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By Shashi P.B.B. Malla

Our political parties and their dons do not believe it, but there is indeed a close relationship between economic development, political stability and endemic corruption – not only in Nepal, but all developing countries.

The Corruption Perceptions Index (CPI) of Transparency International is a widely used global ranking that assesses perceived levels of public sector corruption in 180 countries and territories.

It considers factors such as bribery, diversion of public funds, prosecution of corrupt officials, and the use of public office for private gain.

The global average CPI remains unchanged at 43 for the twelfth year in a row, with more than two-thirds of countries scoring below 50!

It is astounding that in South Asia, with the exception of Bhutan, all the other members of the South Asian Association for Regional Cooperation (SAARC) score below 50!

According to the CPI, the highest ranking, i.e. least corrupt countries are Denmark, New Zealand, Finland, Singapore and Sweden.

The lowest ranking, i.e. the most corrupt countries are: Venezuela, Yemen, Syria, Somalia, and South Sudan.

In South Asia, the CPI scores and rankings are:

 The pathetic state of Bangladesh should have been an eye-opener for observers and pundits.

The Nepalese dons think that they have everything under control. Their sense of entitlement knows no bounds.

  1. Corruption & Economic Growth

In Nepal, corruption reduces economic performance due to rent-seeking behavior, increased transition costs, uncertainty, inefficient investments, and misallocation of resources.

  1. Political Stability & Corruption

Corruption acts as “sands in the wheels,” hindering growth.

This has an impact on economic equality and social mobility – thus impacting long-term stability.

  1. Sustainable Development & Corruption

While corruption may not significantly affect the average GDP growth rate, it is definitely associated with unsustainable development [as was the case in Bangladesh].

There exists a strong negative correlation between genuine wealth per capita (a measure of sustainable development) and corruption.

  1. Peace & Economic Growth

Peaceful conditions stimulate economic growth, while corruption negatively impact per capita economic growth.

The Political Upheaval in Bangladesh & Nepal

The situation in Nepal cannot be compared to that of Sri Lanka or Bangladesh.

  • There is not yet brutal repression of dissidents in general, and the people in particular.

The sly and insidious dons have mastered the art of manipulating people and institutions, and fooling most of the people, most of the time.

  • The discontentment has not yet reached a critical mass.

The situation, however, is fluid.

The dons cannot take things for granted.

  • No viable or charismatic leader of a possible mass movement (preferably peaceful) has yet emerged.

Thus, there are various variables in the current political equation. A sudden change in one or more of the crucial variables could indeed transform the equation, i.e. a revolutionary situation could very well arise.

The writer can be reached at: shashipbmalla@hotmail.com