Bribery and corruption cost the world economy as much as 2 trillion dollars every year. A new report by the International Monetary Fund says, the money lost to corruption every year is 2 percent of the global gross domestic product.
IMF Chief Christine Lagarde yesterday said, the direct economic costs of corruption are clear, but the indirect costs may be even worse leading to low growth and greater income inequality. She said, it undermines trust in government and erodes the ethical standards of private citizens.
The report recommends, nations adopt international standards for fiscal and financial transparency to fight corruption and make the threat of prosecution for such crimes credible.