three years and for the next three years were modestly
more temperate in September than in March. Larger numbers reported that corruption had
stayed the same or had increased a little, with a significantly lesser percent believing that it had
increased a lot over the prior three years. Looking forward, many more respondents were on a
fence (30.2%), and reported that they did not know how corruption would change over the next
three years. However fewer said that it would decrease or stay the same, and a greater number
said that it would increase, either a little or a lot.

                                                                                              CHART 3


                  The state of corruption:
                  What’s happened over the past 3 years?


                                                                         DK/NA                       8.1
                                                                                                       10.8

                                                        Decreased a lot 0.2
                                                                        0

                                                    Decreased a little                        3.1
                                                                                              3.8
                                                                Is the same                                    13.9
                                                                                                                   18.8

                                                      Increased a little                                             16.7
                                                                                                                        21.3

                                                         Increased a lot                                                                                                          58
                                                                                                                                                            45.3

                                                                                       0            10               20          30               40             50               60                 70

                                                                                                                 Sep           Mar




                                                                                                       $
                                                                  CHART 4


                    The expected level of corruption in the
                    next 3 years


                                                   DK/NA                                                            24.2
                                                                                                                                30.2

                                           Decrease a lot         1.5
                                                                   2.1

                                         Decrease a little                                          18.1
                                                                                            13.6

                                            Stay the same                                                                26.8
                                                                                                             20.7

                                          Increase a little                        9.8
                                                                                      11.6

                                            Increase a lot                                               19.7
                                                                                                             22.3

                                                              0          5        10        15          20          25      30         35
                                                                                 Sep       Mar




What do households do when confronted with corruption?

Consistent with the pattern of cynicism exhibited in Chart 2, a significantly larger percentage of
respondents said that they would pay a bribe if they had the money, and a lesser fraction said that
they would not pay. These two questions are among the most-changed from the earlier survey,
which is indicative of diminished resolve to combat corruption, despite the high levels of
individual responsibility that citizens continue to report.

                                                                  CHART 5


                    What do Mongolians do when faced
                    with corruption?

                                          I shall pay if I have money
                                                                                                                                  34.2
                                                                                                                                              41.8

                                                         I will not pay                                                                              46.5
                                                                                                                                        38.6
                   I should look for somebody who may help me to                                                                              41.9
                                     avoid payment                                                                                34.2
                      I shall report to the management/higher level                                 14.6
                                           officials                                                     17.8

                       I will do nothing just wait if situation change                                       19.7
                                                                                                          18.3

                                 I shall report it to law enforcement
                                                                                                   13.4
                                                                                                   13
                                                                                             9.9
                                         I shall report it to the press
                                                                                                 12.5

                                                                              1        6    11     16        21     26     31     36     41     46     51

                                                          Mar                Sep




Despite the relatively larger number of respondents who reported the inevitability, if not a
willingness to pay a bribe, the fraction of citizens who actually did so, was statistically
                                                                             %
unchanged from the prior period: Approximately one quarter of the respondents had paid a bribe
over the prior three months. The survey also polled over a longer recall period of one year based
upon questions and concerns raised following the first survey. The results from this longer recall
were not robust or internally consistent, and therefore they were discarded.

                                                          CHART 6

                Number of households that paid a
                bribe in any form in last three
                months
                                Mar 06                                            Sep 06

                                                   26%                                                   28%




                                                         Yes                                                    Yes
                                                         No                                                     No


                                                                      72%
                  74%




Interestingly, the frequency of bribe-paying was significantly diminished in the latter period,
with a solid majority reporting to have paid a bribe only once. The average bribe also fell
substantially from 181,000MNT in March to 136,000MNT in September. This generally
corresponds with the large proportion of households (58.3%) that said that corruption affects
them not at all, or to a small extent.

                                                          CHART 7


                    Frequency of paying a bribe: was it once,
                    two, three or more than 4 times?


                                   Sep 06                                          Mar 06

                    70                                               45
                                                                          40
                         60.7                                        40
                    60

                                                                     35
                    50                                                           29.6
                                                                     30

                    40                                               25


                    30                                               20
                                  23.8                                                      15.9
                                                                                                         14.4
                                                                     15
                    20
                                                                     10

                    10                      7.7           7.7
                                                                     5

                    0                                                0
                         Once    Twice   Three times Four and more        Once   Twice   Three times Four and more




                                                                &
Teachers, doctors and civil administrators remain the top three recipients of bribes as in the prior
study. However, the ranking is markedly changed. Similar fractions of respondents paid bribes
to doctors and civil administrators, but teachers moved from third to first place which is
undoubtedly due to the timing of the survey which was conducted just as students returned to
school. As before, bribes were paid to receive a service that citizens were entitled to.
Interestingly, more than 69% of the respondents recognize that paying gratuities to teachers and
doctors is a form of corruption. Yet, they continue to pay because they have no choice, and no
recourse.

                                                                             CHART 8



                  To whom and why did people pay
                  bribes?
                       Annual: to whom did people pay                                       Annual: why did people pay
                                                                                                    (multiple)
                                             0                   20            40
                                                                                                                      18.6
                                 Teacher                                       39.3


                                   Doctor                                      37.6

                            Clerk in state
                                                                             34.1
                            administration

                               Policeman                              22.7                                                    25.8
                                                                                         69.5
                           Custom officer                  9.6


                               Tax officer              8.3


                                   Judge               7


                          Advocate/Lawyer         3.1
                                                                                      A bribe was offered to receive a service entitled

                               Prosecutor        1.7                                  A bribe was offered to avoid a problem with the
                                                                                      authorities
                               The Press         0.9                                  A bribe was directly asked for




Solutions and Remedies

The top-10 list of corrupt institutions and sectors remained remarkably stable over the six-month
timeframe. There was no change in respondents’ views of the institutions most plagued by
corruption, with land, customs and mining topping the list, in that order. More than two thirds
(67%) of the respondents said that corruption affected political life to a moderate or large extent,
and this view was consistent across age cohorts.




                                                                                '
                                                                     CHART 9



                Top 10 most corrupt sectors and
                institutions
                                           March 06                                                                     Sep 06

                             -1               1            3                5                       -1                   1                   3                     5

                       Land utilization                                  4.37                 Land utilization                                              4.16


                              Customs                                    4.36                         Customs                                               4.1


                         Mining sector                             3.94                         Mining sector                                           3.79


                                Judges                             3.91                                Judges                                           3.78


                                 Police                            3.91                                 Police                                          3.74


                          Prosecutors                              3.85                          Prosecutors                                            3.69


                       Political parties                          3.78                        Political parties                                         3.66

                         Registry and                                                          Registry and
                                                                  3.75                                                                               3.58
                        permit service                                                        permit service
                          International
                                                                 3.71                              Advocates                                         3.51
                         projects impl.
                          Parliament /                                                            Parliament /
                                                                 3.65                                                                               3.46
                           legislature                                                             legislature




Mongolian cynicism regarding public and private institutions’ willingness to combat corruption
is discouragingly profound. An extraordinary majority, exceeding 80%, believes that
government, politicians, the courts, police and business have no interest or will to combat
corruption. These sentiments are consistent across age, education and income cohorts.

                                                                    CHART 10



              Elite and Large business will not
              help…
                  4.19 Elite people do not specially care about corruption on
                low level, as it does not affect them. Only ordinary people are                           65.3                                23.7          6.3 4.7
                        carrying the burden of day-to-day corruption.
                4.5 Politicians have no real will to fight corruption as many of
                                                                                                         62.6                                27.3              7.42.6
                                  them are benefiting from it

                 4.6 The Court System has a role to play, but it is too corrupt
                                                                                                             66                               25.8             4.83.4
                                to deal with corruption cases


                  4.21 Police are too corrupt to investigate corruption cases                             64.1                               25.4            6.7 3.7


                 4.10 Large business is interested in corrupt government as                             59.9                             26              5.6 8.5
                                    they benefit from it

                4.12 Business people are standing for Parliament Elections                            54.1                             32.2               7.3 6.5
                             to pursue their business interest

                       4.3 Civil society is too week to fight corruption, only                  42.3                           27.9              18.2          11.7
                     government institutions may help to deal with corruption

                                                                                    0   0.1     0.2      0.3      0.4    0.5     0.6   0.7       0.8      0.9         1
                                           Agree   Somehow agree        Somehow disagree          Disagree




Despite cynicism, citizens continue to recognize their individual responsibility in fighting
corruption, and they strongly endorse punitive actions to combat corruption.

                                                                                (
                                                                       CHART 11



                 Citizen themselves should be
                 responsible…
                     4.16 To have less corruption is a responsibility of citizen                                  73.2                                    16.8         4.5 4.2
                                                                                                                                                                         1.3
                                           themselves
                   4.22 The stronger punishment for corruption is – the better                             60.4                                   21            6 1.7 11
                                       officials will work
                        4.24 The person who gives the bribe is the same way
                                                                                                          54.7                         14.6         7.5    12.5        10.6
                                responsible as the one who accept it
                      4.18 Only investigation unit (granted with special power)                       49.4                            22.6             6.5 6.7     14.8
                            could deal with the wide spread corruption)
                     4.2 As an existing political system is not capable to stop                      48.8                            17.6         13.1     7.5          13
                                corruption - it should be replaced
                   4.4 Civil Movements and organizations are main players to                        42.3                         26.3               14.1         8.7     8.7
                                  fight corruption nowadays
                     4.11 Sometimes giving a bribe helps to overcome unjust                        39.4                         25.6           5.8 5.2           20.3
                                         regulations
                  4.7 The only way to overcome widespread bureaucracy is to                        39.3                    20.1              15.1         15.5           10
                                           pay bribes

                                   4.9 Some level of corruption is acceptable              17.8           18.6           16.6                     38.4                   8.5


                                                                                       0    0.1     0.2     0.3     0.4     0.5        0.6     0.7        0.8     0.9          1
                                    Agree    Somehow agree            Somehow disagree            Disagree        DK/NA




Yet, citizens continue to express powerlessness, and look principally to governmental
institutions to lead the fight against corruption.

                                                                       CHART 12


                   But the government should lead
                   the fight
                                 Government                                                                                                                     46.4

                             Special elite unit                                                                                                     42.4

                     Judiciary organizations                                                                               33.6

                                      Citizens                                                    22.9

                                        Police                              13.3

                                   Parliament                              11.8

                                         NGOs                   7.9

                                    President                   7.4

                                         Other        1.5

                                                  1         6         11          16       21        26           31            36           41           46            51




Public sentiment regarding the Enkhbold government’s ability to combat corruption is modestly
improved. The number reporting that the current government would do worse decreased from
41% to 31%, with fractionally more professing that it would do better. Nearly half of the
population, however, says that corruption will remain unchanged under the current government.




                                                                              )
                                                             CHART 13



                How will Enkhbold’s government perform: Many
                believe that corruption will remain unchanged.



                                                                  1.5
                                                                                            20.6
                                        31.1




                                                                                     46.8




                        Will do better with corruption                            Stay the same
                        Will do worse                                             DK/NA




Public sentiment regarding measures to combat corruption changed substantively over the six-
month period. With passage of the Anti-Corruption Law, the number arguing for legal remedies
dropped substantially from 39% to 28%, with the difference reflected largely in increasing calls
for stronger punitive action.

                                                             CHART 14


                    Half of the population demands
                    strong punitive measures!
                                            Strong punitive measures                                            50.1

                                 Increasing public employees’ salaries                              29.2

                                                 Perfecting legislation                             28.4

                      Transparency in administrative decision-making                             24.7

                               Strengthening state control over public
                                          administration
                                                                                             20.7

                     Strengthening civil (non-government) control over
                                  public administration
                                                                                             20.4

                                           Building public awareness                    16.5

                                                                 Other        1

                                                                          1        11       21      31     41   51     61




The relative decline in calls for legal remedies is reflected in high awareness of the legislative
reforms that were ratified over the summer. More than half of the population reported
knowledge that Anti-corruption legislation had been adopted by the government, which
corroborates assertions of generally high awareness of corruption-related issues.


                                                                   *
                                                  CHART 15



                !"#$%&'()*"$'+"$,$'+")-$)")-+"!.)(/
                0&''12)(&."3$,",$4"2$44+5


                                                         1


                       40.3




                                                                                 58.7




                                                  Yes    No   DK/NA




Though many are dubious that corruption will abate as a result of the Anti-Corruption Law, 35%
believe that the circumstance will improve. The law calls for creation of a special government
unit, the Anti-Corruption Agency, which many respondents said was one solution necessary to
combat corruption.

                                                  CHART 16



                Many think the Anti-Corruption Law
                will make a difference


                                           10.5
                              5.5
                                                                               35.4




                                    48.6



                                Better      Stay the same      Worse   DK/NA




                                                        "+
Conclusions

          ! Over a six-month period public attitude changed from environment- shaping
            expectations (perfecting legislation) to action expectation (strong punitive
            measures).
          ! The incidence of corruption at the household level was materially unchanged:
            25% of the population paid a bribe over the three-month recall period.
          ! When faced with corruption, discouragingly, the resolve to resist diminished and
            more people bowed, saying they would pay a bribe if they had the money.
          ! Elite and government are still perceived to lack the will and commitment to
            combat corruption

Recommendations

          !   Support action-oriented efforts to combat corruption,
          !   Introduce and enforce stronger punitive measures,
          !   Target the most corrupt institutions for investigation,
          !   Provide citizens access to report local-level corruption and introduce remedies
              that will reduce bribe-seeking that most affects households.




                                           ""

								
To top