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Opinion

Favouritism and a strong state provide fertile ground for corruption

Mariangela Pira says this is as true of China as it is in Europe, where the problem is reportedly rife

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European Commissioner for Home Affairs Cecilia Malmstrom addresses the media on the cost of corruption in the EU in Brussels. Photo: AP

The European Union report of "breathtaking" corruption across Europe makes clear that it is a drain on the economy, costing the EU a shocking €120 billion (HK$1.2 trillion) annually.

Comparisons of the amount of corruption in Europe and China are not easy, given the difficulties associated with measuring the size and scope of the problem. Nevertheless, a few things seem clear.

First, Transparency International ranks countries according to their perceived levels of corruption. Its corruption perception index ranks Spain, Greece, Croatia, Romania and Italy as having serious problems; China ranks the same as Greece, at 80 of 177 territories.

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The difficulty in measuring corruption was one reason why, in Italy, turmoil ensued after the EU report was published. It refers explicitly to the Italian Court of Auditors 2012 report, and says it estimates that corruption costs Italy €60 billion.

Yet, the auditors' report actually says that, if the figure of €60 billion is correct, as estimated by the Italian Department of Public Function, then "corruption in Italy would be 50 per cent of the whole of Europe and, for us, this is quite exaggerated".

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Second, in European countries like Spain, Greece and Italy, corruption has undermined the merit-based system.

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