Corruption in Victoria, Research Project on Perceptions and Practices

All countries experience corruption, and its effects are profound. The World Economic Forum has estimated that the cost of corruption equals more than 5 per cent of global GDP (about US$2.6 trillion). Corruption adds up to about 10 per cent of the total cost of doing business globally. The World Bank has estimated that about $1 trillion per year is paid in bribes, while about $40 billion per year is looted by corrupt political leaders. The impacts of corruption severely and disproportionally affect the poorest and most vulnerable in any society, and when it is widespread, corruption deters investment, weakens economic growth and undermines the basis for law and order. In rich countries corruption pushes taxes to higher levels than they need be, and reduces services to lesser quality than they might be.