Bribery and Corruption


Why is construction prone to corruption?

The construction market is huge – so huge that it is estimated to be worth more than $ 3.2 trillion per year and make up for 2-3% of developing countries' GDP and 5-7% of developed countries' GDP. The yearly global construction output is expected to become $ 17.5 trillion by 2013.

The amount of losses through corruption range between 10 and 30%, which together with mismanagement and inefficiency makes up for close to $6 trillion losses. These numbers highlight the size of the problem and why eradicating corruption would make a big difference for the industry and for the overall economy.

Fighting corruption and bribery in the construction industry

Given the global nature of supply chains and therefore the potential involvement of contractors and suppliers from many different countries, languages and cultures, the potential for economic loss (or fraud/corruption) is considerable. Moving forward, embracing and embedding the necessary behaviours requires funding institutions and major client or owner corporations to codify best practice and act consistently when they purchase engineering & construction services in order to create a “level playing field” and change attitudes towards forms of economic crime. Whilst infrastructure is a vital element of socio-economic development, governance of public procurement is not only difficult to achieve consistently— outcomes can also be driven by political will. Companies choosing not to work with clients or suppliers that do not have a good track record of supporting anti-bribery and corruption measures will increase the speed at which the market changes. Exposing corruption and communicating the negative impact on society of the waste of resources, public funds or loss of opportunity to improve standards of living should continue to provide a focus for everyone to support a consistent approach.

Combating Corruption in Engineering and Construction

Support the effort by becoming a signatory on the Engineer's Charter. Join the more than 100 engineering leaders who have already signed and made the commitment to develop actions that will lead to "zero-tolerance" for bribery, fraud and corruption in engineering and construction.

Read More and Sign Charter at the link


To Return to this page after visiting any of the above external links ,
use the "Back" button on your browser.


To Return To Home Page