Can Digitalization Help Deter Corruption in Africa?

May 29, 2020

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Format: Chicago

Rasmané Ouedraogo, and Amadou N Sy. Can Digitalization Help Deter Corruption in Africa?, (USA: International Monetary Fund, 2020) accessed November 21, 2024

Disclaimer: IMF Working Papers describe research in progress by the author(s) and are published to elicit comments and to encourage debate. The views expressed in IMF Working Papers are those of the author(s) and do not necessarily represent the views of the IMF, its Executive Board, or IMF management.

Summary

This paper studies the effect of digitalization on the perception of corruption and trust in tax officials in Africa. Using individual-level data from Afrobarometer surveys and several indices of digitalization, we find that an increase in digital adoption is associated with a reduction in the perception of corruption and an increase in trust in tax officials. Exploiting the exogeneous deployment of submarine cables at the local level, the paper provides evidence of a negative impact of the use of Internet on the perception of corruption. Yet, the paper shows that the dampening effect of digitalization on corruption is hindered in countries where the government has a pattern of intentionally shutting down the Internet, while countries that successfully promote information and communication technology (ICT) enjoy a more amplified effect.

Subject: Corruption, Digitalization, Education, Public employment, Public financial management (PFM)

Keywords: DAI government, Government action, Intentional disruption, Online service, Simple average, Tax official, WP

Publication Details

Pages:

40
Volume:

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DOI:

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Issue:

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Series:

Working Paper No. 2020/068
Stock No:

WPIEA2020068
ISBN:

9781513545691
ISSN:

1018-5941

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