Managing Conflict of Interest - Organisation for Economic Co ...

Executive SummaryThere is growing consensus that managing conflict of interest(COI) is critical to curbing corruption. What COI is and what contributesto its occurrence must be understood if sound institutionaland legal frameworks are to be developed and good internationalpractices adopted.Defining Conflict of InterestCOI is a complex and sometimes elusive concept. It can be anindicator, a precursor, or a result of corruption if left unchecked.While there is no universal definition of COI, most countries andjurisdictions agree that a conflict of interest occurs when publicinterest is compromised by the private interests of public officials.Several international organizations have developed guidelinesand established protocols to assist in the standardization of definitionsand the adoption of preventive and enforcement mechanismsto address COI. The United Nations Convention Against Corruption(UNCAC) also makes specific reference to conflict of interest andemphasizes the importance of transparency and standardization incodes of conduct for public officials, public procurement practices,and the management of public finances. UNCAC also identifies therange of offenses linked to COI such as abuse of power and influencepeddling.Establishing Frameworks for Managing Conflict of InterestExamples of the impact of high-profile ethics cases show thatsuch cases may trigger legislative reform as the examples of Canadashows; in the Republic of Korea, prominent cases triggered achange in the policy approach and led to the creation of new officesand positions to execute and enforce new laws on COI.In Canada, the newly created Office of the Public Sector IntegrityCommissioner enforces Canada’s values-based approach tomanaging conflict of interest, requiring commitment at all levels—personal, societal, political—within and outside the public sectorand legal framework. Legal requirements have been revised, andpolicies and official codes of conduct for civil servants and otherADB/OECD Anti-Corruption Initiative for Asia and the Pacific