Indian economy’s stupendous performance in the second quarter of 2009 despite economic turmoil worldwide has turned attention to the issue of sustaining or even improving the growth rate.

While improving infrastructure, providing employment, uplifting of rural areas and reforms in various sectors are on the cards, eradicating corruption is one move that can improve India’s performance with the existing setup.

According to this year’s corruption perception index (CPI), India is ranked 84^th among the 180 surveyed. This is no better from the 85^th position last year, but thankfully no worse.

Corruption manifests itself in all areas of economy, providing roadblocks in developmental activities and hindering growth. Infrastructure, its inadequacy touted as the number one impediment to country’s growth, is also the worst affected by corruption. Billions go into paying bribes, which either cause overspending or lead to inferior quality structures.

Poverty, another bane of modern India, is a fellow sufferer with the bulk of earmarked funds going down the drain.

Being both rising economies, comparing India with China will be helpful in finding a way out of this mess. While corruption is rampant in both countries, method of tackling is way different. India has the advantage of being a more open society with influential social activists and powerful media. India’s legal system is also conducive to exposing corruption.

The corporate world and the public would welcome a corrupt-free India, but this necessitates a cultural change. While the economic changes are comparatively easier to achieve, cultural changes, though welcomed by the majority, is more difficult and slower to bring about, mostly due to the backstage activities of its beneficiaries.

Last decade saw some positive steps in eradicating corruption, but there is much to be done. Or else, corruption may end up devouring the hard-earned economic growth.

It was not very long, when India began showing the signs of corruption, after its hard-earned independence in 1947. Latest scoring by the International watchdog Transparency International, ranks India 84^th among the most corrupt nations in the world. After almost 58 years of blatant corruption, the Right to Information Act was passed in the year 2005.

According to the RTI Portal, the Act, “….mandates timely response to citizen requests for government information.” Except the designated entities, every public or private body, financed by public authorities or the Government, come under the purview of this Act. This Act is being considered the most powerful tool in the hands of the citizens, after the Right to Vote.

However, RTI has met with limited success so far. One of the key reasons is the limited awareness about the Act. A nationwide survey revealed that only 12% of the women and 26% of the men in India are aware about such legislation. Government’s initiatives for educating people about the Act have also been slack. Out of the total budget allocation of Rs. 14.16 crores for RTI for 2009-10, only Rs. 3.55 crores was spent by the end of October. Another glitch is the actual implementation. Shocking statistics of only 27% of the applicants receiving the information were revealed recently.

Our country is known for two “C”s – colorfulness and corruption.  In June, when the Corruption Perceptions Index (CPI) took out its annual report on the corruption index in the 180 countries of the world, India slipped two positions to rank at 74. (CPI is made by an independent international agency called International Transparency).

Since the practice of corruption is a deceitful act, the Indian population is largely seen as dishonest. While there are many honorable and noble people as well in the country, greediness and dishonesty is driving the remaining. Sometimes people have to get involved in corruption due to the compulsion of getting their work done.

Another reason of this country wide corruption is that we are surrounded by countries which themselves are so poor and continuously try to destabilize our economy in one way or another. Countries like Pakistan and Nepal rank at 140 and 135 respectively in the index. Iran and Libya are also not very far with 133th and 134^th position.

Meanwhile, China which was ranked jointly with India on 72 in 2007, slipped a step above to occupy the place higher that its neighbor this year. Russia has extremely high level of corruption, even after the Putin’s era and ranks at 145 in the index. Sri Lanka is on 96th position while Maldives is ranked 90.Bhutan is the least corrupted country in the Asian region which could be due to the nascent democracy in the country. New Zealand, Denmark, Singapore, Finland and Sweden have retained the top five spots this year as well. Myanmar and Somalia occupy the bottom position in the index. USA has retained its position on 20 and is just below Ireland, Germany, Japan and France.