The economic crime agreement, also known as the OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions, is a global agreement aimed at preventing corruption and promoting transparency in international business dealings. The convention is a legally binding agreement signed by 44 countries, including the United States, Canada, Japan, and many European countries.
The economic crime agreement was created in response to the growing concern over the negative impact of corruption on international commerce. The convention was first adopted in 1997 and has since been revised several times to expand its scope and effectiveness.
The convention focuses on prohibiting the bribery of foreign public officials in international business transactions. It requires signatory countries to criminalize bribery of foreign officials and to establish effective measures to prevent and detect such bribery. The agreement also calls for cooperation between signatory countries in investigating and prosecuting cases of bribery of foreign officials.
One of the key features of the economic crime agreement is its emphasis on corporate liability for bribery of foreign officials. The convention requires signatory countries to hold corporations liable for bribery committed by their employees and agents in international business transactions. This provision has been instrumental in promoting corporate accountability and encouraging companies to implement effective anti-corruption measures.
The economic crime agreement has had a significant impact on international commerce and has helped to reduce corruption in many countries. It has also contributed to a more level playing field for businesses by reducing the competitive advantages gained by those who engage in corrupt practices.
In addition to its impact on global commerce, the economic crime agreement has also had a positive impact on the lives of people in many countries. Corruption is a major obstacle to economic growth, and the convention has helped to reduce the negative effects of corruption on the economies of signatory countries.
Overall, the economic crime agreement is an important tool in the fight against corruption and in promoting transparency and accountability in international business transactions. As more countries sign on to the convention, it is likely to become even more effective in reducing corruption and promoting fair and honest business practices around the world.