Business Ethics and Sustainability Report: Corruption in Pakistan

This report delves into the pervasive issue of corruption in Pakistan, examining its various forms, including bribery, fraud, and favoritism, and their detrimental impact on the nation's development. It highlights the deep-rooted nature of corruption within the Pakistani social and governmental structures, referencing studies and reports to illustrate the extent of the problem. The report explores the causes of corruption, such as governmental instability and cultural factors, and discusses the consequences, including economic decline and social dissatisfaction. It concludes by suggesting methods to reduce corruption, such as strengthening the government and implementing anti-corruption laws. This report provides a comprehensive overview of corruption in Pakistan, analyzing its different facets and emphasizing the need for effective mitigation strategies to foster national growth and development.

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Executive Summary
This report will discuss about the evil of corruption through the lens of the nation of Pakistan.
The report will begin by providing an introduction to the evil of corruption in the nation of
Pakistan. The report will also discuss about the various forms of corruption which are a part
of the nation of Pakistan like fraud, bribery, favoritism and others. Finally, the report will
conclude with a discussion of the way these different forms of corruption have impacted the
nation of Pakistan in the recent times.

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Table of Contents
Introduction................................................................................................................................3
“Corruption in Pakistan”............................................................................................................3
“Forms of Corruption”...............................................................................................................4
Bribery....................................................................................................................................5
Fraud......................................................................................................................................5
Favoritism..............................................................................................................................6
Methods to reduce corruption....................................................................................................6
Conclusion..................................................................................................................................7
References..................................................................................................................................9

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Introduction
“It is not power that corrupts but fear. Fear of losing power corrupts those who wield it and
fear of the scourge of power corrupts those who are subject to it.”
The above quoted lines of “Aung San Suu Kyi” from the famous book “Freedom
from Fear” is a pertinent account of the concept of corruption and the way it affects the
various individuals of the society. Corruption is one of the oldest forms of evils which have
been ailing the various nations of the world for a very long time (Rose-Ackerman and Palifka
2016). However, in the recent times it is seen that this particular evil has become a part of the
various nations of the world (Rose-Ackerman and Palifka 2016). The problem of corruption
is affecting the government organizations of the various nations of the world in an adverse
manner and the role played by the bureaucracy of the various nations of the world is also
significant to note in this particular context. It is significant to note that the various nations of
the world have devised various measures to curb this particular menace but they have not
been able to curb it in a significant manner (Gould, Sherman and Ansari 2013). This report
will discuss about the concept and its related aspects in the particular context of the nation of
Pakistan.
“Corruption in Pakistan”
As per a study “nearly 7 in 10 had to pay a bribe” and the annual bribery rate of the
nation of Pakistan is more than 40% for the year 2017 (Forbes.com. 2018). It is a pertinent
reflection of the level to which the evil of corruption has penetrated into the nation of
Pakistan. In the opinion of many people “Corruption is violation of norms. In other words, it
is immoral behavior which includes deviation from legal norms or moral values”(Gould,
Sherman and Ansari 2013). As per the “Canadian Oxford Dictionary 1998” the concept of

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corruption refers to the “use of corrupt practices, especially bribery or fraud” (Rose-
Ackerman and Palifka 2016). The rate of corruption in the nation of Pakistan is very and it is
significant to note that the nation has been ailing with this particular problem for a very long
time. According to a report of the “Corruption Perception Index (CPI) 2016 of
Transparency International”, “Pakistan stands at 116th position out of 169 countries in
terms of Control on Corruption” (PakObserver 2018). Furthermore, according to the report of
the “Executive Opinion Survey 2016 conducted by World Economic Forum” corruption
is one of the major problems with the nation of Pakistan has been ailing for a very long time
and it is a reflection of this that the nation holds a very low position of “122nd out of 138
countries in terms of economic competitiveness” in the study (PakObserver 2018). Moreover,
as per the results of another study conducted by the “Doing Business Survey of the World
Bank (2016)”, “the country ranks at the 144th position among 190 economies owing to poor
business conditions” (PakObserver 2018). Therefore, it would be apt to say that the social
evil of corruption has penetrated into the roots of the nation of Pakistan and the various
people of the nation resort to this particular evil to get their jobs done (Gould, Sherman and
Ansari 2013). In the recent times it is seen that it has become increasingly difficult for the
various people of the nation to get their jobs done without taking the aid of this particular
evil. The ailing state of the government of the nation has generally been attributed as one of
the major reasons for the increased level of corruption which is seen in the nation (Gould,
Sherman and Ansari 2013). Furthermore, the social structure of the nation as well as the
culture is also seen as a significant contributor towards the rise of this particular menace
(Khan et al. 2012).

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“Forms of Corruption”
As already mentioned the corruption has formed a part of the societies of the various
nations of the world and it is seen that in the recent times the concept of corruption as well as
the different forms of it has undergone much transformation in the present times (Khan et al.
2012). The nation of Pakistan score extremely high on the corruption index and this mean
that the various forms of corruption are prevalent within the social framework of the nation.
The most common kinds of corruption which is seen in the nation of Pakistan are bribery,
fraud, embezzlement, straddling, extortion, favoritism and others (Khan et al. 2012). Some of
the most commonly encountered forms of corruption are described below-
Bribery
The evil of bribe is one of the most common elements of the nation of Pakistan and it
is generally seen that the various individuals of the nation openly resort to this particular form
of corruption to get their jobs done (Jackson et al. 2014). The concept of bribery can be
defined as “the recompense, may it be monetary or in kind, that is offered or received in
exchange for altering the actions of the recipient to benefit and protect the interest of the
giver of the payment” (Jackson et al. 2014). In the opinion of many people bribery is one of
the most common forms of corruption and is generally seen as a reflection of the inherent
weakness of the government of a particular nation (Hussain and Riaz 2012). In this particular
aspect it is significant to note that the nation of Pakistan has one of the most unstable forms
of government and various kinds of revolts, rebellions and terrorist activities are the order of
the day in the nation (Hussain and Riaz 2012). Therefore, it can be said that the inherent
weakness of the government of the nation is one of the main reasons for the high bribery rate
of the nation of Pakistan (Hussain and Riaz 2012).

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Fraud
Fraud is another significant form of corruption which has been ailing the society of
the nation of Pakistan for a very long time (Olken and Pande 2012). The concept of fraud
refers to a criminal activity which often entails with itself certain forms of deceptions as well
as trickery (Olken and Pande 2012). In the opinion of many people, “Fraud includes rigging
or distortion of facts and expert opinion, by public servants, politicians and general public, in
an attempt to extract a large undue profit” (Olken and Pande 2012). The evil of fraud happens
when a particular governmental officer or any other official holding a high designation within
the framework of a governmental organization or any other organization creates a misleading
situation for the enhancement of their own personal needs (Farooq et al. 2013). It is
significant to note that the evil of fraud is very much a part of the framework of the nation of
Pakistan and it is reflection of this that the bureaucracy of the nation is one of the most
ineffective ones among the various nations of the world (Farooq et al. 2013).
Favoritism
Favoritism is another common form of corruption which forms an important part of
the nation of Pakistan (Della Porta 2017). In the opinion of many people, “Favoritism is a
dimension of corruption insofar as it includes a corrupted, unfair and privatized distribution
of resources”(Della Porta 2017). It is significant to note that the concept of favoritism can be
defined as the practice by means of which undue advantage or leverage is given to
undeserving people solely on the basis of the personal equations (Della Porta 2017).
Therefore, it is generally seen that the most of the important governmental positions
belonging to the nation are provided to undeserving candidates instead of the deserving ones
who could have contributed in a positive manner towards the “overall growth as well as the
development of the nation in a positive manner” (Farooq et al. 2013). Thus, it can be said that

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the evil of favoritism is one of the major forms of corruptions which the nation is facing at
the current and it is adversely affecting its prospects (Rose-Ackerman 2013).
Methods to reduce corruption
The nation of Pakistan can take the help of various kinds of methods for the reduction
of the level of corruption which the nation is facing at the current moment. The development
of a strong centralized government would help the nation to reduce the high level of
corruption which it is facing at the current moment. The passing of various anti-corruption
laws would also help the nation in a significant manner. Furthermore, the nation can also try
to create awareness among the people about the ill-effects of corruption.
Conclusion
To conclude, the social evil of corruption forms a part of the most of the nations of the
world. It is significant to note that the concept of corruption not only affects the normal
functioning of the governmental organizations but also “affects the overall growth as well as
the development of the nation in an adverse manner”. Furthermore, it is generally seen that if
the level of corruption within a particular nation is more than that increases the dissatisfaction
level of the various entities of the nation in a significant manner. A pertinent example of this
is the nation of Pakistan where the normal working of the government is getting hampered
due to the high rate of corruption which the nation is facing at the current moment. Therefore,
it can be said that the problem of corruption is one of the major problems which the nation of
Pakistan is facing at the current and its mitigation is of utmost importance for the growth of
the nation.

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References
Della Porta, D., 2017. Corrupt exchanges: Actors, resources, and mechanisms of political
corruption. Routledge.
Farooq, A., Shahbaz, M., Arouri, M. and Teulon, F., 2013. Does corruption impede economic
growth in Pakistan?. Economic Modelling, 35, pp.622-633.
Forbes.com. 2018. Forbes Welcome. [online] Available at:
https://www.forbes.com/sites/tanvigupta/2017/03/13/asias-five-most-corrupt-countries/
#5c76b1f56a98 [Accessed 4 May 2018].
Gould, W., Sherman, T.C. and Ansari, S., 2013. The Flux of the Matter: Loyalty, Corruption
and the ‘Everyday State’in the Post-Partition Government Services of India and
Pakistan. Past & Present, 219(1), pp.237-279.
Hussain, F. and Riaz, A.R.F.H.A., 2012. Corruption in the public organizations of Pakistan:
perceptual views of university students. The Journal of Commerce, 4(1), p.62.
Jackson, J., Asif, M., Bradford, B. and Zakria Zakar, M., 2014. Corruption and police
legitimacy in Lahore, Pakistan. British Journal of Criminology, 54(6), pp.1067-1088.
Johnston, M., 2017. Political corruption: readings in comparative analysis. Routledge.
Khan, M.T., Khan, D.N., Ahmed, S. and Mehmood, K., 2012. Corruption: Causes and Effects
in Pakistan‘s Case (A Review Research). International Journal of Business and Behavioral
Sciences, 2(6), pp.79-91.
Olken, B.A. and Pande, R., 2012. Corruption in developing countries. Annu. Rev. Econ., 4(1),
pp.479-509.

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PakObserver. 2018. Corruption in Pakistan - PakObserver. [online] Available at:
https://pakobserver.net/corruption-in-pakistan-3/ [Accessed 4 May 2018].
Rose-Ackerman, S. and Palifka, B.J., 2016. Corruption and government: Causes,
consequences, and reform. Cambridge university press.
Rose-Ackerman, S., 2013. Corruption: A study in political economy. Academic Press.