The Culture of Corruption and the Corruption of Culture in Indonesia

With over 300 ethnic groups scattered across more than 17,000 of its islands, Indonesia is justly proud of its extremely diverse cultural heritage. But Indonesia is certainly not proud of a different aspect of its culture: a ”culture of corruption” so pervasive that it is not merely associated with grand corruption in the central government, but also infects the daily lives of the citizens through petty corruption, as well as daily harassment by local officials and governmental departments.

When trying to diagnose the root cause of such pervasive corruption, a common knee-jerk response is to focus on the legal system and law enforcement institutions. Yet Indonesia seems to do fairly well on these dimensions: A well-regarded independent anticorruption agency, the KPK, in cooperation with the police and prosecution spearheads enforcement of a comprehensive Anticorruption Law that both considers domestic needs and incorporates principles enshrined in international materials such as the United Nations Convention Against Corruption. Still, corruption persists. Why?

To answer this question, one must look at not only the legal system, but also the society—the people whose conduct the laws are supposed to regulate. Such observation reveals that the “culture of corruption”— society’s permissive, tolerant, and even accepting attitude toward corruption – is perhaps the main culprit responsible for Indonesia’s incurable corruption.

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Conflicting Philippine Identities and the Fight Against Corruption

In his book, From Third to First World, Lee Kuan Yew remarked that the Philippines has two societies, and that the “elite mestizos had the same detached attitude to the native peasants as the mestizos in their haciendas in Latin America had toward their peons.” While this analogy may be extreme, there’s hardly any denying that reforms and economic progress have done little to alleviate the socio-economic disparities entrenched in Philippine society. Even today, Philippine identity looks vastly different for the rich than it does for the poor—in terms of heritage, cultural attitudes, daily experiences, and values. In short, the class divisions that Singapore’s great leader alluded to still exist today, and contribute to a sense of alienation among the two so-called “societies” within Philippine culture.

How does this division play out when it comes to governance, and, for our purposes, anticorruption efforts? Alienation on both sides of the economic divide, and the inability of Filipinos of different classes to relate to one another, have had deleterious effects on progress in this field, and it is important that Philippine policymakers take into account the limits imposed by socioeconomic disparities when considering possible strategies to tackle corruption.

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Does Singapore Deserve Its Squeaky-Clean Reputation?

With the passing of Singapore’s former Prime Minister and elder statesman Lee Kwan Yew last March, there has been a lot of discussion and reflection on his legacy. One aspect of that legacy that has been much celebrated, even among his detractors, has been Singapore’s success in reducing corruption. Indeed, in virtually every international survey or ranking of countries’ corruption levels, Singapore comes out very well. In Transparency International’s 2014 Corruption Perceptions Index (CPI) rankings, for example, Singapore scores 84 out of 100, perceived as the 7th-least corrupt country in the world, and the least corrupt in the Asia. In TI’s most recent Bribe Payers Index (BPI), from 2011, which ranks exporting countries according to their firms’ perceived propensity to pay bribes abroad, Singapore scores 8.3/10, ranked 8th out of 28 countries (in a tie with the United Kingdom). And the Financial Action Task Force (FATF) 2012 evaluation of Singapore’s anti-money laundering system gave the country generally high marks (though with some areas of concern). Singapore is widely touted as a major anticorruption success story (see, for instance, the laudatory introduction to this New Yorker piece) and a model for other countries to follow.

But is this squeaky-clean reputation fully justified? It seems true enough that, from the perspective of the average citizen or firm (whether domestic or foreign), bribery and other forms of petty corruption are relatively uncommon (though not unheard of) in Singapore. And although there have been a number of embarrassing corruption scandals in Singapore in recent years — including the former head of Singapore’s Corrupt Practices Investigations Bureau (the CPIB) embezzling funds from the agency and a former senior police official dismissed for receiving sexual favors in return for influencing government procurement decisions — all countries have incidents of this sort, and in Singapore they seem rather less frequent and less egregious than most other countries, particularly in Asia. Yet I’ve heard many experts on corruption in the Asia-Pacific region grumble–usually off the record–that Singapore is not nearly as “clean” as its reputation suggests.

There are two major complaints about serious corruption in Singapore: Continue reading