The U.S. State Department’s New International Anticorruption Champions Awards Are a Winning Strategy in the Fight Against Corruption

This past February, U.S. Secretary of State Anthony Blinken launched one of the first foreign policy initiatives of the new Biden administration: the inaugural International Anticorruption Champions Awards. After receiving nominations from U.S. embassies around the world, the State Department honored a dozen individuals who made significant contributions to combatting corruption in their home countries. The recipients of the International Anticorruption Champions Awards were diverse in every sense of the word. They spanned six continents, represented national and local governments, state-owned companies, and non-governmental organizations. The awardees came from countries big and small, were young and old, and a third were women.

These awards added to a growing movement to provide formal international recognition to those who are leading the fight against corruption in their home countries. Transparency International has recognized such individuals and organizations through their Anti-Corruption Awards semi-annually since 2013, and the United Nations’ Rule of Law and Anti-Corruption Center established the annual International Anti-Corruption Excellence Award in 2016. But, importantly, the International Anticorruption Champions Awards mark the first time that one sovereign country—and a major global power at that—officially recognized and honored anticorruption advocacy in other countries.

While it might be tempting to dismiss these awards as empty symbolism (or worse), this would be a mistake. That the U.S. government has created these awards, and apparently intends to continue to issue them annually, is a significant positive contribution to the global fight against corruption, for several reasons.

continue reading

It’s in China’s Interest to Fight Corruption on the Belt and Road

The Belt and Road Initiative (BRI), first proposed by Chinese President Xi Jinping in 2013, is a program through which China will spearhead the funding and construction of new infrastructure and trade networks across Eurasia and Africa. The centerpiece of the BRI is hard infrastructure: roads, railroads, ports, pipelines, and power plants. The scale of the proposed investment is immense: $1 trillion for projects spanning 75 countries.

The risk of corruption in such large-scale infrastructure is also immense, but at least initially, the BRI ignored corruption. When China’s National Development and Reform Commission (NDRC), the powerful government organ in charge of economic planning, issued the first comprehensive statement of the principles and framework undergirding the BRI back in March 2015, anticorruption principles were nowhere mentioned, nor did the published framework include any anticorruption measures. A later, more detailed policy document, published in 2017, also failed to include any mention of anticorruption. This posture is generally consistent with China’s traditional “non-interference” foreign policy, which makes Chinese authorities reluctant to go after overseas corruption.

More recently, though, Beijing has begun to respond to the BRI’s corruption risks. President Xi himself urged greater international cooperation on anticorruption at the June 2017 Belt and Road Forum. In September 2017, China’s Central Commission for Discipline Inspection helped organize a symposium called “Strengthening International Cooperation for a Clean Belt and Road.” And last December, the NDRC and other regulatory bodies issued new rules governing overseas investment by private Chinese companies, including a prohibition on “brib[ing] local public officials, or personnel from international organizations or related enterprises.” That same month, China’s State-Owned Assets Supervision and Administration Commission issued new guidance that requires state-owned enterprises to strengthen their anticorruption compliance procedures.

These are steps in the right direction. The question is whether the government’s newfound focus on corruption in the BRI is serious. Skeptics point out that Chinese authorities have never prosecuted a Chinese company or official for foreign bribery. Others suggest that the new regulations are more about controlling Chinese outbound investment than combating overseas corruption. I’m somewhat more optimistic, though, that Chinese authorities are serious about tackling corruption in the BRI. In my view, taking BRI corruption seriously is in the Chinese government’s interest for four reasons:

Continue reading