EUROPE

Anti-corruption: Stronger Rules to Fight Corruption in the EU and Worldwide.

The European Commission is taking decisive action to fight corruption in the EU and worldwide, delivering on the commitment made by President von der Leyen in her 2022 State of the Union address.

The anti-corruption proposals represent a milestone in the fight against corruption at national and EU level. The Commission will step up its action: building on measures in place, strengthening efforts to integrate the prevention of corruption into the design of EU policies and programmes, and actively supporting Member States’ work to put in place strong anti-corruption policies and legislation. Through its annual Rule of Law Report cycle, the Commission also monitors anti-corruption developments at national level, and identifies challenges and issues of recommendations to Member states.

The recent set of measures include new and strengthened rules criminalising corruption offences and harmonising penalties across the EU, as well as a proposal from the High Representative, supported by the Commission, to establish a dedicated Common Foreign and Security Policy (CFSP) sanctions regime to target serious acts of corruption worldwide. These measures place a strong focus on prevention and creating a culture of integrity, in which corruption is not tolerated and, at the same time, strengthen enforcement tools.

An EU network against corruption – bringing together law enforcement, public authorities, practitioners, civil society and other stakeholders – will act as a catalyst for corruption prevention across the EU and will develop best practices and practical guidance. One key task of the network will be to support the Commission to map common areas where corruption risks are high across the EU. The work of the network will feed into an EU anti-corruption strategy, to be developed in consultation with the European Parliament and the Council, to maximise the impact and coherence of EU actions. Within the EU institutions, there is a zero tolerance towards corruption. The communication details the ethical, integrity and transparency rules in place to prevent corruption within the EU institutions. This framework must not only be applied with rigour and consistency, but also be continually updated.

Raising awareness of corruption by carrying out information and awarenessraising campaigns, research and education programmes will ensure that the public sector is held accountable to the highest standards. This involves imposing an obligation on member states to adopt effective rules on open access to information of public interest, the disclosure and management of conflicts of interest in the public sector, the disclosure and verification of assets of public officials as well as regulating the interaction between the private and the public sector.

In addition, specialised anticorruption bodies will be set up to guarantee adequate resources and training for those authorities responsible for preventing and fighting corruption. This will also entail harmonising definitions of criminal offences prosecuted as corruption to cover not only bribery but also misappropriation, trading in influence, abuse of functions, as well as obstruction of justice and illicit enrichment. The proposal makes all offences under the United Nations Convention against Corruption mandatory under EU law and brings together public and private sector corruption – increasing the level of criminal sanctions for natural and legal persons, while harmonising aggravating and mitigating circumstances.

For context, global corruption indices put many EU Member States among the countries seen as the least corrupt in the world. However, corruption remains a key concern for people across the EU, with Eurobarometer data showing that in 2022, almost seven in ten Europeans (68%) believed that corruption was widespread in their country, and only 31% were of the opinion that their government’s efforts to combat corruption are effective.

New Donor Contributions

Add to the World Bank’s Recovery and Assistance Efforts for Ukraine

The governments of Iceland, the Republic of Latvia and the Netherlands have made new grant contributions to the World Bank’s Ukraine Relief, Recovery, Reconstruction and Reform Trust Fund (URTF), which supports the country’s efforts in rebuilding.

Latvia is the latest donor to join the URTF, while the Netherlands and Iceland had contributed previously, highlighting the increasing commitment among partners to the recovery of Ukraine.

With Iceland’s contribution of ISK 500 million ($3.6 million), Latvia’s EUR 2 million and the Netherlands’ EUR 60 million, the URTF’s funding has now reached more than $920 million.

“We are grateful for the continued support from Iceland and the Netherlands and welcome Latvia joining the URTF,” said Arup Banerji, World Bank Regional Country Director for Eastern Europe. “Ukraine’s operating and recovery needs are immense. These generous contributions will allow the government of Ukraine to repair vital energy infrastructure, roads, bridges, housing, schools, and to help its people rebuild their lives.”

Several projects in Ukraine have already benefitted from URTF funds, including the Restoration Project of Winterization and Energy Resources, the Repairing Essential Logistics Infrastructure and Network Connectivity (RELINC) project and the Health Enhancement and Lifesaving in Ukraine (HEAL) project. World Bank Approves $450 Million to Foster a Greener and More Resilient Industrial Sector in Türkiye

The World Bank Board has approved $450 million in financing for the Türkiye Green Industry Project, to support an efficient green transformation for industrial firms in Türkiye.

The operation will direct $250 million to the Small and Medium Enterprises (SMEs) Development Organization of Türkiye (KOSGEB), to help SMEs improve their resource performance and reduce carbon emissions, and $175 million to the Scientific and Technological Research Council of Türkiye (TÜBITAK), to foster green innovation activities by Turkish enterprises, research institutions and universities. The remaining $25 million will go to the government of Türkiye to coordinate project activities and lay the institutional foundations for the implementation of the national green industrial transition agenda.

The Turkish manufacturing industry has recorded significant growth in recent years, accounting for more than 90% of all Turkish exports, of which more than 40% goes to the European Union (EU). Still, Turkish manufacturing is more carbon-intensive than the

EU average and, under the Carbon Border Adjustment Mechanism (CBAM), the EU will be adopting more stringent carbon standards for manufactured goods. Türkiye is responding to this by attempting to adapt its manufacturing sectors to the new standards.

“The transition to a greener economy is not only an environmental imperative, but also a tremendous economic opportunity for Türkiye,” noted Humberto Lopez, World Bank Country Director for Türkiye. “This project will enable industrial firms to harness the power of renewable energy, implement energy-efficient technologies and adopt circular economy principles, paving the way for a more sustainable and prosperous future.”

Türkiye’s greenhouse gas emissions have increased substantially over the past two decades, and the manufacturing sector is a significant contributor to this increase. This project aims to drive the transition of industrial firms towards a low-carbon, sustainable and resilient future, while also promoting economic growth and job creation.

It will target thousands of industrial firms to reduce carbon emissions by investing in solar energy for their own consumption, developing and implementing green transition plans to reduce carbon emissions and improve their resource efficiency – with a focus on energy, water and waste management efficiency.

It will also support industrial firms in their efforts to create, adopt and adapt new – or significantly improved – products (goods and services), as well as business processes, which will improve sustainable development and lead to more efficient and responsible use of natural resources and positive impacts on the environment. This includes energy savings, pollution reduction or prevention, waste recycling and resource efficiency.