Impact of corruption on

economy
Violation of merit
 Today talent and skills rests with those who
have highly powerful interceders with them.
 The regulations, tools, practices and

processes that are supposed to result in

merit-based decisions actually get in the way
of merit.
 Indirectly, corruption has a negative impact

on economic growth through the violation of

merit
Poverty rate increase
 Although corruption has wide-ranging
deleterious effects on society and governance
but its most deadly impact is always on the
poor.
Uneven Distribution of Wealth
Destroying education system
 Nothing can ruin a country more than its poor
and corrupt education system
 Corruption in education sectors

tends to weaken economic development and

perpetuate poverty levels and social
inequalities
Lack of development
 Corruption is considered a strong constraint
on growth and development
Decrease in foreign investment
 Corruption within the political system is a
threat to foreign investment
 In the presence of corruption, the

investments are smaller

Less employment
 Because the job does not go to the most
suitable or qualified person, but the one who
is ready to pay for it or in any other way
return the favor.
Impact on taxes
 Because of corruption, less taxes are levied
than would otherwise be, as some of the
taxes end up in the pockets of corrupt tax
officials.