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Central African Republic: Corruption and Smuggling Rampant

Widespread Corruption and Smuggling in CAR

According to a report released by Global Witness earlier this year, corruption and smuggling are rampant in the Central African Republic (CAR). The organization found that Séléka groups have set up informal roadblocks between the Cameroonian border and Bangui, extorting CFA 20,000 (EUR 30) from bypassing trucks. Logging companies reported paying as much as CFA 150,000 to 200,000 to transport goods from the forested area of CAR to Douala, Cameroon.

Smuggling Problem

Smuggling is a significant problem in the region, with goods being transported illegally between Cameroon and Sudan. In 2013, Chinese citizens were arrested at the airport with gold and false documents issued by the mines ministry. Another private operator reportedly had arrangements with customs officers to allow the transportation of diamonds.

Lack of Transparency in Public Procurement

The report also highlighted the lack of transparency in public procurement in CAR. The government has no control over territory in the South West of the country, and armed groups engage in illegal logging activities. Poaching is another major concern, with wild animals being hunted, sometimes in collusion with state officials.

The legal framework regarding anti-corruption in CAR is inadequate and not enforced. The CAR Penal Code criminalizes passive and active bribery, but bribery by local companies of foreign officials and bribery by foreigners of local officials are rarely punished.

Exclusion of Civil Society

Civil society in CAR has been excluded from most political, societal, and economic processes under the Bozizé government (2003-2013). The ongoing insecurity hinders freedom of assembly and significantly impairs nongovernmental organizations or unions from operating effectively.

Recommendations

The report concludes that corruption is a significant obstacle to stability and development in CAR. It recommends that companies use specialized due diligence tools to mitigate corruption risks associated with public procurement and natural resources.

Sources:

  • Global Witness: Blood Timber: How Europe played a significant role in funding war in the Central African Republic, 15 July 2015
  • Crisis Group: The Central African Crisis: From Predation to Stabilization, 17 June 2014
  • Bertelsmann Foundation: Transformation Index - Central African Republic 2016
  • The World Bank: Doing Business 2016
  • Human Rights Watch: World Report 2016

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