Persistence of bribery in West African countries. Generalise methods of moments (GMM) approach

Author:Sani Abubakar Saddiq, Abu Sufian Abu Bakar
Position:Department of General Studies, Abubakar Tatari Ali Polytechnic, Bauchi, Nigeria
Pages:651-662
SUMMARY

Purpose The purpose of this paper is to empirically test persistence of bribery transactions in West African countries in spite of combative policy measures put in place by various governments in the sub-continent. Design/methodology/approach Data for this paper is obtained from the data set of Trace International’s Bribery Risk Matrix covering 2016 to 2018. The matrix is used to... (see full summary)

 
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Persistence of bribery in West
African countries
Generalise methods of moments
(GMM) approach
Sani Abubakar Saddiq
Department of General Studies, Abubakar Tatari Ali Polytechnic,
Bauchi, Nigeria, and
Abu Sufian Abu Bakar
School of Economics, Finance, and Banking, Universiti Utara Malaysia,
Changlun, Malaysia
Abstract
Purpose The purpose of this paper is to empirically test persistence of bribery transactions in West
African countries in spite of combative policy measures put in place by various governments in the sub-
continent.
Design/methodology/approach Data for this paper is obtained from the data set of Trace
Internationals Bribery Risk Matrix covering 2016 to 2018. The matrix is used to allow rms to determine
risks associatedwith contact with government ofcialsin a particularcountry. The data set is used to test this
papers hypotheses. Thegeneralize methods of moments (GMM) was used to estimate panel data of 16 West
African Countriesin STATA 14.0.
Findings The result of the estimationsreveals that in spite of combative policy measures put in placeand
millionsof dollars spent, bribery is on the increase in WestAfrican countries.
Originality/value Prior studies tend to focus on prevalence and pervasiveness of bribery transactions
across the globe. This paper is one of the few that focuses on persistence of bribery particularly in West
African countries.
Keywords Bribery, Persistence, West African countries
Paper type Research paper
Background
Even though there are variations in terms of pervasiveness and prevalence of incidence of
bribery across countries and regions; the phenomenon remains a threat to economies of
nations the world over. Bribery is practice in all countries developed and developing;
individuals involved in it live in all parts of the world (Serafeim, 2013). Evidences have
shown that large numbers of people all over the globe are involved in bribery transactions
and the amount exchanged is extensive. Report from Transparency International
(Barometer, 2017) reveals that one fourth (about 19 per cent) of the world population is
involved in bribery. Briberytransactions amounted to over US$1tn every year (WorldBank,
2017) . Global damages incurred in 2018 as a result of bribery and similar activities
amounted to at least $3.6 (US$3tn or 5 per cent of global grossdomestic product (Guterres,
2018). The amount lost through these practices the world over is enough to eradicate
poverty, fund infrastructural decits and educate children in the poorest countries of the
world (Thomson, 2017).
Bribery in
West African
countries
651
Journalof Financial Crime
Vol.27 No. 2, 2020
pp. 651-662
© Emerald Publishing Limited
1359-0790
DOI 10.1108/JFC-10-2019-0129
The current issue and full text archive of this journal is available on Emerald Insight at:
https://www.emerald.com/insight/1359-0790.htm

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