The impact of corruption on the Malawian construction industry

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Date
2010
Authors
Phiri, Mulima
Smallwood, John
Journal Title
Journal ISSN
Volume Title
Publisher
University of the Free State
Abstract
English: The background of corruption dates back to 2000 years ago. Corruption takes the form of bribery, extortion, cronyism, nepotism, graft, and embezzlement. The main medium of corruption is poorly functioning institutions, with policies that undermine free trade and competition. The objectives of this article are as follows: first, to establish the impact of corruption regarding tender procurement; secondly, to evaluate corrupt practices which create dominance of particular contractors over others, and lastly, to examine corruption regarding the maintenance of the built environment. The survey was limited to community development projects based in and around the Blantyre commercial district. The respondents were sampled for their knowledge, experience, education and expertise regarding community development projects. The findings indicate that all tender board officials are imminently enticed into corrupt practices relating to their respective positions held in the organisation; oligopolism is the main factor in the dominance of contractors over others in the Malawian construction industry, and corruption leads to relatively lower fund allocation for the maintenance of the built environment. The article concludes that corruption does impact on the Malawian construction industry in various ways. Recommendations to limit corruption include the implementation of the following corruption-mitigating measures: break the taboo against discussing corruption; demonstrate how corruption occurs; mobilise key constituencies, and implement anti-corruption policies.
Afrikaans: Die agtergrond van korrupsie dateer van 2000 jaar gelede. Korrupsie kom voor in die vorm van omkopery, afpersing, bevoordeling, voortrekkery, nepotisme, knoeiery en verduistering. Die hoofmedium van korrupsie is die swak funksionering van instellings, met beleide wat vrye handel (of bedryf) en kompetisie ondermyn. Die doelwit van hierdie artikel is eerstens, om die impak van korrupsie aangaande tenderbemiddeling te bepaal; tweedens om korrupsie praktisering te evalueer, wat dominansie veroorsaak deur sekere kontrakteurs oor ander.en laastens, om korrupsie aangaande die onderhouding van beboude (of die bou-) omgewing te ondersoek. Die ondersoek is beperk tot gemeenskapsontwikkelingsprojekte, gebaseer in en rondom die Blantyre kommersieele distrik. Die respondente is getoets relatief tot hulle kennis, ondervinding, onderrig en kundigheid (of ervarenheid) aangaande gemeenskapsontwikkelingsprojekte. Die bevindings sluit onder andere in dat daar 'n ontsettende versoeking is om korrupsie te pleeg onder tenderbestuursamptenare, relatief tot hulle posisies; oligopolie in die organisasie is die hooffaktor in die dominansie van kontrakteurs oor andere in die Malawie konstruksiebedryf, en korrupsie lei tot relatief verlaagde allokasie van fondse vir die onderhouding van die beboude omgewing. Die artikel maak die gevolgtrekking dat korrupsie wel die Malawiese konstruksiebedryf op verskeie wyses beïnvloed. Aanbevelings om korrupsie te beperk sluit die implementering van die volgende korrupsie versagtende maatreels in: breek die verbod om korrupsie te bespreek; demonstreer hoe korrupsie plaasvind; mobiliseer sleutel kiesafdelings en implementeer antikorrupsiebeleide.
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Keywords
Corruption, Bribery, Tender, Contractors
Citation
Smallwood, J. J., & Phiri, M. A. (2010). The impact of corruption on the Malawian construction industry. Acta Structilia, 17(2), 107-125.