The newly published results of China ongoing fight against
commercial bribery can surely serve as an effective deterrent to
potential bribe takers.
But to carry through the war against corruption in
business-related activities, the country should move more quickly
to introduce legal checks and balances that can encourage business
people and public servants to behave better.
In the 10 months up to June, Chinese anti-corruption officials
investigated 6,972 cases of alleged commercial bribery, involving a
total of 1.96 billion yuan (US$241.7 million). Of these, 1,603
cases and 508 million yuan (US$62.6 million) involved public
servants, many of whom ranked at city and county level.
The speed and scope of the ongoing anti-corruption campaign is
remarkable, reflecting the Chinese authorities' determination to
develop a healthy business environment and a clean government.
However, while applauding the prompt punishment of these corrupt
officials, we should remind ourselves that these cases might be
only the tip of the iceberg.
Bribe-taking activities have a serious consequence. They not
only disturb the normal political and economic order and infringe
upon public interests but also tarnish the country's image.
To root out such activity is crucial to China's ambition in
becoming an innovative country.
Ultimately, Chinese enterprises will form the backbone of the
country's innovative forces. To become enthusiastic innovators they
require a sound business environment that encourages fair
competition based on technological advancement or marketing skills
rather than favors from certain people. Chinese firms' progress in
innovation will decisively shape their chance to compete and win
globally as the country is increasingly integrated into the world
economy.
Hence, for the sound growth of Chinese companies and the
national economy, the authorities need to go all-out to clean up
the domestic business environment.
It will not be easy to stem all commercial bribery activities.
They spread much wider than business-related areas like the
approvals of building projects, land rights transactions and
government procurement orders where most graft cases have been
found.
Also, the idea that corruption might be necessary in ensuring
low transactional costs still dies hard among some business people
and State workers.
To cement and press ahead with the ongoing anti-corruption
efforts, the Chinese authorities should drive home the message that
the war is still in its infancy by continuing their aggressive
investigations.
Besides applying pressure to bribe takers, an equally important
task for the authorities is to rapidly put into place related laws
and regulations that can routinely check commercial bribery.
(China Daily August 2, 2006)