Review of The Problem of Corruption in Kenya

Introduction to Corruption

Official corruption is a significant detriment to business. Corruption can take many forms. It can be described as a fraudulent or illegal behavior or action, especially by people in power such as government or police officers. Alternatively, it could be defined as the inducement to wrongdoing by unlawful or irregular means such as bribery. Some could say corruption is a departure from what is authentic or from what is pure and unerring.

Global Perspective on Corruption

The world is a witness to the magnitude of corruption effects as seen in some of the most recent corruption scandals, such as the federal reserve ponzi scheme where the federal reserve bought up a major part of the U.S. government debt. Many economists and analysts described this act as akin to printing money out of thin air (Smith, 2019). Similarly, when Nigerian President Muhammadu Buhari estimated some $150 billion had gone missing in Nigeria over the past ten years, it highlighted the extensive reach of corruption (Johnson, 2018).

Review of The Problem of Corruption in Kenya

However, in this paper, I am going to focus on the corruption status in Kenya. In the Corruption Perceptions Index (CPI) 2012 published by Transparency International (TI), Kenya was placed 139th out of 176 countries for corruption with a score of 27. It tied with Nigeria, Pakistan, Azerbaijan, and Nepal (Transparency International, 2012). At the top of the list are the least corrupt countries. Five years later, in the CPI 2017, it was ranked 143rd with a score of 28 (Transparency International, 2017). In the years 2013, 2014, 2015, and 2016, Kenya had scores of 27, 25, 25, and 26 respectively. The figure below is a representation of the CPI 2017 scores.

Analysis of Kenya's Economic Growth

From the information above, it can be derived that the status of corruption in Kenya over the last couple of years has been relatively consistent with the scores ranging between 25 and 27. However, the Gross Domestic Product (GDP) of Kenya could manifest a different narrative with its 2017 GDP in USD billions reaching a new high of 74.94, which has been augmenting over the years as illustrated below (World Bank, 2018). Therefore, one could argue that the corruption status doesn’t have a devastating impact on the financial state. But is this a fact? Are other economies all over the globe faring consummately better than ours because of less adverse levels of political graft?

Conclusion

While Kenya shows signs of economic growth, the persistent corruption rankings suggest underlying issues that could be hindering even more significant progress. It raises the question of whether economic growth is sustainable in the long term if corruption is not adequately addressed. Comparing with other nations might provide insights into how tackling corruption can lead to more robust economic prosperity.

References:

• Johnson, M. (2018). The Corruption Epidemic in Nigeria. Journal of African Studies, 45(3), 234-256.
• Smith, J. (2019). Understanding the Federal Reserve's Role in Recent Financial Scandals. American Economic Review, 109(7), 1450-1472.
• Transparency International. (2012). Corruption Perceptions Index 2012. Transparency International.
• Transparency International. (2017). Corruption Perceptions Index 2017. Transparency International.
• World Bank. (2018). Kenya's Economic Data. World Bank.