New Zealand's historic CPI performance
As the chart above shows, since 2012 New Zealand and Denmark have consistently ranked as the least corrupt public sectors in the world.
The current top countries have continued to be in the leading group year after year. This points to advantages in managing corruption for small industrial states with fewer than ten million people. A common feature is that these are without state or provincial governments.
What is special for New Zealand is that we continue to be at or close to the head of this group.
While maintaining top rankings, these countries have experienced generally declining scores. The slight downward trend in CPIs score is statistically insignificant. It is as likely to be a variation in the methodology as it is a real or perceived increase in corruption.
A score under 90, however, is a warning for public officials to remain diligent in resisting corruption and strive to strengthen our protections against it.
A high CPI score correlates with economic growth
Studies published in 2007 and 2008 in The European Physical Journal found that countries and territories with higher CPI rankings were more likely to experience increased long-term economic growth, and that they experienced GDP increases of 1.7% for every point added to their CPI score. The higher a country or territory’s CPI ranking, the higher that state’s rates of foreign investment. Therefore, corruption has been found to have a negative impact on a nation or territory’s economy.
The CPI World Wide
The CPI is rigorously reported on and relied upon by investors and international financial traders. Examples include:
- Trading Economics.com
Corruption has been identified as a major impediment to free trade and investment. European Parliament’s Committee on International Trade is now seeking anti corruption provisions in trade agreements.
Measuring wellbeing and culture
The CPI also fits well within our wellbeing framework, and is a measure under the Social capital domain of the framework. Knowing that we have a high reputation for low corruption in the public service has a positive social effect:
- Reinforces social values of integrity and fairness
- Important evidence for value of democracy
- Important tool to counterbalance growing mistrust of public services
- Sets a benchmark for business and NGO
- Trustworthy annual external benchmark for Is a mark of pride for public sector
CPI and our trading partners
The table below shows New Zealand’s major trading partners ordered by trading volume. It further highlights the need for diligence on the part of New Zealand in our trade relationships. Whilst some are making efforts to control corruption, many are well below half of our score, and some like The United Kingdom, United States of America and Canada have dropped down in rank and score.
For additional information and links visit the TINZ Corruption Perceptions Index page.