Positions and Administrative Procedures Most at Risk: A Study on Corruption in Macedonia

A recent survey conducted by the United Nations Office on Drugs and Crime (UNODC) has revealed that corruption is a pervasive problem in the business sector of the former Yugoslav Republic of Macedonia. The study, which was conducted in partnership with the State Statistical Office (SSO), found that around 6.5% of businesses in the country have given money, gifts or other favors to public officials at least once in the past year.

Prevalence of Corruption

• Around 78.8% of businesses had direct contact with a public official or civil servant in the 12 months prior to the study.
• The rate of direct interaction varied across different sectors, with the transportation and storage sector having the highest rate at 85.6%.

Situations Most Prone to Corruption

The study’s findings suggest that corruption is most prevalent in situations where there are frequent interactions between businesses and public officials, such as during:

• Tax inspections
• Customs clearing

In these situations, public officials may demand bribes or other forms of compensation in exchange for favorable treatment.

Prevalence of Bribery

The prevalence of bribery was calculated based on the number of businesses that gave money, gifts or counter favors to public officials at least once in the past year. The results showed that:

• One out of 15 businesses surveyed had given a bribe in the past year.

Implications for Businesses

The study’s findings have important implications for businesses operating in Macedonia. They suggest that corruption is a significant risk factor for businesses, and that companies may need to take steps to protect themselves from corrupt practices.

Recommendations

To reduce the prevalence of corruption in the business sector of Macedonia, several recommendations are made:

1. Strengthen Integrity and Transparency Measures

• Governments should implement measures to increase transparency and accountability in public administration, including:
  • The use of electronic procurement systems
  • Regular audits
• This will help to prevent corrupt practices and ensure that public officials are held accountable for their actions.

2. Improve Administrative Procedures

• Governments should simplify and streamline administrative procedures to reduce the need for businesses to interact with public officials.
• This will help to minimize opportunities for corruption and make it easier for businesses to operate in Macedonia.

3. Increase Public Awareness

• Public awareness campaigns can be used to educate citizens about the importance of integrity and transparency in business dealings.
• This will help to promote a culture of honesty and ethical behavior in the business sector.

4. Enhance Whistleblower Protection

• Laws and regulations should be enacted to protect whistleblowers who report corrupt practices.
• This will provide an incentive for individuals to come forward and report suspected corruption, helping to create a more transparent and accountable business environment.

By implementing these recommendations, Macedonia can reduce the prevalence of corruption and create a more favorable business environment for companies operating in the country.