Education Sector

Education is key for development. Learn about strategies to reduce corruption’s negative impact on a sector that receives significant foreign aid.

Teachers withholding curriculum to charge for private tutoring, students paying to access exams before tests, ghost teachers and school buildings, embezzlement of capitation grants and favoring of textbook publishing companies in exchange for campaign donations: corruption can take many forms in the education sector. Learn how to address the problem from the ministry level to the smallest school. 

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Corruption in the education sector

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Author: Daniel Suryadarma
Release date: March 2008

Corruption, Public Spending, and Education Outcomes: Evidence from Indonesia

This paper takes advantage of a new corruption measure across regions within a country to measure the influence of corruption on public spending efficacy in the education sector in Indonesia, one of the most corrupt countries in the world. I find that public spending has a negligible effect on education outcomes in highly corrupt regions, while it has a statistically significant, positive, and relatively large effect in less corrupt regions. I do not find any direct effect of corruption on education outcomes, hence implying that one channel through which corruption adversely affects the education system is through reducing the effectiveness of public spending.

This paper takes advantage of a new corruption measure across regions within a country
to measure the influence of corruption on public spending efficacy in the education
sector in Indonesia, one of the most corrupt countries in the world. I find that public
spending has a negligible effect on education outcomes in highly corrupt regions, while
it has a statistically significant, positive, and relatively large effect in less corrupt
regions. I do not find any direct effect of corruption on education outcomes, hence
implying that one channel through which corruption adversely affects the education
system is through reducing the effectiveness of public spendingThis paper takes advantage of a new corruption measure across regions within a country to measure the influence of corruption on public spending efficacy in the education sector in Indonesia, one of the most corrupt countries in the world. It finds that public spending has a negligible effect on education outcomes in highly corrupt regions, while it has a statistically significant, positive, and relatively large effect in less corrupt regions. It does not find any direct effect of corruption on education outcomes, hence implying that one channel through which corruption adversely affects the education system is through reducing the effectiveness of public spending.
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Author: Mario Claasen
Release date: January 2008

Making the Budget Work for Education

Can children understand school budgets - and monitor them up to influence the dismissal of corrupt school officials? Are villagers able to discuss school budgets and education policy with parliamentarians? It seems to be the case in the five developing countries featured in this report. The Commonwealth Education Fund (CEF) brings out case studies of budget monitoring work conducted by local communities. Local groups learned specific economic terms, were shown how to analyse budgets, and performed a monitoring role that helped them improve governance at community schools and influence policy at the central level. CEF's report tells, step by step, the experiences of school budget monitoring in Bangladesh, Kenya, Ghana, Malawi, and Uganda.

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