Corruption in Pakistan

1. Name: Ayesha Urooj
Program: BBA (5TH
Semester)
Course: Macro Economics
Assignment Topic: Impacts of Corruption in Developing Country
Submitted To: Sir Sarfaraz

2. IMPACTS OF CORRUPTION IN DEVELOPING COUNTRY
 What is Corruption?
It is the misuse of authority, power, resources, public and Nation
wealth for private gain. Corruption is widely regarded as one of
the biggest challenges of the 21st century.
For example:
Money, goods, vehicles, buildings, pension funds, medical aid fund
etc.
Corruption is harmful for any economy. The country that faces a
lot of corruption has less GDP. Corrupt countries invest less in
education and health sector.
 The two major types of Corruption:
1. Grand Corruption
2. Petty Corruption
Grand Corruption:
Means the corruption which is done in the big scale or high level.
Such as: PIA and CAA are the common examples of Corruption in
Pakistan.
Petty Corruption:
Means the corruption which is done on the small scale or low level.
Such as: Traffic Police, Peon and clerks etc.

3. WHAT CAUSES CORRUPTION?
 Lack of public transport
 Ineffective judiciary
 Unfair elections
 Lack of effective leadership
 Lack of effective management
 Instable politics
 Weak political institutions
 Proper laws
 Ignorance of rules and laws
 Low wages
 Lack of strict punishments
 Lack of unity in public

4. CORRUPTION IN PAKISTAN
Corruption is like business in Pakistan. In Pakistan today, the position is
very bad. Corruption is like cancer it will harm all the country.
Corruption in Energy sector:
The ongoing energy crises are also an outcome of corruption. According
to a rough estimate, corruption in the energy sector including theft has
cost the economy approximately Rs100 billion in the part of five years.
Energy crises 12 to 14 hours daily power cut is very common here. The
taxes on electricity bills are increasing this is the other source of taking
advantage from public.
Police Sector:
Corruption is found to be common place in the lower levels of police.
Police was observed as the most corrupt sector in 2013 survey by
Transparency International. There is very high risk of corruption when
dealing with Pakistan’s police.
Political Corruption:
In political corruption, the government develops budgets where funds
are given to their elected members of national and provincial
assemblies. These funds are used to recover millions of rupees they
spend on election and other political campaigns. To win the elections
some political leaders try to lure the voters by offering them wealth,
cars, property and other types of direct or indirect benefits.

5. Bribery System:
Our corrupt politicians come into government not by the vote of the
people, but by giving bribery to the members of election commission
and other staff responsible for conducting general elections. And when
they become PM they break all the record of corruption. Similarly, our
government officers and government employees come into Govt. job by
giving bribery to the appointing authority.
Administrative Corruption:
Such as getting license even if they does not qualify for it. Officers,
clerks and peons etc. are involved in this.
Government Sectors:
The more the corrupt a person the more he would be higher in rank in
Government departments. Poor people have to give bribery in almost
every Govt. Department for their right work.

6. IMPACT OF CORRUPTION IN DEVELOPMENT OF PAKISTAN
Corruption is found in all countries. Pakistan is one of the corrupt
countries. Corruption in Pakistan less the economy as well as trade and
businesses.
 A newspaper reported:
“That the estimated loss corruption caused was more than Rs
12billion per day including 7billion of tax evasion.”
International Investments:
When your country known as the corrupted country the international
investors will not invest in this type of country. The extortion of bribes
from investors can be seen as tax reduces the foreign investment.
Local Investors:
As taxes are high in country the local investors reduced investments
in the country. It will affect the economy because they are taking
bribes and high taxes.
Poor Maintenance of Public Infrastructure:
Because of corruption maintained and repairs always take a bad seat
to new project. The fund and money are not used in proper way to
the development of country infrastructure.
Reduced Commitments From Donors Agencies:
As a country show as corrupted country the donor who are
committed to donate any type of money for health, education and
for finance sector will not further donate in the country.

7. Import and Export:
The higher the corruption in your country lowers your import and
export because of high taxes and bribery.
 According to Research:
“The amount of corruption is negatively linked to the level of
investment and economic growth that is said to the more corruption,
the less investment and the less economic growth.”
Corruption makes economic growth difficult because it is harder for
invest and grow.
EFFECTS OF CORRUPTION
Corruption is ever rising and unstoppable. Impact of corruption is
very hard on public life. The effects of corruption have a negative
impact on a society as a whole. Each and every society takes pride in
the services that are offered to them by the government. When the
quality of services such as health, education and other services are
compromised due to corruption the society will decline. The main
cause of corruption in various sectors such as in jobs, businesses,
education and sports are increasing the population. Due to
increasing the number of people demand and needs of every person
is increasing so in order to fulfill their demands they are victim of
wrong activities.

8. SOLUTION OF CORRUPTION
 Anti-corruption police and courts
 Vigorous punishments
 Anti-corruption websites
 Anti-corruption organization
 Awareness and campaigns through media, social networking sites
and road shows.
 Proper education
References:
http://tribune.com.pk
https://www.slideshare.net/
https://www.google.com/