Two in three businesses think corruption in Malta goes unpunished

The percentage of companies who think that people and businesses caught bribing senior officials are being appropriately punished, has decreased from 45% in 2019 to 27% now, according to a Eurobarometer survey in which 253 Maltese companies were interviewed.

This 18-percentage point drop was the largest registered in any of the 27 EU member states.

But while the survey suggests that a greater percentage of business owners have a perception of impunity, the survey also shows that businesses think corruption is now less widespread than it was in 2019 when Joseph Muscat was still Prime Minister.

In fact, the survey registers an eight-point drop among businesses who think that corruption is widespread in public procurement, when compared to 2019.

The survey shows that presently only 27% of businesses believe that corruption is punished appropriately. But the perception that corruption is not punished appropriately is even stronger in 13 other EU member states.

In Cyprus only 8% believe corruption is appropriately punished, in marked contrast with the EU’s other minnow Luxembourg, where 54% believe that corruption is appropriately punished. The only countries where an absolute majority of company owners believe corruption is appropriately punished are Luxembourg, Denmark and Estonia.

The survey also shows that 54% of Maltese company owners believe corruption is very or fairly widespread in the award of tenders. The perception of corruption in public procurement in Malta is significantly higher than in Nordic countries like Denmark, Ireland and Finland where less than a quarter of company owners think corruption is widespread in public procurement.

But in Croatia, Portugal Greece and Cyprus more then 70% think likewise.

The survey also shows that 45% of Maltese company owners believe that funds to political parties are given by businesses in exchange for public contracts. This is 7 points more than among all companies interviewed in the 27 member states. In contrast, Maltese businesses are less likely to think there is nepotism and corruption within private companies. While 48% of companies in all 27 member states believe that “favouring friends and family in business” is widespread, the percentage falls to 33% in Malta.    

When asked about corrupt practices in the award of tenders, 71% of Maltese companies believe that there are conflict of interests among adjudicators, while 61% believe that collusive bidding is common.