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BRIC by BRIC
When the United States passed the Foreign Corrupt Practices Act (FCPA) in 1977, it made a long-term investment, arguably at the cost of near-term competitiveness, in the ability of the U.S. economy to raise corporate and ethical best practices globally. With a number of reforms now underway in Brazil, Russia, India and China (the high-growth, high-risk BRIC countries), it appears the investment is paying dividends: global anti-bribery reform is here to stay. At the same time, these developments expose multinational companies and their partners in BRIC countries to new obligations and additional compliance and enforcement risks.
Notwithstanding the recent anti-bribery reforms in the BRIC countries, these nations will continue to pose significant anti-bribery non-compliance risks in the near term. One gauge of bribery risk is provided by Transparency International's (TI) Corruption Perceptions Index (CPI). In 2013, all four BRIC countries scored below 50 on a 100-point scale (with 0 being highly corrupt and 100 being very clean). In the analysis below, we contextualize the recent anti-bribery reforms in each BRIC country and describe how these reforms may impact your anti-bribery risk assessments and compliance approach.
Brazil
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