## Can Digitalization Help Deter Corruption in Africa?

_IMF Working Papers, May 29, 2020_

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## Bibliographic details
- Authors: Rasmané Ouedraogo, Amadou N Sy
- Published: May 29, 2020
- Series: IMF Working Papers
- DOI: https://doi.org/10.5089/9781513545691.001

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### Key findings
- An increase in digital adoption is associated with a reduction in the perception of corruption.
- An increase in digital adoption is associated with 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.
- The dampening effect of digitalization on corruption is hindered in countries where the government has a pattern of intentionally shutting down the Internet.
- Countries that successfully promote information and communication technology (ICT) enjoy a more amplified effect of digitalization on lowering perceived corruption and raising trust in tax officials.

### Data and methodology
- Individual-level data from Afrobarometer surveys were used.
- Several indices of digitalization were employed.
- Identification includes exploiting the exogeneous deployment of submarine cables at the local level to measure the impact of Internet use on corruption perceptions.

### Contextual factors and heterogeneity
- Intentional Internet shutdowns by governments weaken the negative relationship between digitalization and perceived corruption.
- Active promotion of ICT by governments amplifies the beneficial effects of digitalization on perceptions of corruption and trust in tax officials.

### Subjects and keywords (as reported)
- Subject: Corruption, Digitalization, Education, Public employment, Public financial management (PFM)
- Keywords: DAI government, government action, intentional disruption, online service, simple average, tax official, WP

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_Source: https://www.imf.org/en/publications/wp/issues/2020/05/29/can-digitalization-help-deter-corruption-in-africa-49385_