Building Integrity
Infrastructure has the potential to drive the development demands of growing economies, respond to climate change, and eradicate poverty. It is increasingly a foundation of Australia’s foreign policy and is closely linked to geostrategic competition within the Indo-Pacific region. However, the infrastructure sector is one of the most corruption-prone sectors globally. The Infrastructure Transparency Initiative estimates that USD $6 trillion could be lost annually by 2030 due to corruption, mismanagement, and inefficiency. Additionally, the sector is often shaped by political priorities, which can sometimes undermine good governance processes and be susceptible to undue influence.
This report highlights key findings on the quality of policy frameworks for infrastructure project preparation in seven Pacific Islands countries and Timor-Leste. Our research assessed and compared the governance context of each country using data from the Worldwide Governance Indicators and Transparency International’s Global Corruption Barometer and Corruption Perceptions Index. We evaluated strategic and infrastructure planning documents for detail, consistency, and transparency to identify weaknesses that might allow political or undue influence. Furthermore, we assessed supporting analyses used to decide on proceeding with infrastructure projects, such as socio-economic analyses, fiscal affordability assessments, public-private partnership models, and environmental and social impact assessments. Publicly available, detailed decision-making processes can help stakeholders hold decision-makers accountable and reduce corruption risks.
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