Remarks by Angel Gurría, OECD Secretary-Basic, delivered on the dinner of the B20 Activity Drive on Enhancing Transparency and Anti-Corruption
Moscow, Russia, 17 January 2013
Good night, girls and gents.
I wish to thank our host, Mr. Andrei Bougrov, for bringing us all collectively to dine, and to work on one of many work strands of the G20 that has been the best and profitable. Being one of many first actions within the New Yr, and within the context of the Russian Presidency, this augurs nicely for the Anticorruption agenda.
That is an important a part of the G20 work. Now that the Russian Presidency has put the emphasis on progress, combating corruption can yield good outcomes on this entrance. Among the finest methods to make sure sustainable restoration from the worst financial disaster because the Nice Melancholy is to make sure that there’s a degree enjoying area for enterprise.
Globally, corruption provides as much as 10% of the full value of doing enterprise. That doesn’t seize the hidden prices of enterprise uncertainty that comes from negotiating corrupt contracts and coping with corrupt authorities officers.
So, to advertise extra dynamic economies, we merely can’t afford to not fight corruption.
The truth is, we’re working with the Russian Presidency on quantifying the influence of efficient anti-corruption insurance policies on progress. That is new and progressive work which is more likely to deliver an much more compelling case for the event of sturdy anti-corruption frameworks and their efficient implementation.
On this battle, engagement from the B20, and private-public partnerships towards corruption are key to make significant progress. This has been half, and can proceed to be, of the totally different Anti-corruption G20 plans, the primary one adopted in Seoul, and renewed in Mexico for 2 extra years.
Beneath the management of Mr. Bougrov and the opposite co-chairs, we stay up for carrying ahead the proposals and suggestions set forth by the G20 and B20 final yr, from company compliance to collective motion. We’ve a great foundation, as this B20 Activity Drive has confirmed to be some of the efficient within the B20 context.
Particular points needs to be deal with, similar to:
Selling anti-corruption compliance measures, to stop corrupt acts earlier than they happen and to correctly deal with them once they do, and inspiring collective motion and sectoral initiatives to share finest practices and experience.
Anti-corruption compliance is not only a query of checking containers and it shouldn’t occur solely when issues go incorrect.
Taking a proactive strategy to compliance by putting in sturdy controls and making anti-corruption compliance a part of one’s company tradition is one of the best ways to stop corrupt acts earlier than they occur.
Many firms are already doing this by going past what their nationwide anti-corruption laws requires of them to attenuate their publicity to the dangers of corruption.
Enhancing Collective Motion. Whereas this idea remains to be a brand new one, we will draw essential classes from sectoral initiatives like EITI and CoST, which have introduced collectively like-minded firms and their counterparts in authorities to deal with particular points. They’ve dedicated themselves to clear codes of ethics, which have acquired help from the very best ranges.
Our work on collective motion we’re finishing up with the Basel Institute of Governance will likely be useful as we’re prepared to maneuver this agenda ahead. The B20 really useful the creation of a Collective Motion Hub to doc, measure and share current Collective Motion and Sectoral initiatives throughout trade sectors and international locations. We’re able to work with Siemens, GE and Fluor, to make it occur and assist arrange and promote this Hub.
However we’re additionally able to proceed supporting the opposite components of the B20 Anticorruption efforts and proceed to encourage a constructive dialogue between governments and enterprise.
Really, now we have been main the dialogue and efforts to arrange and promote a Excessive-level Reporting Mechanism which might represent an essential software for firms to depend on when confronted with bribes solicitation.
This new initiative takes benefit of the expertise now we have gained working with the non-public sector within the combat towards international bribery. Certainly, firms play an essential position within the implementation of the OECD Anti-Bribery Conference they usually usually take part within the on web site go to carried out within the framework of the Working Group on Bribery’s 5tpeer critiques. Good firms are literally these which are harmed probably the most when public contracts are assigned by causes aside from benefit.
Forty international locations—together with Russia simply final yr—have joined the Conference, which requires its events to criminalize the bribery of public officers in cross-border enterprise offers.
Having already gone by the primary part of analysis (the report like all of the OECD reviews is obtainable on the OECD web site), Russia’s second analysis beneath the Conference is presently underway. It’ll have a look at how Russia has responded or intends to answer the part 1 suggestions and the way it can improve its anti-bribery framework, for instance by strengthening provisions on the legal responsibility of authorized individuals, confiscation, and the non-tax deductibility of bribes.
For the opposite Events, our third spherical of evaluations beneath the Conference, presently ongoing, has paid explicit consideration to the challenges firms face with anti-bribery compliance. To call an important:
- The legality of facilitation funds;
- Low consciousness of anti-bribery legal guidelines, particularly amongst SME’s; and
- Stopping and detecting corruption by international subsidiaries and enterprise companions, notably in high-risk markets.
These challenges are usually mentioned as a part of the Working Group on Bribery’s consultations with the non-public sector and civil society.
A lot of you participated in final October’s session on collective motion, which introduced collectively in Paris —for the primary time—representatives of the Working Group on Bribery, the B20, and the G20 Anti-Corruption Working Group.
For this reason the OECD strongly helps the emphasis positioned within the new G20 Anticorruption Motion Plan, on the significance of enforcement, which covers most of the main considerations by enterprise. This strengthened focus additionally mirrored an essential suggestion of the B20 on strengthening the worldwide authorized framework.
The OECD’s instruments can present helpful steerage for a way we will all defend ourselves from these dangers:
Our Good Apply Steerage on Inner Controls, Ethics, and Compliance is the one steerage of its form adopted at an intergovernmental degree. It gives a helpful indication of the baseline compliance measures governments count on to see their firms put in place.
One other helpful reference is the OECD Tips for Multinational Enterprises, whose software by firms like yours is crucial to selling a degree enjoying area.
We must always not overlook concerning the different aspect of the equation which is to make sure authorities integrity. To help clear and environment friendly administrations that assist reduce the dangers of corruption, we developed the Rules on Enhancing Integrity in Public Procurement and Tips for Managing Battle of Curiosity within the Public Service and the Rules on Transparency and Integrity in Lobbying .
Nevertheless, the OECD intends to take the combat ahead and we stay up for the management of Russia’s G20 and B20 Presidency.
So, as we put our heads collectively to plan the yr forward, our first precedence have to be: to remain engaged. We’ve a variety of work to do.
Beginning with this dinner, but additionally persevering with the annual high-level conferences for companies and governments.
The OECD has supplied to host this yr’s high-level convention at our headquarters in Might. I strongly imagine that these occasions ought to give political impulse, but additionally assist us dig into the complicated questions and open the dialogue on these forward-looking and sometimes delicate points.
The primary version of this train was efficiently organised by the OECD with the French Presidency and with the help of UNODC and was reiterated in Puerto Vallarta final yr by the Mexican Presidency. I belief this third version will present the identical high quality and degree of experience within the discussions that may be helpful inputs in each B20 and G20 strands.
Each the G20 and B20 have recognized anti-corruption compliance coaching as a precedence. We depend on consultants such as you to share your data together with your friends, notably SMEs. We’ll do our half to assist, as an example by working with the non-public sector to finish an anti-corruption compliance handbook for the non-public sector.
The targets set forth within the G20 Anti-Corruption Motion Plan and people proposed by the B20 at Los Cabos are clear and actionable. We should do our half to make sure these guarantees flip into actual motion. And this can be a process for each governments, but additionally firms, to take ahead.
The OECD stands able to work with you and to help you as your ally in these efforts.