Financial Transparency Coalition

Since his election Russian President Dmitry Medvedev has been talking about corruption. The subject has had prominence in many of his speeches since his campaign in 2008. In September of 2009 he announced a major reform program aiming to tackle rampant corruption in his country, although he didn’t actually detail what the reform program would include. Medvedev has also repeatedly vowed to tackle corruption in the court systems, stating that Russia should do its best to “make the courts become as much as possible independent from the authorities and at the same time to absolutely depend on...

WASHINGTON, DC – A new report from Global Financial Integrity (GFI), “Illicit Financial Flows from Developing Countries: 2000-2009,” released this week shows that Russia has the second highest measured illicit outflows out of the developing world--US$427 billion from 2000-2008, an average of US$53 billion per year.

New Global Financial Integrity Report Reveals Russia is Losing US$50 Billion Annually in Illicit Outflows

Recent news from Russia confirms that corruption is a serious issue that, unless curbed, can prevent the country from emerging as a global economic powerhouse. Corruption in Russia has been a hangover from the Soviet Union days. It is just that the forces of globalization have provided old hands and the up-and-coming younger generation of Russians with unprecedented opportunities to make money under the table. Of course, the exponential increase in Russia’s natural resource exports (such as petroleum products and natural gas) has...

In 2004 while in a Comparative Politics class, I had a conversation with a friend, who was relatively well-versed in things political, about Freedom House’s Freedom in the World rankings. I remember referring the fact that Russia was considered a “transitional democracy” and he corrected me. “No,” he replied, “Russia is a democracy.” My friend was wrong, of course, but in retrospect that seems much more obvious than it did at the time. In 2004 Russia, with the ranking “Partly Free,” had only just begun its descent into authoritarianism under the direction of Vladamir Putin. It was that...