Tunisia, Botswana, South Africa and Namibia are the 4 least corrupt countries in Africa, according to the new Corruption Performance Index (CPI) released by the Germany-based organisation Transparency International (TI) this week. Finland is the least corrupt country. Since 1995 the CPI has caused over 90 high-profile investigations around the world. According to recent research, if a country were to improve its score in the CPI by 1 point (out of 10), foreign direct investment would increase by 15%.

A reduction in the CPI score since 1995 was observed in Poland, Argentina, Philippines, Zimbabwe, Canada, Indonesia, Ireland, Malaysia, Israel, Slovenia, Czech Republic, United Kingdom and Venezuela. "Corruption is not a fate. It prospers where business, society and politics turn a blind eye to its damaging effects", said TI researcher Prof Dr Johann Graf Lambsdorff, who is attached to the University of Passau. There are other signs of positive change: recent research at the University of Passau indicates significant improvements between 1995 and 2005 occurred in Estonia, Italy, Spain, Colombia, Finland, Bulgaria, Hong Kong, Australia, Taiwan, Iceland, Austria, Mexico, New Zealand and Germany. Countries like Chile, Barbados, Uruguay, Jordan and Botswana, which came up tops, scored well in this year’s index. They are also prime candidates for improved economic and social development. A recent study shows that companies from countries scoring badly in the CPI are valued lower by international investors. If a country improves by 1 point in the CPI, the valuation of stocks of its domestic firms increases by roughly 10 points.

The Agricultural bank of Namibia was on a sound financial basis and was not bankrupt, its board chairman Hans-Günter Stier told reporters this week. He reacted to the auditor general’s report on AgriBank which was tabled in Parliament recently. Auditor general Junias Kandjeke had cautioned the loan book might be more than the bank could master. A new board was appointed a year ago, headed by Stier and a new CEO, Leonhard Shipumbu started this February. Stier introduced the annual reported ending 31 March 2004 and said while it showed losses of N$ 24,6 million, the report for the period ending March 2005 would show far better results for Agribank. "Repaying of land increased, as defaulters receive threatening letters", Stier said to the amusement of reporters. "We have a bit of a liquidity problem", Stier said, but it was under control.