“Analysis of Anti-Corruption Measures in Myanmar”

Description: 

"The introduction briefly describes the research topic, the context and rationale, as well as the aims and the significance of the research. The central research question of this thesis is: why are the anti-corruption measures initiated in 2013 unable to effectively address corruption in Myanmar? Since 2003, Myanmar is ranked at the bottom of the Corruption Perception Index (CPI) published annually by Transparency International (TI). It is perceived as one of the most corrupted countries in the world (ranked 147 among 168 countries surveyed in 2015) (TI 2016c). Nonetheless, the issue of endemic corruption in Myanmar has not received much academic scrutiny and 'not enough investigative work is being done to expose corruption in the country' (Phoe Thauk Kya 2014). After more than four decades of military rule, Myanmar made a crucial step towards democracy in 2012, when it held its first democratic elections since 1962. These elections were part of major political, economic and administrative reforms (Freedom House 2012). Myanmar is indeed embarking on an important transition, and it benefits from increasing foreign investment and development programs. In 2012, the United States (US) and the European Union (EU) lifted trade embargoes against the country. While this provides many opportunities for investment and growth, it also creates new and growing forms of corruption (Freedom House 2012)1 . Myanmar's private sector is underdeveloped and despite the reforms, the difficult investment climate remains a critical limiting factor for private sector development. Corruption is one of the most serious barriers to investment and commerce (World Bank 2014b), and 'the top concern for businesses, in Myanmar (Reuters, 6 May 2014). Little business can be accomplished without resorting to illegal payments (World Bank 2014b). Myanmar is a resource-rich country with agriculture and extractive industries, which provide the major portion of national income. Foreign direct investment grew from $329.6 million received in 2009/2010 to US$8.1 billion in 2014/2015 (Aung Hla Tun 2015). However, living standards have not improved for the majority of the population, and Myanmar remains one of the poorest countries in Asia with nearly one third of the population living in poverty (CIA 2016). Peter Pedersen and Clare Wee from the Asian Development Bank (ADB)'s Office of Anti-corruption and Integrity, argue that fighting corruption and fraud is crucial to achieving the goal of reducing poverty in the Asia-Pacific region. This is because corruption usually has a negative impact on development projects (ADB 2012), undermines sustainable development, and prevents the benefits of economic growth from being widely shared (ADB 2014). The landslide victory of Aung San Suu Kyi's political party, the National League for Democracy (NLD), at the November 2015 national legislative elections, can be regarded as a step towards an opening for the country. Nevertheless, establishing effective anti-corruption measures remains crucial for Myanmar's development process and to protect future investment. After the signature of the United Nations Convention Against Corruption (UNCAC) in 2005 and its ratification in 2012 (UNODC 2013), Myanmar's government enacted a new Anti-Corruption Law (ACL) on 7 July 2013 and formed a new Anti-Corruption Commission (ACC) on 25 February 2014 (Ei Ei Toe Lwin 2014). However, so far, in the most prevalent surveys related to corruption undertaken by International Organisations (IOs) and International Non-governmental Organisations (INGOs), Myanmar's score has not significantly improved (TI 2016c; World Economic Forum (WEF) 2015; World Bank 2015b)2 . Since its creation, the ACC has been criticised by Myanmar's journalists and political opposition, particularly for its lack of independence (Eleven Myanmar, 1 July 2015; Ei Ei Toe Lwin 2014; Naing Ko Ko 2014). The perceived effectiveness of an anti-corruption agency (ACA) is usually linked by academics to its ability to act independently (Schütte 2012, 23). Thus, the thesis examines the entrenched nature of corruption in Myanmar, its political culture and the limitations of the ACL and of the ACC. Aims and Significance of the Research The objective of the research is to explain why the new anti-corruption measures initiated in 2013 have been unable to successfully address the issue of corruption in Myanmar. In order to do so, the research first tries to determine the nature and extent of corruption in Myanmar. Then, the thesis considers the former anti-corruption measures established before 2013, and examines the political context and the motivations, which led the government to implement new anti-corruption measures. It focus on the period from when Myanmar start transitional reforms in 2010, until the introduction of the new anti-corruption measures in 2013. The thesis reviews the features of the ACL and of the ACC, determines their weaknesses and limitations and ascertains why corruption persists. The thesis, then identifies some potential strategies to make the ACC more effective by examining the challenges and the performance of ACAs in other countries such as Hong Kong, Singapore, Indonesia or Vietnam. Finally, the research analyses the alternatives for addressing the issue of corruption in Myanmar. Since the early 1990s, academic and policy interest in corruption in developing countries has greatly increased. Several international institutions such as the Organisation for Economic Co-operation and Development (OECD) and the United Nations (UN), INGOs such as TI, and national governments, have proposed various strategies intended to reduce corruption in the Global South. Despite the prevalence of publications on corruption in Asia, there is a lack of research or academic literature on corruption in Myanmar. This is, despite the fact that it is one of the highest-ranking Asian countries in terms of official corruption. There is also little available evidence of the specific forms and patterns of corruption in the country. Consequently, although recent political and economic reforms initiated by Myanmar's government can be regarded as a first 2 From 2014 to 2016, Myanmar's score in the CPI ranged from 21 to 22 (scores ranging from 100 (highly clean) to 0 (highly corrupt)) (TI 2016c). In the 2014-2015 WEF's Global Competitiveness Index, Myanmar's rank in terms of 'Ethics and corruption' is 121 among 144 countries with a score of 2.6 (scores ranging from 1 (lowest) to 7 (best)) (WEF 2015). Between 2013 to 2014, Myanmar's rank in terms of 'controlling corruption' in the World Bank’s Worldwide Governance Indicators, increased slightly from 12.4 to 17.3 but remained very low (percentile rank among all countries ranges from 0 (lowest) to 100 (highest) rank) (World Bank 2015b). 2 step to democratisation, the country continues to face a major corruption issue, which threatens its development. As there is a dearth of research on corruption and anti-corruption initiatives in Myanmar, this thesis is important because it will provide a comprehensive assessment of the legal and institutional anti- corruption framework. It will focus specifically on the anti-corruption measures initiated by the government in 2013, which have not yet been analysed in publications, by any organisation or institution. Structure of the Thesis Chapter One defines the methodology and the sources of data used, as well as the major concepts relevant to the research question. Additionally, this chapter examines the existing literature on the research topic. Chapter Two determines the nature and extent of corruption in the country, and the political context in which new anti-corruption measures have been implemented. Chapter Two also evaluates the provisions of the ACL in light of the UNCAC. Chapter Three explores possible ways to make the ACC more effective by identifying reasons for the ACC’s poor performance. Furthermore, this chapter analyses whether an ACA is the most effective tool to address corruption in Myanmar, by comparing it with other ACAs established in the region. In concluding, the thesis reviews the contributions of the research undertaken and the implications of its findings, and proposes opportunities for future research..."

Creator/author: 

Candice Laure Monique Lemaitre

Source/publisher: 

The University of Melbourne

Date of Publication: 

2016-06-24

Date of entry: 

2022-03-02

Grouping: 

  • Individual Documents

Category: 

Countries: 

Myanmar

Language: 

English

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Format: 

pdf

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396.27 KB (Original version) - 52 pages

Resource Type: 

text

Text quality: 

    • Good