Corruption: what it costs India, and how much ending it would help

Bribes for routine services, leakage in welfare and kickbacks in contracts hurt the poor most and slow the economy.

What the data says

• India scored 39 out of 100 in Transparency International's Corruption Perceptions Index 2025 and ranked 91 of 182 countries (the global average was 42).
• The International Monetary Fund estimated that bribery alone costs the world about US$1.5–2 trillion a year, roughly 2% of world GDP. Corruption also reduces tax collection, investment and the quality of public works.

If corruption were cut sharply

• More of every rupee in welfare and public works would reach people and projects.
• Roads and buildings would last longer when contracts aren't inflated.
• Businesses would invest more where rules are applied the same way to all.

Questions to discuss

• Which kind of corruption hurts you most: petty bribes, welfare leakage or big contracts?
• What has worked in your experience: digital services, time limits, or punishment?

Sources

• Transparency International — CPI 2025: India: transparency.org/en/cpi/2025/index/ind
• IMF Staff Discussion Note — Corruption: Costs and Mitigating Strategies (2016): imf.org/external/pubs/ft/sdn/2016/sdn…