Corruption is one of the most serious problems facing Afghanistan. It undermines public support for the Afghan government and damages the country's economy. According to a recent survey conducted by the Center for International Private Enterprise (CIPE), Afghan businessmen know this to be true. The survey found that corruption ranked second only to security as the largest obstacle to Afghanistan's business development.
For months, the United States has exerted pressure on President Hamid Karzai to rein in corruption. In response, Karzai has reacted harshly to public U.S. pressure on this issue, and has blamed the United States for fueling corruption in Afghanistan by channeling reconstruction funds through multiple layers of contractors and sub-contractors who siphon off money. Eradicating corruption has been cited as one of the more important topics that U.S. officials have broached with President Karzai during his fence-mending visit in Washington. How can we move beyond the blame game and make progress on this vital and yet deeply ingrained issue?
Progress may be more likely if we adjust our approach. First, rather than public scolding, a more effective approach would be outward respect for President Karzai, coupled with private engagement and pressure. Second, the U.S. must supplement our current top-down approach that targets senior officials accused of corruption with a bottom-up approach that targets the low and mid-level officials. The CIPE survey found that low and mid-level officials such as local bureaucrats, customs officials, road police and tax collectors are the most frequent bribe takers.
In countries such as South Korea, the top-down approach worked. In others, the bottom-up approach has been more effective. For example, in Russia, a private sector coalition representing nearly 20,000 firms is working to equip companies with the tools to stand up to extortion and illegal inspections. In India, an NGO is printing "zero" rupee notes to be handed to corrupt officials when they demand a bribe. And, in Serbia, after a series of drastic measures, corruption was significantly reduced after just five years in all major government and economic sectors, including the customs administration.
What would a comprehensive bottom-up Afghan approach to fighting corruption entail? First, the Afghan parliament should draft a law clearly defining conflict of interest, thus creating a legal basis for prosecution. Second, Provincial Councils should establish anti-corruption commissions or ombudsmen to prevent unofficial taxation and extortion payments by officials. Third, taxation rules and regulations should be simplified and provide for greater transparency. Fourth, competition laws should be strengthened to prevent monopoly control of key economic sectors such as fuel distribution. Fifth, more must be done to strengthen the role of civil society and media in mobilizing public opinion and ensuring accountability. Sixth, technology must be used to automate and otherwise streamline procedures to reduce the number of governmental approvals needed and, thereby, the number of officials who can demand a bribe.
The U.S. government must also do its part. First, it must continue to combat the corruption that exists within its own contracting and procurement processes. The vast majority of the criminal cases brought by the U.S. Procurement Fraud Task Force and investigated by the Special Inspector General for Afghanistan Reconstruction involve American - not Afghan - citizens, many of whom are current and former U.S. officials.
Secondly, it must reform its contracting system to enhance oversight and accountability of funds spent in Afghanistan. The U.S. Army Corps of Engineers Afghanistan District North recently implemented a new policy under which all new contracts it awards will require contractors to prove they are paying their employees, sub-contractors and suppliers as specified in the contract. The new approach will help prevent wage-skimming and the tendency to simply not pay workers and siphon funds for corrupt purposes. This type of common sense policy must be replicated throughout the contracting system.
A push against corruption may cost President Karzai certain allies - especially those targeted for prosecution - but it would rehabilitate his credibility in the eyes of the international community and among the people of Afghanistan. He will win new allies such as the Afghan business community which, according to CIPE's survey, overwhelmingly supports greater action against corruption.
Karzai's visit to Washington provides the opportunity to launch a shared, cooperative approach to fight corruption that goes beyond the blame game. From early reports, the Obama administration seems to have made strides toward repairing this frayed relationship. Once that bond has been reset, a new approach should specify the responsibilities of each party and establish benchmarks for their accomplishment. Rather than arguing over who is more at fault, the focus should shift to who is going to lead - not just by words, but by action.
