| Hi there, What's the connection between corruption and financial secrecy?
In a sense, they're two sides of the same coin. As seen recently in the Paradise Papers, it is often secrecy in rich countries that enables corruption in poor ones. In the Financial Secrecy Index published this week, Switzerland comes out on top, and the US moves into 2nd place. But the good news is that the world is showing signs of waking up. Following a four-year campaign from our chapter, the UK government introduced new powers that law enforcement can use to investigate suspicious wealth. Recent years have seen multiple scandals in which corrupt individuals have used the UK luxury property market to launder their stolen cash. Meanwhile, our chapters in Russia, Chile and Brazil recently published analysis of corporate transparency in their countries. Despite a distinct aversion to transparency among some business leaders, these reports show signs of improvement. This week we also explored whether the blockchain technology that powers things like Bitcoin will help or hinder the fight against corruption. One the one hand, this disruptive technology can make it easier to quickly and secretly move money across borders. On the other, it can make contracts more secure and prevent fraud. Find our more below. | 